6.06.2025

"College Student Charged in Massive Data Extortion Case"

BOSTON, Mass

BOSTON, Mass. (AP) — A 19-year-old college student from Massachusetts, Matthew Lane, has agreed to plead guilty to charges stemming from his alleged theft of millions of students' and teachers' private data from two U.S. educational technology companies, according to the U.S. Attorney's Office. Lane's case reveals a concerning trend in cybercrime, particularly in the realm of education, where sensitive data is increasingly vulnerable.

Lane, a student at Assumption University, is accused of leveraging stolen login credentials to gain unauthorized access to the computer network of a software and cloud storage company that serves educational institutions both in the United States and internationally. While the name of the company, PowerSchool, was not disclosed in court filings, a source familiar with the situation confirmed its involvement in the case.

Court records indicate that Lane allegedly threatened to release a vast amount of personal information, comprising the names, phone numbers, Social Security numbers, residential addresses, and medical histories of approximately 60 million students and 10 million teachers. His demand included a ransom of nearly $2.85 million, to be paid in Bitcoin, to prevent the dissemination of this sensitive data. This threat has instilled a sense of fear among parents, concerned that their children's information could fall into the hands of criminals, an outcome that Lane reportedly pursued merely to demonstrate his hacking capabilities.

Leah B. Foley, the U.S. Attorney for the District of Massachusetts, condemned Lane's conduct, emphasizing the grave implications of his actions. Lane is facing multiple charges, including cyber extortion conspiracy, cyber extortion, unauthorized access to protected computers, and aggravated identity theft. As of now, a plea hearing for Lane has yet to be scheduled, highlighting the ongoing legal proceedings surrounding this serious case.

In addition to the accusations related to the educational technology companies, Lane is also alleged to have extorted a $200,000 ransom from a telecommunications company in the spring of the previous year. His threats to release sensitive customer data from this company further illustrate the scope of his alleged criminal activity and his determination to exploit digital vulnerabilities for financial gain.

Kimberly Milka, Acting Special Agent in Charge of the Boston Division of the Federal Bureau of Investigation, commented on Lane's motivations, describing him as someone who appeared to view cybercrime as a pathway to quick wealth. "This 19-year-old now stands accused of hiding behind his keyboard to gain unauthorized access to an education software provider to obtain sensitive data which was used in an attempt to extort millions of dollars," she stated, categorizing his actions as both brazen and reckless.

The case against Matthew Lane underscores the rising incidents of cyber extortion and the critical importance of cybersecurity in today's educational landscape. As educational and telecommunications sectors continue to grow more reliant on technology, the need for robust security measures is becoming ever more essential to protect sensitive information from similar attacks.