A US court has sentenced Latvian hacker Deniss Zolotarjovs to more than eight years in prison after being convicted of ransomware attacks.
The Justice Department accused the hacker of working for a notorious Russian ransomware gang called Karakurt, which was led by former leaders of the Akira and Conti ransomware gangs, who were sanctioned by the US Treasury Department for their alleged ties to Russian intelligence.
Prosecutors said Karakurt members targeted US government entities with attacks that disrupted 911 emergency dispatch systems and also stole children’s health information. Zolotarjovs was responsible for “escalating the pressure” on victims who resisted the gang’s ransom demands, the DOJ said.
While Zolotarjovs’ conviction is notable in itself, U.S. prosecutors said in their press release that the ransomware gang relied on access to Russian government databases and law enforcement connections to intimidate its victims, further highlighting the links between the activities of cyber criminals and the Russian state.
Security researchers have long accused the Russian government of shielding ransomware gangs and malicious hackers from Western law enforcement, including by refusing to extradite its citizens accused of devastating hacks. US officials in recent years have said Russia has become a “safe haven” for cybercriminals, citing the ransomware threat as one of the top national security challenges facing the United States.
According to the DOJ, the Karakurt ransomware gang “fueled corruption” in the Russian government. These ties to officials allowed gang leaders to avoid paying taxes to the state, and the gang regularly paid bribes to officials who exempted members from mandatory Russian military service.
The Russian Foreign Ministry did not respond to TechCrunch’s request for comment.
According to the DOJ, the Karakurt gang targeted more than 54 companies, with at least $15 million in ransoms paid by victims. Karakurt does not appear to be an active ransomware gang. some businesses change owners and names, sometimes to avoid sanctions.
Zolotarjovs was arrested in the country of Georgia in 2023 and extradited to the United States in August 2024. He later pleaded guilty.
(h/t @realhackhistory.org)
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