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World’s Biggest Meat Processing Company Faces Cyber Attack Disrupting Operations In Australia And Canada

by Shaheer Ansari
June 2, 2021
in Tech
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The world’s largest meat processing company has been a target of a complex cyber attack.

JBS’ computer networks were hacked, temporarily shutting down operations in Australia, Canada and the US, with thousands of employees affected.

The company believes the ransomware attack came from a group of criminals who may be based in Russia, the White House said.

Ransomware Attack

These attacks can lead to meat shortages or increase consumer prices.

In a ransomware attack, hackers hack into a computer network and threaten to create or delete files if their paying a ransom demand is not met.

The White House says the FBI is investigating the attack.

“JBS has informed [the White House] that the compensation comes from a criminal organization that is likely to be based in Russia,” White House spokeswoman Karine Jean-Pierre said on Tuesday.

Is Russia Involved?

“The White House is in direct contact with the Russian government on this matter and conveys the message that the countries concerned do not harbour ransomware criminals,” she added.

Russia’s Deputy Foreign Minister Sergei Ryabkov on Wednesday told local media that Biden’s management had been in contact with Moscow to discuss the incident.

About The Company

JBS is the largest meat supplier in the world with more than 150 plants in 15 countries

It was founded in Brazil in 1953 as a butcher’s business by farmer José Batista Sobrinho

The company now has more than 150,000 employees worldwide

Its customers include McDonald’s supermarkets and fast food stores

In the US, JBS processes about one-quarter of the world’s cattle and one-fifth of its pig population

Significant Progress

JBS has said it has made “significant progress” in resolving the cyber attack and hopes most of its plants will be operational by Wednesday.

The company said on Monday it shut down all affected IT systems as soon as the attack was detected, and that its backup servers were not hacked.

The United Food and Commercial Workers’ Union, which represents the JBS plant workers, has called on the company to ensure that workers are still paid.

IT systems are essential to modern meat processing plants, with computers used in many stages including billing and shipping.

According to the Beef Central trade group, “supermarkets and other major consumers such as McDonald’s burger patty supply network will become affected customers very quickly, due to their need for consistent provision”.

The five largest JBS beef plants are in the US, and the closure has halted one-fifth of meat production there, according to Bloomberg.

Previous Instances Of Cyber Attacks

Crops in Australia and Canada have also been affected but the operation of the South American company has not been affected.

Last month, gasoline delivery to the southeastern US was disrupted a few days after a rocket attack targeted the Colonial Pipeline. Investigators say the attack was linked to a group with Russian ties.

The Colonial Pipeline has confirmed that it has paid a $ 4.4m (£ 3.1m) ransom to the criminal gang.

The US government had earlier warned companies not to pay criminals for ransomware attacks, in the event that they invited more hacks in the future.

Tags: JBSRansomware
Shaheer Ansari

Shaheer Ansari

Shaheer is a Business, Finance, DeFi, and Entertainment journalist. He enjoys keeping up to date with industry happenings and gossips, thereby enabling him to report well-researched and latest stories to our readers.

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