Firms target of hacking attack

Ransomware claims thousands of victims

NEW YORK >> Just weeks after President Joe Biden implored Vladimir Putin to curb cyber crime, a notorious, Russia-linked ransomware gang has been accused of pulling off an audacious attack on the global software supply chain.

R Evil, the group blamed for the May 30 ransomware attack of meatpacking giant JBS SA, is believed to be behind hacks on at least 20 managed-service providers, which provide IT services to small and medium-sized businesses. More than 1,000 businesses already have been affected, a figure that’s expected to grow, according to the cybersecurity company Huntress Labs Inc.

“Based on a combination of the service providers reaching out to us for assistance along with the comments we’re seeing in the thread we are tracking on our Reddit, it’s reasonable to think this could potentially be impacting thousands of small businesses,” according to John Hammond, a cybersecurity researcher at Huntress Labs.

Biden said he had ordered a “deep dive” by U.S. intelligence officials on what happened in the attacks. At this point, he said “we’re not sure” that Russia is behind them.

“I directed the intelligence community to give me a deep dive on what’s happened and I’ll know better tomorrow,” Biden said, recalling that he told Putin during their meeting in June that the U.S. would respond to cyber transgressions. He added that he hasn’t called the Russian president.

“We’re not sure it’s the Russians,” he said. “The initial thinking was, it was not Russian government.”

Attacking MSPs is a particularly devious method of hacking, since it may allow the attackers to then infiltrate their customers as well. Hammond said more than 20 MSPs have been affected so far.

In Sweden, most of grocery chain Coop’s more than 800 stores couldn’t open Saturday after the attack led to a malfunction of their cash registers.