The boss of one of the United States’ biggest fuel pipelines says his company paid a $USD 4.4 million ransom to hackers.
The Colonial Pipeline experienced a cyberattack that shut down its nationwide network on 7 May. As such, millions of barrels of petrol, diesel and jet fuel stopped flowing.
Joseph Blount is the CEO of the Colonial Pipeline. He told the Wall Street Journal the ransom was a “highly controversial decision”. But he conceded it “was the right thing to do for the country”.
The 8,900 kilometre pipeline carries 2.5 million barrels a day, or 45 percent of the east coast’s supply of critical fuel supplies.
“I will admit that I wasn’t comfortable seeing money go out the door to people like this,” Mr Blount explained
Colonial Pipeline can now report that we have restarted our entire pipeline system and that product delivery has commenced to all markets we serve. https://t.co/kpWNw0UQve pic.twitter.com/9r5hA2CLNn
— Colonial Pipeline (@Colpipe) May 13, 2021
However, President Biden believes there was evidence that Russian hackers were involved in the attack.
“So far there is no evidence from our intelligence people that Russia is involved. Although, there is evidence that the actors, ransomware is in Russia… they have some responsibility to deal with this.”
The hackers are from DarkSide, who allegedly steal from larger corporations and give the ransom funds to charity.
The group released a statement on the dark web. “From today, we introduce moderation and check each company that our partners want to encrypt to avoid social consequences in the future.”
After the cyberattack, President Joe Biden signed an executive order to strengthen cybersecurity defences across the US.
