Teen Suspected of Vegas Casino Cyberattacks Released to Parents
A 17-year-old hacker suspected of being part of the notorious Scattered Spier threat group has been released into the custody of his parents, a family court judge ruled in a surprising decision. The teenager, who is accused of carrying out sophisticated cyberattacks against several prominent casinos in Las Vegas last year, will be subject to certain restrictions on his internet, phone, and electronics usage.
The Las Vegas Metropolitan Police Department (LVMPD) did not name the specific casinos targeted by the teenager's group, but described the attacks as "sophisticated network intrusions" attributed to Scattered Spider. During the period between August and October 2023, Scattered Spider compromised the networks of MGM Resorts and Caesars Entertainment casinos, deploying the BlackCat/ALPHV ransomware and causing significant operational disruptions.
The incidents had a devastating impact on both MGM and Caesars, with MGM reportedly losing over $100 million in damages due to the attacks. Caesars, meanwhile, paid a staggering $15 million ransom to have its systems restored. The total cost of the attacks is estimated to be significantly higher, with prosecutors suggesting that the teenager may still be holding an estimated $1.8 million worth of Bitcoin cryptocurrency.
The prosecution had argued that the teenager should remain detained until the hearing in November, citing his operational sophistication and massive financial gain as reasons for the request. However, the defense team countered by characterizing the detention request as "disingenuous," highlighting the teenager's clean criminal record and requesting a supervised release instead.
Family Court Judge Dee Smart Butler sided with the defense, ordering the release subject to certain restrictions. Any violations of these conditions will result in immediate detention by probation officers. The teenager currently faces charges including obtaining personally identifiable information for harm or impersonation, extortion, conspiracy to commit extortion, and unlawful computer acts.
The prosecutors are seeking additional charges against the teenager and also requesting that he be tried as an adult, which would incur harsher, long-term imprisonment sentences. Interestingly, another teenage boy was arrested in connection with Scattered Spider cyberattacks last year, but was released on bail pending investigation after just a short time.
Repercussions of the Attacks
The attacks by Scattered Spider had significant repercussions for both MGM and Caesars, as well as the wider community. The incidents demonstrated the devastating impact that cyberattacks can have on businesses, causing significant operational disruptions and compromising sensitive data belonging to staff and customers.
Prevention and Detection Trends
The recent attacks by Scattered Spider serve as a stark reminder of the importance of effective prevention and detection measures in preventing such incidents. According to the latest report from Picus Blue, 46% of environments had passwords cracked last year, nearly doubling from 25% in the previous year. The report highlights the need for businesses to prioritize password security and implement robust detection and response strategies.
Government Crackdown on Ransomware Attacks
The US government has also taken steps to crack down on ransomware attacks, seizing millions of dollars' worth of cryptocurrency from several operators in recent months. The latest seizures include $1 million in crypto from the BlackSuit ransomware gang and $2.8 million from Zeppelin, a notorious operator of the Zeppelin ransomware.