Data Breaches Expose Nearly 60,000 Customers in Asia: Adastria, Guangya Under Investigation
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Tokyo – A series of data breaches affecting Japanese multinational corporations has compromised the personal information of nearly 60,000 individuals across asia, prompting investigations and raising serious concerns about data security practices. The incidents, involving clothing retailer Adastria and jewelry manufacturer Guangya, underscore the escalating threat of cyberattacks and the importance of robust data protection measures.
adastria Data Leak: Scam Attempts and Dark Web Exposure
Adastria, which operates popular clothing brands like niko and…, GLOBAL WORK, and LOWRYS FARM, reported a data breach impacting 59,205 customers. The breach stemmed from unauthorized access to a third-party platform via a compromised employee account. Hackers, using administrator credentials, downloaded order information containing names, phone numbers, and delivery addresses.
The compromised data surfaced on the “dark web“ approximately two months after the initial intrusion, making it readily available for malicious purposes. Customers began reporting suspicious calls in early November, with scammers posing as Adastria employees and requesting bank account details under the guise of resolving quality issues with purchased goods.
Did You Know? The dark web is a hidden part of the internet that requires specific software to access, often used for illegal activities like selling stolen data.
Guangya Jewelry Breach: Outdated Security and Account Mismanagement
Guangya Jewelry Trading Co., Ltd., and its retail arm, Aijie management Co., Ltd., experienced a separate breach affecting approximately 79,400 individuals, including customers and employees. The incident involved a hacker gaining access through an account belonging to a former employee who had resigned thirteen years prior.The hacker exploited a brute-force attack to obtain credentials and afterward injected malware into the system, gaining control of the database server.
Investigations revealed critical security failings, including the use of outdated firewall and antivirus software, as well as an unsupported operating system for the database server-one that had reached its end-of-life four years ago. Furthermore, the companies failed to promptly disable the account of the former employee or implement multi-factor authentication, creating a significant vulnerability.
Pro Tip: Regularly review and revoke access privileges for former employees to minimize the risk of unauthorized access.
Privacy Commissioner’s Findings and Corrective Actions
The Privacy Commissioner’s Office, after thorough investigations, determined that both Adastria, Guangya, and Aijie failed to take adequate measures to protect personal data, violating provisions within the Privacy Ordinance. Zhong Liling, a personal data privacy specialist, emphasized the lack of proactive security measures by Adastria, stating, “If Adastria takes appropriate and sufficient institutional and technical measures before the incident, this data leakage accident is quite a chance to avoid.”
The Commissioner has issued enforcement notices requiring the companies to rectify the violations and implement preventative measures to avoid future incidents. These measures include strengthening password management, enabling multi-factor authentication, restricting IP address access, and promptly deleting inactive accounts.
Summary of Data Breaches
| Company | Number of Individuals Affected | Type of Data Compromised | Root Cause |
|---|---|---|---|
| Adastria | 59,205 | Names, phone numbers, delivery addresses | Compromised employee account via third-party platform |
| Guangya/Aijie | 79,400 | Names, Hong kong ID numbers, date of birth, phone numbers, date of entry | Outdated software, compromised former employee account |
These breaches highlight the growing need for organizations to prioritize cybersecurity and data protection. According to a 2023 report by IBM, the average cost of a data breach reached a record high of $4.45 million [[1]], emphasizing the significant financial and reputational risks associated with inadequate security measures.
What steps can businesses take to better protect customer data in an increasingly complex threat landscape? How can individuals safeguard their personal information from falling into the wrong hands?
Data breaches have become increasingly common in recent years, driven by the sophistication of cybercriminals and the expanding digital landscape. The rise of remote work and cloud computing has further broadened the attack surface, creating new vulnerabilities for organizations to address. Proactive security measures, including regular vulnerability assessments, employee training, and robust incident response plans, are essential for mitigating the risk of data breaches. Furthermore, compliance with data privacy regulations, such as GDPR and CCPA, is crucial for protecting customer data and avoiding hefty fines.
Frequently Asked Questions about Data Breaches
- What is a data breach? A data breach is a security incident where sensitive, protected, or confidential data is copied, transmitted, viewed, stolen or used by an individual unauthorized to do so.
- What should I do if I suspect my data has been compromised? Immediately change your passwords, monitor your financial accounts for suspicious activity, and report the incident to the relevant authorities.
- How can companies prevent data breaches? Implement strong security measures, including firewalls, intrusion detection systems, and data encryption. Regularly update software and conduct security audits.
- What is multi-factor authentication? Multi-factor authentication adds an extra layer of security by requiring users to provide multiple forms of identification, such as a password and a code sent to their phone.
- What are the legal implications of a data breach? Companies that experience data breaches may face legal penalties, including fines and lawsuits, depending on the severity of the breach and the applicable data privacy regulations.
We hope this report provides valuable insights into the recent data breaches and the importance of data security. Please share this article with your network to raise awareness about this critical issue. We encourage you to leave your comments and questions below, and subscribe to our newsletter for the latest updates on cybersecurity and data privacy.