Cybersecurity executive arrested in case linked to ShinyHunters

Canadian cybersecurity executive Edward Dubrovsky has been arrested in Pennsylvania over alleged extortion activity that multiple reports have linked to the FBI’s investigation of the ShinyHunters hacking group.

Dubrovsky, 54, has held senior roles at firms that help victims of data breaches and ransomware negotiate extortion payments. FBI Director Kash Patel said agents had arrested “another suspected co-conspirator” of ShinyHunters, but the FBI has not publicly identified Dubrovsky as that person. Politico and KrebsOnSecurity reported that Dubrovsky was arrested while attending a cybersecurity conference in Pennsylvania.

Court records show that Dubrovsky appeared in the Eastern District of Pennsylvania after his arrest. A later order says he was transferred to the Eastern District of Texas, where charges were filed, and remains in custody. The complaint is sealed; the docket lists conspiracy and extortion-related charges. The records do not make clear what he is accused of doing or whether the case is connected to the FBI’s jobs portal breach.

Dubrovsky co-founded Canadian cybersecurity company CYPFER and has also been associated with CyberSteward, a trade name used by CYPFER, according to Politico. The firms help organizations negotiate extortion payments, the outlet reported.

The FBI says ShinyHunters and associated actors breached more than 140 organizations and collected more than $70 million in extortion payments over the past year. The group is known for stealing data from web applications and cloud-based SaaS platforms and demanding ransom payments.