Russian authorities charge notorious hacker Mikhail Matveev in malware case

In a rare move, Russian authorities have charged high-profile hacker Mikhail Matveev, also known as Wazawaka, for creating malware to extort commercial organizations, according to a statement from the Russian Interior Ministry. Matveev, a 32-year-old implicated in multiple cyberattacks, is an alleged affiliate of notorious ransomware groups such as Babuk, Conti, DarkSide, Hive, and LockBit.

The case has drawn significant attention, as Matveev has long been prominent in global cybercrime investigations. Charged under Article 273 of Russia’s Criminal Code, Matveev faces allegations of developing malware in January 2024 to encrypt data belonging to commercial organizations and demand ransom payments for decryption. He could face up to four years in prison or a fine if convicted.

Sources close to the investigation suggest Matveev has already paid two fines, and authorities have seized a substantial amount of cryptocurrency in connection with the case. A security researcher, known by the alias “club1337,” reported on Sunday that Matveev confirmed the charges against him. Currently, he remains out on bail and is awaiting further legal proceedings.

Matveev has been a focal point in global cybercrime discussions following his U.S. indictment and sanctioning in May. The FBI placed him on its cyber Most Wanted list, while the U.S. State Department offered a $10 million reward for information leading to his capture or conviction. His alleged crimes include the 2021 ransomware attack on the Washington, D.C., Metropolitan Police Department. The Babuk ransomware gang, of which Matveev is a suspected member, claimed responsibility for the attack, stealing over 250 GB of data and threatening to release it unless a ransom was paid.

Despite these accusations, Matveev has previously dismissed the impact of U.S. sanctions, claiming to live an “ordinary life” in Russia. In interviews, he has described plans to expand his activities, including training young Russians in cybersecurity to counter international law enforcement efforts.

In October, four members of the ransomware gang REvil were sentenced to prison in Russia on hacking and money laundering charges. Their arrests followed high-level discussions between U.S. President Joe Biden and Russian President Vladimir Putin concerning cyberattacks. Similarly, Russian authorities have pursued cases against the SugarLocker ransomware gang members, with two suspects facing legal consequences earlier this year.