Another Arrest Made in Last Year's MGM Resorts, Caesars Hacks

In the ongoing battle against cybercrime, a 17-year-old from England has been taken into custody for his alleged involvement with a notorious hacking group, Scattered Spider. The group is allegedly behind the attacks that targeted MGM Resorts International, Caesars Entertainment and other properties last year.

The sign outside the MGM Grand resort in Las Vegas. (Source: Getty Images)

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This arrest comes just a month after the apprehension of the supposed leader of Scattered Spider. The teenager, whose name has not been released, is suspected of participating in a string of ransomware attacks that have plagued American businesses, causing substantial operational disruptions and financial losses.

Related: MGM Cyberattack to Cost the Company $100 Million

A statement by the West Midlands Police Department explained that the teen faces allegations of blackmail and violations of the UK's Computer Misuse Act. He has not yet been officially charged, and additional charges may be applied. The teen was released on bail pending further investigation.

MGM shared its congratulations on the arrest, as did Microsoft. The latter said in a statement, "Microsoft commends law enforcement for taking action against those that seek to cause harm, and we remain committed to collaborating with others across the public and private sector to collectively combat cyber threats and make the Internet a safer place."

The arrest was the result of a concerted effort by multiple international law enforcement agencies, highlighting the global nature of cybercrime and the necessity for cross-border cooperation. The FBI, along with other agencies, played a crucial role in the coordination of this operation.

It isn't clear if the latest arrest was a result of the previous arrest in June. In that incident, Spanish police intercepted the alleged leader of Scattered Spider as he was boarding a plane from Palma de Mallorca to Italy. So far, three alleged members of the hacking group have been arrested, with the first occurring in Florida late last year.

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Background of the Attacks

In September 2023, the gaming and hospitality industry was rocked by a series of cyberattacks that targeted MGM Resorts and Caesars. The attacks, both of which were attributed to Scattered Spider, caused significant disruptions to both companies' operations.

MGM Resorts experienced a system-wide outage that lasted for several days, impacting everything from hotel bookings to casino operations. The attack forced the closure of numerous properties across the US, resulting in substantial financial losses and inconvenience for guests.

Caesars also fell victim to the Scattered Spider group. While the company managed to avoid a widespread shutdown, it is believed to have paid a ransom of tens of millions of dollars to prevent the hackers from releasing stolen data. The incident highlighted the growing threat of ransomware attacks and the significant financial impact they can have on businesses.

Scattered Spider, a relatively new hacking group, gained notoriety through these high-profile attacks. The group is believed to be composed of young individuals based in the US and the UK. Its modus operandi involves using social engineering tactics to gain access to corporate networks, followed by deploying ransomware to encrypt sensitive data and extort victims.

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