Servers of the Pimpri-Chinchwad Smart City project were infected with a ransomware, with attackers encrypting data and demanding payment in Bitcoin for decrypting the lost information, the Economic Times reported. The project suffered a Rs 5 crore loss, Tech Mahindra, which managed the servers, said in a police complaint. The company insisted that the loss was only a function of the hardware they would have to replace, and that no ransom would be paid. In a statement to MediaNama, Tech Mahindra said:
“On the morning of 26th February, we were informed about the ransomware attack on PCMC servers. Following which the team briefed the whole situation to the cyber security officials and subsequently filed the FIR with the police. After detailed analysis of the situation in last 10 days, we have come to a conclusion that 25 servers are impacted which need to be rebuilt along with implementation of a robust security system. Though the FIR mentions damage of about 5 Cr which is not for any material cost or data, the only loss would be the rework efforts. Our team is monitoring the situation on a regular basis and has also continued the work on rebuilding the environment without touching the infected servers. The servers which were impacted are recoverable and there is no impact of it commercially.” — Sujit Baksi, Head, APAC Business and President, Corporate Affairs, Tech Mahindra
The Pimpri-Chinchwad Smart City project has an estimated cost of hundreds of crores of rupees, according to a document on the municipality’s website. Elected officials fumed at the ransomware attack. According to an Indian Express report, Seema Savale, corporator of PCMC, said that the company did not do a good job of securing its systems, and that it was trying to evade responsibility.
A PCMC official told the paper that the municipality wouldn’t underwrite the losses Tech Mahindra suffered. “The PCMC will not pay anything to the firm. We have told them so,” the corporation’s IT Officer Neelkanth Poman told the paper.
Update (1:11pm): Added statement from Tech Mahindra.