The U.S. Sanctions a Russian Company and Two Individuals Involved in Ransomware Attacks

The U.S. has sanctioned a Russian internet service provider known as "Zservers" and two Russian individuals due to their roles in supporting the "LockBit" ransomware attacks. According to a statement from the U.S. Department of State on Tuesday, February 23, the company "Zservers" has enabled cybercriminals to access special servers and other computer infrastructures by providing a security layer. The U.S. Department of the Treasury's Office of Terrorism and Financial Intelligence has also sanctioned the two Russian individuals for their key roles in managing "Zservers," which provides "bulletproof hosting" for hackers. The names of the sanctioned individuals are "Alexander Sergeyevich Bolshakov" and "Alexander Igorovich Mishin." Bradley Smith, the Acting Deputy Secretary of the Treasury for Terrorism and Financial Intelligence, stated, "Ransomware actors and other cybercriminals rely on third-party service providers like 'Zservers' to carry out hacking attacks against critical infrastructure in the U.S. and internationally." The statement emphasized that Russia continues to provide a safe haven for cybercriminals, allowing them to operate freely in providing support services and conducting ransomware attacks against the U.S. and its allies. The U.S. will continue to work with its partners to combat ransomware actors that threaten the economy and critical infrastructure of the U.S. In addition to the U.S., Australia and the U.K. have also coordinated to sanction the internet service provider "Zservers." The U.S. Department of State has offered a reward of up to $10 million for information leading to the identification or location of any key managers involved in transnational organized crime related to the "LockBit" ransomware. The department has also set a reward of up to $5 million for information leading to the arrest or conviction of individuals involved in plotting or attempting to participate in "LockBit" ransomware activities. According to the U.S. Department of State, "LockBit" variants have organized more than 2,000 hacking attacks in the U.S. and worldwide over the past five years, extorting at least $144 million in Bitcoin. Last year, the FBI, in collaboration with several Western and international police organizations, took down the website of the "LockBit" cybercrime gang.