US Security and Exchange Commission (SEC) has launched a serious probe on SolarWinds’s massive data breach of 2020. Thus, pretty soon, the software developer might face legal action that could land it up in paying a huge penalty.
Although the cyber incident was discovered almost two years ago, its consequences took time to be unraveled or detected by the law enforcement and forensic experts.
According to the preliminary inquiries, the company did not guestimate its security posture properly and because of this laxity; it pushed all its customers and partners into cybersecurity risks.
Therefore, the company is said to face a harsh legal action as it allowed the potential hackers lurk on the organization’s network well over a year, before being discovered.
Hence, the financial regulator has issued a legal notice to SolarWinds as it failed to detect the hackers who then compromised several government and private networks, including NASA, the Justice Department, hospitals, universities and Homeland Security along with Microsoft and several other Fortune 500 companies.
Russia was attributed as the nation behind the attack and the CISA gave an endorsement to the link in its September 2021 released detailed report.
NOTE- In October this year, financial organization Morgan Stanley was penalized for well over $35 million for showing data security lapses in its way to deal with customer information. SEC also slapped a penalty on world renowned celebrity Kim Kardashian $1.35 million for failing to disclose her earnings from a digital currency product endorsement.
