Posts Tagged: rescator


7
May 15

Deconstructing the 2014 Sally Beauty Breach

This week, nationwide beauty products chain Sally Beauty disclosed that, for the second time in a year, it was investigating reports that hackers had broken into its networks and stolen customer credit card data. That investigation is ongoing, but I recently had an opportunity to interview a former Sally Beauty IT technician who provided a first-hand look at how the first breach in 2014 went down.

sallybOn March 14, 2014, KrebsOnSecurity broke the news that some 260,000 credit cards stolen from Sally Beauty stores had gone up for sale on Rescator[dot]cc, the same shop that first debuted cards stolen in the Home Depot and Target breaches. The company said thieves made off with just 25,000 customer cards. But the shop selling the cards listed each by the ZIP code of the Sally Beauty store from which the card data had been stolen, exactly like this same shop did with Home Depot and Target. An exhaustive analysis of the ZIP codes represented in the cards for sale on the fraud shop indicated that the hackers had hit virtually all 2,600 Sally Beauty locations nationwide.

The company never disclosed additional details about the breach itself or how it happened. But earlier this week I spoke with Blake Curlovic, until recently an application support analyst at Sally Beauty who was among the first to respond when virtual alarm bells starting going off last year about a possible intrusion. Curlovic said that at the time, Sally Beauty was running exactly one enterprise solution for security — Tripwire (full disclosure: Tripwire is an advertiser on this blog). Tripwire’s core product monitors key operating system and application files for any changes, which then triggers alerts.

Tripwire fired a warning when the intruders planted a new file on point-of-sale systems within Sally Beauty’s vast network of cash registers. The file was a program designed to steal card numbers as they were being swiped through the registers, and the attackers had named their malware after a legitimate program running on all Sally Beauty registers. They also used a utility called Timestomp to change the date and time stamp on their malware to match the legitimate file, but that apparently didn’t fool Tripwire.

According to Curlovic, the intruders gained access through a Citrix remote access portal set up for use by employees who needed access to company systems while on the road.

“The attackers somehow had login credentials of a district manager,” Curlovic said. “This guy was not exactly security savvy. When we got his laptop back in, we saw that it had his username and password taped to the front of it.”

Once inside the Sally Beauty corporate network, the attackers scanned and mapped out the entire thing, located all shared drives and scoured those for Visual Basic (VB) scripts. Network administrators in charge of managing thousands or tens of thousands of systems often will write VB scripts to automate certain tasks across all of those systems, and very often those scripts will contain usernames and passwords that can be quite useful to attackers.

Curlovic said the intruders located a VB script on Sally Beauty’s network that contained the username and password of a network administrator at the company.

“That allowed them to basically copy files to the cash registers,” he said. “They used a simple batch file loop, put in all the [cash] register Internet addresses they found while scanning the network, looped through there and copied [the malware] to all of the point-of-sale devices — roughly 6,000 of them. They were in the network for like a week prior to that planning the attack.”

Continue reading →


4
May 15

Sally Beauty Card Breach, Part Deux?

For the second time in a year, nationwide beauty products chain Sally Beauty Holdings Inc. says it is investigating reports of unusual credit and debit card activity at some of its U.S. stores.

Last week, KrebsOnSecurity began hearing from multiple financial institutions about a pattern of fraudulent charges on cards that were all recentlysally used at Sally Beauty locations in various states. Reached for comment on Sunday about the fraud pattern suggesting yet another card breach at the beauty products chain, Sally Beauty issued the following statement this morning:

“Sally Beauty Holdings, Inc. is currently investigating reports of unusual activity involving payment cards used at some of our U.S. Sally Beauty stores. Since learning of these reports, we have been working with law enforcement and our credit card processor and have launched a comprehensive investigation with the help of a leading third-party forensics expert to aggressively gather facts while working to ensure our customers are protected. Until this investigation is completed, it is difficult to determine with certainty the scope or nature of any potential incident, but we will continue to work vigilantly to address any potential issues that may affect our customers.”

Their statement continues: “Consistent with our ‘Love it or Return It’ policy, customer security and confidence remains our number one priority. As a result, we encourage any customer who is concerned about the security of their payment cards to call our Customer Service Hotline at 1-866-234-9442, so that we can assist them in addressing any potential concerns. Sally Beauty will, as appropriate, provide updates as we learn more from our investigation.”

In addition, the company also sent out an urgent alert today to its employees, asking associates to direct any customers with credit card issues to the Sally Beauty Web site or to call customer service. “We hadn’t gotten an email like that since last year when we had our breach,” the Sally Beauty employee said on condition of anonymity. Continue reading →


15
Apr 15

POS Providers Feel Brunt of PoSeidon Malware

“PoSeidon,” a new strain of malicious software designed to steal credit and debit card data from hacked point-of-sale (POS) devices, has been implicated in a number of recent breaches involving companies that provide POS services primarily to restaurants, bars and hotels. The shift by the card thieves away from targeting major retailers like Target and Home Depot to attacking countless, smaller users of POS systems is giving financial institutions a run for their money as they struggle to figure out which merchants are responsible for card fraud.

Image: Cisco.

Image: Cisco.

One basic tool that banks use to learn the source of card data theft involves determining a “common point-of-purchase” (CPP) among a given set of customer cards that experience fraud. When a new batch of cards goes on sale at an online crime shop, banks will often purchase a very small number of their stolen cards to determine if the victim customers all shopped at the same merchant across a specific time period.

This same CPP analysis was critical to banks helping this reporter identify some of the biggest retail breaches on record in recent years, and it is a method heavily relied upon by law enforcement agencies to identify breach victims.

But the CPP approach usually falls flat if all of the cards purchased from the fraud shop fail to reveal a common merchant. More seasoned fraud shops have sought to achieve this confusion and confound investigators by “making sausage” — i.e., methodically mixing cards stolen from multiple victims into any single new batch of stolen cards that they offer for sale.

Increasingly, however, fraudsters selling stolen cards don’t need to make sausage: The victims that are leaking card data are already subsets of restaurant franchises or retail establishments whose only commonality is the branded point-of-sale device which they rely upon to process customer card transactions.

NEXTEP

Card breaches involving POS devices sold by the same vendor are notoriously hard for financial institutions to diagnose because the banks very often have a direct relationship with neither the POS vendor nor the breached restaurant or bar whose customers’ cards were stolen.

nextepWhat’s more, POS-specific breaches frequently tie back to a subset of customers of a POS vendor who in turn rely on local IT company to install and support the POS systems. The commonality among breached restaurants and bars tends to be those who have relied on a support firm that invariably enables remote access to the POS systems via tools like pcAnywhere or LogMeIn using the same or easily-guessed username and password across many customer systems. Once remotely authenticated to the targeted systems, thieves can upload malware like POSeidon, which is capable of capturing all card data processed by the victim POS.

A few weeks ago, this reporter broke the news that multiple systems run by POS vendor NEXTEP had experienced a breach. The banks were only able to pinpoint NEXTEP systems as the source because the overwhelming number of merchants impacted in that breached happened to be NEXTEP customers who also were part of the Zoup chain of soup restaurants.

“You may have seen the discussions of the ‘PoSeidon’ malware that specifically targeted point of sale systems,” NEXTEP CEO Tommy Woycik said in a follow-up email. “Within thirty-six hours of the point that we learned of the problem we were able to internally use our resources to block further data compromise with most of our customers.  We retained and worked with two different sets of consultants to fix all remaining problems and to evaluate, on an ongoing basis, the effectiveness of the fixes.”

Woycik said the company also is investigating why the vast majority of its customers had no compromise of information, but that the hack was limited to a few identified locations. Part of the problem was that some of the breached locations relied on point-of-sale management firms that refused to cooperate in the investigation.

“We have been somewhat hampered in our investigation because some parties involved in the locations that we believe may have been affected have been unwilling to provide us with critical data,” he said.

Continue reading →


2
Feb 15

Target Hackers Hit Third Parking Service

Book2Park.com, an online parking reservation service for airports across the United States, appears to be the latest victim of the hacker gang that stole more than a 100 million credit and debit cards from Target and Home Depot. Book2park.com is the third online parking service since December 2014 to fall victim to this cybercriminal group.

book2parkLast week, a new batch of credit card numbers [dubbed “Denarius“] went up for sale on Rescator[dot]cm, the cybercrime bazaar that earned infamy by selling tens of millions of cards stolen from Target and Home Depot. Multiple banks contacted by this author acquired a handful of cards from this new batch, and each of those financial institutions found the same pattern: All of the cards they bought had been issued to customers who recently made airport parking reservations at Book2Park.com.

Contacted about the apparent breach, Book2park.com owner Anna Infante said she was not aware that hundreds — if not thousands — of her customers cards were for sale online. But she said a technology firm the company contracts with did recently discover and remove malicious files that were somehow planted on Book2park’s Web server.

“We already took action on this, and we are totally on it,” Infante said. “We are taking all further steps in protecting our customers and reporting this to the proper authorities.”

In December, the same hacker gang began selling card accounts stolen from the Web sites of Park ‘N Fly and OneStopParking.com. The card accounts stolen from OneStopParking and Park ‘N Fly sold for prices between $6 and $13, but the cards taken from Book2Park’s site mostly fetch prices ranging from $12 to $18. This may be because most of the cards were issued by European banks, which tend to sell for more (at least on Rescator’s site). Continue reading →


14
Jan 15

Park ‘N Fly, OneStopParking Confirm Breaches

Late last year, KrebsOnSecurity wrote that two huge swaths of credit card numbers put up for sale in the cybercrime underground had likely been stolen from Park ‘N Fly and from OneStopParking.com, competing airport parking services that lets customers reserve spots in advance of travel via Internet reservation systems. This week, both companies confirmed that they had indeed suffered a breach.

park-n-flyWhen contacted by this author on Dec. 15, Atlanta-based Park ‘N Fly said while it had recently engaged multiple security firms to investigate breach claims, it had not found any proof of an intrusion. In a statement released Tuesday, however, the company acknowledged that its site was hacked and leaking credit card data, but stopped short of saying how long the breach persisted or how many customers may have been affected. A portion of their statement reads:

“Park ‘N Fly (“PNF”) has become aware of a security compromise involving payment card data processed through its e-commerce website. PNF has been working continuously to understand the nature and scope of the incident, and has engaged third-party data forensics experts to assist with its investigation. The data compromise has been contained. While the investigation is ongoing, it has been determined that the security of some data from certain payment cards that were used to make reservations through PNF’s e-commerce website is at risk. The data potentially at risk includes the card number, cardholder’s name and billing address, card expiration date, and CVV code. Other loyalty customer data potentially at risk includes email addresses, Park ‘N Fly passwords, and telephone numbers.”

The Park ‘N Fly homepage now includes a conspicuous notice stating that the Web site is temporarily unable to process transactions and directs customers to a 1-800 for reservations.

Reading the Park ‘N Fly disclosure made me wonder if anything had changed over at OneStopParking.com, a Florence, Ky.-based competitor that KrebsOnSecurity reported Dec. 30, 2014 as the likely source of another e-commerce breach. Reached via phone this morning, the site’s manager Amer Ghanem said the company recently determined that hackers had broken in to its systems via a vulnerability in Joomla for which patches were made available in Sept. 2014. Unfortunately for OneStopParking.com and its customers, the company put off applying that Joomla update because it broke portions of the site. Continue reading →


16
Dec 14

Banks: Park-n-Fly Online Card Breach

Multiple financial institutions say they are seeing a pattern of fraud that indicates an online credit card breach has hit Park-n-Fly, an Atlanta-based offsite airport parking service that allows customers to reserve spots in advance of travel via an Internet-based reservation system. The security incident, if confirmed, would be the latest in a string of card breaches involving compromised payment systems at parking services nationwide.

Update, Jan. 14, 2015: Park ‘N Fly has acknowledged a breach. See this story for more details.

Original story:

park-n-flyIn response to questions from KrebsOnSecurity, Park-n-Fly said it recently engaged multiple outside security firms to investigate breach claims made by financial institutions, but so far has been unable to find a breach of its systems.

“We have been unable to find any specific issues related to the cards or transactions reported to us and by the financial institutions,” wrote Michael Robinson, the company’s senior director of information technology, said in an emailed statement. “While this kind of incident is rare for us based on our thousands of daily transactions, we do take every instance very seriously. Like any reputable company involved in e-commerce today we recognize that we must be constantly vigilant and research every claim to root out any vulnerabilities or potential gaps.”

Park-n-Fly’s statement continues:

“While we believe that our systems are very secure, including SLL encryption, we have recently engaged multiple outside security firms to identify and resolve any possible gaps in our systems and as always will take any action indicated. We have made all necessary precautionary upgrades and we just upgraded on 12/9 to the latest EV SSL certificate from Entrust, one of the leading certificate issuers in the industry.”

Nevertheless, two different banks shared information with KrebsOnSecurity that suggests Park-n-Fly — or some component of its online card processing system — has indeed experienced a breach. Both banks saw fraud on a significant number of customer cards that previously  — and quite recently — had been used online to make reservations at a number of more than 50 Park-n-Fly locations nationwide. Continue reading →


7
Nov 14

Home Depot: Hackers Stole 53M Email Addresses

As if the credit card breach at Home Depot didn’t already look enough like the Target breach: Home Depot said yesterday that the hackers who stole 56 million customer credit and debit card accounts also made off with 53 million customer email addresses.

pwnddepotIn an update (PDF) released to its site on Thursday, Home Depot warned customers about the potential for thieves to use the email addresses in phishing attacks (think a Home Depot “survey” that offers a gift card for the first 10,000 people who open the booby-trapped attachment, for example). Home Depot stressed that the files containing the stolen email addresses did not contain passwords, payment card information or other sensitive personal information.

Home Depot said the crooks initially broke in using credentials stolen from a third-party vendor. The company said thieves used the vendor’s user name and password to enter the perimeter of Home Depot’s network, but that these stolen credentials alone did not provide direct access to the company’s point-of-sale devices. For that, they had to turn to a vulnerability in Microsoft Windows that was patched only after the breach occurred, according to a story in Thursday’s Wall Street Journal.

Recall that the Target breach also started with a hacked vendor — a heating and air conditioning company in Pennsylvania that was relieved of remote-access credentials after someone inside the company opened a virus-laden email attachment. Target also came out in the days after the breach became public and revealed that the attackers had stolen more than 70 million customer email addresses. Continue reading →


15
Oct 14

Seleznev Arrest Explains ‘2Pac’ Downtime

The U.S. Justice Department has piled on more charges against alleged cybercrime kingpin Roman Seleznev, a Russian national who made headlines in July when it emerged that he’d been whisked away to Guam by U.S. federal agents while vacationing in the Maldives. The additional charges against Seleznev may help explain the extended downtime at an extremely popular credit card fraud shop in the cybercrime underground.

The 2pac[dot]cc credit card shop.

The 2pac[dot]cc credit card shop.

The government alleges that the hacker known in the underground as “nCux” and “Bulba” was Roman Seleznev, a 30-year-old Russian citizen who was arrested in July 2014 by the U.S. Secret Service. According to Russian media reports, the young man is the son of a prominent Russian politician.

Seleznev was initially identified by the government in 2012, when it named him as part of a conspiracy involving more than three dozen popular merchants on carder[dot]su, a bustling fraud forum where Bulba and other members openly marketed various cybercrime-oriented services (see the original indictment here).

According to Seleznev’s original indictment, he was allegedly part of a group that hacked into restaurants between 2009 and 2011 and planted malicious software to steal card data from store point-of-sale devices. The indictment further alleges that Seleznev and unnamed accomplices used his online monikers to sell stolen credit and debit cards at bulba[dot]cc and track2[dot]name. Customers of these services paid for their cards with virtual currencies, including WebMoney and Bitcoin.

But last week, U.S. prosecutors piled on another 11 felony counts against Seleznev, charging that he also sold stolen credit card data on a popular carding store called 2pac[dot]cc. Interestingly, Seleznev’s arrest coincides with a period of extended downtime on 2pac[dot]cc, during which time regular customers of the store could be seen complaining on cybercrime forums where the store was advertised that the proprietor of the shop had gone silent and was no longer responding to customer support inquiries.

A few weeks after Seleznev’s arrest, it appears that someone new began taking ownership of 2pac[dot]cc’s day-to-day operations. That individual recently posted a message on the carding shop’s home page apologizing for the extended outage and stating that fresh, new cards were once again being added to the shop’s inventory.

The message, dated Aug. 8, 2014, explains that the proprietor of the shop was unreachable because he was hospitalized following a car accident:

“Dear customers. We apologize for the inconvenience that you are experiencing now by the fact that there are no updates and [credit card] checker doesn’t work. This is due to the fact that our boss had a car accident and he is in hospital. We will solve all problems as soon as possible. Support always available, thank you for your understanding.”

2pac[dot]cc's apologetic message to would-be customers of the credit card fraud shop.

2pac[dot]cc’s apologetic message to would-be customers of the credit card fraud shop.

IT’S ALL ABOUT CUSTOMER SERVICE

2pac is but one of dozens of fraud shops selling stolen debit and credit cards. And with news of new card breaches at major retailers surfacing practically each week, the underground is flush with inventory. The single most important factor that allows individual card shop owners to differentiate themselves among so much choice is providing excellent customer service.

Many card shops, including 2pac[dot]cc, try to keep customers happy by including an a-la-carte card-checking service that allows customers to test purchased cards using compromised merchant accounts — to verify that the cards are still active. Most card shop checkers are configured to automatically refund to the customer’s balance the value of any cards that come back as declined by the checking service. Continue reading →


8
Sep 14

In Wake of Confirmed Breach at Home Depot, Banks See Spike in PIN Debit Card Fraud

Nearly a week after this blog first reported signs that Home Depot was battling a major security incident, the company has acknowledged that it suffered a credit and debit card breach involving its U.S. and Canadian stores dating back to April 2014. Home Depot was quick to assure customers and banks that no debit card PIN data was compromised in the break-in. Nevertheless, multiple financial institutions contacted by this publication are reporting a steep increase over the past few days in fraudulent ATM withdrawals on customer accounts.

pwnddepot

The card data for sale in the underground that was stolen from Home Depot shoppers allows thieves to create counterfeit copies of debit and credit cards that can be used to purchase merchandise in big box stores. But if the crooks who buy stolen debit cards also are able to change the PIN on those accounts, the fabricated debit cards can then be used to withdraw cash from ATMs.

Experts say the thieves who are perpetrating the debit card fraud are capitalizing on a glut of card information stolen from Home Depot customers and being sold in cybercrime shops online. Those same crooks also are taking advantage of weak authentication methods in the automated phone systems that many banks use to allow customers to reset the PINs on their cards.

Here’s the critical part: The card data stolen from Home Depot customers and now for sale on the crime shop Rescator[dot]cc includes both the information needed to fabricate counterfeit cards as well as the legitimate cardholder’s full name and the city, state and ZIP of the Home Depot store from which the card was stolen (presumably by malware installed on some part of the retailer’s network, and probably on each point-of-sale device).

This is especially helpful for fraudsters since most Home Depot transactions are likely to occur in the same or nearby ZIP code as the cardholder. The ZIP code data of the store is important because it allows the bad guys to quickly and more accurately locate the Social Security number and date of birth of cardholders using criminal services in the underground that sell this information.

Why do the thieves need Social Security and date of birth information? Countless banks in the United States let customers change their PINs with a simple telephone call, using an automated call-in system known as a Voice Response Unit (VRU). A large number of these VRU systems allow the caller to change their PIN provided they pass three out of five security checks. One is that the system checks to see if the call is coming from a phone number on file for that customer. It also requests the following four pieces of information:

-the 3-digit code (known as a card verification value or CVV/CV2) printed on the back of the debit card;
-the card’s expiration date;
-the customer’s date of birth;
-the last four digits of the customer’s Social Security number.

On Thursday, I spoke with a fraud fighter at a bank in New England that experienced more than $25,000 in PIN debit fraud at ATMs in Canada. The bank employee said thieves were able to change the PINs on the cards using the bank’s automated VRU system. In this attack, the fraudsters were calling from disposable, prepaid Magic Jack telephone numbers, and they did not have the Cv2 for each card. But they were able to supply the other three data points.

KrebsOnSecurity also heard from an employee at a much larger bank on the West Coast that lost more than $300,000 in two hours today to PIN fraud on multiple debit cards that had all been used recently at Home Depot. The manager said the bad guys called the customer service folks at the bank and provided the last four of each cardholder’s Social Security number, date of birth, and the expiration date on the card. And, as with the bank in New England, that was enough information for the bank to reset the customer’s PIN.

The fraud manager said the scammers in this case also told the customer service people they were traveling in Italy, which made two things possible: It raised the withdrawal limits on the debit cards and allowed thieves to withdraw $300,000 in cash from Italian ATMs in the span of less than 120 minutes. Continue reading →


7
Sep 14

Home Depot Hit By Same Malware as Target

The apparent credit and debit card breach uncovered last week at Home Depot was aided in part by a new variant of the malicious software program that stole card account data from cash registers at Target last December, according to sources close to the investigation.

Photo: Nicholas Eckhart

Photo: Nicholas Eckhart

On Tuesday, KrebsOnSecurity broke the news that Home Depot was working with law enforcement to investigate “unusual activity” after multiple banks said they’d traced a pattern of card fraud back to debit and credit cards that had all been used at Home Depot locations since May of this year.

A source close to the investigation told this author that an analysis revealed at least some of Home Depot’s store registers had been infected with a new variant of “BlackPOS” (a.k.a. “Kaptoxa”), a malware strain designed to siphon data from cards when they are swiped at infected point-of-sale systems running Microsoft Windows.

The information on the malware adds another indicator that those responsible for the as-yet unconfirmed breach at Home Depot also were involved in the December 2013 attack on Target that exposed 40 million customer debit and credit card accounts. BlackPOS also was found on point-of-sale systems at Target last year. What’s more, cards apparently stolen from Home Depot shoppers first turned up for sale on Rescator[dot]cc, the same underground cybercrime shop that sold millions of cards stolen in the Target attack.

Clues buried within this newer version of BlackPOS support the theory put forth by multiple banks that the Home Depot breach may involve compromised store transactions going back at least several months. In addition, the cybercrime shop Rescator over the past few days pushed out nine more large batches of stolen cards onto his shop, all under the same “American Sanctions” label assigned to the first two batches of cards that originally tipped off banks to a pattern of card fraud that traced back to Home Depot. Likewise, the cards lifted from Target were sold in several dozen batches released over a period of three months on Rescator’s shop.

The cybercrime shop Rescator[dot]cc pushed out nine new batches of cards from the same "American Sanctions" base of cards that banks traced back to Home Depot.

The cybercrime shop Rescator[dot]cc pushed out nine new batches of cards from the same “American Sanctions” base of cards that banks traced back to Home Depot.

POWERFUL ENEMIES

The tip from a source about BlackPOS infections found at Home Depot comes amid reports from several security firms about the discovery of a new version of BlackPOS. On Aug. 29, Trend Micro published a blog post stating that it had identified a brand new variant of BlackPOS in the wild that was targeting retail accounts. Trend said the updated version, which it first spotted on Aug. 22, sports a few notable new features, including an enhanced capability to capture card data from the physical memory of infected point-of-sale devices. Trend said the new version also has a feature that disguises the malware as a component of the antivirus product running on the system.

Contents of the new BlackPOS component responsible for exfiltrating stolen cards from the network. Source: Trend Micro.

Contents of the new BlackPOS component responsible for exfiltrating stolen cards from the network. Source: Trend Micro.

Continue reading →