As spotted by @zackwhittaker, Change Healthcare outage (still ongoing) is listed as suspected nation state threat actor in their 8-K filing.
In my experience it’s *extremely* rare to isolate the whole production network for nation state and espionage.. I don’t know what happened to trigger that here.
It’s over 48 hours since the Change Healthcare outage over a “cyber security issue” began.
I have heard they may have been deliberately wiped.
Reuters reports the Change Healthcare outage, which is still ongoing almost a week later, was not caused by a “nation state” as claimed by the victim - but it’s an AlphV ransomware incident. https://www.reuters.com/technology/cybersecurity/cyber-security-outage-change-healthcare-continues-sixth-straight-day-2024-02-26/
The Change Healthcare incident is rumbling on. They’ve now acknowledged it is AlphV ransomware group, not a nation state as they prior claimed. https://techcrunch.com/2024/02/29/unitedhealth-change-healthcare-ransomware-alphv-blackcat-pharmacy-outages/
Since the Change Healthcare ransomware incident started several weeks ago, they've had a status page saying the incident will continue for 'the next day'.
Their COO has privately briefed orgs that will be "weeks" longer.
HT @brett for link
https://www.statnews.com/2024/02/29/change-healthcare-cyber-attack-outage-will-last-for-weeks/
AlphV ransomware group has received a $22m ransom payment, reportedly from Change Healthcare.
Rumours are AlphV has now scammed the ransomware affiliate and Change Healthcare, by stealing the ransom and exit scamming.
Downstream hospitals say they are losing around $100m a week due to the ongoing service outage.
https://www.wired.com/story/alphv-change-healthcare-ransomware-payment/
Some good reporting here - the NCA, who are listed on the AlphV portal as being involved in a takedown - say they were not involved in a takedown.
We’ll see what the FBI says, but it looks like AlphV may well have done rug pull aka exit scam — stole their operator and affiliate’s money and left their victims without decryption.
For anybody wondering on the financial impact of the ongoing Change Healthcare ransomware incident (yes, obviously there’s also a big patient impact too):
https://therecord.media/cash-flow-disruptions-hospitals-change-healthcare
The bad news is I think ransomware groups will cause much bigger problems further down the line as they’re basically teenagers with rocket launchers inside critical infrastructure, blindly firing. They know governments worldwide are impotent.
The economic impact of the Change Healthcare cyberattack continues to come into focus, with experts saying some large industry players — such as hospital and pharmacy networks — are facing disruptions costing upwards of $100 million a day.
International law enforcement all deny being behind the claimed AlphV takedown. So, exit scam confirmed.
One victim org has reached out to me asking how they contact AlphV as they still need to pay as part of claiming insurance. 💀
https://therecord.media/europol-doj-nca-deny-involvement-in-alphv-blackcat-ransomware-takedown
Several of the law enforcement agencies involved in the takedown of one of the most prolific ransomware groups denied involvement in a new notice posted to the gang’s leak site — adding weight behind rumors from experts and cybercriminals that the group was attempting to carry out an elaborate exit scam.
At least 5 lawsuits have been filed over the Change Healthcare ransomware incident so far.
https://www.hipaajournal.com/multiple-class-action-lawsuits-change-healthcare-ransomware-attack/
Here's one of the court documents: https://www.scribd.com/document/711110045/UnitedHealth-Change-Health-proposed-class-action-lawsuit
The Change Heathcare ransomware incident is still going and is having profound implications for people and the healthcare industry across the US.
But for people who think this is an isolated incident, it isn’t - it’s been like this for several years where civil society is gradually being eroded by some gangs of often kids, from schools to councils to public services worldwide (except, er, Russia).
https://prospect.org/health/2024-03-11-change-unitedhealth-ransomware-pharmacies/
HT to @zackwhittaker, the US department of health has opened an investigation into Change Healthcare around if data exfiltration occurred.
It’s typically very easy to find out if data exfil happened as a third party as you can see large volumes of data transfer to VPS providers or cloud storage providers in ISP logs (which are sold onwards).
The Change Healthcare ransomware situation is still going on, almost a month later, with at least one downstream healthcare provider saying they have run out of money to pay staff. https://www.berkshireeagle.com/news/local/cyberattack-change-healthcare-united-ransomware-medical-insurance-payments-berkshire-allergy-care/article_a5547ef2-e302-11ee-9162-2b0ff10b145f.html
HT @brett
“After this week’s payroll, we’re going to be broke.” Dr. Thomas B. Edwards of Berkshire Allergy Care on South Street, speaking of the cyberattack that has rattled doctors' offices around
One of the largest nursing home operators in the U.S. has filed for bankruptcy citing the ongoing Change Healthcare ransomware incident as a cause.
They also got hit with ransomware themselves a few months prior.
The US government are offering $10m for information on the AlphV ransomware operator who attacked Change Healthcare https://www.reuters.com/technology/cybersecurity/us-offers-10-million-bounty-info-blackcat-hackers-who-hit-unitedhealth-2024-03-27/
Worth noting that when the incident began, the company involved refused to say #ransomware and instead claimed it was a nation state attack.
Ransomhub have provided Wired journalists with files from Change Healthcare - meaning they’re being held to ransom again. https://www.wired.com/story/change-healthcare-ransomhub-threat/
Change Healthcare have told investors they have so far taken a $872 million hit in dealing with their ongoing ransomware incident in the first two months, with the cost expected to rise to between $1350m-$1600m through the calendar year.
Shareholders don't appear to care as the stock is up 5% since the update.
https://www.theregister.com/2024/04/16/change_healthcares_ransomware_attack_has/
Wall Street Journal has a leak from the Change Healthcare ransomware incident
- Initial entry was via a remote access system without MFA
- Dwell time was 9 days
- They paid the ransom, then got held to ransom again and had data leaked anyway
UnitedHealth says Change Healthcare ransomware threat actor stole health data on ‘substantial proportion of people in America’
Change Healthcare deal with the healthcare information of around half of Americans. https://techcrunch.com/2024/04/22/unitedhealth-change-healthcare-hackers-substantial-proportion-americans/ #threatintel #ransomware
@GossiTheDog
What is the enterprise value of #cybersecurity if it can result in a billion-dollar-plus loss of shareholder value and the market doesn’t blink? 😬
UPDATE: has the market already priced in cyber breaches? 🤨
@bontchev @GossiTheDog State Dept paid over $250 million since the program's launch in 1984 according to https://rewardsforjustice.net/about/program-overview/.
I'd be curious how much of it they have paid for info on ransomware gangs.
@GossiTheDog not just the hackers but also the overall march towards centralization that creates these (often obscured) single points of failure.
i'm _almost_ glad this happened because of the potential lessons to be learned. though i'm not actually glad because of the real lives impacted :/
@GossiTheDog That's a great article.
Not mentioned in there, but I wouldn't be surprised if the only things that would have bigger impacts would be a comparable (and comparably handled) hit at Epic.
@GossiTheDog I can't wait to see (read: facilitate) all the lawsuits that get filed over all of my court vulnerabilities.
Also s/o @zackwhittaker for being the first to publish any substantial reporting on both this Change Healthcare stuff and on my stuff.
@GossiTheDog is this the one?
@GossiTheDog If the losses are $100m a week, a one-time payment of $22m seems like a good deal.
Now imagine if ransom payments were illegal. Their only choice would be either to break the law or to keep losing $100m a week.
(Also, one ransmware group less is actually good news. It was a very prolific one.)