MonsterCloud Owner Charged with $19M Ransomware Fraud Scheme

The U.S. Department of Justice has charged Zohar Pinhasi, owner of MonsterCloud, with defrauding ransomware victims by secretly paying ransoms to attackers while claiming to use proprietary tools for decryption. Pinhasi allegedly billed clients significantly more than the ransoms he paid, earning over $19 million while paying $8 million in ransoms. The charges include wire fraud and conspiracy, with a potential prison sentence of up to 20 years per count.