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Symantec says its initial agreement to pay $50,000 to prevent the leak of source code for some of its flagship products was part of a law enforcement probe.
Following a series of threats and alleged negotiations, hackers have released the code for Symantec's remote control software.
Code is thought to have been stolen from servers run by the Indian military, but the company says the code is from 2006 and is no threat to users of the current antivirus product.
Backtracking on earlier statements blaming a third party, the security software maker acknowledges that hackers infiltrated its own networks.