Ransomware attack forces Arkansas CEO to fire 300 employees days before Christmas

Dhruv2193

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Nov 7, 2016
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The chief executive officer of a telemarketing company in Sherwood, Arkansas has let go 300 employees after the company failed to recover from a ransomware infection months back.

In a deeply apologetic letter to employees, The Heritage Company CEO Sandra Franecke said two months ago their servers were attacked by hackers who demanded a ransom to unlock the systems. Despite paying the attackers what they demanded, the company struggled to get back on its feet. The company could no longer pay wages so the CEO decided to close shop and let everyone go.
For full article- please refer to source above.
 

upnorth

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I read the letter but still, no matter how compelling and honest that CEO try, she's main responsible for the decisions made before and now. The company have existed over 60 years so time itself was never the main issue. I also see the pattern of not inform the employees in time, but instead wait until it's too late anyway. Sadly a very common poor management/staff behavior in many companies worldwide. The CEO's written promises that the company only " temporarily suspending our services " I strongly doubt too many of the employees trust/believe in. Especially now.

Frankly, I'm not too fond of this specific " excuse me " letter even if I understand the CEO tries to give more and better information. The obvious lack off information what the so called IT staff/people actually is doing and been able to do ( what servers or clients are back etc ) and a better genuine ETA then a plain " but they still have quite a long way to go " is another sign IMO of not understanding the crucial importance of real communication. Telling everyone she at least saved their Christmas presents from her own pocket, is almost painful to read. Maybe she should have used the ransomware money to pay her employees wages instead. :rolleyes:

I can not stress enough how stupid it is and was also in this case to pay the ransom. The CEO or the board should have invested every single cent and dollar instead into a better new IT infrastructure, even if it would put a block/hold on the production as now finally their eyes are wide open ( Shaka. When the walls fell. :p ). They for sure had no problem temporarily closing down " shop " now, so why not also before. Yes, it's always dead easy being wise after, but most of us here on MT know more then well enough that almost any working and verified backup system would have saved the day but, that's of course a very poor comfort for all those 300 employees and their families and kids as it never happened. It's really heartbreaking and tragic.

The low life thieves, I applaud every single time I see law enforcement putting one of those rats behind bars.
 
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BigWrench

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Apr 13, 2014
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I read the letter but still, no matter how compelling and honest that CEO try, she's main responsible for the decisions made before and now. The company have existed over 60 years so time itself was never the main issue. I also see the pattern of not inform the employees in time, but instead wait until it's too late anyway. Sadly a very common poor management/staff behavior in many companies worldwide. The CEO's written promises that the company only " temporarily suspending our services " I strongly doubt too many of the employees trust/believe in. Especially now.

Frankly, I'm not too fond of this specific " excuse me " letter even if I understand the CEO tries to give more and better information. The obvious lack off information what the so called IT staff/people actually is doing and been able to do ( what servers or clients are back etc ) and a better genuine ETA then a plain " but they still have quite a long way to go " is another sign IMO of not understanding the crucial importance of real communication. Telling everyone she at least saved their Christmas presents from her own pocket, is almost painful to read. Maybe she should have used the ransomware money to pay her employees wages instead. :rolleyes:

I can not stress enough how stupid it is and was also in this case to pay the ransom. The CEO or the board should have invested every single cent and dollar instead into a better new IT infrastructure, even if it would put a block/hold on the production as now finally their eyes are wide open ( Shaka. When the walls fell. :p ). They for sure had no problem temporarily closing down " shop " now, so why not also before. Yes, it's always dead easy being wise after, but most of us here on MT know more then well enough that almost any working and verified backup system would have saved the day but, that's of course a very poor comfort for all those 300 employees and their families and kids as it never happened. It's really heartbreaking and tragic.

The low life thieves, I applaud every single time I see law enforcement putting one of those rats behind bars.
ABSOLUTELY AGREE 👍👍👍
 

plat

Level 29
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Sep 13, 2018
1,793
no matter how compelling and honest that CEO try, she's main responsible for the decisions made before and now.

That's it in a nutshell. As always, the true victims are the ones who need and depend on the affected company or agency. In this case, the victims are the employees who helplessly watched their livelihoods go swirling down the drain. A very SAD day.

Not only the ransom operators should pay and dearly, but those who enabled the ransomware to happen. It's almost the flip side of the same coin. Don't waste your time and mine pleading ignorance and lack of funding. In this day and age, this is inexcusable.
 

upnorth

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Another thing that this story don't tell, is the possible subcontractors or so called spare part companies that even them can get negative hit or effected when their main buyer suddenly goes out of business. Like rings on water this could potentially have effected many more then those 300.

It's very common that certain specialized companies exist mainly to produce products to other companies. They can't just snap their fingers and suddenly start produce something else.
 

plat

Level 29
Top Poster
Sep 13, 2018
1,793
Not only that, the decision to fund a party very likely hostile to the US is pure idiocy. This idiot (yes, idiot) is not only insulting the intelligence of those who were loyal to her company, but has caused the ruin of hundreds of lives with unemployment. These people have little kids, no doubt, and other dependents. How profoundly callous and unthinking! She should be investigated and punished accordingly. If she wants tears of sympathy, she can whistle for it.

That so-called "letter" that lady fabricated made me ill, I couldn't even finish reading it.
 

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