The former chief security officer for Uber has been convicted of trying to cover up a 2016 data breach in which hackers accessed millions of customer records from the ride-hailing service.
FILE - An Uber sign is displayed at the company's headquarters in San Francisco, Monday, Sept. 12, 2022. Joseph Sullivan, the former chief security officer for Uber, was convicted Wednesday, Oct. 5 of trying to cover up a 2016 data breach in which hackers accessed tens of millions of customer records from the ride-hailing service.
“Technology companies in the Northern District of California collect and store vast amounts of data from users,” U.S. Attorney Stephanie M. Hinds said in a statement. “We will not tolerate concealment of important information from the public by corporate executives more interested in protecting their reputation and that of their employers than in protecting users.”A lawyer for Sullivan, David Angeli, took issue with the verdict.
According to the U.S. attorney's office, Sullivan told subordinates that “the story outside of the security group was to be that ‘this investigation does not exist,'" and arranged to pay the hackers $100,000 in bitcoin in exchange for them signing non-disclosure agreements promising not to reveal the hack. He also never mentioned the breach to Uber lawyers who were involved with the FTC's inquiry, prosecutors said.
Sullivan was fired along with Craig Clark, an Uber lawyer he had told about the breach. Clark was given immunity by prosecutors and testified against Sullivan.The hackers pleaded guilty in 2019 to computer fraud conspiracy charges and are awaiting sentencing.
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