A leading mobile device insurance and service network in Germany, Einhaus Group, has initiated insolvency proceedings after struggling to recover from a devastating cyberattack that left it with crippling financial strains. The firm paid a ransom of around $230,000 to hackers “Royal” who encrypted its systems, causing an immediate impact on the business. With operational systems down, Einhaus was forced to drastically reduce its workforce from 170 employees to just eight, and later sold its headquarters building in an attempt to overcome its rough patch. Despite three hacker suspects being apprehended by German law enforcement, the firm’s efforts to recover its ransom funds were unsuccessful, with the prosecutor’s office refusing to release the money until it had completed its investigation.
Source: https://www.tomshardware.com/tech-industry/cyber-security/leading-phone-repair-and-insurance-firm-collapses-after-paying-crippling-ransomware-demand-cutting-100-employees-to-just-eight-wasnt-enough