Cyberattack diverts almost $500,000 out of city of Tallahassee payroll account

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TALLAHASSEE, Fla. – Nearly half a million dollars was diverted out of the city of Tallahassee’s employee payroll this week after a suspected foreign cyberattack of the city’s human resources management application.

Hackers attempt every day to breach the city’s security, officials say, but Wednesday’s operation netted about $498,000.

The employees have all been paid, said city spokeswoman Alison Faris, and officials are working to determine the hack’s origins.

“Early indication is that it was possibly initiated outside of the U.S.,” Faris said in an email.

The out-of-state, third-party vendor that hosts the city’s payroll services was hacked and as a result the direct deposit paychecks were redirected. Employees throughout the city’s workforce were affected.

The city is working with its bank to recover the money and already has recouped 25 percent of the missing funds. It is also in touch with its insurance company and law enforcement to pursue criminal charges.

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