Covid becoming a fertile ground to execute scams

Tāmaki Makaurau - Another wave of ransomware attacks is crippling the operations of many organisations and businesses around the world.

The latest global ransomware attack has impacted IT for 11 schools in New Zealand. The attack hit a giant Miami-based IT company, Kaseya, and infiltrating its software.

Cyber-security watchdog CertNZ is advising organisations using Kaseya to shut down those servers.

Cyber-criminal organisations are exploiting vulnerabilities in digital supply chains to perpetrate large and disastrous cyber-attacks.

Cyber-threats are increasing with the transformation of digital life in the wake of the covid pandemic.

More New Zealand businesses need to wake up to ensure they don’t suffer cyber-attacks.

Kiwi cyber security incidents jumped 65 percent last year, with an associated $16.9 million in direct financial losses, which are just the tip of the iceberg. Only six percent of Kiwi companies have adequate protection.

The covid pandemic has provided cyber-criminals with a fertile ground to execute scams and reap the riches.

A risk-based approach is needed to safeguard the software and systems that underlie digital supply chains.

This new wave of supply chain attack further echoes of Solarwinds and MS Exchange attacks that occurred at the end of 2020, when hackers rushed in to exploit organisations exposed in the supply chain with motives ranging from espionage to financially motived criminal activities.

A study by Gartner finds that in 2019, 60 percent of organisations worked with more than 1000 third parties, and those networks are only expected to grow.

Other research by Deloitte shows 40 percent of manufacturers had their operations affected by a cyber-incident during 2019. And in 2018, the average financial impact of a data breach in the manufacturing industry was $7.5 million.