Australia, UK, USA impose sanctions on Russian hacker linked to Medibank data breach

In a joint effort, Australia, the United States, and Britain have implemented cyber sanctions against a Russian individual implicated in the cyberattack on Medibank, a major Australian insurer. Medibank disclosed the cyberattack in 2022, revealing that personal information from approximately 10 million customers, both current and former, had been stolen by a hacker and released on the dark web, marking one of the country’s largest data thefts.

Australian Home Affairs Minister Clare O’Neil announced targeted financial sanctions and a travel ban against Russian citizen Aleksandr Ermakov, whom Australian authorities have linked to the Medibank breach. During a press briefing, Minister O’Neil strongly condemned these cyber criminals, labelling them as ‘cowards and scumbags’ who hide behind technology. She emphasised the Australian government’s commitment to unveiling the identities of these criminals and holding them accountable. Notably, this marks the first instance of Australia’s cyber sanctions framework being enacted in 2021.

Under the imposed sanctions, it is now a criminal offence, punishable by up to 10 years in jail and fines, to provide Ermakov with any assets, including cryptocurrency wallets or ransomware payments. While these measures may not necessarily lead to the immediate arrest of the hacker or act as a complete deterrent, cybersecurity experts, such as Nigel Phair from Monash University, view it as a positive step. Phair notes that the sanctions disrupt cybercriminal efforts by degrading their ability to collaborate on future criminal pursuits.

The US Treasury Department joined in, stating that both Washington and Britain had imposed sanctions on Ermakov. This action includes freezing his US assets and prohibiting Americans from engaging in transactions with him. Brian Nelson, Treasury’s Under Secretary for Terrorism and Financial Intelligence, emphasised the significance of this trilateral action, marking the first coordinated effort to hold these criminals accountable.

A government report from November highlighted the escalating threat of state-sponsored cyber groups and hackers targeting Australia’s critical infrastructure, businesses, and homes, with an estimated attack occurring every six minutes on Australian assets.

The collective response by Australia, the USA, and Britain signals a united front against cyber threats, emphasising the importance of international cooperation in addressing these challenges.