# MonsterCloud owner faces fraud charges over alleged hidden ransom payments

_Published Friday, October 9, 2026 at 12:19 PM EDT · Security · Latest · Tier 2 — Notable_

![MonsterCloud owner faces fraud charges over alleged hidden ransom payments — Primary](https://www.csoonline.com/wp-content/uploads/2026/10/4233219-0-07898800-1791560660-ransomwarelaptop.jpg?quality=50&strip=all&w=1024)

MonsterCloud owner Zohar Pinhasi has been arraigned in New York on wire fraud charges for allegedly misleading ransomware victims about how his company recovered their files, CSO Online reported. Prosecutors allege that he promised recovery without ransom payments but instead paid attackers for decryption keys.

The indictment alleges that Pinhasi typically charged clients substantially more than the ransom. In one 2023 example, he allegedly paid a cybercriminal $8,200 while charging the client $150,000. The report notes that payments to attackers subject to trade sanctions can expose victims to criminal charges.

## Sources

- [CSO Online](https://www.csoonline.com/article/4233219/ransomware-consultant-said-he-would-decrypt-data-is-accused-of-paying-ransoms-instead.html)

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Canonical: https://techandbusiness.org/newswire/-shNm5U_P6PFflL5FNjI49
Published: 2026-10-09T16:19:14.931Z
Story chronology: 2026-10-09T12:00:00.000Z
Retrieved: 2026-10-09T19:34:22.325Z
Publisher: Tech & Business (techandbusiness.org)