US Law Firm Refuses To Pay $65M Ransom After Hackers Leak “First Part” Of Celebrity Files

Hackers

Lawyers for Lady Gaga have refused to pay a USD$42 million (AUD$65 million) ransom after the artist’s files were leaked online by hackers.

Grubman Shire Meiselas & Sacks, who also represent Madonna and Nicki Minaj, revealed a substantial amount of data had been stolen by an unnamed hacker group using a software called REvil.

According to Rolling Stone, the hackers initially asked the law firm for USD$21 million in exchange for 756 gigabytes of stolen data. But after the firm refused to pay the ransom, the hackers released “the first part” of the data – 2.4 gigabyte of files. This included legal work the law firm did for Gaga, including contracts to producers and collaborators, expense sheets, confidentiality agreement forms, paperwork, and some promotional photos.

“It seems that GRUBMANS doesn’t care about their clients or it was a mistake to hire a recovery company to help in the negotiations,” the hackers wrote in a statement. “As we promised, we [published] the first part of the data because the time is up.”

The hackers then doubled the ransom to USD$42 million, and claimed to have unfavourable documents connected to President Donald Trump. They told  American voters that if the documents were to be published, “you certainly don’t want want to see him as president.” However, the entertainment law firm apparently have no dealings with Trump. The hackers gave the firm a one-week deadline.

“Despite our substantial investment in state-of-the-art technology security, foreign cyberterrorists have hacked into our network and are demanding $42 million as ransom,” they said in a statement. “We are working directly with federal law enforcement and continue to work around the clock with the world’s leading experts to address this situation.”

“The leaking of our clients’ documents is a despicable and illegal attack by these foreign cyberterrorists who make their living attempting to extort high-profile U.S. companies, government entities, entertainers, politicians, and others.”

They added that it is a violation of US federal criminal law to negotiate or pay ransom to “terrorists”.

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