Ransomware group reports victim it breached to SEC regulators

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One of the world’s most active ransomware groups has taken an unusual—if not unprecedented—tactic to pressure one of its victims to pay up: reporting the victim to the US Securities and Exchange Commission.

The pressure tactic came to light in a post published on Wednesday on the dark web site run by AlphV, a ransomware crime syndicate that’s been in operation for two years. After first claiming to have breached the network of the publicly traded digital lending company MeridianLink, AlphV officials posted a screenshot of a complaint it said it filed with the SEC through the agency’s website. Under a recently adopted rule that goes into effect next month, publicly traded companies must file an SEC disclosure within four days of learning of a security incident that had a “material” impact on their business.

“We want to bring to your attention a concerning issue regarding MeridianLink’s compliance with the recently adopted cybersecurity incident disclosure rules,” AlphV officials wrote in the complaint. “It has come to our attention that MeridianLink, in light of a significant breach compromising customer data and operational information, has failed to file the requisite disclosure under item 1.05 of form 8-K within the stipulated four business days, as mandated by the new SEC rules.”

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Author: Dan Goodin. [Source Link (*), Ars Technica – All content]