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Home Compliance

Collection Law Firm Discloses Data Breach

mikegibb by mikegibb
January 31, 2025
in Compliance, Technology
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A creditor’s rights law firm based in Kansas has disclosed it was the victim of a ransomware attack, with the records of more than 150,000 individuals being involved, according to information that was posted to a website managed by the Maine Attorney General.

The big picture:

  • The firm discovered suspicious activity on July 8, 2024, which included file encryption, a hallmark of ransomware attacks.
  • An investigation determined that threat actors had access to the firm’s network from July 5 to July 8, exfiltrating data.
  • By October 8, 2024, the firm confirmed that Social Security numbers, financial account details, and other personal identifiers were compromised.

What they’re saying:

“Although there is no evidence that any personal information has been misused, [the firm] is providing notice to potentially impacted individuals in an abundance of caution,” it stated in its filing with the Maine Attorney General’s Office.

  • The firm began notifying affected individuals this week, offering them one year of free credit monitoring and identity restoration services.
  • Impacted individuals were also given guidance on placing fraud alerts and security freezes on their credit files.

Between the lines:

  • The firm has not disclosed which ransomware group was responsible or whether a ransom was paid. But given that nobody has claimed responsibility for the incident, that is sometimes an indication that the ransom was paid, according to a published report.
  • The attack was reported to federal law enforcement, and additional security measures are being implemented.
  • No reports suggest that compromised data has been misused, but financial institutions and collection agencies should monitor potential fraud trends tied to this breach.

Learn more

.

Related

Tags: Data BreachRansomware
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