World's largest bank hit by cyberattack 'has paid ransom'

"They paid the ransom, the deal is over," a Lockbit representative told Reuters via the online messaging app Tox. There was no immediate response from ICBC, the world's largest bank by assets, according to Bloomberg.

Previously, ICBC's subsidiary, ICBC Financial Services (ICBCFS), headquartered in New York (USA), was hit by a cyber attack on November 8 that lasted until November 9, preventing ICBCFS from completing US Treasury bond transactions. Late on November 9, ICBCFS posted a statement on its website confirming that the company had "experienced a ransomware attack that resulted in disruptions to certain [financial services] systems."

Vụ ngân hàng lớn nhất thế giới bị tấn công mạng: ngân hàng 'đã trả tiền chuộc' - Ảnh 1. — The logo of Industrial and Commercial Bank of China (ICBC) is seen in Beijing, China, March 30, 2016.

By November 10, Reuters cited several sources revealing that the cyber attack had caused ICBCFS to temporarily owe the Bank of New York Mellon 9 (BNY Mellon) $9 billion due to unsettled transactions, forcing ICBC to inject capital into the unit to settle the transactions. The sources added that BNY Mellon had been repaid that debt.

Why pay ransom?

Lockbit has attacked several major organizations around the world in recent months, stealing and leaking sensitive data if victims refuse to pay ransoms. In just three years, Lockbit has become the world's leading ransomware threat, according to Reuters, citing US officials.

Lockbit is believed to have hacked more than 1,700 US organizations in almost every sector from financial services and food to schools, transportation and government agencies.

Authorities have long warned against paying ransomware groups to disrupt their business models. Ransoms are often demanded in digital currency, which is harder to track and provides anonymity to recipients.

Some companies that have been hacked have quietly paid the ransom to get back online quickly and avoid the reputational damage of having their sensitive data leaked publicly. Victims who don’t have digital backups that allow them to restore their systems without decryption sometimes have no choice but to pay the ransom, according to Reuters.

Source link