Kansas City Man Guilty of Nonprofit Computer Hacking

A Kansas City, Mo., man has pleaded guilty to hacking into the computer system at an area nonprofit, causing significant losses in the process.

Nicholas Michael Kloster, 32, admitted to causing reckless damage to a protected computer owned by the nonprofit during unauthorized access. Kloster entered the premises of the nonprofit corporation on May 20, 2024, and accessed a computer with access to the company’s network.

Kloster specifically admitted to using a boot disk to access the computer through multiple user accounts, circumventing password requirements by changing the password assigned to one or more users. He was then able to install a virtual private network on the computer.

Under federal statutes, Kloster is subject to a sentence of up to five years’ imprisonment in federal prison without parole, a fine of up to $250,000, up to three years of supervised release, and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.

The case is being prosecuted by Assistant U.S. Attorneys Nicholas Heberle and Patrick D. Daly. It was investigated by the Federal Bureau of Investigation and the Kansas City, Missouri Police Department.

Kloster’s actions have left the nonprofit reeling, with significant losses incurred in an attempt to remediate the effects of the intrusion. The full extent of the damages is still unknown, but one thing is clear: Kloster’s actions have had serious consequences.

The plea deal marks a significant development in the case, which has been ongoing for several months. The court will now determine Kloster’s sentence, which could range from a few years to the full five-year maximum.

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