Ransomware Attack Forces Company Into Bankruptcy

A ransomware attack forced United Structures of America Inc. into bankruptcy according to court filings.

In May 2019, the Texas-based steel structure manufacturer was the victim of a ransomware attack that encrypted its data (including financial information, accounts receivable, etc.) and the software to run its manufacturing equipment. The company paid the ransom but decryption of the data and systems was not successful.

According to the declaration of the company’s president, in the wake of this attack, the company began winding down its operations.

The bankruptcy case is In re: United Structures of America Inc., case number 22-30104, in the U.S. Bankruptcy Court for the Southern District of Texas.

Read more at: https://www.law360.com/cybersecurity-privacy/articles/1454882/cyberattack-steers-texas-steel-firm-into-ch-11-wind-down?nl_pk=052b01ce-e721-409e-a0a9-c63ac9c57cbd&utm_source=newsletter&utm_medium=email&utm_campaign=cybersecurity-privacy?copied=1

UPDATE: Many thanks to my friend Lisa A. Hill, CFE, CMHS for sharing the following very insightful article with me following this post: 6 Times When Hackers Forced Companies To Go Bankrupt and Shut Down, which discusses the fate of the companies Code Spaces, The Heritage Company, Travelex, MyBizHomepage, Wood Ranch Medical, and Youbit Cryptocurrency Exchange.