Politics

Cybersecurity CEO Indicted for Allegedly Scamming Millions From Ransomware Victims

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Based on a feed excerpt; full article content has not been acquired. Source evidence retrieved 26/10/2026, 11:24:24 UTC.

Briefings

A federal grand jury indicted Zohar Pinhasi for allegedly defrauding clients of his ransomware data recovery firm, MonsterCloud, by promising file recovery without payment. The indictment mirrors a 2019 ProPublica investigation where the firm misled clients about not paying ransoms, causing victims harm twice. Pinhasi allegedly charged clients over $19 million and paid over $8 million in ransoms, with one example showing a $150,000 charge against an $8,200 payment. Pinhasi, who described himself as a former Israeli military intelligence officer, pleaded not guilty to federal charges. The case highlights how firms profiting from ransomware extortion while locking data, and the role of law enforcement agencies in the ecosystem.

Key points

• Zohar Pinhasi was indicted for allegedly defrauding clients of his ransomware data recovery firm, MonsterCloud, by promising file recovery without payment.
• Pinhasi allegedly charged clients over $19 million and paid over $8 million in ransoms, with one example showing a $150,000 charge against an $8,200 payment.

Context

This case mirrors a 2019 ProPublica investigation into MonsterCloud, a Florida-based data recovery firm that misled clients about not paying ransoms. The indictment follows a 2019 article where the firm was found to have paid ransoms on behalf of clients, harming victims twice. Pinhasi, who described himself as a former Israeli military intelligence officer, allegedly turned the victim's crisis into his own profit center.

Limitations

Evidence covers the 2026 indictment and 2019 investigation, with limited detail on specific client names or direct payment methods beyond totals. Some details about Pinhasi's background and specific corporate connections remain unverified, and the exact scope of fraud across all clients is not fully quantified.

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