Data Breach Caused £77 Million in Losses

On 16 and 21 October 2015 Matthew Hanley hacked the TalkTalk website and stole personal details of over 150,000 customers. This included their full names, postal addresses, telephone numbers, dates of birth and banking details. Hanley handed the data over to Connor Allsopp to sell to Daniel Kelley, who had the intention of committing fraud with the information. Kelley then tried to extort 465 bitcoins (around US$2 million) from Dino Harding – the CEO of the company at the time.

Considerable damages

TalkTalk suffered massive losses. The breach cost the company a staggering £77 Million in financial losses, including a fine of £400,000 levied on the company by the Information Commissioner’s Office (ICO) for their failure to carry out fundamental security measures required to prevent a security breach such as this from happening. This is not to mention the implications the attack has on future business for the company. Who wants to subscribe to a vulnerable supplier? The attack also caused severe distress and misery to the people whose confidential information were stolen and then passed on to a third party.

Two individuals of extraordinary talent

The court case took place on Monday, 19 November at Old Bailey where Judge Anuja Dhir presided. The Judge said that it is tragic that the two hackers have such extraordinary talent. During the trial, Matthew Hanley (23), and Connor Allsopp (21) admitted to the crimes against TalkTalk. Until his arrest on October 2015, Hanley was an unwavering hacker – he was fully aware that what he was doing is illegal, and of the risk involved in it. The hacker was sentenced to one year in prison and his associate Allsopp received an eight-month sentence. Described by Judge Dhir as a ‘dedicated hacker’ Hanley’s sentence was longer than Allsop’s who ostensibly played a lesser role in the cybercrime.