Aleksei Volkov, a 26-year-old from St. Petersburg, Russia, was sentenced on Mar. 24 to 81 months in federal prison for his role in assisting major cybercrime groups with ransomware attacks against U.S. companies and organizations. The sentencing follows Volkov’s extradition from Italy after he was indicted in both the Southern District of Indiana and Eastern District of Pennsylvania.
The case highlights the significant threat posed by international cybercriminals targeting American businesses through sophisticated hacking schemes. Prosecutors say Volkov’s actions led to over $9 million in actual losses and more than $24 million in intended losses.
According to court documents, Volkov acted as an initial access broker by gaining unauthorized entry into corporate computer networks and selling that access to other cybercriminals, including the Yanluowang ransomware group. These groups then deployed malware that encrypted victims’ data, demanding ransoms sometimes totaling tens of millions of dollars in cryptocurrency for its release or non-disclosure.
As part of his plea agreement, Volkov admitted to hacking into numerous networks, stealing data, deploying ransomware, demanding payments from victims, and sharing ransom proceeds with co-conspirators. He agreed to pay restitution amounting to at least $9,167,198.19 and will forfeit equipment used during his crimes.
Tom Wheeler, U.S. Attorney for the Southern District of Indiana said: “This case shows the strength and determination of our federal prosecutors and partners to protect American companies from global cybercriminals. If you assist ransomware groups in targeting our businesses, we will use the vast resources of the federal government to ensure you face the full force of the United States justice system.” FBI Indianapolis Special Agent in Charge Timothy J. O’Malley said: “This conviction sends a strong message: the FBI will relentlessly pursue cybercriminals who target U.S. companies and consumers.” Assistant Attorney General A. Tysen Duva added: “The defendant thought he could hide behind a keyboard and evade justice… The Department of Justice will continue to pursue cybercriminals like Mr. Volkov wherever they operate and ensure that they face consequences for their actions.”
The investigation was conducted by the FBI with assistance from The Justice Department’s Office of International Affairs as well as Italian law enforcement authorities.
