Posts Tagged: U.S. Secret Service


21
Nov 18

USPS Site Exposed Data on 60 Million Users

U.S. Postal Service just fixed a security weakness that allowed anyone who has an account at usps.com to view account details for some 60 million other users, and in some cases to modify account details on their behalf.

Image: USPS.com

KrebsOnSecurity was contacted last week by a researcher who discovered the problem, but who asked to remain anonymous. The researcher said he informed the USPS about his finding more than a year ago yet never received a response. After confirming his findings, this author contacted the USPS, which promptly addressed the issue.

The problem stemmed from an authentication weakness in a USPS Web component known as an “application program interface,” or API — basically, a set of tools defining how various parts of an online application such as databases and Web pages should interact with one another.

The API in question was tied to a Postal Service initiative called “Informed Visibility,” which according to the USPS is designed to let businesses, advertisers and other bulk mail senders “make better business decisions by providing them with access to near real-time tracking data” about mail campaigns and packages.

In addition to exposing near real-time data about packages and mail being sent by USPS commercial customers, the flaw let any logged-in usps.com user query the system for account details belonging to any other users, such as email address, username, user ID, account number, street address, phone number, authorized users, mailing campaign data and other information.

Many of the API’s features accepted “wildcard” search parameters, meaning they could be made to return all records for a given data set without the need to search for specific terms. No special hacking tools were needed to pull this data, other than knowledge of how to view and modify data elements processed by a regular Web browser like Chrome or Firefox.

A USPS brochure advertising the features and benefits of Informed Visibility.

In cases where multiple accounts shared a common data element — such as a street address — using the API to search for one specific data element often brought up multiple records. For example, a search on the email addresses for readers who volunteered to help with this research turned up multiple accounts when those users had more than one user signed up at the same physical address.

“This is not good,” said one anonymous reader who volunteered to help with this research, after viewing a cut-and-paste of his USPS account details looked up via his email address. “Especially since we moved due to being threatened by a neighbor.”

Nicholas Weaver, a researcher at the International Computer Science Institute and lecturer at UC Berkeley, said the API should have validated that the account making the request had permission to read the data requested.

“This is not even Information Security 101, this is Information Security 1, which is to implement access control,” Weaver said. “It seems like the only access control they had in place was that you were logged in at all. And if you can access other peoples’ data because they aren’t enforcing access controls on reading that data, it’s catastrophically bad and I’m willing to bet they’re not enforcing controls on writing to that data as well.”

A cursory review by KrebsOnSecurity indicates the promiscuous API let any user request account changes for any other user, such as email address, phone number or other key details.

Fortunately, the USPS appears to have included a validation step to prevent unauthorized changes — at least with some data fields. Attempts to modify the email address associated with my USPS account via the API prompted a confirmation message sent to the email address tied to that account (which required clicking a link in the email to complete the change).

It does not appear USPS account passwords were exposed via this API, although KrebsOnSecurity conducted only a very brief and limited review of the API’s rather broad functionality before reporting the issue to the USPS. The API at issue resides here; a copy of the API prior to its modification on Nov. 20 by the USPS is available here as a text file. Continue reading →


8
Nov 18

U.S. Secret Service Warns ID Thieves are Abusing USPS’s Mail Scanning Service

A year ago, KrebsOnSecurity warned that “Informed Delivery,” a new offering from the U.S. Postal Service (USPS) that lets residents view scanned images of all incoming mail, was likely to be abused by identity thieves and other fraudsters unless the USPS beefed up security around the program and made it easier for people to opt out. This week, the U.S. Secret Service issued an internal alert warning that many of its field offices have reported crooks are indeed using Informed Delivery to commit various identity theft and credit card fraud schemes.

Image: USPS

The internal alert — sent by the Secret Service on Nov. 6 to its law enforcement partners nationwide — references a recent case in Michigan in which seven people were arrested for allegedly stealing credit cards from resident mailboxes after signing up as those victims at the USPS’s Web site.

According to the Secret Service alert, the accused used the Informed Delivery feature “to identify and intercept mail, and to further their identity theft fraud schemes.”

“Fraudsters were also observed on criminal forums discussing using the Informed Delivery service to surveil potential identity theft victims,” the Secret Service memo reads.

The USPS did not respond to repeated requests for comment over the past six days.

The Michigan incident in the Secret Service alert refers to the September 2018 arrest of seven people accused of running up nearly $400,000 in unauthorized charges on credit cards they ordered in the names of residents. According to a copy of the complaint in that case (PDF), the defendants allegedly stole the new cards out of resident mailboxes, and then used them to fraudulently purchase gift cards and merchandise from department stores.

KrebsOnSecurity took the USPS to task last year in part for not using its own unique communications method — the U.S. Mail — to validate and notify residents when someone at their address signs up for Informed Delivery. The USPS addressed that shortcoming earlier this year, announcing it had started alerting all households by mail whenever anyone signs up to receive scanned notifications of mail delivered to their address.

However, it appears that ID thieves have figured out ways to hijack identities and order new credit cards in victims’ names before the USPS can send their notification — possibly by waiting until the cards are already approved and ordered before signing up for Informed Delivery in the victim’s name.

Last month, WKMG’s Clickorlando.com wrote that a number of Belle Isle, Fla. residents reported receiving hefty bills for credit cards they never knew they had. One resident was quoted as saying she received a bill for $2,000 in charges on a card she’d never seen before, and only after that did she get a notice from the USPS saying someone at her address had signed up for Informed Delivery. The only problem was she’d never signed up for the USPS program.

“According to a police report, someone opened fraudulent credit card accounts and charged more than $14,000 and signed her neighbors up for Informed Delivery, too,” Clickorlando’s Louis Bolden explained. “Photos of what would be in their mail were going to someone else.”

Residents in Texas have reported similar experiences. Dave Lieber, author of The Watchdog column for The Dallas Morning News, said he heard from victim Chris Torraca, 58, a retired federal bank regulator from Grapevine, a town between Dallas and Ft. Worth.

“Chris discovered it after someone created an account in his name at usps.com,” Lieber wrote in a post published Nov. 2. “The thief began receiving photos of Chris’ mail and also opened a bank credit card in Chris’ wife’s name. Postal officials promote the program as a great way to prevent ID theft, but for Chris, that’s what led to it.” Continue reading →


27
Sep 18

Secret Service Warns of Surge in ATM ‘Wiretapping’ Attacks

The U.S. Secret Service is warning financial institutions about a recent uptick in a form of ATM skimming that involves cutting cupcake-sized holes in a cash machine and then using a combination of magnets and medical devices to siphon customer account data directly from the card reader inside the ATM.

According to a non-public alert distributed to banks this week and shared with KrebsOnSecurity by a financial industry source, the Secret Service has received multiple reports about a complex form of skimming that often takes thieves days to implement.

This type of attack, sometimes called ATM “wiretapping” or “eavesdropping,” starts when thieves use a drill to make a relatively large hole in the front of a cash machine. The hole is then concealed by a metal faceplate, or perhaps a decal featuring the bank’s logo or boilerplate instructions on how to use the ATM.

A thin metal faceplate is often used to conceal the hole drilled into the front of the ATM. The PIN pad shield pictured here is equipped with a hidden spy camera.

Skimmer thieves will fish the card skimming device through the hole and attach it to the internal card reader via a magnet.

Thieves often use a magnet to secure their card skimmer in place above the ATM’s internal card reader. Image: U.S. Secret Service.

Very often the fraudsters will be assisted in the skimmer installation by an endoscope, a slender, flexible instrument traditionally used in medicine to give physicians a look inside the human body. By connecting a USB-based endoscope to his smart phone, the intruder can then peek inside the ATM and ensure that his skimmer is correctly attached to the card reader. Continue reading →


5
Apr 18

Secret Service Warns of Chip Card Scheme

The U.S. Secret Service is warning financial institutions about a new scam involving the temporary theft of chip-based debit cards issued to large corporations. In this scheme, the fraudsters intercept new debit cards in the mail and replace the chips on the cards with chips from old cards. When the unsuspecting business receives and activates the modified card, thieves can start draining funds from the account.

Signs of a card with an old or invalid chip include heat damage around the chip or on the card, or a small hole in the plastic used to pry the chip off the card. Image: U.S. Secret Service.

According to an alert sent to banks late last month, the entire scheme goes as follows:

1. Criminals intercept mail sent from a financial institution to large corporations that contain payment cards, targeting debit payment cards with access to large amount of funds.

2. The crooks remove the chip from the debit payment card using a heat source that warms the glue.

3. Criminals replace the chip with an old or invalid chip and repackage the payment card for delivery.

4. Criminals place the stolen chip into an old payment card.

5. The corporation receives the debit payment card without realizing the chip has been replaced.

6. The corporate office activates the debit payment card; however, their payment card is inoperable thanks to the old chip.

7. Criminals use the payment card with the stolen chip for their personal gain once the corporate office activates the card. Continue reading →


27
Jan 18

First ‘Jackpotting’ Attacks Hit U.S. ATMs

ATM “jackpotting” — a sophisticated crime in which thieves install malicious software and/or hardware at ATMs that forces the machines to spit out huge volumes of cash on demand — has long been a threat for banks in Europe and Asia, yet these attacks somehow have eluded U.S. ATM operators. But all that changed this week after the U.S. Secret Service quietly began warning financial institutions that jackpotting attacks have now been spotted targeting cash machines here in the United States.

To carry out a jackpotting attack, thieves first must gain physical access to the cash machine. From there they can use malware or specialized electronics — often a combination of both — to control the operations of the ATM.

A keyboard attached to the ATM port. Image: FireEye

On Jan. 21, 2018, KrebsOnSecurity began hearing rumblings about jackpotting attacks, also known as “logical attacks,” hitting U.S. ATM operators. I quickly reached out to ATM giant NCR Corp. to see if they’d heard anything. NCR said at the time it had received unconfirmed reports, but nothing solid yet.

On Jan. 26, NCR sent an advisory to its customers saying it had received reports from the Secret Service and other sources about jackpotting attacks against ATMs in the United States.

“While at present these appear focused on non-NCR ATMs, logical attacks are an industry-wide issue,” the NCR alert reads. “This represents the first confirmed cases of losses due to logical attacks in the US. This should be treated as a call to action to take appropriate steps to protect their ATMs against these forms of attack and mitigate any consequences.”

The NCR memo does not mention the type of jackpotting malware used against U.S. ATMs. But a source close to the matter said the Secret Service is warning that organized criminal gangs have been attacking stand-alone ATMs in the United States using “Ploutus.D,” an advanced strain of jackpotting malware first spotted in 2013.

According to that source — who asked to remain anonymous because he was not authorized to speak on the record — the Secret Service has received credible information that crooks are activating so-called “cash out crews” to attack front-loading ATMs manufactured by ATM vendor Diebold Nixdorf.

The source said the Secret Service is warning that thieves appear to be targeting Opteva 500 and 700 series Dielbold ATMs using the Ploutus.D malware in a series of coordinated attacks over the past 10 days, and that there is evidence that further attacks are being planned across the country.

“The targeted stand-alone ATMs are routinely located in pharmacies, big box retailers, and drive-thru ATMs,” reads a confidential Secret Service alert sent to multiple financial institutions and obtained by KrebsOnSecurity. “During previous attacks, fraudsters dressed as ATM technicians and attached a laptop computer with a mirror image of the ATMs operating system along with a mobile device to the targeted ATM.

Reached for comment, Diebold shared an alert it sent to customers Friday warning of potential jackpotting attacks in the United States. Diebold’s alert confirms the attacks so far appear to be targeting front-loaded Opteva cash machines.

“As in Mexico last year, the attack mode involves a series of different steps to overcome security mechanism and the authorization process for setting the communication with the [cash] dispenser,” the Diebold security alert reads. A copy of the entire Diebold alert, complete with advice on how to mitigate these attacks, is available here (PDF). Continue reading →


26
May 17

Trump’s Dumps: ‘Making Dumps Great Again’

It’s not uncommon for crooks who peddle stolen credit cards to seize on iconic American figures of wealth and power in the digital advertisements for their shops that run incessantly on various cybercrime forums. Exhibit A: McDumpals, a hugely popular carding site that borrows the Ronald McDonald character from McDonald’s and caters to bulk buyers. Exhibit B: Uncle Sam’s dumps shop, which wants YOU! to buy American. Today, we’ll look at an up-and-coming stolen credit card shop called Trump’s-Dumps, which invokes the 45th president’s likeness and promises to make credit card fraud great again.

trumpsdumps

One reason thieves who sell stolen credit cards like to use popular American figures in their ads may be that a majority of their clients are people in the United States. Very often we’re talking about street gang members in the U.S. who use their purchased “dumps” — the data copied from the magnetic stripes of cards swiped through hacked point-of-sale systems — to make counterfeit copies of the cards. They then use the counterfeit cards in big-box stores to buy merchandise that they can easily resell for cash, such as gift cards, Apple devices and gaming systems.

When most of your clientele are street thugs based in the United States, it helps to leverage a brand strongly associated with America because you gain instant brand recognition with your customers. Also, a great many of these card shops are run by Russians and hosted at networks based in Russia, and the abuse of trademarks closely tied to the U.S. economy is a not-so-subtle “screw you” to American consumers.

In some cases, the guys running these card shops are openly hostile to the United States. Loyal readers will recall the stolen credit card shop “Rescator” — which was the main source of cards stolen in the Target, Home Depot and Sally Beauty breaches (among others) — was tied to a Ukrainian man who authored a nationalistic, pro-Russian blog which railed against the United States and called for the collapse of the American economy.

In deconstructing the 2014 breach at Sally Beauty, I interviewed a former Sally Beauty corporate network administrator who said the customer credit cards being stolen with the help of card-stealing malware installed on Sally Beauty point-of-sale devices that phoned home to a domain called “anti-us-proxy-war[dot]com.”

Trump’s Dumps currently advertises more than 133,000 stolen credit and debit card dumps for sale. The prices range from just under $10 worth of Bitcoin to more than $40 in Bitcoin, depending on which bank issued the card, the cardholder’s geographic location, and whether the cards are tied to premium, prepaid, business or executive accounts.

A "state of the dumps" address on Trump's-Dumps.

A “state of the dumps” address on Trump’s-Dumps.

Continue reading →


27
Sep 16

Inside Arizona’s Pump Skimmer Scourge

Crooks who deploy skimming devices made to steal payment card details from fuel station pumps don’t just target filling stations at random: They tend to focus on those that neglect to deploy various tools designed to minimize such scams, including security cameras, non-standard pump locks and tamper-proof security tape. But don’t take my word for it: Here’s a look at fuel station compromises in 2016 as documented by the state of Arizona, which has seen a dramatic spike in fuel skimming attacks over the past year.

KrebsOnSecurity examined nearly nine months worth of pump skimming incidents in Arizona, where officials say they’ve documented more skimming attacks in the month of August 2016 alone than in all of 2015 combined.

With each incident, the Arizona Department of Agriculture’s Weights and Measures Services Division files a report detailing whether victim fuel station owners had observed industry best practices leading up to the hacks. As we can see from the interactive story map KrebsOnSecurity created below, the vast majority of compromised filling stations failed to deploy security cameras, and/or tamper-evident seals on the pumps.

Fewer still had changed the factory-default locks on their pumps, meaning thieves armed with a handful of master keys were free to unlock the pumps and install skimming devices at will.

These security report cards for fuel station owners aren’t complete assessments by any means. Some contain scant details about the above-mentioned precautionary measures, while other reports painstakingly document such information — complete with multiple photos of the skimming devices. Regardless, the data available show a clear trend of fraudsters targeting owners and operators that flout basic security best practices. Continue reading →


13
Sep 16

Secret Service Warns of ‘Periscope’ Skimmers

The U.S. Secret Service is warning banks and ATM owners about a new technological advance in cash machine skimming known as “periscope skimming,” which involves a specialized skimming probe that connects directly to the ATM’s internal circuit board to steal card data.

At left, the skimming control device. Pictured right is the skimming control device with wires protruding from the periscope.

At left, the skimming control device. Pictured right is the skimming control device with wires protruding from the periscope. These were recovered from a cash machine in Connecticut.

According to a non-public alert released to bank industry sources by a financial crimes task force in Connecticut, this is thought to be the first time periscope skimming devices have been detected in the United States. The task force warned that the devices may have the capability to remain powered within the ATM for up to 14 days and can store up to 32,000 card numbers before exhausting the skimmer’s battery strength and data storage capacity.

The alert documents the first known case of periscope skimming in the United States, discovered Aug. 19, 2016 at an ATM in Greenwich, Conn. A second periscope skimmer was reportedly found hidden inside a cash machine in Pennsylvania on Sept. 3. Continue reading →


3
Jun 16

Banks: Credit Card Breach at CiCi’s Pizza

CiCi’s Pizza, an American fast food business based in Coppell, Texas with more than 500 stores in 35 states, appears to be the latest restaurant chain to struggle with a credit card breach. The data available so far suggests that hackers obtained access to card data at affected restaurants by posing as technical support specialists for the company’s point-of-sale provider, and that multiple other retailers have been targeted by this same cybercrime gang.

cicisOver the past two months, KrebsOnSecurity has received inquiries from fraud fighters at more than a half-dozen financial institutions in the United States — all asking if I had any information about a possible credit card breach at CiCi’s. Every one of these banking industry sources said the same thing: They’d detected a pattern of fraud on cards that all had all been used in the last few months at various CiCi’s Pizza locations.

Earlier today, I finally got around to reaching out to the CiCi’s headquarters in Texas and was referred to a third-party restaurant management firm called Champion Management. When I called Champion and told them why I was inquiring, they said “the issue” was being handled by an outside public relations firm called SPM Communications.

I never did get a substantive response from SPM, which according to their email and phone messages closes at 1 pm on Fridays during the summer. So I decided to follow up on a tip I’d received from a fraud fighter at one affected bank who said they’d heard from the U.S. Secret Service that the fraud was related to a breach or security weakness at Datapoint (CiCi’s point-of-sale provider).

Incredibly, I went to look up the contact information for datapoint[dot]com, and found that Google was trying to prevent me from visiting this site: According to the search engine giant, Datapoint’s Web site appears to be compromised! It appears Google has listed the site as hacked and that it was once abused by spammers to promote knockoff male enhancement pills.  Continue reading →


12
Oct 15

Credit Card Breach at America’s Thrift Stores

Another charity store chain has been hacked: America’s Thrift Stores, an organization that operates donations-based thrift stores throughout the southeast United States, said this week that it recently learned it was the victim of a malware-driven security breach that targeted software used by a third-party service provider.

americasthrift“This breach allowed criminals from Eastern Europe unauthorized access to some payment card numbers,” the company’s CEO said in a statement. “This virus/malware, is one of several infecting retailers across North America.”

The statement continues:

“The U.S. Secret Service tells us that only card numbers and expiration dates were stolen. They do not believe any customer names, phone numbers, addresses or email addresses were compromised. This breach may have affected sales transactions between September 1, 2015 and September 27, 2015. If you used your credit or debit card during this time to purchase an item at any America’s Thrift Store location, the payment card number information on your card may have been compromised.”

Nevertheless, several banking sources say they have seen a pattern of fraud on cards all used at America’s Thrift Stores locations indicating that thieves have been able to use the data stolen from the compromised point-of-sale devices to counterfeit new cards.

Founded in 1984, America’s Thrift Stores is a for-profit thrift store and operates in the southeastern United States. The company is headquartered in Birmingham, Alabama and operates stores in Alabama, Georgia, Tennessee, Mississippi and Louisiana. According to the company’s site, the organization employs over 1,000 employees and pays over $4 million to its non- profit partners annually, as it turns donated items into revenue for their missions.

The breach involving America’s Thrift Stores comes on the heels of a similar incident at Goodwill last year. That incident was tied back to security weaknesses at third-party payment vendor C&K Systems, although there is no indication yet which third-party service provider may be at fault in the America’s Thrift Stores breach.

America's Thrift Store Locations.
America’s Thrift Store Locations.