Posts Tagged: EvaPharmacy


26
Jan 12

Mr. Waledac: The Peter North of Spamming

Microsoft on Monday named a Russian man as allegedly responsible for running the Kelihos botnet, a spam engine that infected an estimated 40,000 PCs. But closely held data seized from a huge spam affiliate program suggests that the driving force behind Kelihos is a different individual who commanded a much larger spam empire, and 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 novel 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 operated 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.

“It’s the same code with modifications,” said Brett Stone-Gross, a security analyst who came into possession of the Kelihos source code last year and has studied the two malware families extensively.

Rather, Stone-Gross said, the true coordinator of both Kelihos and Waledac is likely another Russian who is well known to anti-spam activists.

WHO IS SEVERA?

A variety of indicators suggest that the person behind Waledac and later Kelihos is a man named “Peter Severa” — known simply as “Severa” on underground forums. For several years running, Severa has featured in the Top 10 worst spammers list published by anti-spam activists at Spamhaus.org (he currently ranks at #5). Spamhaus alleged that Severa was the Russian partner of convicted U.S. pump-and-dump stock spammer Alan Ralsky, and indeed Peter Severa was indicted by the U.S. Justice Department in a related and ongoing spam investigation.

It turns out that the connection between Waledac and Severa is supported by data leaked in 2010 after hackers broke into the servers of pharmacy spam affiliate program SpamIt. The data also include tantalizing clues about Severa’s real identity.

In multiple instances, Severa gives his full name as “Peter North;” Peter Severa translates literally from Russian as “Peter of the North.” (The nickname may be a nod to the porn star Peter North, which would be fitting given that Peter North the spammer promoted shady pharmacies whose main seller was male enhancement drugs).

Spamdot.biz moderator Severa listing prices to rent his Waledac spam botnet.

According to SpamIt records, Severa brought in revenues of $438,000 and earned commissions of $145,000 spamming rogue online pharmacy sites over a 3-year period. He also was a moderator of Spamdot.biz (pictured at right), a vetted-members-only forum that included many of SpamIt’s top earners, as well as successful spammers/malware writers from other affiliate programs such as EvaPharmacy and Mailien.

Severa seems to have made more money renting his botnet to other spammers. For $200, vetted users could hire his botnet to send 1 million pieces of spam; junk email campaigns touting employment/money mule scams cost $300 per million, and phishing emails could be blasted out through Severa’s botnet for the bargain price of $500 per million.

Spamhaus says Severa’s real name may be Peter Levashov. The information Severa himself provided to SpamIt suggests that Spamhaus’s intelligence is not far off the mark.

Severa had his SpamIt earnings deposited into an account at WebMoney, a virtual currency popular in Russia and Eastern Europe. According to a source that has the ability to look up identity information tied to WebMoney accounts, the account was established in 2001 by someone who entered a WebMoney office and presented the Russian passport #454345544. The passport bore the name of a then 26-year-old from Moscow — Viktor Sergeevich Ivashov.

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26
Jan 11

Battling the Zombie Web Site Armies

Peter Bennett first suspected his own Web site might have been turned into a spam-spewing zombie on the night of Nov. 11, when he discovered that a tiny program secretly uploaded to his site was forcing it to belch out ads for rogue Internet pharmacies.

Bennett’s site had been silently “infected” via an unknown (at the time) vulnerability in a popular e-commerce software package. While most site owners probably would have just cleaned up the mess and moved on, Bennett — a longtime anti-spam vigilante — took the attack as a personal challenge.

“Spammers always know it is me attacking their resources in whatever form that takes,” Bennett said. “In other words, I make myself a target because I have a clue or two about server security and defense and just love taunting them to crank them up.”

And taunt them he has. For years, the New Zealand resident was part of a ragtag band of anti-spam activists, or “antis,” that helped to bring down infamous pill spammer Shane Atkinson and other junk e-mail purveyors. After taking a break from anti activity in 2007 to pursue other professional goals, Bennett – now 50 – seems eager to jump back into the fray.

In the interim, however, spammers have been refining their techniques. Like reluctant conscripts in a global guerilla army, hundreds¬† — sometimes thousands — of legitimate Web sites are now enslaved each month and sold to criminals who use them to blast out spam and host spam sites. The attackers Bennett is tracking mainly pick on orphaned Web sites running Linux with insecure, unpatched software packages (Bennett says his site was hacked thanks to a zero-day bug in OScommerce, a popular e-commerce software program).

Bennett found that his Web site was part of a larger botnet of at least 1,200 compromised sites that was being used to send roughly 25 million junk e-mail messages each day, although he said it appears the botnet is used for spam runs only intermittently.

“They only run the botnet once a week or so at a time, and then shut it off,” Bennett said.

An ad soliciting EvaPharmacy affiliates.

The hacked sites in the botnet Bennett identified mainly advertise one of three types of rogue pill sites: MyCanadianPharmacy, Canadian Family Pharmacy, and Canadian Health&Care Mall. The latter has been tied to a pharmacy affiliate program called EvaPharmacy, one of the few remaining pharmacy affiliate programs that pays members to promote fly-by-night pill sites via spam.

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