Two Men Charged with Hacking and Extortion of U.S. Companies Previously Employed by Cybersecurity Firms

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Cybersecurity Experts Indicted for Alleged Extortion Scheme

(CNN) — Two former employees of cybersecurity firms, which focused on aiding companies to fend off cyber threats, have been indicted for allegedly engaging in a conspiracy to infiltrate various U.S. businesses and extort millions of dollars—a stark departure from their professional roles.

Kevin Tyler Martin, hailing from Roanoke, Texas, and Ryan Clifford Goldberg of Watkinsville, Georgia, stand accused of implementing ransomware associated with a notorious cybercriminal organization.

Their alleged targets in 2023 included a medical device manufacturer in Florida, a pharmaceutical corporation in Maryland, and a drone enterprise in Virginia, among others.

The United States Attorney’s indictment, submitted to the Southern District of Florida last month, categorizes their actions as interference in interstate commerce through extortion as well as the intentional sabotage of a protected computer.

Specifically, it is alleged that the two plaintiffs and an unnamed accomplice demanded around $10 million from the Florida-based medical investment firm to regain access to its data, ultimately receiving approximately $1.27 million.

Legal representatives for both Martin and Goldberg refrained from public commentary on the matter.

This anomaly in the cybersecurity realm signifies a troubling trend where seasoned professionals allegedly transition to perpetrating ransomware offenses themselves.

The burgeoning market for ransomware has evolved into a formidable threat, impacting vital services throughout the United States and inflicting billions of dollars in economic damage.

Cybersecurity firms typically collaborate closely with both the FBI and international law enforcement agencies, diligently working to trace and compile evidence against ransomware rings that operate transnationally.

Many distinguished security organizations have been pivotal in aiding law enforcement to apprehend alleged ransomware offenders.

“Organizations and individuals entrust us with their security,” remarked Allan Liska from Recorded Future, a notable cybersecurity firm. “Incidents of this nature undermine that trust, complicating an already daunting task.”

The indictment was first reported by the Chicago Sun-Times.

According to their respective firms, Martin was associated with DigitalMint, an Illinois-based company dedicated to assisting ransomware victims with recovery efforts—often going so far as to facilitate ransom payments.

Meanwhile, Goldberg was employed by Sygnia Cybersecurity Services, a multinational entity specializing in simulating ransomware scenarios for clients.

DigitalMint emphasized that Martin’s actions occurred entirely outside his employment parameters. They asserted their commitment to transparency, stating, “The indictment does not allege any prior knowledge or involvement by the company in these alleged criminal activities. DigitalMint remains a cooperative witness in this ongoing investigation.”

The firm further clarified that the actions in question did not compromise any client data and that the dubious co-conspirator may have been a current or past employee of their organization.

“No one linked to this alleged conspiracy has been with our company for over four months,” DigitalMint confirmed.

In a swift response, Sygnia terminated Goldberg’s employment immediately upon becoming aware of the allegations. “While we are not a target of this investigation, we are committed to full cooperation with the Federal Bureau of Investigation,” they stated.

A typewriter with a sheet of paper displaying the word INVESTIGATION in capital letters.

Charges against Martin and Goldberg allege the use of ALPHV ransomware, a particularly virulent strain that has gained notoriety in recent years.

The architects of ALPHV sell the ransomware code to other cybercriminals, sharing in the profits garnered from these illicit operations, according to prosecutorial claims.

ALPHV was reportedly involved in a significant ransomware incident last year, affecting Change Healthcare, disrupting revenue streams for health providers, and causing substantial service interruptions at pharmacies nationwide. Notably, Martin and Goldberg are not implicated in that particular case.

Source link: Waaytv.com.

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