A coordinated law enforcement operation – Operation Cronos – headed by the UK National Crime Agency (NCA) and coordinated by Europol seized the infrastructure of the notorious LockBit ransomware group earlier this month. 34 servers were seized in the Netherlands, Germany, Finland, France, Switzerland, Australia, the United States, and the United Kingdom, along with 200 cryptocurrency wallets, and the keys to decrypt the data of some of the group’s victims. Two LockBit actors were also arrested in Poland and Ukraine, and three arrest warrants and five indictments were issued by judicial authorities in France and the United States. The decryption keys allowed an automated decryptor to be developed, which was added to the No More Ransom website.
The group’s affiliate portal was seized along with its data leak sites and messages were uploaded for affiliates warning them that names and locations were known and they could receive a visit from law enforcement very soon. The NCA threatened to release the name of the group’s figurehead, LockBitSupp, and even added a countdown timer to the data leak site, as LockBit would do when adding victims to the leak site. However, the NCA did not disclose the details and instead added a statement confirming LockBitSupp’s real name, location, and financial worth were known. The NCA also added that LockBitSupp has engaged with law enforcement.
LockBit is a ransomware-as-a-service (RaaS) operation where affiliates are recruited to conduct attacks using LockBit ransomware. As payment for those attacks, affiliates receive a percentage of any ransoms they generate. LockBit engaged in double extortion tactics, where sensitive data was stolen in addition to file encryption. Payments are required to prevent the release of the stolen data on the group’s data leak site and to obtain the keys to decrypt data. LockBit then moved to triple extortion, where in addition to data theft and file encryption, Distributed Denial-of-Service (DDoS) attacks are conducted on victims to pile on the pressure and get them to pay the ransom.
LockBit has been in operation since September 2019 and rapidly became a major player in the RaaS market. At the time of the takedown, LockBit was behind 25% of all ransomware attacks and had around 180 affiliates conducting attacks. The next biggest player is Blackcat with an 8.5% market share. The LockBit group has extorted more than $120 million from organizations around the world and its attacks have caused billions of dollars of damage.
The law enforcement operation was significant and a major embarrassment for the group, potentially causing significant damage to the group’s reputation. However, it did not take long for LockBit to respond. A few days after the announcement about the law enforcement action, LockBit created a new data leak site and populated it with the names of 12 recent victims. A note was also added explaining that the FBI most likely exploited an unpatched PHP bug, which hadn’t been addressed out of laziness, which allowed access to be gained to its servers. LockBit claimed the takedown was conducted when it was because data was going to be released from an attack on Fulton County in Georgia, where one of Donald Trump’s lawsuits is being heard, and the release of that data could affect the upcoming Presidential Election.
Typically after a successful law enforcement operation, ransomware gangs rebrand but LockBit appears to be defiant and looks set to continue under the same name. LockBitSupp claimed that the attacks could not stop as long as he was alive, and the group would be updating its infrastructure to make it harder for any future law enforcement operations to succeed. A little more than a week after the law enforcement announcement, the LockBit group appears to be conducting attacks again using new infrastructure, a new data leak site, a new negotiation site, and a new encryptor. It is unclear how many affiliates have been retained but the group has announced that it is recruiting again and is looking for new pen testers, indicating some have decided to leave the operation. What is clear is the group is back and remains a significant threat.