158-Year-Old UK Firms Closes Down Due to Ransomware Attack
A UK transport company, KNP Logistics, has closed following a cyber attack. The company that had been in operation for 158 years laid off 700 employees.
Company Operated Under 'The Knights of Old' Brand
KNP Logistics ran around 500 lorries in the name of 'The Knights of Old'. It was very careful with respect to compliance with the requirements of the industry and had cyber insurance coverage also. However, the firm was unable to recover from the damage that hackers wrought.
Ransomware Attack Rendered Company Data Unusable
The cyberattack was perpetrated by a group known as the Akira Gang. They hacked into KNP's systems without authorization. Ransomware was employed by the group to lock company data, rendering it unusable for employees. A ransom was requested in return for access.
Hackers Left a Threat Message for the Company
One of the messages from the hackers claimed the company's internal information was either completely or partially erased. It called on the company to start negotiations rather than act emotionally. The ransom was not disclosed, though experts estimate it could have been approximately £5 million.
Company Shutdown Came After Failure to Pay Ransom
KNP was not able to satisfy the ransom requirements. Therefore, the encrypted information was lost. This resulted in the total shutdown of the company.
Other UK Companies Have Been Attacked in the Past
Past UK companies such as M&S, Harrods, and the Co-op have also been attacked by cyberattacks. The Co-op attack resulted in data breaches involving 6.5 million individuals.
Experts in Cybersecurity React to the Attack
Richard Horne, of the National Cyber Security Center, explained that UK businesses require more robust systems in order to remain secure. KNP Director Paul Abbott validated that the attackers broke in through employee login credentials. But he didn't disclose whose credentials were utilized.
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