UNC Health and Nebraska DHHS Report Phishing Attacks
The Nebraska Department of Health and Human Services has announced a security incident involving the protected health information of clients of Aging Partners, a department of the City of Lincoln. The breach was discovered by the Lincoln Information Services Department on May 25, 2021. Employees had responded to phishing emails and disclosed credentials to their email accounts, which contained more than 46,000 emails. Assisted by a computer forensics company, it was determined that the email account was accessed by an unauthorized individual between May 18 and May 21. A review of the emails in the account confirmed some contained patient information such as names, addresses, dates of birth, phone numbers, Social Security numbers, dates of service, type/amount of service, and some health information such as diagnoses, care assessments, and medication lists. Emails also contained bank account numbers or other financial information of a limited number of individuals. 6,600 of the emails included the PHI of Aging Partners’ clients, although only 1,513 individuals have been affected....
CaptureRx Facing Multiple Class Action Lawsuits Over Ransomware Attack Involving PHI of 2.4 Million Patients
The healthcare administrative services provider CaptureRx is facing multiple class action lawsuits for failing to protect patient data, which was obtained by unauthorized individuals in a February 2021 ransomware attack. NEC Networks, doing business as CaptureRx, provides IT services to hospitals to help them manage their 340B drug discount programs. Through the provision of those services, CaptureRx is provided with the protected health information of patients. Around February 6, 2021, CaptureRx identified suspicious activity in some of its IT systems, which included the encryption of files. The investigation confirmed that files containing the protected health information of 2,400,000 or more patients were compromised in the attack. CaptureRx said in its breach notification letters that, “all policies and procedures are being reviewed and enhanced and additional workforce training is being conducted to reduce the likelihood of a similar future event.” Affected individuals were advised to “remain vigilant against incidents of identity theft and fraud, to review account statements...
Former Scripps Health Worker Charged Over HIPAA Violation in COVID-19 Unemployment Benefit Fraud Case
The Department of Justice has announced nine San Diego residents have been charged in two separate indictments in connection with the theft of patients’ protected information and the submission of fraudulent pandemic unemployment insurance claims. Under the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020, new unemployment benefits were offered to individuals affected by the COVID-19 pandemic, who would not, under normal circumstances, qualify for payments. In one of the cases, Matthew Lombardo, a former Scripps Health employee, was charged with felony HIPAA violations for obtaining and disclosing the protected health information of patients to his alleged co-conspirators. Lombardo was also charged with conspiracy to commit wire fraud, along with three alleged co-conspirators – Konrad Piekos, Ryan Genetti, and Dobrila Milosavljevic. Piekos, Genetti, and Milosavljevic were also charged with aggravated identity theft and are alleged to have used the stolen information to submit fraudulent pandemic unemployment insurance claims. The San Diego Sheriff’s’...
UPMC Settles Employee Data Breach Lawsuit for $2.65 Million
UPMC has proposed a $2.65 million settlement to resolve a data breach lawsuit filed by employees affected by a February 2014 data breach. Pittsburg, PA-based UPMC announced the data breach in February 2021 and initially believed the attackers had only obtained the tax-information of a few hundred of its employees; however, in April 2014, UPMC determined that the breach was far more extensive and had affected 27,000 of its 66,000 employees. In May 2014, UPMC confirmed that the personal data of all of its employees had likely been compromised. The data compromised in the attack included names and Social Security numbers, some of which were used by the attackers to file fraudulent tax returns. Four individuals involved in the cyberattack have been charged and pleaded guilty to tax fraud and identity theft charges. They attempted to obtain around $2.2 million in tax refunds and received $1.7 million from the IRS. Under the terms of the settlement, current and former employees whose personal information was compromised in the data breach will be able to submit claims for fraud-related...
Cyber Incident Notification Act of 2021 Introduced in the Senate
In June, a bipartisan group of senators circulated a draft federal breach notification bill – the Cyber Incident Notification Act of 2021 – that requires all federal agencies, contractors, and organizations considered critical to U.S. national security to report data breaches and security incidents to the DHS’ Cybersecurity and Infrastructure Security Agency (CISA) within 24 hours of discovery. On Wednesday this week, an amended bill was formally introduced in the Senate. The draft bill was introduced by Senators Mark Warner (D-VA) and Marco Rubio (R-FL), and Susan Collins (R-ME). Another 12 senators across both parties have now added their names to the bill. The bill seeks to address some of the key issues that have come to light in the wake of recent cyberattacks that impacted U.S. critical infrastructure, including the SolarWinds Orion supply chain attack and the ransomware attacks on JBS and Colonial Pipeline. “The SolarWinds breach demonstrated how broad the ripple effects of these attacks can be, affecting hundreds or even thousands of entities connected to the...



