U.S. offers $10Mn reward to combat healthcare hackers
WASHINGTON D.C., UNITED STATES — Federal agencies are ramping up their efforts to combat foreign hackers targeting hospitals and health systems in the United States.
On July 25, the U.S. Department of State announced a $10 million reward for information leading to the identification or location of individuals engaged in malicious cyber activities against critical infrastructure.
The department is particularly interested in Rim Jong Hyok, who is allegedly linked to North Korean military intelligence. Hyok is accused of deploying Maui ransomware to infiltrate U.S. healthcare systems and is reportedly part of Andariel, a hacker group controlled by North Korea’s military intelligence agency, the Reconnaissance General Bureau.
Increased cyber attacks on healthcare sector
The announcement coincided with a report from cybersecurity firm Mandiant, which highlighted an increase in attacks on the healthcare and pharmaceutical sectors by APT45, a North Korean cyber operator.
These intensified efforts underscore the growing threat to U.S. healthcare infrastructure.
LockBit ransomware group takedown
On July 18, two hackers pleaded guilty in U.S. District Court for their roles in a ransomware group that extorted approximately $500 million from various organizations, including hospitals.
Ruslan Magomedovich Astamirov, a 21-year-old Russian national from the Chechen Republic, and Mikhail Vasiliev, a 34-year-old dual Canadian and Russian national from Ontario, admitted to their involvement with LockBit, a cybercriminal gang notorious for targeting healthcare systems.
The U.S. Department of Justice reported that the hackers infiltrated computer systems and deployed LockBit ransomware to steal and encrypt data from at least 12 victims each. LockBit’s activities have resulted in billions of dollars in lost revenue and incident response costs.
In a related development, the U.S. government charged Dimitry Yuryevich Khoroshev, 31, from Voronezh, Russia, as the mastermind behind the LockBit ransomware group.
Known online as LockBitSupp, LockBit, or putinkrab, Khoroshev faces a 26-count indictment in New Jersey for creating and managing LockBit since its inception in 2019. He is accused of causing billions in damages and targeting critical infrastructure, including hospitals. He also allegedly personally profited $100 million from the extortions.
The U.S. Department of State is offering up to $10 million for information leading to Khoroshev’s capture. If convicted, he faces up to 185 years in prison and significant fines.
Healthcare industry faces costly data breaches
The crackdown on healthcare hackers comes as the industry grapples with the most expensive data breaches across all sectors.
According to a 2024 IBM report, the average cost of a data breach in the healthcare sector has reached $9.77 million for the 14th consecutive year.
Federal agencies’ intensified efforts to combat these cyber threats highlight the critical need to protect U.S. healthcare infrastructure from foreign adversaries.
