US software company Alogent says MOVEit Transfer hack impacted more than 4.5m customers

Georgia-based software company Alogent Holdings said it suffered a significant data breach after it became a victim of the exploitation of a zero-day vulnerability in Progress Software’s MOVEit Transfer web application.

In a recent filing with the Office of the Maine Attorney General, Alogent said that it used the MOVEit software to send and receive files securely. Between May 30, 2023 and June 1, 2023, it became aware of the Cl0p ransomware group exploiting vulnerabilities in the application and immediately launched an investigation to determine whether the exploitation impacted its systems and data.

The investigation revealed that the Clop ransomware gang, responsible for exploiting the vulnerability in Progress Software’s MOVEit Transfer web application, accessed certain files in the MOVEit server that contained sensitive personal details of Alogent’s clients’ customers.

The compromised server contained personal and financial information such as customers’ names, addresses, phone numbers, account and routing numbers, cheque payee and remittance amount details, credit or debit card numbers, along with security code, access code, password or PIN for the account.

Alogent said approximately 4,543,850 individuals have been affected by the data breach. “Alogent has discontinued the use of the MOVEit Transfer software after the compromise was discovered and is working to replace this solution, as well as to establish improved security measures to mitigate risk in the future,” the company said in its regulatory filing.

Alogent is offering complimentary identity theft protection services through IDX that includes at least a year of CyberScan monitoring, a $1,000,000 insurance reimbursement policy, and fully managed ID theft recovery services to affected customers.

While the company found no evidence of the compromised information being misused, it has urged all affected individuals to remain vigilant and keep an eye on their financial reports for any suspicious activities. If anything suspicious is identified, it must be reported to the relevant law enforcement authorities at the earliest.

Alogent Holdings is among more than 1,050 organisations worldwide that have suffered significant data breaches after the Clop ransomware gang exploited Progress Software’s MOVEit Transfer web application. According to German cybersecurity research firm KonBriefing, as of September 1, at least 1,080 organisations have come forward about security incidents resulting from the exploitation of the software and at least 58.6 million individuals have been impacted by the same.

KonBriefing’s research also revealed that at least 907 American organisations have been impacted by the vulnerability exploitation till date.