FBI Arrests Canadian Ransomware Negotiator Over Alleged Links to ShinyHunters Extortion Group

Agents with the FBI arrested the co-founder of a Canadian cybersecurity firm on Thursday, in connection with an investigation into the ShinyHunters hacking group, according to multiple sources cited by Krebs on Security. The group recently obtained sensitive data on thousands of FBI agents. The New York Times reported that a Canadian man was arrested in Pennsylvania on suspicion of assisting ShinyHunters, but did not name him.

One source told Krebs on Security the person arrested was visiting Pennsylvania for a cyber insurance conference, and that his company specialised in handling ransomware negotiations with cybercrime groups. Another source said control of the investigation has been centralised at an FBI field office in Texas. The publication linked the arrest to Edward Dubrovsky, a co-founder of Cypfer who is now associated with CyberSteward. Both firms were sponsors of the Cyber Risk Summit in Philadelphia in early October. Krebs on Security has not confirmed the identity through official statements.

Federal court records show that on October 8, a man named Edward Dobrovsky (a slightly different spelling) was arrested in Pennsylvania on cyber extortion and conspiracy charges. Many documents, including the core complaint, are sealed. A summary of the complaint charges conspiracy to threaten to impair the confidentiality of information with intent to extort money, and interference with commerce by threats. These are allegations only, and this report covers just the opening of a developing story.