Massive data breach at PowerSchool exposes 62 million students' personal information

The RaccoonO365 phishing network, a financially motivated threat group, was disrupted by Microsoft's Digital Crimes Unit (DCU) and Cloudflare. The operation, executed through a court order in the Southern District of New York, seized 338 domains used by the group since July 2024. The network targeted over 2,300 organizations in 94 countries, including at least 20 U.S. healthcare entities, and stole over 5,000 Microsoft 365 credentials. The RaccoonO365 network operated as a phishing-as-a-service (PhaaS) toolkit, marketed to cybercriminals via a subscription model on a private Telegram channel. The group used legitimate tools like Cloudflare Turnstile and Workers scripts to protect their phishing pages, making detection more challenging. The mastermind behind RaccoonO365 is believed to be Joshua Ogundipe, who received over $100,000 in cryptocurrency payments. The group is also suspected to collaborate with Russian-speaking cybercriminals. Cloudflare executed a three-day 'rugpull' against RaccoonO365, banning all identified domains, placing interstitial 'phish warning' pages, terminating associated Workers scripts, and suspending user accounts to prevent re-registration.

The threat actor, tracked as UNC6395 by Google and GRUB1 by Cloudflare, exploited OAuth tokens associated with the Drift AI chat agent to breach Salesloft and steal data from Salesforce customer instances. The campaign, active from August 8 to at least August 18, 2025, targeted over 700 organizations, including Workiva and Stellantis, and impacted all integrations connected to the Drift platform, not just Salesforce. The attackers exported large volumes of data, including credentials for AWS, passwords, and Snowflake access tokens. Zscaler, Palo Alto Networks, Cloudflare, and Workiva reported data breaches after threat actors accessed their Salesforce instances via compromised Salesloft Drift credentials, exposing customer information. The breach began with the compromise of Salesloft's GitHub account, accessed by UNC6395 from March to June 2025. The threat actor accessed multiple repositories, added a guest user, and established workflows. Reconnaissance activities occurred in the Salesloft and Drift application environments between March and June 2025. The attackers accessed Drift's AWS environment and obtained OAuth tokens for Drift customers' technology integrations. Salesloft isolated the Drift infrastructure, application, and code, and took the application offline on September 5, 2025. Salesloft rotated credentials in the Salesloft environment and hardened it with improved segmentation controls. Salesloft recommends that all third-party applications integrated with Drift via API key revoke the existing key. Salesforce restored the integration with the Salesloft platform on September 7, 2025, except for the Drift app, which remains disabled. Salesloft and Salesforce have taken steps to mitigate the breach, including revoking tokens and removing the Drift application from AppExchange. The breach highlights the risks associated with third-party integrations and the potential for supply chain attacks. UNC6395 demonstrated operational discipline, querying and exporting data methodically, and attempting to cover their tracks by deleting query jobs. The targeted organizations included security and technology companies, suggesting a broader strategy to infiltrate vendors and service providers. The campaign is limited to Salesloft customers who integrate their own solutions with the Salesforce service. There is no evidence that the breaches directly impacted Google Cloud customers, though any of them that use Salesloft Drift should review their Salesforce objects for any Google Cloud Platform service account keys. The threat group ShinyHunters and Scattered Spider claimed responsibility for many of those attacks, and vishing attacks have been cited as the means of compromise. Google disclosed that UNC6040 breached one of its Salesforce instances using these tactics. The UNC6395 Salesloft Drift activity is separate from the vishing attacks attributed to UNC6040. Okta successfully defended against a potential breach by enforcing inbound IP restrictions, securing tokens with DPoP, and using the IPSIE framework. Okta recommends that organizations demand IPSIE integration from application vendors and implement an identity security fabric. Palo Alto Networks' Unit 42 advised organizations to conduct immediate log reviews for signs of compromise and rotate exposed credentials. Okta suggests reducing the blast radius of a single entity breach by constraining token use by IP and client and ensuring granular permissions for M2M integrations. The FBI has issued a FLASH alert warning that two threat clusters, tracked as UNC6040 and UNC6395, are compromising organizations' Salesforce environments to steal data and extort victims. UNC6040 is a threat actor that specializes in voice phishing or vishing and recently was observed using social engineering to pose as IT support staff to get into Salesforce environments. UNC6395 is best known for using stolen OAuth tokens from Salesloft's Drift application, which has a Salesforce integration, to steal sensitive data from hundreds of Salesforce environments earlier this year. The FBI's latest advisory provides additional context into the technical aspects of the threat campaigns, particularly UNC6040's activity, which began last fall. The advisory also includes indicators of compromise, including IP addresses and URLs associated with the two campaigns.

Noah Michael Urban, a key member of the Scattered Spider cybercrime collective, was sentenced to 10 years in prison for wire fraud and conspiracy. Urban, also known by several aliases, was arrested in January 2024 and pleaded guilty in April. He was involved in stealing millions from cryptocurrency wallets, hacking companies to loot confidential data, and running phishing schemes targeting various companies, including Twilio, LastPass, DoorDash, MailChimp, and Plex. Urban will also pay $13 million in restitution to more than 30 victims. Scattered Spider is a fluid collective known for sophisticated social engineering attacks, including phishing, SIM swapping, and MFA bombing. They have targeted high-profile organizations worldwide, such as Twilio, Coinbase, and Reddit. The group escalated their attacks in September 2023, breaching MGM Resorts and encrypting over 100 VMware ESXi hypervisors using BlackCat ransomware. They have also partnered with various ransomware operations, including Qilin, RansomHub, and DragonForce. Urban was known within the cybercriminal community by the aliases 'King Bob' and 'Sosa.' He was a member of the Star Fraud group, which was involved in high-profile SIM-swapping attacks against Caesars Entertainment and MGM Resorts. Urban bragged about stealing unreleased rap music recordings from popular artists through SIM-swapping attacks. Urban's actions led to the compromise of over 130 companies, and he was involved in a hacking incident that targeted a magistrate judge's email account while he was in federal custody.

The Qilin ransomware group has been active, targeting multiple organizations, including Inotiv, a U.S.-based pharmaceutical company, Creative Box Inc. (CBI), a subsidiary of Nissan, and Mecklenburg County Public Schools (MCPS). The latest attack was on Asahi Group, where Qilin claims to have stolen 27 GB of sensitive data, including 9,000 files containing contracts, employee information, financial documents, forecasts, and other business data. The attack caused significant operational disruption, including a beer shortage in Japan. The group has also targeted other Japanese companies, including Shinko Plastics and Osaki Medical. The Qilin ransomware group operates as a ransomware-as-a-service (RaaS) network, providing tools and infrastructure to affiliates and taking a 15–20% share of ransom payments. The group's malware is custom-built in Rust and C for cross-platform attacks, including Windows, Linux, and ESXi systems. The attack on Inotiv, which occurred on August 8, 2025, encrypted certain systems and data, disrupting business operations. The Qilin ransomware group claimed to have stolen approximately 162,000 files totaling 176GB. The company has engaged external security experts and notified law enforcement. The disruption affects databases and internal applications used in business processes, with no estimated timeline for full recovery. On August 16, 2025, the Qilin ransomware group targeted Creative Box Inc. (CBI), stealing four terabytes of data, including 3D vehicle design models and internal reports. CBI implemented emergency measures and reported the incident to the police. The Qilin ransomware group added CBI to its extortion portal on August 20, 2025, threatening to make the stolen data public. Nissan confirmed the data breach and is conducting an investigation. The leaked data only impacts Nissan, as it is the sole customer of CBI. In early September 2025, the Qilin ransomware group also claimed responsibility for an attack on Mecklenburg County Public Schools (MCPS), stealing 305 GB of sensitive data, including financial records, grant documents, budgets, and children’s medical files. The attack disrupted operations, forcing teachers to rely on pen, paper, and whiteboards for instruction. Internet systems were restored about a week later. MCPS Superintendent Scott Worner confirmed the attack and stated that the district is assessing the extent of the breach. The Qilin ransomware group has claimed to have exfiltrated more than 9,300 files in 27GB of data from Asahi Group. Asahi Group is Japan’s largest brewing company, with 30,000 employees, an annual production of 100 million hectoliters, and a yearly revenue of $20 billion. The group published 29 images showing internal financial documents, employee IDs, confidential contracts, and internal reports as proof of the theft. Asahi Group suspended operations at six Japan-based facilities due to a cyberattack on September 29, 2025. The Qilin ransomware group added Asahi to its data leak site, likely after failing to negotiate a ransom with the company. The group is infamous for exploiting critical flaws in edge network devices, deploying credential theft tools, and continually advancing their encryptor. Qilin claims that the attack will cause Asahi to lose up to $335 million due to production disruptions at six breweries impacting thirty labels. Asahi Group resumed production of its flagship beer, 'Super Dry,' thanks to a temporary manual ordering system. Shipping for more labels is expected to resume from October 15, 2025, although factories are not yet fully operational.

Jaguar Land Rover (JLR) has confirmed a data breach following a recent cyberattack that disrupted its operations. The attack, which forced JLR to shut down systems and instruct staff not to report to work, involved data theft. The company is collaborating with the U.K. National Cyber Security Centre (NCSC) to investigate the incident. A group called 'Scattered Lapsus$ Hunters', associated with Lapsus$, Scattered Spider, and ShinyHunters, has claimed responsibility for the breach, sharing screenshots of an internal JLR SAP system and claiming ransomware deployment. This attack is part of a broader pattern of Salesforce data theft attacks, which have impacted numerous organizations this year. The FBI has issued a flash alert on UNC6040 and UNC6395, groups targeting Salesforce platforms, exploiting OAuth tokens and using vishing campaigns. The group 'Scattered Lapsus$ Hunters 4.0' announced it is shutting down on September 12, 2025, possibly to avoid law enforcement attention. However, cybersecurity researchers believe the group will continue conducting attacks quietly despite their claims of going dark. ShinyHunters and Scattered Spider, two distinct cybercrime groups, have been collaborating on attacks, leveraging each other's strengths in large-scale data theft and social engineering. This collaboration has targeted major companies across multiple sectors, including retail, insurance, and aviation. The groups have used tactics such as vishing, domain spoofing, and VPN obfuscation for data exfiltration. Recent attacks have impacted Farmers Insurance, with 1.1 million customers affected by a breach involving a third-party vendor's Salesforce database. The group 'Scattered Lapsus$ Hunters' claimed access to Google's Law Enforcement Request System (LERS) and the FBI's eCheck background check system, raising concerns about potential impersonation of law enforcement to gain access to sensitive user data. Google confirmed the creation of a fraudulent account in its LERS platform but stated that no data was accessed. The groups have been observed using similar domain formats and registry characteristics, suggesting a coordinated effort. This collaboration poses a significant threat to organizations, requiring a shift in defensive strategies to focus on behavioral patterns and proactive detection measures. The groups are now targeting Salesforce customers and may expand to financial services and technology providers. A new Telegram channel emerged, conflating ShinyHunters, Scattered Spider, and LAPSUS$, claiming to develop a ransomware-as-a-service solution. BreachForums has been commandeered by international law enforcement and turned into a honeypot. Workday confirmed a breach involving a third-party CRM system, likely linked to ShinyHunters' Salesforce attacks. Attackers used social engineering to impersonate Workday's HR department, gaining access to business contact information. Workday quickly blocked access to the compromised system and adopted additional internal security measures. The attack on Allianz Life involved the theft of personal information of 1.1 million individuals, impacting nearly 1.4 million customers. The stolen data includes email addresses, names, genders, dates of birth, phone numbers, and physical addresses. The attackers used a malicious OAuth app to gain access to Salesforce instances, and the extortion demands were signed as coming from ShinyHunters, a known extortion group. The breach was first reported by TechCrunch and confirmed by Allianz Life on July 16. The compromised data was hosted on a Salesforce database, affecting multiple companies. Scattered Spider has resumed attacks targeting the financial sector, despite previous claims of going 'dark'. The group gained initial access by socially engineering an executive's account and resetting their password via Azure Active Directory Self-Service Password Management. They accessed sensitive IT and security documents, moved laterally through the Citrix environment and VPN, and compromised VMware ESXi infrastructure to dump credentials and further infiltrate the network. The group attempted to exfiltrate data from Snowflake, Amazon Web Services (AWS), and other repositories. Their recent activity undercuts claims of ceasing operations, suggesting a strategic move to evade law enforcement pressure. Scattered Spider is part of a broader online entity called The Com and shares significant overlap with ShinyHunters and LAPSUS$. The group's retirement claims are likely a strategic retreat to reassess practices, refine tradecraft, and evade ongoing efforts to disrupt their activities. Scattered Spider may regroup or rebrand under a different alias in the future, similar to ransomware groups. The group's farewell letter is viewed as a strategic retreat to complicate attribution efforts and evade law enforcement. Scattered Spider's recent activity includes targeted intrusions against a U.S. banking organization, using sophisticated tactics to evade detection. The UK National Crime Agency (NCA) has arrested two teenagers, Owen Flowers and Thalha Jubair, linked to the Scattered Spider hacking collective. Owen Flowers, 18, from Walsall, and Thalha Jubair, 19, from East London, are scheduled to appear at Westminster Magistrates Court. Flowers was previously arrested in September 2024 for his alleged involvement in the Transport for London (TfL) attack and was released on bail. Additional evidence links Flowers to attacks against U.S. healthcare companies, including SSM Health Care Corporation and Sutter Health. Thalha Jubair was charged with conspiracies to commit computer fraud, money laundering, and wire fraud, affecting at least 47 U.S. organizations. Jubair and his accomplices have received at least $115 million in ransom payments from victims. The TfL cyberattack in August 2024 disrupted internal systems and online services, and compromised customer data including names, contact details, and addresses. TfL provides transportation services to over 8.4 million Londoners through its surface, underground, and Crossrail transport systems. In May 2023, TfL experienced another security breach when the Clop ransomware gang stole data from one of its suppliers' MOVEit Managed File Transfer (MFT) servers. A member of the notorious cybercrime group Scattered Spider has turned himself in to authorities in Las Vegas. The suspect, identified by the FBI's Las Vegas Cyber Task Force, faces charges including extortion and computer-related crimes. The Clark County District Attorney's Office is seeking to transfer the juvenile to the criminal division to face charges as an adult. Meanwhile, two other suspected members, Thalha Jubair and Owen Flowers, were arrested in the UK for their involvement in the Transport for London (TfL) hack. Despite the group's announcement of shutting down operations, security researchers remain skeptical, pointing to evidence of continued activity. Three members of Scattered Spider were arrested in September 2025, following their announcement of shutting down operations. Noah Urban, a key member of Scattered Spider, was sentenced to ten years in prison for his role in SIM-swapping and cybercrime activities. Urban's role involved social engineering to gain access to sensitive systems, using tactics such as SIM-swapping and phishing. Urban's activities included breaching T-Mobile's customer service portal and exploiting a Twilio employee's credentials. The group 0ktapus, which includes Scattered Spider members, was involved in high-profile breaches, including the theft of personal information from Gemini Trust. A man from West Sussex was arrested in connection with a ransomware attack that disrupted operations at several European airports, including Heathrow. The ransomware variant used in the attack was identified as HardBit, described as an "incredibly basic" variant. The attack affected Collins Aerospace baggage and check-in software, causing flight delays at multiple airports. The Co-operative Group in the U.K. reported a loss of £80 million ($107 million) due to a cyberattack in April 2025. The attack caused a revenue reduction of £206 million ($277 million) and additional losses of £20 million ($27 million) expected for the second half of 2025. The Co-op Group operates 2,300 food retail stores and 59 franchise stores. The cyberattack forced the Co-op to shut down parts of its IT systems, causing disruptions to back-office and call-center services. Scattered Spider affiliates were responsible for the Co-op cyberattack, stealing personal data of 6.5 million members. The Co-op had to rebuild its Windows domain controllers and extend system unavailability due to the attack. The U.K. National Crime Agency arrested four suspects linked to the Co-op cyberattack and similar incidents at Marks & Spencer and Harrods. The Co-op's response to the attack prevented encryption but resulted in significant financial impact and operational disruptions. The Co-op implemented manual processes, rerouted items, and offered discounts to mitigate the impact of the cyberattack. The Co-op faced stock allocation issues and a collapse in sales for certain categories, such as tobacco, due to the cyberattack. The Co-op maintained strong liquidity with £800 million available to navigate external pressures and maintain long-term ambitions.