Louis Vuitton, Dior, and Tiffany Fined $25 Million by South Korea for Data Breaches


South Korea’s Personal Information Protection Commission fined Louis Vuitton, Dior, and Tiffany a combined $25 million for poor security in their SaaS customer systems. The breaches exposed data from 5.55 million customers across the LVMH brands. Hackers accessed names, emails, phone numbers, addresses, and purchase histories.

Louis Vuitton took the biggest hit at $16.4 million. Malware on an employee device compromised their SaaS tool used since 2013. The company skipped IP restrictions and secure remote auth like OTP or tokens. This led to three separate leaks affecting 3.6 million customers.

Dior faced a $9.4 million penalty after a phishing attack tricked a customer service worker. The firm used SaaS since 2020 without IP allow-lists, bulk download limits, or log checks. They missed the breach for over three months and notified PIPC five days late, past the 72-hour PIPA rule. It hit 1.95 million users.

Tiffany got a $1.85 million fine from voice phishing on staff. Just 4,600 customers lost data, but they also lacked IP controls and download caps. Notification delays added to the violations.

PIPC stated: “Even when companies adopt SaaS, their responsibility to safely manage personal information is neither exempted nor transferred.” They added: “Data controllers must fully utilize the privacy protection features provided by these services.”

Breach Details Table

BrandFine AmountCustomers AffectedAttack VectorKey Failures
Louis Vuitton$16.4M3.6 millionEmployee malwareNo IP limits, weak remote auth
Dior$9.4M1.95 millionPhishingNo allow-lists, 3+ month delay
Tiffany$1.85M4,600VishingNo download caps, late notice ​

Common Security Gaps

All three brands shared SaaS platforms likely tied to ShinyHunters attacks on Salesforce. Google researchers linked similar campaigns. Companies must own data protection regardless of vendors.

PIPC ordered public disclosure on company sites. Total penalties hit 36 billion KRW including smaller fines.

Lessons for SaaS Users

  • Enforce IP whitelisting for remote access.
  • Use MFA, OTP, or certificates always.
  • Monitor logs daily for odd activity.
  • Limit bulk exports and test alerts.

ControlPurposeImplementation
IP RestrictionsBlock outsidersFirewall rules
Secure AuthStop credential theftMFA/OTP tokens
Log InspectionEarly breach detectionSIEM tools
Download LimitsPrevent mass exfilSaaS config ​

FAQ

Why such huge fines for LVMH brands?

Lax SaaS security exposed 5.55M customers; violated PIPA notification rules.

What data got leaked?

Names, phones, emails, addresses, purchase history.

Who takes blame for SaaS breaches?

Companies, not vendors, per PIPC.

How did attacks start?

Malware, phishing, vishing on employee devices.

What must firms do now?

Post fines on websites; fix IP/auth controls.

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