A ransom of about $17,000 was paid by Los Angeleshospital to hackers who infiltrated and disabled its computer network because paying was in the best interest of the hospital and the most efficient way to solve the problem, the medical center's chief executive said Wednesday.
HollywoodPresbyterian Medical Center paid the demanded ransom of 40 bit coins --
currently worth $16,664 dollars -- after the network infiltration that began
Feb. 5, CEO Allen Stefanek said in a statement.
The
FBI is investigating the attack, often called "ransomware," where
hackers encrypt a computer network's data to hold it "hostage,"
providing a digital decryption key to unlock it for a price.
"The
quickest and most efficient way to restore our systems and administrative
functions was to pay the ransom and obtain the decryption key," Stefanek
said. "In the best interest of restoring normal operations, we did this."
Ransomware
attacks can happen to everyone from individuals to large institutions.
The
hospital did not say whether anyone had recommended it pay off the hackers.
Computer
security experts normally recommend people not pay the ransom, though at times
law enforcement agencies suggest they do, said Adam Kujawa, Head of Malware
Intelligence for Malwarebytes, a San Jose-based company that recently released
anti-ransomware software.
It's
difficult to know how many victims pay the ransom, because many who do don't
reveal it.
"Unfortunately,
a lot of companies don't tell anybody if they had fallen victim to ransomware
and especially if they have paid the criminals," Kujawa said, "but I
know from the experiences I hear about from various industry professionals that
it's a pretty common practice to just hand over the cash."
Bitcoins,
the online currency that is hard to trace, is becoming the preferred way for
hackers collect a ransom, FBI Special Agent Thomas Grasso, who is part of the
government's efforts to fight malicious software including ransomware, told The
Associated Press last year.
During
2013, the number of attacks each month rose from 100,000 in January to 600,000
in December, according to a 2014 report by Symantec, the maker of antivirus
software.
A
report from Intel Corp.'s McAfee Labs released in November said the number of
ransomware attacks is expected to grow even more in 2016 because of increased
sophistication in the software used to do it.
The
company estimates that on average, 3 percent of users with infected machines
pay a ransom. It's not clear how many of those users were individuals and how
many companies. Some ransomware attacks go unreported because the victims don't
want it publicized they were hacked.
Workers
at Hollywood Presbyterian noticed the network problems on Feb. 5, and it became
clear there was a malware infiltration that was disabling the network.
Computer experts and law enforcement were immediately
informed, Stefanek said. On Monday, 10 days after the attack, the network was
in full operation again, he said.
FBI spokeswoman Laura Eimiller said the agency is
investigating the extortion plot, but she could not immediately provide further
details.
Neither law enforcement nor the hospital gave any
indication of who might have been behind the attack or whether there are any
suspects.
Patient care was not affected by the hacking, and
there is no evidence any patient data was compromised, Stefanek said.
The 434-bed hospital in the Los
Feliz area of Los Angeles was founded in 1924. It was sold to CHA Medical
Center of South Korea in 2004. It offers a range of services including
emergency care, maternity services, cancer care, physical therapy, and specialized
operations such as fetal and orthopedic surgeries
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