Ontario Cannabis Store unable to make deliveries after partner faces cyberattack
TORONTO - The Ontario Cannabis Store says a cyberattack faced by one of its logistics partners has left the provincial pot distributor unable to process or deliver orders to marijuana shops and customers.
The OCS said Monday evening there is no indication that its systems were targeted or its customers' information compromised during the Aug. 5 attack on the parent company of its third-party distribution centre, Domain Logistics.
“However, out of an abundance of caution to protect OCS and its customers, the decision was made to shut down Domain Logistics' operations until a full forensic investigation could be completed,” the OCS said in a statement.
Domain Logistics did not immediately respond to a request for comment, but the OCS said it is working closely with the company and third-party cybersecurity experts to conduct an investigation, which is underway and expected to be complete within the coming days.
The breach stands to impact customers who shop for pot on the OCS website - the only legal online retailer of recreational cannabis in Ontario - and roughly 1,333 licensed cannabis stores, which have no choice but to buy the products they sell from the government-backed OCS.
An OCS letter to retailers obtained by The Canadian Press said the launch of any new products scheduled for this week will now be “delayed until further notice.”
“As a goodwill gesture,” the OCS will also waive all retailer delivery fees until Sept. 30 and a $500 processing fee for one emergency order per store between Sept. 1 and March 31, 2023.
The OCS and Domain Logistics have not said how soon deliveries may be restarted, but promised to provide updates on the matter as they became available.
The incident follows an OCS announcement May 11 that the Ontario Provincial Police were investigating the “misappropriation” of confidential store sales data.
That breach “was no failure of IT security or systems,” the OCS said, after it quickly launched an investigation to identify the source, restricted access to internal data reports and notified the police.
Both breaches came amid heightened competition in Ontario's cannabis industry, which has seen the number of pot shops explode in recent months.
Many predict store closures are on their way because demand for cannabis has not increased at the same rate as shop openings, the illicit market remains strong and stores are consistently having to reduce their margins as rivals steadily drop prices.
This report by The Canadian Press was first published Aug. 8, 2022.
CTVNews.ca Top Stories
American millionaire Jonathan Lehrer denied bail after being charged with killing Canadian couple
American millionaire Jonathan Lehrer, one of two men charged in the killings of a Canadian couple in Dominica, has been denied bail.
Health Canada to change sperm donor screening rules for men who have sex with men
Health Canada will change its longstanding policy restricting gay and bisexual men from donating to sperm banks in Canada, CTV News has learned. The federal health agency has adopted a revised directive removing the ban on gay, bisexual and other men who have sex with men, effective May 8.
Nearly half of China's major cities are sinking, researchers say
Nearly half of China's major cities are suffering 'moderate to severe' levels of subsidence, putting millions at risk of flooding especially as sea levels rise.
Judge says 'no evidence fully supports' murder case against Umar Zameer as jury starts deliberations
The judge presiding over the trial of a man accused of fatally running over a Toronto police officer is telling jurors the possible verdicts they may reach based on the evidence in the case.
Sports columnist apologizes for 'oafish' comments directed at Caitlin Clark. The controversy isn't over
A male columnist has apologized for a cringeworthy moment during former University of Iowa superstar and college basketball's highest scorer Caitlin Clark's first news conference as an Indiana Fever player.
Prince Harry formally confirms he is now a U.S. resident
Prince Harry, the son of King Charles III and fifth in line to the British throne, has formally confirmed he is now a U.S. resident.
'Shopaholic' author Sophie Kinsella reveals brain cancer diagnosis
Sophie Kinsella, the best-selling author behind the 'Shopaholic' book series, has revealed that she is receiving treatment for brain cancer.
LeBlanc says he plans to run in next election, under Trudeau's leadership
Cabinet minister Dominic LeBlanc says he plans to run in the next election as a candidate under Prime Minister Justin Trudeau's leadership, amid questions about his rumoured interest in succeeding his longtime friend for the top job.
U.S. vetoes widely supported resolution backing full UN membership for Palestine
The United States vetoed a widely backed UN resolution Thursday that would have paved the way for full United Nations membership for Palestine, a goal the Palestinians have long sought and Israel has worked to prevent.