canadianrecycler.ca - Toronto, Ontario -- Businesses across North America are reeling after a serious cyber attack threatened the data of 300 auto recycling businesses, including at least four based in Canada.
The attack, which occured on the evening of August 6, targeted businesses using SimpleHelp, a program that allows remote access to computer facilities. Those businesses that were caught up in the attack were locked out of their own databases and sent ransom notes demanding payment for the return of access.
Plazek Auto Recycling, near Hamilton, Ontario, was one of the businesses affected by the incident. According to Marc Plazek, employees only discovered the situation when they arrived at work to discover they were locked out of their computers — and discovered 30 copies of an identical ransom note on the printer.
“It was as if they arrived at our front gate, locked us in and said ‘we’ve got the only key.’ Except it was all done online.”
The ransomware software, LockBit Blpack, was developed by LockBit, a sophisticated cybercriminal organization. The group employs a dual-threat approach: it not only encrypt victims’ critical data and demand ransom payments for decryption keys, but also threaten to publicly leak sensitive information if its demands aren’t met – a tactic known as double extortion. First appearing on shadowy Russian forums in early 2020, LockBit has quickly established itself as a dominant force in the global ransomware landscape.
Like the other Canadian businesses affected by the hack, Plazek Auto Recycling did not respond to the threat. According to Marc Plazek, the company didn’t even entertain the idea of paying.
“We had a similar thing happen in 2019. We spoke with our insurance company who told us not to pay. They said there would be no reason for the hackers to bother living up to their word anyway.”
Because of the previous incident, Plazek Auto Recycling’s team had set up security measures and backed-up the computer system. The company was able to scrub its system of the malware and save all but a few hours worth of its records.
Other Canadian businesses known to have been affected include Millers Auto Recycling in Fort Erie, Ontario and Marks Parts in Ottawa. Fortunately, these companies were also able to restore access to data.
Other auto recyclers received assistance from the technical departments of Car-Part and Hollander. According to the Automotive Recyclers of Canada, most of the businesses affected by the attack had been
In response to the cyberattack, the executive director of the ARC, Wally Dingman, authored a column discussing the incident for this website.
