An Iranian, Sina Gholinejad, 37, pleaded guilty Tuesday to his role in an international ransomware scheme that utilized the RobbinHood variant, officials stated.
Gholinejad and his co-conspirators hacked into computer systems across the U.S.—targeting cities, corporations, and healthcare providers—and encrypted files to extort ransom payments. The attacks caused widespread disruptions and resulted in tens of millions of dollars in losses.
Baltimore alone suffered over $19 million in damages, crippling services such as property tax processing, water billing, and parking citation issuance for months, according to authorities.
The group later used the chaos they caused in cities like Baltimore and Greenville, North Carolina, to intimidate future victims.
“Cybercrime is not a victimless offense — it is a direct attack on our communities, as seen in this case. Gholinejad and his co-conspirators orchestrated a ransomware scheme that disrupted lives, businesses, and local governments, and resulted in losses of tens of millions of dollars from unsuspecting victims and institutions,” said acting U. S. Attorney Daniel P. Bubar for the Eastern District of North Carolina. “The announcement today marks a significant step towards justice for the countless victims impacted by the defendant’s malicious scheme. Cases like these act as a reminder that cybercriminals who seek to exploit our digital infrastructure for personal gain will be identified, prosecuted, and held accountable.”
Starting in January 2019, Sina Gholinejad and his co-conspirators hacked into computer networks, stole data, and deployed Robbinhood ransomware to encrypt files, demanding Bitcoin payments for decryption keys.
To cover their tracks and launder ransom proceeds, they utilized cryptocurrency mixing services, chain hopping, VPNs, and privately operated servers. Victims included the cities of Gresham, Oregon, and Yonkers, New York.
Gholinejad pleaded guilty to computer fraud and conspiracy to commit wire fraud. He faces up to 30 years in prison and is scheduled to be sentenced in August.