The vast network links the Centers for Medicare and Medicaid Services' central data bank with healthcare facilities such as hospitals and nursing homes, as well as financial institutions including banks and insurance companies.

However, an investigation by the Government Accountability Office (GAO) concluded that necessary security measures, such as strict password controls and encryption of data, are not employed in the system, according to the newspaper's report.

Comprehensive logs concerning the network's use are not being maintained, the GAO reportedly found.

No security breaches have occurred, said Dr. Mark McClellan, administrator of the Centers for Medicare and Medicaid Services, according to the Times article. He added that the flaws will be fixed.