New cyber thief gang targets transports; Hunt, Ryder and Echo hit - FreightWaves
Three major transportation companies, J.B. Hunt, Ryder System and Echo Global Logistics, are facing lawsuits from employees after a new ransomware group named Whitearmor targeted their networks in late October.
A new ransomware group has targeted three major players in the transportation industry, forcing them to confront lawsuits from employees whose personal data was compromised.
The group, which operates under the name Whitearmor, has been active since October and has focused on vulnerable web servers within the transportation sector.
J.B. Hunt, Ryder System and Echo Global Logistics have all confirmed they were victims of the attacks, with each company facing legal action from its workforce.
The lawsuits allege that the companies failed to adequately protect the personal information of their employees, a claim the defendants have not yet denied.
Whitearmor demands millions
The ransomware group has publicly posted details of the attacks on the ransomware.live website, outlining the data it claims to hold and its ransom demands.
For J.B. Hunt, Whitearmor states it possesses 140,838 employee records with personal identifiable information and national IDs, along with 1.7 million carrier contacts.
The group’s demand for J.B. Hunt is $5 million, payable in either bitcoin or the cryptocurrency Monero.
Whitearmor’s demand for Echo Global is even higher, at $10 million in bitcoin, while the group has asked for $20 million from Ryder System.
The group claims to have taken not only employee data but also records for customers and carriers in the Echo attack.
Employees sue for negligence
Employees are suing their employers, alleging that the companies were negligent in their cybersecurity practices and failed to implement basic protective measures.
A lawsuit filed by J.B. Hunt employee Shileen Lange alleges the company failed to encrypt or redact sensitive information, which she says ended up on the dark web.
The suit claims J.B. Hunt neglected to invest in necessary security measures, despite having the resources to prevent the breach.
“(J.B. Hunt) failed to adequately protect the Private Information of Plaintiff and Class Members––and failed to even encrypt or redact this highly sensitive information,”
The Lange lawsuit is one of at least six filed against J.B. Hunt in the Western District of Arkansas, though two have already been dismissed.
Similar allegations are found in the suits against Ryder and Echo, with plaintiffs arguing the companies should have had better cybersecurity protocols in place.
No operational impact reported
Unlike some previous high-profile cyberattacks in the transportation industry, none of the three companies have reported any disruption to their daily operations.
J.B. Hunt has stated that its systems remain operational and that there has been no disruption to its ability to serve customers.
The company confirmed it has implemented its response protocols, revoked unauthorized access, and is working with a cybersecurity firm and law enforcement.
Ryder and Echo have declined to comment on the specific details of the attacks or the lawsuits.
The speed at which the lawsuits were filed suggests an active legal ecosystem ready to respond to publicized cybersecurity breaches.
Security experts recommend EDR
Ben Wilkens, the director of cybersecurity at the National Motor Freight Traffic Association, has recommended that companies deploy Endpoint Detection and Response (EDR) solutions.
EDR is a cybersecurity solution that monitors endpoint activity, detects suspicious behavior, and helps security teams respond to threats in real time.
Wilkens advises companies to investigate unexpected processes launched by web services and to configure firewalls to block access to known malicious IP addresses.
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