Hacks, Attacks and Breaches: 5/13/2020 to 5/19/2020
Here’s the latest installment of the Hacks, Attacks and Breaches cybersecurity news update.
The Logically team provides top cyber security stories every week to keep you up to date on the latest news headlines on cybersecurity, hacking, computer security, ransomware and other cybersecurity threats.
Sparboe: Egg producer
Risk to Small Business: Cybercriminals have targeted a vulnerable food supplier with ransomware that encrypted files and exfiltrated data. In addition to product-related information, cybercriminals also obtained personal data on current and former employees. Now, the company faces an arduous recovery process that will involve resuscitating its reputation as it grapples with the high cybersecurity costs associated with ransomware attacks.
How it Could Affect Your Business: A cybersecurity incident is a permanent stain on an organization’s reputation that can impact customer loyalty, employee retention, and future capability. Cybersecurity has implications for every facet of a business, as the investment in defensive capabilities will far outweigh the collective costs of a data loss event.
Grubman Shire Meiselas & Sacks: Law firm
Risk to Small Business: A ransomware attack has compromised the highly sensitive personal data of dozens of high-profile clients including tech giants, A-List celebrities, and sports stars. The law firm lost 756GB of client data in the attack. Cybercriminals are threatening to release the information in nine installments unless the firm pays a ransom, believed to exceed $20 million. This attack reflects a ransomware trend: hackers steal company data and demand payment. Until now, many were content to simply encrypt an organization’s network in hopes of being paid for a decryption key. Unfortunately, this new methodology is much more expensive, which could undermine the organization’s long-term reputation and viability.
How it Could Affect Your Business: Ransomware attacks are increasingly becoming data loss events, as cybercriminals steal data before encrypting critical IT. This compounds the cost and consequences of an attack, and it should encourage every organization to assess its defensive posture in relation to this threat.
Exploit: Unauthorized data release
Orchard Villa: Retirement community
Risk to Small Business: Orchard Villa, a retirement community that’s been ravished by COVID-19, endured a data breach after employees inadvertently released residents’ personal details and protected health information. The breach has brought continued blowback from residents and families already frustrated by a lack of transparency and communication. Now, the facility is enduring harsh media scrutiny and a data privacy investigation from Ontario’s privacy commission, both of which could have costly repercussions for the care facility.
How it Could Affect Your Business: As we explained in last week’s newsletter, customers are more ready than ever to walk away from companies that can’t protect their personal data. In 2020 and beyond, it’s clear that every organization’s competitive advantage is predicated on its ability to protect customer data. When they fail, customers are more than happy to find an alternative platform for their business.