Berlin Mayor Kai Wegner has refused to pay a ransom demand from the Rhysida hacking group after the cybercriminals stole 5.79 terabytes of data from city systems.

Key Points

• The Rhysida ransomware group is demanding 30 bitcoin, approximately 2 million euros, to prevent the release of stolen municipal data.
• Hackers compromised city networks between August 7 and August 12, forcing the shutdown of housing benefit and payment application systems on August 14.
• The perpetrators have threatened to auction the stolen data publicly if their financial demands are not met within seven days.
• German state police, prosecutors, and federal security services are currently investigating the scope of the breach and the identity of the attackers.
• The Rhysida group is suspected of operating out of Russia and Eastern Europe and was previously linked to an attack on the British Museum.

Why it Matters

This incident highlights the growing vulnerability of municipal infrastructure to sophisticated ransomware attacks that disrupt essential public services. The city's refusal to pay sets a firm precedent for handling digital extortion, though it leaves the sensitive data of residents at risk of being leaked.