Dark Reading is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Threat Intelligence

1/5/2021
04:30 PM
50%
50%

SolarWinds Hit With Class-Action Lawsuit Following Orion Breach

SolarWinds shareholders accuse the company of lying about its security practices ahead of the disclosure of a massive security incident.

A class-action lawsuit filed against SolarWinds and some of its executives accuses the company of lying and misleading shareholders about its security posture in the year leading up to its disclosure of a massive breach affecting public and private entities.

Related Content:

Microsoft Confirms Its Network Was Breached With Tainted SolarWinds Updates

How Data Breaches Affect the Enterprise

New From The Edge: Homomorphic Encryption: The 'Golden Age' of Cryptography

The suit was filed by shareholders and names SolarWinds, in addition to outgoing CEO Kevin Thompson and CFO Barton Kalsu, as defendants. It alleges Thompson and Kalsu, who were involved with the company's daily operations and had access to proprietary data, made false and misleading statements to the Securities and Exchange Commission throughout last year.

The complaint states that SolarWinds "failed to disclose the following adverse facts pertaining to the Company's business, operations, and prospects, which were known to Defendants or recklessly disregarded by them." 

It continues to say SolarWinds failed to disclose that since mid-2020, its Orion monitoring tools had a vulnerability that enabled attackers to compromise the server on which its products ran. It also notes the company's update server had an easily accessible password of "solarwinds123." Consequently, SolarWinds customers would be vulnerable to hacks and, as a result, the company would suffer "significant reputational harm," the suit states. 

"As a result, Defendants' statements about SolarWinds's business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times," according to the suit.

Read more details here.

Dark Reading's Quick Hits delivers a brief synopsis and summary of the significance of breaking news events. For more information from the original source of the news item, please follow the link provided in this article. View Full Bio
 

Recommended Reading:

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
and24v1
50%
50%
and24v1,
User Rank: Apprentice
1/7/2021 | 11:06:18 AM
A company like this should've known better
I think it would be something logical to think that a company like SolarWinds would have better security protocols, specially considering the kind of clients they provide software to. A surprising thing would be that their clients are not mad at them, and with all the information lost, the way that they managed the situation might be something at a lawsuit level. It's not that I have something against them, but if I, as a client, would've been missmanaged like this, I think I would be mad too. Thanks for the info!
News
FluBot Malware's Rapid Spread May Soon Hit US Phones
Kelly Sheridan, Staff Editor, Dark Reading,  4/28/2021
Slideshows
7 Modern-Day Cybersecurity Realities
Steve Zurier, Contributing Writer,  4/30/2021
Commentary
How to Secure Employees' Home Wi-Fi Networks
Bert Kashyap, CEO and Co-Founder at SecureW2,  4/28/2021
Register for Dark Reading Newsletters
White Papers
Video
Cartoon Contest
Current Issue
2021 Top Enterprise IT Trends
We've identified the key trends that are poised to impact the IT landscape in 2021. Find out why they're important and how they will affect you today!
Flash Poll
How Enterprises are Developing Secure Applications
How Enterprises are Developing Secure Applications
Recent breaches of third-party apps are driving many organizations to think harder about the security of their off-the-shelf software as they continue to move left in secure software development practices.
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2021-32094
PUBLISHED: 2021-05-07
U.S. National Security Agency (NSA) Emissary 5.9.0 allows an authenticated user to upload arbitrary files.
CVE-2021-32095
PUBLISHED: 2021-05-07
U.S. National Security Agency (NSA) Emissary 5.9.0 allows an authenticated user to delete arbitrary files.
CVE-2021-32096
PUBLISHED: 2021-05-07
The ConsoleAction component of U.S. National Security Agency (NSA) Emissary 5.9.0 allows a CSRF attack that results in injecting arbitrary Ruby code (for an eval call) via the CONSOLE_COMMAND_STRING parameter.
CVE-2021-32098
PUBLISHED: 2021-05-07
Artica Pandora FMS 742 allows unauthenticated attackers to perform Phar deserialization.
CVE-2021-32099
PUBLISHED: 2021-05-07
A SQL injection vulnerability in the pandora_console component of Artica Pandora FMS 742 allows an unauthenticated attacker to upgrade his unprivileged session via the /include/chart_generator.php session_id parameter, leading to a login bypass.