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Prolific Hive and Nefilim ransomware affiliate sentenced to 70 months in prison

A 36-year-old Ukrainian national was sentenced to 70 months in prison for participating in a string of ransomware attacks targeting various critical infrastructure operators and businesses from the middle of 2018 to late 2021, the Justice Department said Tuesday.

Artem Aleksandrovych Stryzhak was involved in ransomware attacks on hospitals that disrupted patient care, government entities, a dentist office, a company in the oil and gas transportation industry and law firms. He joined various ransomware groups during his crime spree, including Nefilim and Hive, which attacked about 1,500 victims worldwide.

“Ransomware attacks like those committed by the defendant wreak enormous havoc — harming victim companies that pay millions in remediation and ransoms, preventing hospitals and other critical facilities from accessing data, and putting sensitive information in the hands of bad actors,” Joseph Nocella Jr., U.S. attorney for the Eastern District of New York, said in a statement.

Stryzhak pleaded guilty to multiple cybercrimes in late 2025. He was arrested in Spain in June 2024 and extradited to the United States in April 2025. Authorities are still looking for his alleged co-conspirator Volodymyr Tymoshchuk and previously announced a $11 million reward for information leading to his arrest or conviction.

Attacks involving Nefilim ransomware caused millions of dollars in losses from extortion payments and damage to victim networks, officials said. Stryzhak and his co-conspirators allegedly customized executable ransomware files for each victim, creating unique decryption keys and unique ransom notes.

The ransomware group primarily targeted companies located in the United States, Canada and Australia with more than $100 million in annual revenue, and extorted victims by threatening to publish stolen data. The crew researched companies after it broke into their networks to determine their net worth, size and contact information.

Stryzhak’s victims in the United States include an engineering consulting company based in France, an aviation industry company in New York, a chemical company in Ohio, an insurance company in Illinois, a company in the construction industry in Texas, a pet care company in Missouri and an international eyewear company. 

Stryzhak and his co-conspirators also used Nefilim ransomware to encrypt victim networks in Germany, the Netherlands, Norway and Switzerland, prosecutors said. 

Authorities said Stryzhak was one of the earliest Hive affiliates and, with co-conspirators, deployed the ransomware against seven victims during the COVID-19 pandemic.

“This sentence concludes a years-long, multi-continent investigation into a defendant who participated in cyberattacks against Americans’ businesses and health care,” A. Tysen Duva, assistant attorney general of the Justice Department’s Criminal Division, said in a statement. “Cybercriminals who terrorize American businesses cannot evade justice by operating from abroad or hiding behind sophisticated technology.”

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Russian GRU hackers hit NATO shipbuilder, aircraft engine maker, law enforcement agency in espionage campaign

Russian government-connected hackers compromised two defense firms and a law enforcement agency in North Atlantic Treaty Organization countries as part of an espionage campaign, Symantec researchers said in a blog post Tuesday.

The infamous group behind hacks of the Democratic National Committee during the 2016 election cycle was behind the attacks that Symantec identified in recent months: Swallowtail, also known as APT28, Fancy Bear and Forest Blizzard, notorious for its links to the Russian military agency GRU.

The hackers apparently chose the targets of their attacks carefully, including a naval shipbuilder, a manufacturer of military aircraft engines and the law enforcement agency. In the attack on the shipbuilder, Symantec saw “hands-on-keyboard” activity as the hackers repeatedly returned to a compromised host over the course of a week to steal credentialed material.

“Hands-on-keyboard activity means a human operator is choosing what to do next, rather than malware running a fixed routine,” Dick O’Brien, principal intelligence analyst at the Symantec Threat Hunter Team, told CyberScoop. “It’s essentially confirmation that the organization is a genuine target for the operators, not an accidental infection. It also confirms that further exploitation beyond the initial infection was at least attempted.”

O’Brien said the campaign reflected broader intelligence collection aimed at European government and defense targets, but its motive wasn’t certain. He speculated that it could have been part of campaigns to target nations aiding Ukraine in its war against Russia.

The hackers made use of the Hookedge backdoor first identified in August by Recorded Future’s Insikt Group. That firm saw attacks dating back to September of last year by the same group using the same backdoor on defense and diplomatic targets in Romania, Spain and Turkey.

Symantec also observed the hackers deploying a previously undocumented loader.

“What surprised us was that the attackers then moved their most sensitive follow-up activity onto a dedicated server, when Recorded Future had expected them to keep hopping between free services,” O’Brien said. “The loader, ld.exe, hadn’t been publicly documented. It decrypts its payload in memory, and it needs a key supplied only at runtime on the command line. Without both the encrypted file and the key, the payload can’t be recovered. We didn’t recover it, so we don’t know its function.”

This spring, researchers and U.S. government agencies said they quashed a Forest Blizzard espionage campaign. Western governments warned last year about the group targeting companies supporting Ukraine.

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Russian hackers Star Blizzard expand targeting, change up tactics to reach Ukraine and beyond

A group of Russian government hackers is refining its attacks to make it easier to eavesdrop on victims and significantly expand its targets among governments, think tanks and nonprofits around the world, with an emphasis on Ukraine, Microsoft research published Tuesday concludes.

The company examined a change in the approach of a group it calls Star Blizzard, which is affiliated with the Russian Federal Security Service (FSB), and its novel malware, RedFlick.

“In 2026, Microsoft observed Star Blizzard shift from exclusively targeted spear-phishing operations to also conducting larger-scale phishing campaigns,” Microsoft wrote in a blog post. “The larger-scale phishing operations were observed at a scale not previously seen from the actor, ranging from tens to hundreds of email messages per campaign. This change likely reflects the actor’s adoption of a mass-mailing phishing platform to automate campaign execution and increase the likelihood of successful compromises by significantly expanding the initial targeting pool.”

Microsoft said the RedFlick campaigns have targeted Ukrainians, as well as financial institutions and governments that have supported Ukraine. It said it has seen the activity affect over 100 organizations that are primarily in the United States or United Kingdom.

One of the things that makes RedFlick effective isn’t just its pure volume, but the fact that its “infection flow only requires a single user interaction, reducing friction in the compromise process,” the company said in its blog post.

The most common phishing lure is inviting potential victims to exclusive events, but it also solicits its targets with information about supposed tax audits, payment notices and fines.

“Since January 2026, Microsoft observed at least 13 distinct large-scale phishing campaigns targeting primarily NGOs, think tanks, and government organizations worldwide,” the company wrote.

The initial targets were in Ukraine but by spring it was going after those outside the nation it invaded in 2022. “The actor’s shift from Ukraine-focused operations to global targets could indicate Star Blizzard initially targeted Ukraine to test their new capabilities,” Microsoft wrote.

RedFlick has been a key adaptation as “a malware delivery technique that helps evade detection by initiating a set of scheduled tasks to deploy the actor’s custom backdoor, CosmicPulse,” the company said.

This isn’t the first time that Microsoft has called out Star Blizzard, with past observations coming in 2023 and 2025 and takedown efforts coming in 2024.

Star Blizzard has been known by other names as well: SEABORGIUM, Callisto Group, TA446 and COLDRIVER.

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Ryuk ransomware operator sentenced to 2 years in prison

A 35-year-old Armenian national was sentenced to two years in prison for his involvement in a series of Ryuk ransomware attacks while living in Ukraine and Russia in 2019 and 2020, the Justice Department said Tuesday.

Karen Vardanyan was extradited from Ukraine to the United States last year and pleaded guilty to computer fraud and conspiracy to commit fraud and extortion in July. Vardanyan’s sentencing, which also calls for about $1.2 million in restitution to victims, matches terms of a plea agreement he reached with prosecutors.

Vardanyan and his co-conspirators’ victims include a Michigan-based company that paid a ransom of nearly $1.2 million in January 2020, a Watsonville, Oregon-based technology company that was attacked in December 2019 and a Texas-based school breached in February 2020, according to court records.

“Like Vardanyan, many cybercriminals are not masterminds of a complex ransomware or extortion scheme but nonetheless play an integral part in the success of these crimes,” read a memo signed by U.S. attorneys in the District of Oregon.

“Unfortunately, high rewards and a relatively low risk of detection are basic features of cybercrime. The only way to affect the cost-benefit analysis of these crimes is to impose meaningful sentences on those who are caught,” the U.S. attorneys added.

Prosecutors previously accused Vardanyan and his co-conspirators — Ukrainian nationals Oleg Nikolayevich Lyulyava and Andrii Leonydovich Prykhodchenko, and Armenian national Levon Georgiyovych Avetisyan — of illegally accessing computer networks to deploy Ryuk ransomware on hundreds of compromised servers and workstations between March 2019 and September 2020.

Ryuk ransomware was prevalent in 2019 and 2020, infecting thousands of victims globally across the private sector, state and local municipalities, local school districts and critical infrastructure, including a wave of attacks on U.S. hospitals.

Victims of Ryuk ransomware attacks include Hollywood Presbyterian Medical Center, Universal Health Services, Electronic Warfare Associates, a North Carolina water utility and multiple U.S. news outlets.

Justice Department officials said Vardanyan and his co-conspirators received about 1,160 bitcoins — valued at more than $15 million at the time — in ransom payments from victim companies.

Prosecutors said they found no evidence Vardanyan was still engaged in criminal activity at the time of his arrest. Vardanyan’s incarceration will be followed by three years of supervised release, and his conviction will have immigration consequences resulting in removal from the United States after serving his sentence.

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OpenAI, Ukraine partner on ‘Daybreak’ program to protect power grids and water systems 

OpenAI and the Ukrainian government have agreed to a partnership that will provide AI tools and subsidized computing resources to better protect the nation’s critical infrastructure from cyberattacks.

The agreement, announced Wednesday at OpenAI’s New York office, will provide Ukrainian cybersecurity officials with access to advanced AI models designed for cybersecurity work through the company’s Daybreak program. OpenAI said it is also pledging over $1 billion in subsidized tokens to support the initiative.

During a panel discussion Dmytro Kushneruk, consul general of Ukraine in San Francisco, outlined how the tools would be used for cybersecurity automation, including functions such as incident response, threat triaging, login analysis, inventorying systems, code analysis and validating vulnerabilities.

In nearly all cases, Kushneruk said the primary benefit was carrying out those functions at machine speed. But this speed is meant to complement, not replace, Ukrainians’ human expertise.

In regard to incident response Kushneruk said humans must view “thousands and thousands of these logs and they have to find what’s really important, that’s why AI can give capable defenders really much greater advantage and leverage.” 

“This is why the object is not to replace the cyber defender with AI, but to make sure the cyber defender acts faster,” he added.

Kushneruk said that for Ukraine, the partnership “is really not about protecting computers, it is about actually keeping our country running.”

Ukraine faces approximately 6,000 cyberattacks per year, or about 15 per day, according to Kushneruk. Over the past twelve years, the country’s critical infrastructure, including electricity and water systems, has endured sustained attacks from Russia in the form of cyberattacks and physical strikes.

Since Russia’s 2022 invasion, Ukraine’s critical infrastructure has been under constant threat. While missiles remain the primary concern, Kushneruk said Ukraine has been preparing to protect vital services since Russian GRU hackers shut down the country’s power grid in 2015. 

He added that while the country was “maybe not so much prepared” to deal with the fallout in 2015, it improved over time, including the resilience displayed in 2025 when trains kept running after Russian hackers attacked Ukraine’s railway system.

Some national security experts and congressional committees have explicitly cited the resilience of Ukrainian critical infrastructure as a model for U.S. industry.

Naz Durakoğlu, minority staff director of the U.S. Senate Foreign Relations Committee, said there is “pretty much across the board” agreement between the parties in favor of similar adoption of defensive AI tools by U.S. critical infrastructure operators, though issues like regulation remain sticking points.

“This is something that’s already happening, and frankly, it’s just kind of a basic duty of government to make sure that when you turn the tap on, water comes out, the electricity doesn’t go out, and hospitals keep running and treating patients,” said Durakoğlu. “So there is a broad understanding that this is a major issue, and I will say seeing what Ukraine has to go through day-to-day is also a huge wake-up call to our members on a bipartisan basis.”

OpenAI has publicly pushed for its product, and AI at-large, to be used to solve these types of problems. Company president and co-founder Greg Brockman signed an open letter released earlier this year calling for “collective action” and widespread use of AI models to find and fix vulnerabilities before the rest of the world,  including foreign governments and cybercriminals, got access to the same capabilities.

According to Politico, OpenAI CEO Sam Altman met with U.S. power companies in July to discuss using AI to protect the nation’s electrical grids.

On Wednesday, OpenAI’s national security policy head, Sasha Baker, said the company felt “urgency” to try to strike similar agreements with other governments and industries.

“There’s this period of time where we’re really rushing to get [these tools] in the hands of critical infrastructure operators, of governments around the world, of people who want to patch systems, defend their networks, remediate vulnerabilities because we know as these tools proliferate out there in the ecosystems, there are going to be bad guys out there that also try to use them,” said Baker. “So, we have this window of time to take action and we’re really motivated by the idea that we need to act with some urgency.”

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Russian espionage group using novel Zimbra exploit to steal sensitive data from Western countries

A Russian state-sponsored threat group has been stealing sensitive data from governments and commercial organizations since July 2025 via a novel exploit in popular Linux-based enterprise software, U.S. authorities and cyber officials from more than a dozen other countries warned in a joint cybersecurity advisory Thursday.

Laundry Bear’s most recent espionage campaign involves the exploitation of a zero-day vulnerability in Zimbra Collaboration Suite that wasn’t patched until November 2025, five months after attacks were well underway, officials said. 

The exploit just requires a view — no clicks — and allows attackers to steal the previous 90 days’ worth of email, the account’s password, search history, the victim organization’s email directory, two-factor authentication tokens and other newly created passwords.

“The covert and persistent nature of this activity, along with the absence of any known financial extortion, almost certainly indicates this group’s involvement in espionage activities with Russian government backing,” officials wrote in the advisory. 

“Additionally, extensive Ukrainian targeting, prior to use against U.S. and other NATO allies, outlines an increasing trend within Russian cyber threat groups to target Ukrainian users first—both as a priority target and as a testbench for malicious cyber techniques before broader global deployment.”

The state-sponsored espionage group, also known as Void Blizzard, has compromised governments and organizations in the defense, education, energy, law enforcement, media, finance, transportation and technology sectors. 

Laundry Bear’s year-long campaign involving the exploitation of CVE-2025-66376 showcases more technical capabilities, including a custom JavaScript payload it delivers to targeted victims via phishing emails. The threat group could also likely adapt the novel data exfiltration and aggregation capability, dubbed “beehive,” to exploit other vulnerabilities, officials warned.

The defect’s medium-severity rating of 6.1 underscores the challenge defenders regularly confront in prioritizing patching schedules based on measure of severity alone.

The Russian state-supported group, which has been active since at least 2024, is still actively exploiting Zimbra Collaboration Suite instances that remain unpatched, officials said.

Authorities shared Thursday indicators of compromise, mitigation steps and urged organizations to update their vulnerable software.

“This campaign’s targeted victimology and limited exploitation capabilities likely indicate this group manually identifies and targets the victim organizations” by identifying organizations with public-facing infrastructure, officials wrote in the advisory.

Once a target is identified, Laundry Bear also likely compiles email addresses for users to target with the exploit via phishing emails. Officials did not identify specific victims or describe the volume of organizations already compromised.

The joint cybersecurity advisory was issued by the United States, Australia, Canada, New Zealand, the United Kingdom, Czech Republic, Denmark, Estonia, Finland, France, Italy, Moldova, the Netherlands, Poland, Spain and Sweden.

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Treasury sanctions First VPN Service, others for abetting ransomware gangs

The Treasury Department is slapping sanctions on First VPN and its administrator for allegedly selling services to ransomware operators, as well as another person aiding ransomware gangs.

First VPN Services, or 1VPNS, was “deeply embedded in the cybercriminal ecosystem” and appeared in virtually every Europol investigation in recent years, the law enforcement body said after a sting targeting the service in May.

Treasury’s Office of Foreign Assets Control (OFAC) sanctioned 1VPNS as well as its alleged administrator, Ukrainian citizen Dmytro Rashevskyi, Monday in conjunction with the United Kingdom. The outfit provided anonymity services that could be legitimate in some instances, but 1VPNS advertised itself in online cybercrime forums for more than a decade, touting its refusal to cooperate with law enforcement, the office said.

“Numerous ransomware groups have purchased infrastructure from 1VPNS, which they have leveraged in attacks on U.S. companies and institutions — including to hide the origins of their attacks, deploy malware, and manage exfiltrated data,” OFAC said. “Victims of ransomware attacks that involved the use of 1VPNS infrastructure have included U.S. businesses, financial services companies, hospitals, and municipal governments.”

Treasury also sanctioned Belarus national Yegeniy Vladimirovich Silayev for allegedly selling “cryptors,” tools used to disguise ransomware and other malware, to ransomware operators.

“Unlike legitimate encryption tools, which are designed to protect data and the privacy of the people that own it, cryptors are built specifically to make malware stealthier and more effective by disguising it as harmless files,” OFAC said.

Treasury’s sanctions designations dovetail with separate, unrelated cyber sanctions that European governments from Monday. The FBI has previously issued an alert about First VPN Service. 

Blockchain intelligence firm TRM Labs said it has seen 1VPNS selling its services to ransomware operators for prices ranging from $723 for Anubis to $58 Sinobi.

“The amounts are small because infrastructure subscriptions are small,” Ari Redbord, global head of policy and government affairs for the company, wrote on LinkedIn. “A named ransomware group paying a named enabler on public chains still leaves a trail investigators can follow after the fact.”

Victims tied to First VPN Service infrastructure include U.S. municipalities, hospitals and financial services companies.

Europol said it had arrested the administrator of 1VPNS in its May sting, but did not name them. 

The Treasury Department did not immediately respond to a question about whether its sanctions targeted that same arrested person.

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Armenian national pleads guilty to Ryuk ransomware attacks

An Armenian national who was extradited from Ukraine to the United States last year pleaded guilty to participating in a series of attacks in 2019 and 2020 involving Ryuk ransomware, the Justice Department said Thursday.

Karen Serobovich Vardanyan pleaded guilty to computer fraud and conspiracy to commit fraud and extortion. He agreed to pay nearly $1.2 million million in restitution and faces up to 15 years in jail.

The 34-year-old admitted to participating in cybercrime from November 2019 to April 2020 when he and his co-conspirators deployed Ryuk ransomware against three U.S.-based organizations while living in Ukraine and Russia.

Vardanyan’s victims include a Michigan-based company that paid a ransom of nearly $1.2 million in January 2020, a Watsonville, Oregon-based technology company that was attacked in December 2019 and a Texas-based school breached in February 2020.

Prosecutors previously accused Vardanyan and his co-conspirators — Ukrainian nationals Oleg Nikolayevich Lyulyava and Andrii Leonydovich Prykhodchenko, and Armenian national Levon Georgiyovych Avetisyan — of illegally accessing computer networks to deploy Ryuk ransomware on hundreds of compromised servers and workstations between March 2019 and September 2020.

Ryuk ransomware was prevalent in 2019 and 2020, infecting thousands of victims globally across the private sector, state and local municipalities, local school districts and critical infrastructure, including a wave of attacks on U.S. hospitals.

Victims of Ryuk ransomware attacks include Hollywood Presbyterian Medical Center, Universal Health Services, Electronic Warfare Associates, a North Carolina water utility and multiple U.S. newspapers.

Ryuk ransomware operators extorted victim companies by demanding ransom payments in Bitcoin in exchange for decryption keys. Justice Department officials said Vardanyan and his co-conspirators received about 1,160 bitcoins — valued at more than $15 million at the time — in ransom payments from victim companies.

Vardanyan, as part of his guilty plea, also acknowledged that his conviction will have immigration consequences resulting in removal from the United States after serving his sentence. 

The U.S. District Court for the District of Oregon has yet to schedule his sentencing.

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