It seems the company was aware of the idea of cold storage in paper wallets, 5 years ago per a podcast.
They advised that the best cold storage was paper wallets in a fire proof safe, and that is where they kept company funds.
The CEO dies late last year, then after the death of the only(?) one to know about access to these wallets about 1/2 million was sent from a hot wallet to the cold. Maybe a fat finger mistake, maybe something more.