A recent cyberattack on Change Healthcare, a subsidiary of United Health, has led to a distressing data extortion situation, further complicating an already tumultuous ordeal. Let's delve into the details to understand the gravity of the situation and its potential repercussions.
Background
In February, Change Healthcare fell victim to a cyberattack, causing significant disruptions in the US healthcare system. The attack, attributed to the BlackCat/ALPHV ransomware operation, resulted in the theft of approximately 6 TB of data.
Double Extortion Tactics
Following intense pressure from law enforcement, the BlackCat gang abruptly shut down their operation amidst allegations of an exit scam. Subsequently, an affiliate named "Notchy" joined forces with the RansomHub gang to engage in a double extortion scheme against Change Healthcare. Despite rumours of a ransom payment, the threat actors are now threatening to release the stolen data unless their extortion demands are met.
Data Leak and Implications
Screenshots of purportedly stolen data, including corporate agreements and sensitive patient information, have begun circulating online. The leaked information not only jeopardises the privacy of individuals but also raises concerns about potential financial repercussions for Change Healthcare and its affiliates.
Response and Investigation
Change Healthcare has refrained from commenting on the situation, leaving many questions unanswered. Meanwhile, the Department of Health and Human Services has launched an investigation into the incident to assess potential breaches of healthcare data regulations.
Financial Fallout
The fallout from the cyberattack has hit hard financially, with UnitedHealth Group revealing substantial losses of $872 million during the first quarter of this year. These losses cover not only the direct costs of responding to the attack but also the wider disruptions it caused across the company's operations. Additionally, the timing of public sector cash receipts has been affected, further exacerbating the financial impact. Furthermore, UnitedHealth Group disclosed that it had advanced approximately $3 billion to healthcare providers whose finances were disrupted by the attack.
With data security at the forefront of public discourse, it underscores the growing threat posed by ransomware attacks in critical sectors such as healthcare. The need for robust cybersecurity measures and proactive response strategies has never been more apparent, as organisations grapple with the devastating consequences of data breaches and extortion attempts.
In a new report published by ESET, it was revealed that in addition to its extensive effects, the MOVEit hack was significant since its perpetrators, Cl0p, did not use any ransomware.
Additionally, the campaign leaked the stolen data from victim organizations on a public website—another example of a novel tactic used by cybercriminals. The infamous ALPHV/BlackCat ransomware gang, who were also active this year, were also seen adopting this strategy.
ESET, in its report, notes that because of the scale at which the MOVEit hack transpired, it was probably too much effort for Cl0p to encrypt each victim it captured. ESET cites data from Emsisoft, which projects that there will be more than 2,600 impacted organizations after six months.
These victims ranged from government agencies, schools and healthcare, to major organizations like Sony and PricewaterhouseCoopers (PwC).
Another emerging tactic adopted by cybercriminals was using AI tools in their attack campaigns, taking into account the boom in technology in 2023 and the wake of ChatGPT’s public release in November 2022.
Several campaigns have utilized AI tools like ChatGPT and spoofing domains that sound similar to ChatGPT. These domains include web applications that compromise user privacy by using the OpenAI API keys unsafely.
The Lumma hacker, who was extremely successful at stealing cryptocurrency wallets, was another phenomenon of the year. It alone accounted for 80% of detections in this industry and caused a 68% increase in crypto theft this year. In addition, the Lumma malware has been collecting login credentials and other data; between H1 and H2 2023, the total number of Lumma detections tripled.
Moreover, the infamous Megacart threat, which has been a concern to retailers since 2015, still remains persistent and has developed into a stronger threat this year. It inserts code into insecure websites in order to collect user data, including credit card numbers. There was a 343% increase in detections between 2021 and 2023.
Jiří Kropáč, Director of Threat Detection at ESET, concludes that "these developments show an ever-evolving cybersecurity landscape, with threat actors using a wide range of tactics." With the emergence of AI technology and evolving tactics of threat actors in 2023, it is anticipated that the situation is only going to worsen in the coming years, making it more important for organizations to take better safety measures to protect their systems from future cyberattacks.