Ransomware Attack Shuts Down Gateway Casino and Entertainment

Gateway Casino and Entertainment, which operates a casino at Western Fair District in Ontario, has been hit by a ransomware cybersecurity attack that has forced the closure of all 14 casinos in the province. The attack occurred on April 16 and has left Gateway scrambling to restore its IT systems and reopen its sites.

Paul Burns, chief executive of the Canadian Gaming Association, said the timing of the attack was unfortunate given that casinos have been enjoying their first full year of uninterrupted play since 2019. However, he remained confident that patrons would return after this setback, citing the industry’s resilience during the COVID-19 pandemic.

Financial reports submitted by the Ontario Lottery and Gaming Corp. support the suggestion that the industry is recovering provincewide. In its 2021-2022 fiscal year financial report, OLG reported profits to the province of $1.6 billion, up 335% from its fiscal 2020-21 of $359 million. In 2022 and this year, it projects profits to the province will rise to $2.3 billion.

Gateway officials have said that they cannot confirm a reopening date at this time, but they are working with all relevant parties to restore their IT systems, reopen their sites, and get their employees back to work. The company is also working with a third-party business to help it recover from the attack.

It remains unclear exactly what happened when the attack ground the gambling business to a halt, but Gateway officials have called it a "ransomware attack on our IT systems." They have also stated that there is no evidence that the personal information of customers or employees has been leaked.

Ransomware attacks occur when hackers lock up a computer system until a sum of money is paid to them. In a recent case that hit a local municipality, St. Marys had to pay a $290,000 ransom in Bitcoin. It is not yet clear if Gateway will need to pay a similar ransom to restore its IT systems.