Latitude Financial (ASX:LFS) refuses to pay cyber attackers ransom

• The cyber group that infiltrated Latitude Financial (LFS) IT systems last month has demanded a ransom
• LFS refuses to pay the ransom, saying it will not reward criminal behaviour, nor does it believe paying will result in the return or destruction of the stolen information
• The stolen data detailed as part of the ransom threat is consistent with the number of affected customers disclosed by LFS, as the AFP continues its investigation
• Latitude’s CEO Bob Belan says the company is focused on safely restoring its IT systems, enhancing security protections and returning to normal operations
• LFS shares last traded at $1.25 at 1:41 pm AEST

The cyber group that infiltrated Latitude Financial (LFS) IT systems last month has demanded a ransom.

Latitude said it would refuse to pay, telling investors it “will not reward criminal behaviour, nor do we believe that paying a ransom will result in the return or destruction of the information that was stolen”.

The stolen data detailed as part of the ransom threat is consistent with the number of affected customers disclosed by Latitude as the Australian Federal Police continues its investigation.

LFS CEO Bob Belan said the company was focused on safely restoring its IT systems, bringing staffing levels back to full capacity, enhancing security protections and returning to normal operations.

“I apologise personally and sincerely for the distress that this cyber-attack has caused and I hope that in time we are able to earn back the confidence of our customers,” he said.

Tuesday’s news by Latitude comes as the Australian Banking Association launched a new campaign to help customers spot a scam.

In the 12 months to February 2023, the ABA said 256,842 scams worth $596 million were reported to the ACCC’s Scamwatch. That averages 21,404 scams a month at $49.6 million each month.

ABA CEO Anna Bligh said vigilance was required “at all times” as scams have grown to become more complex and sophisticated.

“This new campaign is one of a range of important initiatives banks are undertaking with the community, government and other industries all playing an important role to fight this crime,” Ms Bligh said.

LFS shares last traded at $1.25 at 1:41 pm AEST.