Category Archives: A Little Sunshine

Includes investigative blog posts meant to shine a light on the darker corners of the Internet.

Collaboration Fuels Rapid Growth of Citadel Trojan

February 9, 2012
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Late last month I wrote about Citadel, an “open source” version of the ZeuS Trojan whose defining feature is a social networking component where users can report and fix programming bugs, suggest and vote on new features in upcoming versions, and generally guide development of the botnet malware. Since then, I’ve been given a peek inside that social networking space, and it suggests that Citadel’s collaborative approach is fueling rapid growth of this new malware strain.

A customer who bought a license to the Citadel Trojan extended an invitation to drop in on that community of hackers. Those who have purchased the software can interact with the developers and other buyers via comments submitted to the Citadel Store, a front-end interface that is made available after users are validated through a two-step authentication process.

Crimevertising: Selling Into the Malware Channel

February 8, 2012
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Anyone who’s run a Web site is probably familiar with the term “malvertising,” which occurs when crooks hide exploits and malware inside of legitimate-looking ads that are submitted to major online advertising networks. But there’s a relatively new form of malware-based advertising that’s gaining ground — I’m calling it “crimevertising” for lack of a better term — that involves running otherwise harmless ads for illicit services inside of commercial crimeware kits.

At its most basic, crimevertising has been around for many years, in the form of banner ads on underground forums that hawk everything from hacking services to banking Trojans and crooked cashout services. More recently, malware authors have started offering the ability to place paid ads in the administrative panesl that customers use to control their botnets. Such placements allow miscreants an unprecedented opportunity to keep their brand name in front of the eyeballs of their target audience, and for hours on end.

Half of Fortune 500s, US Govt. Still Infected with DNSChanger Trojan

February 2, 2012
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More than two months after authorities shut down a massive Internet traffic hijacking scheme, the malicious software that powered the criminal network is still running on computers at half of the Fortune 500 companies, and on PCs at nearly 50 percent of all federal government agencies, new research shows.

The malware, known as the “DNSChanger Trojan,” quietly alters the host computer’s Internet settings to hijack search results and to block victims from visiting security sites that might help scrub the infections. DNSChanger frequently was bundled with other types of malware, meaning that systems infected with the Trojan often also host other, more nefarious digital parasites.

Who’s Behind the World’s Largest Spam Botnet?

February 1, 2012
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A Wikileaks-style war of attrition between two competing rogue Internet pharmacy gangs has exposed some of the biggest spammers on the planet. The latest casualties? Several individuals likely responsible for running Grum, currently the world’s most active spam botnet.

Mr. Waledac: The Peter North of Spamming

January 26, 2012
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Microsoft on Monday named a Russian man as allegedly the guy responsible for running the Kelihos botnet, a spam engine that infected an estimated 40,000 PCs. But closely held data seized from the world’s largest spam affiliate program suggests that the driving force behind Kelihos is a different individual who is still coordinating spam campaigns for hire.

Kelihos shares a great deal of code with the infamous Waledac botnet, a far more pervasive threat that infected hundreds of thousands of computers and pumped out tens of billions of junk emails promoting shady online pharmacies. Despite the broad base of shared code between the two malware families, Microsoft classifies them as fundamentally different threats. The company used clever legal techniques to seize control over and shutter both botnets, sucker punching Waledac in early 2010 and taking out Kelihos last fall.

On Monday, Microsoft filed papers with a Virginia court stating that Kelihos was run by Andrey N. Sabelnikov, a St. Petersburg man who once worked at Russian antivirus and security firm Agnitum. But according to the researcher who shared that intelligence with Microsoft — and confidentially with Krebs On Security weeks prior to Microsoft’s announcement — Sabelnikov is likely only a developer of Kelihos. Rather, the researcher argues, the true coordinator of both Kelihos and Waledac is another Russian man who is well known to anti-spam activists.

‘Citadel’ Trojan Touts Trouble-Ticket System

January 23, 2012
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Underground hacker forums are full of complaints from users angry that a developer of some popular banking Trojan or bot program has stopped supporting his product, stranding buyers with buggy botnets. Now, the proprietors of a new ZeuS Trojan variant are marketing their malware as the first offering that lets customers file bug reports, suggest and vote on new features in upcoming versions, and track trouble tickets that can be worked on by the developers and fellow users alike.

‘MegaSearch’ Aims to Index Fraud Site Wares

January 18, 2012
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A new service in the cyber underground aims to be the Google search of underground Web sites, connecting buyers to a vast sea of shops that offer an array of dodgy goods and services, from stolen credit card numbers to identity information and anonymity tools.

A glut of stolen card data has spawned dozens of stores that sell the information. The trouble is that each store requires users to create accounts and sign in before they can search for cards.

Enter MegaSearch.cc, which aims to let fraudsters discover which fraud shops hold the cards they’re looking for, without having to first create accounts at each shop. This underground search engine aggregates data about compromised payment cards, and points searchers to various fraud shops selling them.

Flying the Fraudster Skies

January 11, 2012
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Given the heightened security surrounding air travel these days, it may be hard to believe that fraudsters would try to board a plane using stolen tickets. But incredibly, there are a number of criminal travel agencies doing business in the underground, and judging from the positive feedback left by patrons, business appears to be booming.

The tickets often are purchased at the last minute and placed under the criminal buyer’s real name. The reservations are made using either stolen credit cards or hijacked accounts belonging to independent contractors in the travel industry. Customers are charged a fraction of the cost of the tickets and/or reservations, typically between 25 and 35 percent of the actual cost.

Virtual Sweatshops Defeat Bot-or-Not Tests

January 9, 2012
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Jobs in the hi-tech sector can be hard to find, but employers in one corner of the industry are creating hundreds of full-time positions, offering workers on-the-job training and the freedom to work from home. The catch? Employees will likely work for cybercrooks and may make barely enough money in a week to purchase a Happy Meal at McDonald’s.