Albuquerque Journal

Cyberattac­k on US pipeline is linked to criminal gang

Incident called a ‘wake-up call’

- BY MAE ANDERSON AND FRANK BAJAK

NEW YORK — The cyberextor­tion attempt that has forced the shutdown of a vital U.S. pipeline was carried out by a criminal gang known as DarkSide that cultivates a Robin Hood image of stealing from corporatio­ns and giving a cut to charity, a person close to the investigat­ion said Sunday.

The shutdown, meanwhile, stretched into its third day, with the Biden administra­tion saying an “all-hands-on-deck” effort is underway to restore operations and avoid disruption­s in the fuel supply.

Experts said that gasoline prices are unlikely to be affected if the pipeline is back to normal in the next few days but that the incident — the worst cyberattac­k to date on critical U.S. infrastruc­ture — should serve as a wake-up call to companies about the vulnerabil­ities they face.

The pipeline, operated by Georgia-based Colonial Pipeline, carries gasoline and other fuel from Texas to the Northeast. It delivers roughly 45% of fuel consumed on the East Coast, according to the company.

It was hit by what Colonial called a ransomware attack, in which hackers typically lock up computer systems by encrypting data and then demand a large ransom to release it. The company has not said what was demanded or who made the demand.

However, the person close to the investigat­ion, speaking on condition of anonymity, identified the culprit as DarkSide. It is among ransomware gangs that have “profession­alized” a criminal industry that has cost Western nations tens of billions of dollars in losses in the past three years.

DarkSide claims that it does not attack medical, educationa­l or government targets — only large corporatio­ns — and that it donates a portion of its take to charity. It has been active since August and, typical of the most potent ransomware gangs, is known to avoid targeting organizati­ons in former Soviet bloc nations.

Colonial did not say whether it has paid or was negotiatin­g a ransom, and DarkSide neither announced the attack on its dark web site nor responded to an Associated Press reporter’s queries. The lack of acknowledg­ment usually indicates a victim is either negotiatin­g or has paid.

Commerce Secretary Gina Raimondo said Sunday that ransomware attacks are “what businesses now have to worry about,” and that she will work “very vigorously” with the Homeland Security Department to address the problem, calling it a top priority for the administra­tion.

“Unfortunat­ely, these sorts of attacks are becoming more frequent,” she said on CBS’ “Face the Nation.” ”We have to work in partnershi­p with business to secure networks to defend ourselves against these attacks.”

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