Supreme Court Ruling Narrows Reach of Identity Theft Law
The Supreme Court has ruled against the government, which means federal prosecutors will have to curb identity theft charges and restrict them to cases where the misuse of another person’s identification is the crux of the criminal offense, rather than the current broad interpretation that allows identity theft charges for fraudulent billing, where the use of another person’s identification is merely an ancillary feature of a billing method. Aggravated identity theft carries a mandatory jail term of 2 years in addition to any sentence for the predicate felony. Prior to the Supreme Court ruling, there was no distinction between an identity thief stealing an individual’s identity and running up huge debts, a lawyer rounding up bills and only charging full hours, a waitress overcharging customers, and a doctor overbilling Medicaid. The Supreme Court decision related to the latter. William and David Dubin are father and son psychologists who ran a mental health testing company called Psychological ARTs. In 2013, David Dubin was examining a patient when he was informed by his father...
Update on MOVEit Vulnerability Exploitation and Extortion: Victims Given Until June 14 to Pay Ransoms
A zero-day vulnerability in the MOVEit file transfer service (CVE-2023-34362) started to be exploited by a cyber threat actor at scale over the Memorial Day weekend. Progress Software issued an advisory about the vulnerability on May 31, 2023, and rapidly released patches to fix the flaw, but not in time to prevent mass exploitation of the vulnerability. Remote exploitation of the flaw allowed access to be gained to the MOVEit server database, providing access to customer data. A few days later, several major companies confirmed they had been impacted by the attacks, including the airlines British Airways and Aer Lingus, the UK drugstore chain Boots, the University of Rochester in New York, and the Nova Scotia provincial government, which had all fallen victim and had data exfiltrated through their payroll and HR service provider, Zellis. Nova Scotia Health has confirmed that the personal information of up to 100,000 employees was stolen in the attack. The Clop ransomware gang and associated FIN11 threat group were suspected of involvement in the mass exploitation of the...
Peachtree Orthopedics Suffers Data Theft and Extortion Incident
Peachtree Orthopedics in Atlanta, GA, has announced that it was the victim of a cyberattack on April 20, 2023. The forensic investigation confirmed that an unauthorized third party gained access to parts of its network that contained patient information such as names, addresses, birth dates, driver’s license numbers, Social Security numbers, medical treatment/diagnosis information, treatment costs, financial account information, and health insurance claims/provider information. Peachtree Orthopedics said it changed account passwords and implemented additional security measures to reduce the risk of a similar situation occurring in the future and said the investigation is ongoing to determine how many patients have been affected. Peachtree Orthopedics said it cannot rule out unauthorized access to patient information. The Karakurt threat group has claimed responsibility for the attack and has added Peachtree Orthopedics to its data leak site. The group claims to have exfiltrated 194 gigabytes of data, including personal information and medical records, and has threatened to publish...
Patient Data Likely Lost Due to Cyberattack on Mercy Medical Center – Clinton
Mercy Medical Center – Clinton has notified 20,865 patients about a security incident that disrupted its network. The security breach was detected on April 4, 2023, and the forensic investigation confirmed its network had been accessed by an unauthorized third party between March 7, 2023, and April 4, 2023. The attack did not affect patient care but prevented access to its systems while the attack was remediated. The review of the incident is ongoing, but it has been confirmed that the following types of information have been exposed: name, address, date of birth, driver’s license/state identification number, Social Security number, financial account information, medical record number, encounter number, Medicare or Medicaid identification number, mental or physical treatment/condition information, diagnosis code/information, date of service, admission/discharge date, prescription information, billing/claims information, personal representative or guardian name, and health insurance information. Mercy Medical Center did not state whether ransomware was involved but said data had to...
Multiple Data Breaches Reported by Iowa Medicaid and South Jersey Behavioral Health Resources
The Iowa Department of Health and Human Services has announced there have been three separate breaches of the protected health information of Iowa Medicaid recipients in the past two months – two hacking incidents and an impermissible disclosure, all three of which involved third-party contractors. The largest breach was at the Medicaid contractor, MCNA Dental, which resulted in the exposure and potential theft of 233,834 Iowa Medicaid recipients. The MCNA Dental data breach impacted more than 8.9 million individuals across the country. An unauthorized third party gained access to MCNA Dental’s systems on February 26, 2023, the breach was detected on March 6, 2023, and the unauthorized access was blocked the following day. The LockBit ransomware gang claimed responsibility for the attack and potentially obtained names, addresses, telephone numbers, email addresses, birth dates, Social Security numbers, driver’s license numbers, government-issued ID numbers, health insurance information, Medicare/Medicaid ID numbers, group plan names and numbers, and information related to the...



