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Showing posts with label Medical Data breach. Show all posts

Supreme Court to Hear Case Over 1.5 Lakh Medical Records Breach





The Supreme Court has issued notice on a petition seeking a Central Bureau of Investigation (CBI) probe into an alleged cyberattack that Vitraya Technologies claims resulted in the theft of medical, insurance and other sensitive personal information belonging to nearly 1.5 lakh Indian citizens.

A three-judge bench comprising Chief Justice of India Surya Kant and Justices Joymalya Bagchi and V Mohana agreed to examine the petition filed by Vitraya Technologies Pvt Ltd, a health-tech company that operates a technology platform for automating and settling health insurance claims.

The case places the alleged compromise of highly sensitive healthcare information alongside questions about the adequacy of the police investigation and the protection of informational privacy. The company has approached the court under Article 32 of the Constitution, arguing that the alleged breach has implications for the fundamental right to privacy protected under Article 21.

During the hearing, senior advocate K Parameshwar, appearing for Vitraya, told the court that the alleged intrusion affected data across six states and that the company had been approaching authorities since the incident was reported in 2025.

Parameshwar said Vitraya submitted its initial complaint in March 2025 but that an FIR was not registered until August 29, 2025. He also questioned why the case continued to name unknown persons despite the company claiming that it had supplied investigators with technical information concerning the suspected intrusion.

The counsel told the bench that Vitraya had also provided information concerning a server in Singapore to which the company's investigation allegedly traced medical records belonging to almost 1.5 lakh Indians.

The petition seeks transfer of the investigation to the CBI. In the alternative, Vitraya has asked the Supreme Court to order a court-monitored Special Investigation Team (SIT).


Alleged attack began with unauthorised access

According to the petition, Vitraya detected what it described as a coordinated cyberattack in February 2025.

The alleged activity included repeated brute-force login attempts against the company's systems, unauthorised access to its digital infrastructure, bulk downloading of confidential records and the extraction of sensitive customer information.

The data allegedly exposed in the incident includes medical records, health insurance claim information, Aadhaar-linked details and other personally identifiable information.

The combination of medical information with identity and insurance data makes the alleged incident particularly sensitive. Medical records can contain information about an individual's diagnoses, treatment history and health conditions, while Aadhaar-linked information can connect those records to an identifiable individual.

Vitraya's own platform is designed to handle this type of information. The company says its technology automates health insurance claims using artificial intelligence, machine learning, medical natural-language processing and blockchain-based smart contracts. It describes its platform as being used by more than 6,000 hospitals and says it processes approximately 10 million claims worth around $2 billion annually.

The company's technology infrastructure therefore sits within a data-intensive part of the healthcare and insurance ecosystem, where information can move between healthcare providers, insurers and technology platforms during the claims process.


Vitraya alleges attack was linked to rival companies

Following an internal forensic investigation, Vitraya claims that its security team identified suspicious IP addresses, server activity and other digital footprints that it says were associated with Remedinet Technologies Pvt Ltd and IHX Pvt Ltd.

The petition further alleges that these entities were connected to Bessemer Venture Partners and that the alleged activity involved Bessemer, Medi Assist, Perfios Software Solutions Pvt Ltd and other entities described by Vitraya as competitors.

These allegations have not been established by the Supreme Court. The companies named in the petition should not be treated as responsible for the breach unless an investigation establishes their involvement.

Vitraya says its forensic examination produced technical material that it subsequently supplied to investigators. The company claims this included server information, IP addresses, technical logs, details concerning the alleged actors and other documentary evidence.

The company approached Punjab's cybercrime authorities on March 5, 2025, according to the petition.

However, Vitraya alleges that its repeated representations and cooperation during the preliminary inquiry did not result in an FIR for almost six months.

The FIR was ultimately registered on August 29, 2025, at the Punjab State Cyber Crime Police Station in SAS Nagar. According to the petition, the case was registered under Sections 66 and 66B of the Information Technology Act and against unknown persons.

Under the IT Act, Section 66 addresses computer-related offences committed dishonestly or fraudulently, while Section 66B deals with dishonestly receiving or retaining stolen computer resources or communication devices while knowing, or having reason to believe, that they are stolen.

Vitraya has argued that the provisions used in the FIR do not adequately reflect the scale and complexity of the alleged incident. The company has also questioned why the FIR continued to identify the suspects as unknown despite the technical material it says had already been provided to police.


Company questions progress of investigation

The petition alleges that the investigation has not involved sufficient forensic examination or preservation of the digital evidence relevant to the alleged attack.

Vitraya claims that investigators have not undertaken substantial measures such as examining or seizing relevant digital infrastructure, preserving electronic evidence or conducting custodial interrogation of suspected individuals.

The company argues that these alleged shortcomings are particularly important because the incident involves systems and entities operating across multiple jurisdictions.

According to Vitraya, the alleged breach spans six states, involves multiple corporate entities and includes digital infrastructure located outside India. The company has specifically referred to a Singapore-based server where it alleges that the compromised medical information was transferred.

The cross-border element could complicate an investigation because digital evidence may be distributed across different jurisdictions, requiring investigators to establish where systems and data were located, identify the parties controlling those systems and preserve evidence before it can be deleted, altered or moved.

The company therefore argues that the investigation requires an agency with the technical capacity and jurisdictional reach to examine the alleged attack.


Privacy concerns form central part of petition

Vitraya has also framed the alleged breach as a constitutional privacy issue rather than solely a dispute between competing businesses.

The petition relies on the Supreme Court's 2017 judgment in Justice K.S. Puttaswamy (Retd.) v. Union of India, in which a nine-judge Constitution Bench recognised privacy as a fundamental right protected under Article 21. The court held that privacy is intrinsic to the protection of life and personal liberty.

That constitutional framework is relevant to a case involving medical information because the alleged data does not merely concern commercial records. It potentially connects individuals with information about their health, treatment and insurance claims.

The petition consequently argues that the alleged unauthorised disclosure of such information affects citizens' informational privacy and digital autonomy.


India's data protection framework adds another layer

The case also arrives as India moves toward implementing its newer personal-data protection regime.

The Digital Personal Data Protection Act, 2023 establishes a framework governing the processing of digital personal data and creates obligations for organisations handling such information. The Act also provides for a Data Protection Board of India and includes provisions addressing data-fiduciary obligations, individual rights, grievance redressal and penalties.

However, the timing matters. The DPDP framework is being implemented in phases. The government notified the DPDP Rules in November 2025, while several substantive provisions of the Act and Rules are scheduled to take effect 18 months after the notification.

The alleged Vitraya intrusion was identified in February 2025, before those later implementation stages. The investigation therefore cannot simply be described as a test of the fully operational DPDP regime. Instead, the case sits at the intersection of India's existing cybercrime laws, constitutional privacy protections and the country's transition toward a dedicated personal-data protection framework.

Separately, CERT-In's directions under the Information Technology Act identify unauthorised access to IT systems or data, data breaches and data leaks among cybersecurity incidents that covered organisations are required to report.


Supreme Court seeks response on proposed CBI investigation

The Supreme Court's immediate action is limited to issuing notice on the petition. The court has not made a finding that the alleged breach occurred in the manner claimed by Vitraya, nor has it established the involvement of the companies named in the petition.

The petitioner is asking the court to transfer the investigation to the CBI because it considers the existing police investigation inadequate.

Alternatively, Vitraya has proposed a court-monitored SIT involving agencies with relevant cybersecurity expertise, including the CBI and CERT-In.

The company's argument is that the combination of alleged cross-state activity, foreign-hosted infrastructure, sensitive medical information, multiple corporate entities and digital forensic evidence makes the case unsuitable for a routine investigation.

The Supreme Court's notice now places the investigation and the requested transfer before the respondents, including the Union government, the CBI and the Punjab government.

The case could therefore become an important test of how Indian authorities investigate alleged large-scale breaches involving healthcare data, cross-border infrastructure and competing corporate entities, particularly when the affected information includes medical records and government-linked identifiers.

For now, however, the allegations remain subject to investigation and judicial consideration.

Iran-Linked Handala Hackers Claim Breach of Israel’s Clalit Healthcare Network

 

A breach at Israel’s biggest health provider has been tied to an Iranian-affiliated hacking collective, which posted stolen patient records online. Claiming credit, a network calling itself Handala detailed the intrusion via public posts. Access reportedly reached Clalit Health Services’ core data stores. That institution cares for around fifty percent of the country’s residents. 

More than ten thousand people saw their medical files exposed, the hackers stated. Samples of what they say is real data now sit on public servers - names, test results, health scans tucked inside. Handala issued a statement saying Israel's hospital networks were left reeling after the breach, calling defenses weak and slow. What followed was not subtle: laughter at how easily systems gave way.  

Not just an attack, but positioned as resistance - this action followed claims of long-standing control and abuse. Echoing past messages, the announcement carried familiar tones seen when digital strikes hit Israeli bodies before. 

A strange post appeared online just hours before the reveal - hinting at something unfolding within Israel’s medical system. By next morning, reports confirmed a possible leak of sensitive information. Right after hearing about it, Clalit's cyber defense units started looking into what happened. Government agencies got updates right away, since detection tools kicked in under standard procedures. 

While checks are still underway, hospital networks remain stable and running without disruption. A fresh incident highlights ongoing digital operations tied to Iran, aimed at entities and people in Israel. In recent years, outfits connected to Tehran have faced claims of seeking information, interfering with key bodies, while also trying to pull in collaborators using internet exchanges along with money offers. 

Now known for bold statements, Handala has taken credit for multiple major cyber events, experts note. While Check Point Research points out that some assertions appear inflated, a few of those declarations align with verified breaches. Unexpected overlaps between claim and evidence keep scrutiny alive. 

In December, hackers revealed they had gained access to ex-Prime Minister Naftali Bennett’s Telegram messages. Confirmation came from Bennett's team - yes, the account was reached, yet his device remained untouched. 

Later, these attackers stated they went after more individuals in politics. Among them: ex-minister Ayelet Shaked and Tzachi Braverman, a close associate of Netanyahu. Earlier, Israel's medical system dealt with digital attacks. Last October, hackers targeted Assaf Harofeh Medical Center using ransomware linked to Qilin. Patient records were at risk when the criminals asked for 70,000 dollars. Threats to expose sensitive information followed if payment failed. 

Later, officials pointed to Iran’s likely involvement in that incident too - showing how digital attacks are becoming a key part of the strain between these nations.

UnitedHealth Confirms Change Healthcare Cyberattack Impacted 190 Million People

 

UnitedHealth Group has officially disclosed that the February ransomware attack on its subsidiary, Change Healthcare, affected approximately 190 million individuals in the U.S.—nearly twice the previously estimated figure.

The healthcare giant confirmed the revised number in a statement to TechCrunch on Friday, after market hours.

“Change Healthcare has determined the estimated total number of individuals impacted by the Change Healthcare cyberattack is approximately 190 million,” said Tyler Mason, a UnitedHealth spokesperson, in an email to TechCrunch. “The vast majority of those people have already been provided individual or substitute notice. The final number will be confirmed and filed with the Office for Civil Rights at a later date.”

UnitedHealth also stated that there is no evidence suggesting the stolen data has been misused. “The company is not aware of any misuse of individuals’ information as a result of this incident and has not seen electronic medical record databases appear in the data during the analysis,” the spokesperson added.

The cyberattack, which occurred in February 2024, stands as the most significant medical data breach in U.S. history. It led to prolonged disruptions across the healthcare sector. Change Healthcare, a leading health tech provider and claims processor, handles vast amounts of patient data, medical records, and insurance information.

Hackers behind the attack stole an extensive volume of sensitive health and insurance data, some of which was leaked online. Reports indicate that Change Healthcare paid at least two ransom payments to prevent further exposure of the compromised files.

Initially, UnitedHealth estimated the number of impacted individuals to be around 100 million when it filed a preliminary report with the Office for Civil Rights, a division of the U.S. Department of Health and Human Services that oversees data breaches.

According to Change Healthcare’s breach notification, the cybercriminals accessed and stole:

  • Names, addresses, phone numbers, and email addresses
  • Dates of birth and government-issued ID numbers (Social Security, driver’s license, passport)
  • Medical diagnoses, prescriptions, lab results, imaging, and treatment plans
  • Health insurance details
  • Financial and banking data related to patient claims
The breach has been attributed to the ALPHV ransomware group, a Russian-language cybercrime network. During congressional testimony, UnitedHealth CEO Andrew Witty revealed that attackers gained access through a stolen credential that lacked multi-factor authentication, highlighting a critical security lapse.

As the healthcare industry grapples with the aftermath, this breach underscores the urgent need for enhanced cybersecurity measures to safeguard sensitive medical data.


Medusind Data Breach Exposes Health and Personal Information of 360,000+ Individuals

 

Medusind, a major provider of billing and revenue management services for healthcare organizations, recently disclosed a data breach that compromised sensitive information of over 360,000 individuals. The breach, which occurred in December 2023, was detected more than a year ago but is only now being reported publicly. 

The Miami-based company supports over 6,000 healthcare providers across 12 locations in the U.S. and India, helping them streamline billing processes and enhance revenue generation. According to a notification submitted to the Maine Attorney General’s Office, the breach was identified when Medusind noticed suspicious activity within its systems. 

This led the company to immediately shut down affected systems and enlist the help of a cybersecurity firm to investigate the incident. The investigation revealed that cybercriminals may have gained access to and copied files containing personal and medical details of affected individuals. Information compromised during the breach includes health insurance details, billing records, and medical data such as prescription histories and medical record numbers. Financial data, including bank account and credit card information, as well as government-issued identification, were also exposed. 

Additionally, contact details like addresses, phone numbers, and email addresses were part of the stolen data. In response, Medusind is providing affected individuals with two years of free identity protection services through Kroll. These services include credit monitoring, identity theft recovery, and fraud consultation. The company has advised individuals to stay vigilant by reviewing financial statements and monitoring credit reports for unusual activity that could indicate identity theft. 

This breach highlights the increasing cybersecurity challenges facing the healthcare industry, where sensitive personal information is often targeted. To address these risks, the U.S. Department of Health and Human Services has proposed updates to the Health Insurance Portability and Accountability Act (HIPAA). These proposed changes include stricter requirements for encryption, multifactor authentication, and network segmentation to protect patient data from cyberattacks. The Medusind incident follows a series of high-profile breaches in the healthcare sector.

In May 2024, Ascension reported that a ransomware attack had exposed data for 5.6 million individuals. Later in October, UnitedHealth disclosed a breach stemming from a ransomware incident affecting over 100 million people. As healthcare providers continue to face cyber threats, the urgency to implement robust data security measures grows. Medusind’s experience serves as a reminder of the significant risks posed by such breaches and the importance of safeguarding sensitive information.

Johnson & Johnson Reveals: IBM Data Breach Compromised Customer Data


Johnson & Johnson Health Care Systems (Janssen) recently informed their CarePath customers of a third-party data breach involving IBM, that has resulted in the compromise of their sensitive information.

IBM is a technology service provider for Janssen. In particular, it oversees the administration of the CarePath application and database.

CarePath is a software program created to assist patients in obtaining Janssen medications, provide discounts and cost-saving tips on prescriptions, explain insurance eligibility, and provide drug refiling and administration reminders.

The pharmaceutical company learned about an undocumented technique that could provide unauthorized individuals access to the CarePath database, according to the notification on Janssen's website.

Later, the company informed the issue to IBM that swiftly took action in patching the security gap and conducted an internal investigation to see whether the bug had been exploited by anyone.

The investigation wrapped up in August 2nd, 2023, and revealed that unauthorized persons had access to the following CarePath user details, that are as follows: 

  • Full name 
  • Contact information 
  • Date of birth 
  • Health insurance information 
  • Medication information 
  • Medical condition information 

Users of CarePath who signed up for Janssen's online services before July 2nd, 2023, are affected by the exposure, which may be a sign that the breach happened on that date or that the compromised database was a backup.

Since social security numbers and financial account data was not involved in the database that was breached, critical details have not been revealed.

The company further revealed that the breach did not affect Janssen's Pulmonary Hypertension patients.

Given the significance of medical data, there is a strong likelihood that the leaked data will be sold for a premium on darknet markets. The compromised data could support very effective phishing, scamming, and social engineering attacks.

Also, IBM published an announcement in regards to the incident claiming that there are no signs that indicate that the stolen data has been exploited. However, it advises Janssen CarePath users to keep a sharp eye out for any unusual activity on their account statements./ The tech giant is now providing affected people with a free one-year credit monitoring to help shield them against fraud.

Both announcements include toll-free phone numbers that customers and providers can use to ask inquiries about the incident or get assistance signing up for credit monitoring services.

IBM is one of the hundreds of companies that were compromised by Clop ransomware earlier this year, when the notorious threat actors employed a zero-day vulnerability on the MOVEit Transfer software used by various organizations globally.

However, an IBM spokesperson on being asked if the recent attacks are related to the MOVEit attack confirmed that the two are in fact separate incidents caused by different threat actors.  

How Much Will Each Stolen Client SSN Cost You Now That You Have Been Pwned?


Following the theft from its systems of more than 447,000 patient names, Social Security numbers, and private medical information, a Florida healthcare organization has resolved a class-action lawsuit. 

Orlando Family physicians, which has 10 clinics in central Florida, has agreed to pay affected patients who submit a claim by July 1 a reimbursement and provide them two years of free credit monitoring. Patients may earn up to $225 or, for those whose SSNs were stolen, up to $7,500 depending on what kind of private information the thieves obtained. 

However, as part of the compensation, the physician organization denies any responsibility for the data heist. 

Court records reveal that the crime took place in April 2021 after thieves used a phishing scam to access the email accounts of four employees. As per Orlando Family Physicians, it “immediately” took the necessary steps, containing the intrusion and hires a “leading” security shop to determine the scope of intrusion. 

The health group, a few months later, published a notice on its website and sent letter to victims whose private information was compromised. The data apparently includes names, demographic information, health information, including diagnosis, medical record numbers, patient account numbers, passport numbers, providers and prescriptions; health insurance details, including legacy Medicare beneficiary numbers generated from the person's Social Security number or other subscriber identification number. 

However, according to the physician group “, the available forensic evidence indicates that the unauthorized person’s purpose was to commit financial fraud against OFP and not to obtain personal information about the affected individuals.” 

Moreover, OFP reported to the US Department of Health and Human Services, saying it potentially affected 447,426 individuals. 

Is Your PII Worth $250, or $75k? 

After the attorneys take their cut, of course, those hundreds of thousands of people whose personal information most certainly ended up for sale on a hacking forum are now eligible for a compensation. The settlement's overall sum is still undisclosed. 

There are two groups within the class that stand to gain monetarily. The first group, individuals who incurred out-of-pocket costs as a result of the theft, may file a claim for up to $225 in duly substantiated costs. This covers any expenses incurred while freezing or unfreezing credit reports, paying for credit monitoring services, or contacting banks about the occurrence, including notary, fax, mailing, copying, mileage, and long-distance phone costs. 

The victims can also file a claim for a time limit of up to three hours, compromised due to the security breach at the rate of $25 per hour. 

The second category consists of victims whose Social Security numbers were taken. These people are eligible to file claims for up to $7,500 for confirmed instances of identity theft, fabricated tax returns, or other forms of fraud that can be linked back to the initial hack. They as well can claim up to eight hours of lost time at $25 per hour. 

The settlement comes as ransomware gangs and other cybercriminals intensify their attacks on hospitals and other healthcare organizations, and the lawyers have responded by bringing numerous class-action cases. 

The aforementioned class-action lawsuit is proposed following an intrusion in February, wherein the BlackCat malware infiltrated one of the Lehigh Valley Health Network physician’s networks, stole sensitive health records belonging to more than 75,000 people, including pictures of patients receiving radiation oncology treatment, and then demanded a ransom to decrypt the files and stop it from posting the records online.