U.S. Gov't HACKED by Its Own Contractor – IRS & GSA Databases WIPED in Shocking 2025 Data Breach

 In what experts are calling one of the most catastrophic cyberattacks in U.S. history, a shocking insider threat has compromised critical federal databases across the country.

Opexus, a Texas-based IT contractor working with nearly every major U.S. federal agency, including the IRS, GSA, Department of Homeland Security, and Department of Justice, has been infiltrated from the inside by two of its own employees—both with criminal pasts in cybercrime.

According to a Bloomberg News exposé, the event took place in February 2025, and its consequences are still reverberating across Washington. Dozens of sensitive government databases were accessed, tampered with, and in some cases permanently erased, knocking vital record-keeping systems offline and paralyzing federal operations.

The FBI and Department of Justice (DoJ) have launched a joint investigation into the breach, calling it a “national security-level cyber incident.”

🔐 How the Breach Happened: Inside Job by Convicted Hackers

In a chilling twist, the perpetrators weren’t foreign agents or elite cyber warfare teams—they were Opexus IT employees trusted with top-level access.

Both individuals had prior felony convictions for hacking, but were hired under a federal contractor loophole that allows former cybercriminals to be employed in IT roles if background checks are cleared or waived. Sources confirm these two insiders leveraged their access to:

• Enter secured IRS and GSA databases

• Erase or alter sensitive taxpayer and government financial records

• Implant backdoors for future access

The breach went undetected for nearly 72 hours, raising alarms about the lack of robust internal surveillance and real-time intrusion detection in contractor-operated federal systems.

💥 The Fallout: IRS, GSA, and Federal Agencies Offline

The databases affected include:

• IRS taxpayer archives

• General Services Administration (GSA) procurement systems

• Federal employee records

• Inter-agency communication logs

Some systems remained offline for over two weeks, affecting tax refunds, contract approvals, and employee credentialing.

Officials fear the damage may be irreversible in certain sectors, as not all records had off-site backups. This puts millions of federal transactions and citizen records at risk.

🧠 Why Opexus? A Contractor with a Shady Past

Opexus, formerly known as “Repsolutions Tech,” rebranded after a 2022 scandal involving questionable bidding practices. Despite the controversy, the firm was awarded multi-million-dollar federal contracts from 2023 to 2025.

The company served key agencies like:

• Department of Defense (DoD)

• Social Security Administration (SSA)

• Environmental Protection Agency (EPA)

Opexus marketed itself as a “cyber-secure cloud integrator,” yet failed to detect its own employees compromising national systems.

⚠️ National Security & Insider Threat Risks Surge

Cybersecurity experts say this breach highlights a growing risk of insider threats in federal systems that rely heavily on third-party contractors. A 2024 DHS report warned that “insider attacks pose the highest threat to data integrity in critical infrastructure.”

In light of the Opexus breach, security analysts are calling for:

• Tighter federal contractor background screenings

• Zero-trust architecture across all IT systems

• Real-time behavioral monitoring of privileged users

🕵️‍♂️ FBI & DOJ Investigations: Arrests Imminent?

The FBI and Department of Justice have both confirmed an active investigation, with subpoenas issued and employee arrests expected.

Initial findings suggest:

• The two insiders used remote scripts and USB payloads

• They communicated via encrypted Telegram channels

• One had alleged contact with a foreign digital asset laundering group

A public indictment could be unsealed within weeks as forensic cyber teams race to assess the full scope of the breach.

📉 Economic & Public Impact: Tax Season in Chaos

The breach hit the IRS at the height of the 2025 tax season, triggering:

• Delayed refunds for over 9 million taxpayers

• Missing records for 401(k) verifications

• Payroll issues in federal employment

Public trust in digital infrastructure has nosedived, and the Senate Intelligence Committee has scheduled emergency hearings to evaluate contractor oversight and cybersecurity governance.

🧩 Lessons Learned: Is the U.S. Cyber Defenses Crumbling?

This isn’t just a story of a rogue IT firm—it’s a wake-up call. The Opexus insider cyberattack reveals how over-reliance on private contractors with limited oversight is a ticking time bomb for national security.

Experts warn that unless the federal government overhauls its cybersecurity protocols, future breaches could lead to:

• Military data exposure

• National ID theft

• Critical infrastructure sabotage

🔍 Top 10 Most Searched FAQs About the Opexus Insider Cyberattack

1. What is the Opexus insider cyberattack?

A major data breach in 2025 where IT employees at Opexus hacked and wiped federal databases.

2. Which agencies were affected by the Opexus breach?

The IRS, GSA, DoD, SSA, and more had their systems compromised.

3. Who were the hackers behind the Opexus cyberattack?

Two former convicted hackers hired as IT staff at Opexus.

4. How did the cyberattack go undetected?

Weak internal monitoring and lack of real-time threat detection allowed a 72-hour window of access.

5. What data was lost in the federal breach?

Taxpayer records, procurement data, employee files, and federal communications.

6. Is the FBI investigating Opexus?

Yes, the FBI and DoJ have launched a federal investigation and may arrest employees soon.

7. How will this affect tax refunds?

Over 9 million taxpayers may face refund delays due to damaged IRS databases.

8. Was this a foreign cyberattack?

No, this was an insider attack, but foreign collusion is under investigation.

9. What cybersecurity changes are being made now?

Calls for zero-trust frameworks, enhanced contractor screenings, and federal cybersecurity reform are underway.

10. Is Opexus still working with the U.S. government?

No, all contracts have reportedly been frozen pending investigation.

Conclusion

The Opexus insider cyberattack is a dramatic reminder that the greatest threats to national security may not come from abroad—but from within. With millions of records lost and agencies paralyzed, the U.S. faces a digital reckoning that demands immediate reform in how it vets, monitors, and trusts its own contractors.