Search This Blog

Showing posts with label SEC. Show all posts

Navistar International Corporation Hit by Cyberattack

Navistar International Corporation, a maker of United States trucks and military vehicles confirmed that it was hit by a cyberattack recently which resulted in data theft. In form 8-K filing with SEC (Security and Exchange Commission) this Monday, the company said that the company came to know about an attack on its IT systems on May 20, 2021. Navistar took immediate actions to limit the impact of the cyberattack and has launched an investigation with various cybersecurity and foreign agencies. Due to the attack, Navistar has strengthened its cybersecurity infrastructure and data protection, saying all of its systems are fully functional. 

On May 31, the company got a mail saying it was hit by a cyberattack and some data had been stolen.  As of now, the company is enquiring about and finding the impact of the attack. It has already called law enforcement agencies for help. Navistar didn't disclose any technical details about the attack but it might be a possibility that it was a ransomware attack. The claim is based on the recent rise of ransomware incidents in the US. In all these incidents, major US organizations were attacked and crucial data was stolen. Navistar was established in 1986, it makes trucks, diesel engines, and buses. 

Besides this, the Navistar Defense subsidiary makes military automobiles. After the attack that made US Colonial Pipeline to close its operations and distribution systems at the start of May, JBS USA, the world's largest meat processing company of US subsidiary also announced recently that it had closed down its plants in America and Australia.  Besides this, recently, Steamship Authority, the largest ferry service to the Massachusetts Islands of Martha’s Vineyard and Nantucket from Cape Cod, was hit by a cyberattack of a similar kind. 

At the start of this year, Molson Coors Beverage company was also hit by a ransomware attack. "White House this week urged corporate executives and business leaders to take the appropriate measures to protect their organizations against ransomware attacks. The  memo, signed by Anne Neuberger, deputy national security advisor for cyber and emerging technology, mentions the recent increase in the number of ransomware incidents, as well as the Biden administration’s response to such attacks targeting government and private sector organizations," reports Security Wee

Hackers Target American Retail Businesses, FINRA Scolds Brokerage Firms


Besides the American corporations facing threats from overwhelming cyberattacks, American retail businesses are also struggling to fight against the rise of hackers hacking into their accounts and investments. FINRA (Financial Industry Regulatory Authority), the market's self-regulatory body, in a recent notice said that it received several complaints related to customer accounts being hacked. The incident involved attackers using stolen customer information like login credentials to hack into online customers' brokerage accounts. 

According to Market Watch "Ari Jacoby, chief executive and co-founder of cybersecurity firm Deduce, backed up this statement with data showing that account-takeover fraud increased by roughly 250% from 2019 to 2020. He told that account-takeover prevention is a $15 billion market that is “growing significantly year-over-year.“ FINRA finds two factors that might be responsible for the surge in account takeover incidents. 

First is an increase in the use of online services and brokerage apps, that allows hackers to break into user accounts using login I'd and passwords that they buy from Darkweb. It becomes very easy for hackers to find the login credentials of the customers as many users use the same password combinations for multiple accounts. The second aspect is the Covid-19 factor. "Customer account-takeovers have been a recurring issue, but reports to FINRA about such attacks have increased as more firms offer online accounts, and as more investors conduct transactions in these accounts. In part due to the proliferation of mobile devices and applications and the reduced accessibility of firm’s physical locations due to the COVID-19 pandemic," reports FINRA. 

The Security and Exchange Commission is also keeping an eye on this incident and is pressing hard on brokerage firms for not keeping a check on suspicious activities. Market Watch says "But most individual investors don’t have to wait for the SEC or FINRA to come to their rescue, because this sort of criminal activity is largely enabled by a lack of vigilance on the part of victims, including requesting that their broker send them suspicious login alerts and using two-factor authentication, according to Jacoby."

Ex-SEC Enforcer: Crypto Investors are Enabling Hackers


The founder of the Securities and Exchange Commission's internet enforcement bureau warned Thursday that investors in bitcoin and other digital currencies are helping online hackers. 

“Ransomware is hitting everywhere and they’re all collecting it in bitcoin because there’s no way they’re going to get caught. So you’re also enabling it,” John Reed Stark, now head of his own cybersecurity firm told in an interview to CNBC. 

Stark stated cryptocurrencies have almost no practical use, in contrast trading them to the speculation that previously boosted AMC Entertainment and other meme stocks like GameStop to great heights. Cryptocurrencies also require registration and other procedures that would improve the visibility of U.S. capital markets, he added. 

“At least with GameStop and AMC you’re not necessarily hurting anyone. ... But with crypto, you are really hurting a lot of people, and that sort of risk I don’t think is a good one for society,” Stark said. 

He also called crypto the essence of ransomware, a type of malicious software that can disrupt and even block computer networks. 

Brazil's JBS, the world's largest meatpacker, has resumed most production after a weekend ransomware attack, the latest in a line of hacks. JBS blames hackers to have links with Russia.

In May, Colonial Pipeline, the largest US fuel pipeline, paid ransomware demands last month after its operations were shut down for nearly a week. The FBI estimates the attack on Colonial Pipeline was carried out by DarkSide, which is a Russian-linked group that demanded $5 million to restore service. DarkSide eventually shut down after receiving $90 million cryptocurrency payments and last year, roughly $406 million in crypto payments were made to cyberattackers. 

“The country is kind of falling apart from ransomware all because of crypto, and the main reason people own crypto is because they think someone else will buy it and make the price higher,” said Stark, who spent 18 years at the SEC’s Enforcement Division. “There’s no other reason to invest in it,” he stated.