US based Company lost $3.8 million stolen due to cyberattack

Due to a cyberattack an Alaska Native Corporation had to bear the loss of $3.8million which the firm was transferring to a Hong Kong based bank account last month.

CEO Greg Hambright of the Kodiak-based Afognak Native Corp explained to the group’s 900 shareholders in a letter that one of its affiliates Alutiiq LLC was successfully targeted by cybercriminals last month.

According to officials, the attack was launched in April 2015 from either Asia or Eastern Europe.

Hambright wrote in the letter:

“Please be assured the company is working aggressively to recover funds to the maximum extent possible under law.”

He also informed that an email from a Europe-based address reflecting him was sent to the corporation’s controller. Few minutes later a call came in from someone asking for the “urgent” transfer of $3.8million to a fabricated business account based in Hong Kong. The controller was asked to keep the demand confidential.

Believing that the request from authentic sources the controller transferred the money.

This particular transaction was identified two days later by a financial officer and Hambright, reports Alaska Dispatch News.

After the corporation officials realized that a cyberattack has occurred they immediately contacted the FBI and their corporate bank.

Currently, the attack is being investigated by the FBI and the corporation is also working closely. It has made an insurance claim as well while the accountants are reviewing its protocols.

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