Critical Cleo File Transfer Vulnerability Exploited in Mass Cyberattacks

High-Risk Flaw Puts Enterprise Systems at Risk

Cybersecurity researchers have uncovered active exploitation of a critical vulnerability (CVE-2024-50623) in Cleo’s enterprise file transfer solutions. The flaw, first disclosed on October 30, affects multiple Cleo products including:

  • LexiCom
  • VLTransfer
  • Harmony

These tools are widely used by organizations for secure file transfers between business systems.

Patch Fails to Fully Mitigate Threat

While Cleo released an initial patch in October, Huntress security researchers revealed this week that the fix doesn’t completely address the vulnerability. Since December 3, threat actors have been actively exploiting the flaw to compromise systems.

John Hammond, security researcher at Huntress, reported:

  • 24+ confirmed business compromises
  • Victims span consumer goods, logistics, and food supply sectors
  • Hundreds of vulnerable servers remain exposed (primarily in the U.S.)

Current Threat Landscape

Key findings from the investigation:

  • Attack Method: Remote code execution leading to system compromise
  • Post-Exploitation Activity: Hackers conducting additional malicious actions after initial breach
  • Unknown Threat Actor: Attribution remains unclear
  • Data Impact: Unconfirmed whether data exfiltration has occurred

Cleo’s SVP of Product Development Jorge Rodriguez confirmed a new patch is “under development,” while Huntress recommends:

“All Cleo customers should immediately move internet-exposed systems behind firewalls until a proper fix is available.”

Why File Transfer Systems Are Prime Targets

Enterprise file transfer solutions have become high-value targets for cybercriminals:

  • Contain sensitive business data
  • Often connect to multiple internal systems
  • Typically handle large data volumes

This incident follows similar attacks in 2023, including:

  • Clop ransomware’s exploitation of MOVEit Transfer (thousands of victims)
  • GoAnywhere MFT software breaches (130+ organizations affected)

Recommended Actions for Organizations

  1. Immediate Mitigation: Isolate vulnerable Cleo systems from internet access
  2. Patch Management: Apply all available security updates promptly
  3. Network Monitoring: Watch for suspicious activity on file transfer systems
  4. Incident Response: Prepare containment plans for potential breaches

Note: Cleo serves over 4,200 customers globally, including major corporations like Illumina, New Balance, and Portable.

Article updated with official statement from Cleo representatives.


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