Netstar releases a comprehensive explanation of the Colonial Pipeline hack that cost Colonial Pipeline a $4.4 million ransom

London-based IT support company Netstar explains the security flaws that led to a $4.4 million ransom demand to Colonial Pipeline.

August 26, 2021 / / —

Netstar, a London-based IT support company, recently released an article that details the Colonial Pipeline hack and the security flaws that led up to it. Netstar explains how a single compromised password led to a ransom of $4.4 million dollars, and they also explain how companies can protect themselves from a similar situation occurring.

The Colonial Pipeline, operated by Colonial Pipeline Company, is the largest pipeline system for refined oil products in the U.S. On the 29th of April 2021, a cyber-criminal gang hacked their systems and caused one of America’s most important fuel distribution companies to go offline. The pipeline carries 45% of the East Coast’s supply of diesel, petrol, and jet fuel. This caused fuel shortages for several days and had major repercussions on a national level.

The cyber criminals demanded $4.4 million in ransom to rectify the impact of the attack. Colonial Pipeline CEO, Joseph Blount, authorised it to prevent any further damage. He told the Wall Street Journal, “It was the right thing to do for the country. I didn’t make it lightly. I will admit that I wasn’t comfortable seeing money go out the door to people like this.”

Once Colonial Pipeline had made the payment using cryptocurrency, they received a decryption tool from the hackers, allowing them to unlock the systems and data that had been compromised. Whilst they were able to restore their functionality, their systems didn’t start immediately. This caused severe financial loss and damaged their reputation.

The article ends with a series of tips to help companies prevent the same from happening to their own businesses. It includes information about dark web monitoring to identify compromised passwords, the use of password managers to create individual passwords for each service you use, and also the importance of multi-factor authentication.

For more information, please refer to the contact details below to get in touch with Netstar. The article in question can be accessed at https://www.netstar.co.uk/colonial-pipeline-hack/.

Contact Info:
Name: Shannon Dalton
Email: Send Email
Organization: Netstar
Address: 75 Farringdon Road
Phone: 0208 911 0164
Website: https://www.netstar.co.uk

Source:

Release ID: 89042068