CEO fraud scam by China hackers forces investment fund to shut down

2018-10-23T11:24:53+00:0004/10/2018|Tags: , , , |

In 2016 SS&C Technologies, a financial services software firm, was sued after allegedly falling for a CEO fraud scam that ultimately led to wiring $5.9 million funds to China-based hackers. The hackers tricked company staffers into releasing client money: Tillage Commodities Fund, one of the investors, had to suspend business operations after its funds reportedly were fleeced via SS&C.

Allegedly, SS&C even helped the criminals by fixing transfer orders that had initially failed, failing to “exercise even a modicum of care and responsibility in connection with known and obvious cybersecurity threats” and falling for clumsy emails, even containing “awkward syntax and grammatical errors – which were wholly inconsistent with prior Tillage communications – and which were entirely unclear in substance”.

That is why Hermeneut’s cybersecurity cost-benefit approach to risk assessment estimates an enterprise’s vulnerabilities for both the humans and technology, specifically performing a human factors cybersecurity assessment, before delivering investment guidelines for mitigation measures. Read our reports, dedicated to cyber-risks related to intangibles assets and how to deal with cyberattacks targeting intangibles, and to macroeconomic estimates of the effects of cyberattacks on intangibles assets.