When Get-Out-The-Vote Efforts Look Like Phishing

August 28, 2024
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Multiple media reports this week warned Americans to be on guard against a new phishing scam that arrives in a text message informing recipients they are not yet registered to vote. A bit of digging reveals the missives were sent by a California political consulting firm as part of a well-meaning but potentially counterproductive get-out-the-vote effort that had all the hallmarks of a phishing campaign.

Image: WDIV Detroit on Youtube.

On Aug. 27, the local Channel 4 affiliate WDIV in Detroit warned about a new SMS message wave that they said could prevent registered voters from casting their ballot. The story didn’t explain how or why the scam could block eligible voters from casting ballots, but it did show one of the related text messages, which linked to the site all-vote.com.

“We have you in our records as not registered to vote,” the unbidden SMS advised. “Check your registration status & register in 2 minutes.”

Similar warnings came from an ABC station in Arizona, and from an NBC affiliate in Pennsylvania, where election officials just issued an alert to be on the lookout for scam messages coming from all-vote.com. Some people interviewed who received the messages said they figured it was a scam because they knew for a fact they were registered to vote in their state. WDIV even interviewed a seventh-grader from Canada who said he also got the SMS saying he wasn’t registered to vote.

Someone trying to determine whether all-vote.com was legitimate might visit the main URL first (as opposed to just clicking the link in the SMS) to find out more about the organization. But visiting all-vote.com directly presents one with a login page to an online service called bl.ink. DomainTools.com finds all-vote.com was registered on July 10, 2024. Red flag #1.

The information requested from people who visited votewin.org via the SMS campaign.

Another version of this SMS campaign told recipients to check their voter status at a site called votewin.org, which DomainTools says was registered July 9, 2024. There is little information about who runs votewin.org on its website, and the contact page leads to generic contact form. Red Flag #2.

What’s more, Votewin.org asks visitors to supply their name, address, email address, date of birth, mobile phone number, while pre-checking options to sign the visitor up for more notifications. Big Red Flag #3.

Votewin.org’s Terms of Service referenced a California-based voter engagement platform called VoteAmerica LLC. The same voter registration query form advertised in the SMS messages is available if one clicks the “check your registration status” link on voteamerica.org.

VoteAmerica founder Debra Cleaver told KrebsOnSecurity the entity responsible for the SMS campaigns telling people they weren’t registered is Movement Labs, a political consulting firm in San Francisco.

Cleaver said her office had received several inquiries about the messages, which violate a key tenet of election outreach: Never tell the recipient what their voter status may be.

“That’s one of the worst practices,” Cleaver said. “You never tell someone what the voter file says because voter files are not reliable, and are often out of date.”

Reached via email, Movement Labs founder Yoni Landau said the SMS campaigns targeted “underrepresented groups in the electorate, young people, folks who are moving, low income households and the like, who are unregistered in our databases, with the intent to help them register to vote.”

Landau said filling out the form on Votewin.org merely checks to see if the visitor is registered to vote in their state, and then attempts to help them register if not.

“We understand that many people are jarred by the messages – we tested hundreds of variations of messages and found that these had the largest impact on someone’s likelihood to register,” he said. “I’m deeply sorry for anyone that may have gotten the message in error, who is registered to vote, and we’re looking into our content now to see if there are any variations that might be less certain but still as effective in generating new legal registrations.”

Cleaver said Movement Labs’ SMS campaign may have been incompetent, but it wasn’t malicious.

“When you work in voter mobilization, it’s not enough to want to do good, you actually need to be good,” she said. “At the end of the day the end result of incompetence and maliciousness is the same: increased chaos, reduced voter turnout, and long-term harm to our democracy.”

To register to vote or to update your voter registration, visit vote.gov and select your state or region.

New 0-Day Attacks Linked to China’s ‘Volt Typhoon’

August 27, 2024
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Malicious hackers are exploiting a zero-day vulnerability in Versa Director, a software product used by many Internet and IT service providers. Researchers believe the activity is linked to Volt Typhoon, a Chinese cyber espionage group focused on infiltrating critical U.S. networks and laying the groundwork for the ability to disrupt communications between the United States and Asia during any future armed conflict with China.

Image: Shutterstock.com

Versa Director systems are primarily used by Internet service providers (ISPs), as well as managed service providers (MSPs) that cater to the IT needs of many small to mid-sized businesses simultaneously. In a security advisory published Aug. 26, Versa urged customers to deploy a patch for the vulnerability (CVE-2024-39717), which the company said is fixed in Versa Director 22.1.4 or later.

Versa said the weakness allows attackers to upload a file of their choosing to vulnerable systems. The advisory placed much of the blame on Versa customers who “failed to implement system hardening and firewall guidelines…leaving a management port exposed on the internet that provided the threat actors with initial access.”

Versa’s advisory doesn’t say how it learned of the zero-day flaw, but its vulnerability listing at mitre.org acknowledges “there are reports of others based on backbone telemetry observations of a 3rd party provider, however these are unconfirmed to date.”

Those third-party reports came in late June 2024 from Michael Horka, senior lead information security engineer at Black Lotus Labs, the security research arm of Lumen Technologies, which operates one of the global Internet’s largest backbones.

In an interview with KrebsOnSecurity, Horka said Black Lotus Labs identified a web-based backdoor on Versa Director systems belonging to four U.S. victims and one non-U.S. victim in the ISP and MSP sectors, with the earliest known exploit activity occurring at a U.S. ISP on June 12, 2024.

“This makes Versa Director a lucrative target for advanced persistent threat (APT) actors who would want to view or control network infrastructure at scale, or pivot into additional (or downstream) networks of interest,” Horka wrote in a blog post published today.

Black Lotus Labs said it assessed with “medium” confidence that Volt Typhoon was responsible for the compromises, noting the intrusions bear the hallmarks of the Chinese state-sponsored espionage group — including zero-day attacks targeting IT infrastructure providers, and Java-based backdoors that run in memory only.

In May 2023, the National Security Agency (NSA), the Federal Bureau of Investigation (FBI), and the Cybersecurity Infrastructure Security Agency (CISA) issued a joint warning (PDF) about Volt Typhoon, also known as “Bronze Silhouette” and “Insidious Taurus,” which described how the group uses small office/home office (SOHO) network devices to hide their activity.

In early December 2023, Black Lotus Labs published its findings on “KV-botnet,” thousands of compromised SOHO routers that were chained together to form a covert data transfer network supporting various Chinese state-sponsored hacking groups, including Volt Typhoon.

In January 2024, the U.S. Department of Justice disclosed the FBI had executed a court-authorized takedown of the KV-botnet shortly before Black Lotus Labs released its December report. Continue reading →

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Local Networks Go Global When Domain Names Collide

August 23, 2024
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The proliferation of new top-level domains (TLDs) has exacerbated a well-known security weakness: Many organizations set up their internal Microsoft authentication systems years ago using domain names in TLDs that didn’t exist at the time. Meaning, they are continuously sending their Windows usernames and passwords to domain names they do not control and which are freely available for anyone to register. Here’s a look at one security researcher’s efforts to map and shrink the size of this insidious problem.

At issue is a well-known security and privacy threat called “namespace collision,” a situation where domain names intended to be used exclusively on an internal company network end up overlapping with domains that can resolve normally on the open Internet.

Windows computers on a private corporate network validate other things on that network using a Microsoft innovation called Active Directory, which is the umbrella term for a broad range of identity-related services in Windows environments. A core part of the way these things find each other involves a Windows feature called “DNS name devolution,” a kind of network shorthand that makes it easier to find other computers or servers without having to specify a full, legitimate domain name for those resources.

Consider the hypothetical private network internalnetwork.example.com: When an employee on this network wishes to access a shared drive called “drive1,” there’s no need to type “drive1.internalnetwork.example.com” into Windows Explorer; entering “\\drive1\” alone will suffice, and Windows takes care of the rest.

But problems can arise when an organization has built their Active Directory network on top of a domain they don’t own or control. While that may sound like a bonkers way to design a corporate authentication system, keep in mind that many organizations built their networks long before the introduction of hundreds of new top-level domains (TLDs), like .network, .inc, and .llc.

For example, a company in 2005 builds their Microsoft Active Directory service around the domain company.llc, perhaps reasoning that since .llc wasn’t even a routable TLD, the domain would simply fail to resolve if the organization’s Windows computers were ever used outside of its local network.

Alas, in 2018, the .llc TLD was born and began selling domains. From then on, anyone who registered company.llc would be able to passively intercept that organization’s Microsoft Windows credentials, or actively modify those connections in some way — such as redirecting them somewhere malicious.

Philippe Caturegli, founder of the security consultancy Seralys, is one of several researchers seeking to chart the size of the namespace collision problem. As a professional penetration tester, Caturegli has long exploited these collisions to attack specific targets that were paying to have their cyber defenses probed. But over the past year, Caturegli has been gradually mapping this vulnerability across the Internet by looking for clues that appear in self-signed security certificates (e.g. SSL/TLS certs).

Caturegli has been scanning the open Internet for self-signed certificates referencing domains in a variety of TLDs likely to appeal to businesses, including .ad, .associates, .center, .cloud, .consulting, .dev, .digital, .domains, .email, .global, .gmbh, .group, .holdings, .host, .inc, .institute, .international, .it, .llc, .ltd, .management, .ms, .name, .network, .security, .services, .site, .srl, .support, .systems, .tech, .university, .win and .zone, among others.

Seralys found certificates referencing more than 9,000 distinct domains across those TLDs. Their analysis determined many TLDs had far more exposed domains than others, and that about 20 percent of the domains they found ending .ad, .cloud and .group remain unregistered.

“The scale of the issue seems bigger than I initially anticipated,” Caturegli said in an interview with KrebsOnSecurity. “And while doing my research, I have also identified government entities (foreign and domestic), critical infrastructures, etc. that have such misconfigured assets.”

REAL-TIME CRIME

Some of the above-listed TLDs are not new and correspond to country-code TLDs, like .it for Italy, and .ad, the country-code TLD for the tiny nation of Andorra. Caturegli said many organizations no doubt viewed a domain ending in .ad as a convenient shorthand for an internal Active Directory setup, while being unaware or unworried that someone could actually register such a domain and intercept all of their Windows credentials and any unencrypted traffic.

When Caturegli discovered an encryption certificate being actively used for the domain memrtcc.ad, the domain was still available for registration. He then learned the .ad registry requires prospective customers to show a valid trademark for a domain before it can be registered.

Undeterred, Caturegli found a domain registrar that would sell him the domain for $160, and handle the trademark registration for another $500 (on subsequent .ad registrations, he located a company in Andorra that could process the trademark application for half that amount).

Caturegli said that immediately after setting up a DNS server for memrtcc.ad, he began receiving a flood of communications from hundreds of Microsoft Windows computers trying to authenticate to the domain. Each request contained a username and a hashed Windows password, and upon searching the usernames online Caturegli concluded they all belonged to police officers in Memphis, Tenn.

“It looks like all of the police cars there have a laptop in the cars, and they’re all attached to this memrtcc.ad domain that I now own,” Caturegli said, noting wryly that “memrtcc” stands for “Memphis Real-Time Crime Center.”

Caturegli said setting up an email server record for memrtcc.ad caused him to begin receiving automated messages from the police department’s IT help desk, including trouble tickets regarding the city’s Okta authentication system.

Mike Barlow, information security manager for the City of Memphis, confirmed the Memphis Police’s systems were sharing their Microsoft Windows credentials with the domain, and that the city was working with Caturegli to have the domain transferred to them.

“We are working with the Memphis Police Department to at least somewhat mitigate the issue in the meantime,” Barlow said.

Domain administrators have long been encouraged to use .local for internal domain names, because this TLD is reserved for use by local networks and cannot be routed over the open Internet. However, Caturegli said many organizations seem to have missed that memo and gotten things backwards — setting up their internal Active Directory structure around the perfectly routable domain local.ad.

Caturegli said he knows this because he “defensively” registered local.ad, which he said is currently used by multiple large organizations for Active Directory setups — including a European mobile phone provider, and the City of Newcastle in the United Kingdom. Continue reading →

National Public Data Published Its Own Passwords

August 19, 2024
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New details are emerging about a breach at National Public Data (NPD), a consumer data broker that recently spilled hundreds of millions of Americans’ Social Security Numbers, addresses, and phone numbers online. KrebsOnSecurity has learned that another NPD data broker which shares access to the same consumer records inadvertently published the passwords to its back-end database in a file that was freely available from its homepage until today.

In April, a cybercriminal named USDoD began selling data stolen from NPD. In July, someone leaked what was taken, including the names, addresses, phone numbers and in some cases email addresses for more than 272 million people (including many who are now deceased).

NPD acknowledged the intrusion on Aug. 12, saying it dates back to a security incident in December 2023. In an interview last week, USDoD blamed the July data leak on another malicious hacker who also had access to the company’s database, which they claimed has been floating around the underground since December 2023.

Following last week’s story on the breadth of the NPD breach, a reader alerted KrebsOnSecurity that a sister NPD property — the background search service recordscheck.net — was hosting an archive that included the usernames and password for the site’s administrator.

A review of that archive, which was available from the Records Check website until just before publication this morning (August 19), shows it includes the source code and plain text usernames and passwords for different components of recordscheck.net, which is visually similar to nationalpublicdata.com and features identical login pages.

The exposed archive, which was named “members.zip,” indicates RecordsCheck users were all initially assigned the same six-character password and instructed to change it, but many did not.

According to the breach tracking service Constella Intelligence, the passwords included in the source code archive are identical to credentials exposed in previous data breaches that involved email accounts belonging to NPD’s founder, an actor and retired sheriff’s deputy from Florida named Salvatore “Sal” Verini.

Reached via email, Mr. Verini said the exposed archive (a .zip file) containing recordscheck.net credentials has been removed from the company’s website, and that the site is slated to cease operations “in the next week or so.”

“Regarding the zip, it has been removed but was an old version of the site with non-working code and passwords,” Verini told KrebsOnSecurity. “Regarding your question, it is an active investigation, in which we cannot comment on at this point. But once we can, we will [be] with you, as we follow your blog. Very informative.”

The leaked recordscheck.net source code indicates the website was created by a web development firm based in Lahore, Pakistan called creationnext.com, which did not return messages seeking comment. CreationNext.com’s homepage features a positive testimonial from Sal Verini.

A testimonial from Sal Verini on the homepage of CreationNext, the Lahore, Pakistan-based web development firm that apparently designed NPD and RecordsCheck.

There are now several websites that have been stood up to help people learn if their SSN and other data was exposed in this breach. One is npdbreach.com, a lookup page erected by Atlas Data Privacy Corp. Another lookup service is available at npd.pentester.com. Both sites show NPD had old and largely inaccurate data on Yours Truly. Continue reading →

NationalPublicData.com Hack Exposes a Nation’s Data

August 15, 2024
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A great many readers this month reported receiving alerts that their Social Security Number, name, address and other personal information were exposed in a breach at a little-known but aptly-named consumer data broker called NationalPublicData.com. This post examines what we know about a breach that has exposed hundreds of millions of consumer records. We’ll also take a closer look at the data broker that got hacked — a background check company founded by an actor and retired sheriff’s deputy from Florida.

On July 21, 2024, denizens of the cybercrime community Breachforums released more than 4 terabytes of data they claimed was stolen from nationalpublicdata.com, a Florida-based company that collects data on consumers and processes background checks.

The breach tracking service HaveIBeenPwned.com and the cybercrime-focused Twitter account vx-underground both concluded the leak is the same information first put up for sale in April 2024 by a prolific cybercriminal who goes by the name “USDoD.”

On April 7, USDoD posted a sales thread on Breachforums for four terabytes of data — 2.9 billion rows of records — they claimed was taken from nationalpublicdata.com. The snippets of stolen data that USDoD offered as teasers showed rows of names, addresses, phone numbers, and Social Security Numbers (SSNs). Their asking price? $3.5 million.

Many media outlets mistakenly reported that the National Public data breach affects 2.9 billion people (that figure actually refers to the number of rows in the leaked data sets). HaveIBeenPwned.com’s Troy Hunt analyzed the leaked data and found it is a somewhat disparate collection of consumer and business records, including the real names, addresses, phone numbers and SSNs of millions of Americans (both living and deceased), and 70 million rows from a database of U.S. criminal records.

Hunt said he found 137 million unique email addresses in the leaked data, but stressed that there were no email addresses in the files containing SSN records.

“If you find yourself in this data breach via HaveIBeenPwned.com, there’s no evidence your SSN was leaked, and if you’re in the same boat as me, the data next to your record may not even be correct.”

Nationalpublicdata.com publicly acknowledged a breach in a statement on Aug. 12, saying “there appears to have been a data security incident that may have involved some of your personal information. The incident appears to have involved a third-party bad actor that was trying to hack into data in late December 2023, with potential leaks of certain data in April 2024 and summer 2024.”

The company said the information “suspected of being breached” contained name, email address, phone number, social security number, and mailing address(es).

“We cooperated with law enforcement and governmental investigators and conducted a review of the potentially affected records and will try to notify you if there are further significant developments applicable to you,” the statement continues. “We have also implemented additional security measures in efforts to prevent the reoccurrence of such a breach and to protect our systems.”

Hunt’s analysis didn’t say how many unique SSNs were included in the leaked data. But according to researchers at Atlas Data Privacy Corp., there are 272 million unique SSNs in the entire records set.

Atlas found most records have a name, SSN, and home address, and that approximately 26 percent of those records included a phone number. Atlas said they verified 5,000 addresses and phone numbers, and found the records pertain to people born before Jan. 1, 2002 (with very few exceptions).

If there is a tiny silver lining to the breach it is this: Atlas discovered that many of the records related to people who are now almost certainly deceased. They found the average age of the consumer in these records is 70, and fully two million records are related to people whose date of birth would make them more than 120 years old today. Continue reading →

Six 0-Days Lead Microsoft’s August 2024 Patch Push

August 13, 2024
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Microsoft today released updates to fix at least 90 security vulnerabilities in Windows and related software, including a whopping six zero-day flaws that are already being actively exploited by attackers.

Image: Shutterstock.

This month’s bundle of update joy from Redmond includes patches for security holes in Office, .NET, Visual Studio, Azure, Co-Pilot, Microsoft Dynamics, Teams, Secure Boot, and of course Windows itself. Of the six zero-day weaknesses Microsoft addressed this month, half are local privilege escalation vulnerabilities — meaning they are primarily useful for attackers when combined with other flaws or access.

CVE-2024-38106, CVE-2024-38107 and CVE-2024-38193 all allow an attacker to gain SYSTEM level privileges on a vulnerable machine, although the vulnerabilities reside in different parts of the Windows operating system.

Microsoft’s advisories include little information about the last two privilege escalation flaws, other than to note they are being actively exploited. Microsoft says CVE-2024-38106 exists in the Windows Kernel and is being actively exploited, but that it has a high “attack complexity,” meaning it can be tricky for malware or miscreants to exploit reliably.

“Microsoft lists exploit complexity as high due to the attacker needing to win a race condition,” Trend Micro’s ZeroDay Initiative (ZDI) noted. “However, some races are easier to run than others. It’s times like this where the CVSS can be misleading. Race conditions do lead to complexity high in the CVSS score, but with attacks in the wild, it’s clear this bug is readily exploitable.” Continue reading →

Cybercrime Rapper Sues Bank over Fraud Investigation

August 7, 2024
33 Comments

A partial selfie posted by Punchmade Dev to his Twitter account. Yes, that is a functioning handheld card skimming device, encrusted in diamonds. Underneath that are more medallions, including a diamond-studded bitcoin and payment card.

In January, KrebsOnSecurity wrote about rapper Punchmade Dev, whose music videos sing the praises of a cybercrime lifestyle. That story showed how Punchmade’s social media profiles promoted Punchmade-themed online stores selling bank account and payment card data. The subject of that piece, a 22-year-old Kentucky man, is now brazenly suing his financial institution after it blocked a $75,000 wire transfer and froze his account, citing an active law enforcement investigation.

With memorable hits such as “Internet Swiping” and “Million Dollar Criminal” earning millions of views, Punchmade Dev has leveraged his considerable following to peddle tutorials on how to commit financial crimes online. But until recently, there wasn’t much to support a conclusion that Punchmade was actually doing the cybercrime things he promotes in his songs.

That changed earlier this year when KrebsOnSecurity showed how Punchmade’s social media handles were promoting Punchmade e-commerce shops online that sold access to Cashapp and PayPal accounts with balances, software for printing checks, as well as personal and financial data on Americans.

Punchmade Dev’s previous online shop (now defunct). His Telegram channel has more than 75,000 followers.

The January story traced Punchmade’s various online properties to a 22-year-old Devon Turner from Lexington, Ky. Reached via his profile on X/Twitter, Punchmade Dev said they were not affiliated with the lawsuit filed by Turner [Punchmade’s X account provided this denial even though it has still not responded to requests for comment from the first story about him in January]. Meanwhile, Mr. Turner has declined multiple requests to comment for this story.

On June 26, Turner filed a pro se lawsuit against PNC Bank, alleging “unlawful discriminatory and tortuous action” after he was denied a wire transfer in the amount of $75,000. PNC Bank did not respond to a request for comment.

Turner’s complaint states that a follow-up call to his bank revealed the account had been closed due to “suspicious activity,” and that he was no longer welcome to patronize PNC Bank.

“The Plaintiff is a very successful African-American business owner, who has generated millions of dollars with his businesses, has hired 30 plus people to work for his businesses,” Turner wrote.

As reported in January, among Turner’s businesses is a Lexington entity called OBN Group LLC (assumed name Punchmade LLC). Business incorporation documents from the Kentucky Secretary of State show he also ran a record label called DevTakeFlightBeats Inc.

Turner’s lawsuit alleges that bank staff made disparaging remarks about him, suggesting the account was canceled because it would be unusual for a person like him to have that kind of money.

A snippet from Turner’s lawsuit vs. PNC.

Incredibly, Turner acknowledges that PNC told him his account was flagged for attention from law enforcement officials.

“The PNC Bank customer service representative also explained that there was a note on the account that law enforcement would be contacted at some point in time,” the lawsuit reads.

“The Plaintiff, who was not worried at all about law enforcement being involved because nothing illegal occurred, informed the PNC Bank representative that this was one big mistake and asked him what his options were,” the complaint states. Continue reading →

Low-Drama ‘Dark Angels’ Reap Record Ransoms

August 5, 2024
25 Comments

A ransomware group called Dark Angels made headlines this past week when it was revealed the crime group recently received a record $75 million data ransom payment from a Fortune 50 company. Security experts say the Dark Angels have been around since 2021, but the group doesn’t get much press because they work alone and maintain a low profile, picking one target at a time and favoring mass data theft over disrupting the victim’s operations.

Image: Shutterstock.

Security firm Zscaler ThreatLabz this month ranked Dark Angels as the top ransomware threat for 2024, noting that in early 2024 a victim paid the ransomware group $75 million — higher than any previously recorded ransom payment. ThreatLabz found Dark Angels has conducted some of the largest ransomware attacks to date, and yet little is known about the group.

Brett Stone-Gross, senior director of threat intelligence at ThreatLabz, said Dark Angels operate using an entirely different playbook than most other ransomware groups. For starters, he said, Dark Angels does not employ the typical ransomware affiliate model, which relies on hackers-for-hire to install malicious software that locks up infected systems.

“They really don’t want to be in the headlines or cause business disruptions,” Stone-Gross said. “They’re about making money and attracting as little attention as possible.”

Most ransomware groups maintain flashy victim leak sites which threaten to publish the target’s stolen data unless a ransom demand is paid. But the Dark Angels didn’t even have a victim shaming site until April 2023. And the leak site isn’t particularly well branded; it’s called Dunghill Leak.

The Dark Angels victim shaming site, Dunghill Leak.

“Nothing about them is flashy,” Stone-Gross said. “For the longest time, they didn’t even want to cause a big headline, but they probably felt compelled to create that leaks site because they wanted to show they were serious and that they were going to post victim data and make it accessible.”

Dark Angels is thought to be a Russia-based cybercrime syndicate whose distinguishing characteristic is stealing truly staggering amounts of data from major companies across multiple sectors, including healthcare, finance, government and education. For large businesses, the group has exfiltrated between 10-100 terabytes of data, which can take days or weeks to transfer, ThreatLabz found.

Like most ransom gangs, Dark Angels will publish data stolen from victims who do not pay. Some of the more notable victims listed on Dunghill Leak include the global food distribution firm Sysco, which disclosed a ransomware attack in May 2023; and the travel booking giant Sabre, which was hit by the Dark Angels in September 2023.

Stone-Gross said Dark Angels is often reluctant to deploy ransomware malware because such attacks work by locking up the target’s IT infrastructure, which typically causes the victim’s business to grind to a halt for days, weeks or even months on end. And those types of breaches tend to make headlines quickly.

“They selectively choose whether they want to deploy ransomware or not,” he said. “If they deem they can encrypt some files that won’t cause major disruptions — but will give them a ton of data — that’s what they’ll do. But really, what separates them from the rest is the volume of data they’re stealing. It’s a whole order of magnitude greater with Dark Angels. Companies losing vast amounts of data will pay these high ransoms.” Continue reading →

U.S. Trades Cybercriminals to Russia in Prisoner Swap

August 1, 2024
30 Comments

Twenty-four prisoners were freed today in an international prisoner swap between Russia and Western countries. Among the eight Russians repatriated were several convicted cybercriminals. In return, Russia has reportedly released 16 prisoners, including Wall Street Journal reporter Evan Gershkovich and ex-U.S. Marine Paul Whelan.

Among those in the prisoner swap is Roman Seleznev, 40, who was sentenced in 2017 to 27 years in prison for racketeering convictions tied to a lengthy career in stealing and selling payment card data. Seleznev earned this then-record sentence by operating some of the underground’s most bustling marketplaces for stolen card data.

Roman Seleznev, pictured with bundles of cash. Image: US DOJ.

Once known by the hacker handles “Track2,” “Bulba” and “nCux,” Seleznev is the son of Valery Seleznev, a prominent member of the Russian parliament who is considered an ally of Vladimir Putin. U.S. prosecutors showed that for years Seleznev stayed a step ahead of the law by tapping into contacts at the Russian FSB, the successor agency to the Soviet KGB, and by periodically changing hacker handles.

But in 2014 Seleznev was captured by U.S. Secret Service agents, who had zeroed in on Seleznev’s posh vacation spot in The Maldives. At the time, the South Asian island country was a popular destination for Eastern Europe-based cybercriminals, who viewed it as beyond the reach of U.S. law enforcement.

In addition to receiving a record prison sentence, Seleznev was ordered to pay more than $50 million in restitution to his victims. That loss amount equaled the total losses inflicted by Seleznev’s various carding stores, and other thefts attributed to members of the hacking forum carder[.]su, a bustling cybercrime community of which Seleznev was a leading organizer.

Also released in the prisoner swap was Vladislav Klyushin, a 42-year-old Muscovite sentenced in September 2023 to nine years in prison for what U.S. prosecutors called a “$93 million hack-to-trade conspiracy.” Klyushin and his crew hacked into companies and used information stolen in those intrusions to make illegal stock trades.

Klyushin likewise was arrested while vacationing abroad: The Associated Press reported that Klyushin was captured in Switzerland after arriving on a private jet, and just before he and his party were about to board a helicopter to whisk them to a nearby ski resort.

A passport photo of Klyushin. Image: USDOJ.

Klyushin is the owner of M-13, a Russian technology company that contracts with the Russian government. According to prosecutors, M-13 offered penetration testing and “advanced persistent threat (APT) emulation.” As part of his guilty plea, Klyushin was also ordered to forfeit $34 million, and to pay restitution in an amount that was to be determined.

The U.S. government says four of Klyushin’s alleged co-conspirators remain at large, including Ivan Ermakov, who was among 12 Russians charged in 2018 with hacking into key Democratic Party email accounts. Continue reading →

Don’t Let Your Domain Name Become a “Sitting Duck”

July 31, 2024
27 Comments

More than a million domain names — including many registered by Fortune 100 firms and brand protection companies — are vulnerable to takeover by cybercriminals thanks to authentication weaknesses at a number of large web hosting providers and domain registrars, new research finds.

Image: Shutterstock.

Your Web browser knows how to find a site like example.com thanks to the global Domain Name System (DNS), which serves as a kind of phone book for the Internet by translating human-friendly website names (example.com) into numeric Internet addresses.

When someone registers a domain name, the registrar will typically provide two sets of DNS records that the customer then needs to assign to their domain. Those records are crucial because they allow Web browsers to find the Internet address of the hosting provider that is serving that domain.

But potential problems can arise when a domain’s DNS records are “lame,” meaning the authoritative name server does not have enough information about the domain and can’t resolve queries to find it. A domain can become lame in a variety of ways, such as when it is not assigned an Internet address, or because the name servers in the domain’s authoritative record are misconfigured or missing.

The reason lame domains are problematic is that a number of Web hosting and DNS providers allow users to claim control over a domain without accessing the true owner’s account at their DNS provider or registrar.

If this threat sounds familiar, that’s because it is hardly new. Back in 2019, KrebsOnSecurity wrote about thieves employing this method to seize control over thousands of domains registered at GoDaddy, and using those to send bomb threats and sextortion emails (GoDaddy says they fixed that weakness in their systems not long after that 2019 story).

In the 2019 campaign, the spammers created accounts on GoDaddy and were able to take over vulnerable domains simply by registering a free account at GoDaddy and being assigned the same DNS servers as the hijacked domain.

Three years before that, the same pervasive weakness was described in a blog post by security researcher Matthew Bryant, who showed how one could commandeer at least 120,000 domains via DNS weaknesses at some of the world’s largest hosting providers.

Incredibly, new research jointly released today by security experts at Infoblox and Eclypsium finds this same authentication weakness is still present at a number of large hosting and DNS providers.

“It’s easy to exploit, very hard to detect, and it’s entirely preventable,” said Dave Mitchell, principal threat researcher at Infoblox. “Free services make it easier [to exploit] at scale. And the bulk of these are at a handful of DNS providers.”

SITTING DUCKS

Infoblox’s report found there are multiple cybercriminal groups abusing these stolen domains as a globally dispersed “traffic distribution system,” which can be used to mask the true source or destination of web traffic and to funnel Web users to malicious or phishous websites.

Commandeering domains this way also can allow thieves to impersonate trusted brands and abuse their positive or at least neutral reputation when sending email from those domains, as we saw in 2019 with the GoDaddy attacks.

“Hijacked domains have been used directly in phishing attacks and scams, as well as large spam systems,” reads the Infoblox report, which refers to lame domains as “Sitting Ducks.” “There is evidence that some domains were used for Cobalt Strike and other malware command and control (C2). Other attacks have used hijacked domains in targeted phishing attacks by creating lookalike subdomains. A few actors have stockpiled hijacked domains for an unknown purpose.”

Eclypsium researchers estimate there are currently about one million Sitting Duck domains, and that at least 30,000 of them have been hijacked for malicious use since 2019.

“As of the time of writing, numerous DNS providers enable this through weak or nonexistent verification of domain ownership for a given account,” Eclypsium wrote.

The security firms said they found a number of compromised Sitting Duck domains were originally registered by brand protection companies that specialize in defensive domain registrations (reserving look-alike domains for top brands before those names can be grabbed by scammers) and combating trademark infringement.

For example, Infoblox found cybercriminal groups using a Sitting Duck domain called clickermediacorp[.]com, which was a CBS Interactive Inc. domain initially registered in 2009 at GoDaddy. However, in 2010 the DNS was updated to DNSMadeEasy.com servers, and in 2012 the domain was transferred to MarkMonitor.

Another hijacked Sitting Duck domain — anti-phishing[.]org — was registered in 2003 by the Anti-Phishing Working Group (APWG), a cybersecurity not-for-profit organization that closely tracks phishing attacks.

In many cases, the researchers discovered Sitting Duck domains that appear to have been configured to auto-renew at the registrar, but the authoritative DNS or hosting services were not renewed.

The researchers say Sitting Duck domains all possess three attributes that makes them vulnerable to takeover:

1) the domain uses or delegates authoritative DNS services to a different provider than the domain registrar;
2) the authoritative name server(s) for the domain does not have information about the Internet address the domain should point to;
3) the authoritative DNS provider is “exploitable,” i.e. an attacker can claim the domain at the provider and set up DNS records without access to the valid domain owner’s account at the domain registrar.

Image: Infoblox.

How does one know whether a DNS provider is exploitable? There is a frequently updated list published on GitHub called “Can I take over DNS,” which has been documenting exploitability by DNS provider over the past several years. The list includes examples for each of the named DNS providers. Continue reading →