Enlarge/ Apple Senior VP of Software Engineering Craig Federighi announces “Private Cloud Compute” at WWDC 2024.
Apple
With most large language models being run on remote, cloud-based server farms, some users have been reluctant to share personally identifiable and/or private data with AI companies. In its WWDC keynote today, Apple stressed that the new “Apple Intelligence” system it’s integrating into its products will use a new “Private Cloud Compute” to ensure any data processed on its cloud servers is protected in a transparent and verifiable way.
“You should not have to hand over all the details of your life to be warehoused and analyzed in someone’s AI cloud,” Apple Senior VP of Software Engineering Craig Federighi said.
Trust, but verify
Part of what Apple calls “a brand new standard for privacy and AI” is achieved through on-device processing. Federighi said “many” of Apple’s generative AI models can run entirely on a device powered by an A17+ or M-series chips, eliminating the risk of sending your personal data to a remote server.
When a bigger, cloud-based model is needed to fulfill a generative AI request, though, Federighi stressed that it will “run on servers we’ve created especially using Apple silicon,” which allows for the use of security tools built into the Swift programming language. The Apple Intelligence system “sends only the data that’s relevant to completing your task” to those servers, Federighi said, rather than giving blanket access to the entirety of the contextual information the device has access to.
And Apple says that minimized data is not going to be saved for future server access or used to further train Apple’s server-based models, either. “Your data is never stored or made accessible by Apple,” Federighi said. “It’s used exclusively to fill your request.”
But you don’t just have to trust Apple on this score, Federighi claimed. That’s because the server code used by Private Cloud Compute will be publicly accessible, meaning that “independent experts can inspect the code that runs on these servers to verify this privacy promise.” The entire system has been set up cryptographically so that Apple devices “will refuse to talk to a server unless its software has been publicly logged for inspection.”
While the keynote speech was light on details for the moment, the focus on privacy during the presentation shows that Apple is at least prioritizing security concerns in its messaging as it wades into the generative AI space for the first time. We’ll see what security experts have to say when these servers and their code are made publicly available in the near future.
A critical vulnerability in the PHP programming language can be trivially exploited to execute malicious code on Windows devices, security researchers warned as they urged those affected to take action before the weekend starts.
Within 24 hours of the vulnerability and accompanying patch being published, researchers from the nonprofit security organization Shadowserver reported Internet scans designed to identify servers that are susceptible to attacks. That—combined with (1) the ease of exploitation, (2) the availability of proof-of-concept attack code, (3) the severity of remotely executing code on vulnerable machines, and (4) the widely used XAMPP platform being vulnerable by default—has prompted security practitioners to urge admins check to see if their PHP servers are affected before starting the weekend.
When “Best Fit” isn’t
“A nasty bug with a very simple exploit—perfect for a Friday afternoon,” researchers with security firm WatchTowr wrote.
CVE-2024-4577, as the vulnerability is tracked, stems from errors in the way PHP converts unicode characters into ASCII. A feature built into Windows known as Best Fit allows attackers to use a technique known as argument injection to pass user-supplied input into commands executed by an application, in this case, PHP. Exploits allow attackers to bypass CVE-2012-1823, a critical code execution vulnerability patched in PHP in 2012.
“While implementing PHP, the team did not notice the Best-Fit feature of encoding conversion within the Windows operating system,” researchers with Devcore, the security firm that discovered CVE-2024-4577, wrote. “This oversight allows unauthenticated attackers to bypass the previous protection of CVE-2012-1823 by specific character sequences. Arbitrary code can be executed on remote PHP servers through the argument injection attack.”
CVE-2024-4577 affects PHP only when it runs in a mode known as CGI, in which a web server parses HTTP requests and passes them to a PHP script for processing. Even when PHP isn’t set to CGI mode, however, the vulnerability may still be exploitable when PHP executables such as php.exe and php-cgi.exe are in directories that are accessible by the web server. This configuration is set by default in XAMPP for Windows, making the platform vulnerable unless it has been modified.
One example, WatchTowr noted, occurs when queries are parsed and sent through a command line. The result: a harmless request such as http://host/cgi.php?foo=bar could be converted into php.exe cgi.php foo=bar, a command that would be executed by the main PHP engine.
No escape
Like many other languages, PHP converts certain types of user input to prevent it from being interpreted as a command for execution. This is a process known as escaping. For example, in HTML, the < and > characters are often escaped by converting them into their unicode hex value equivalents < and > to prevent them from being interpreted as HTML tags by a browser.
The WatchTowr researchers demonstrate how Best Fit fails to escape characters such as a soft hyphen (with unicode value 0xAD) and instead converts it to an unescaped regular hyphen (0x2D), a character that’s instrumental in many code syntaxes.
The researchers went on to explain:
It turns out that, as part of unicode processing, PHP will apply what’s known as a ‘best fit’ mapping, and helpfully assume that, when the user entered a soft hyphen, they actually intended to type a real hyphen, and interpret it as such. Herein lies our vulnerability—if we supply a CGI handler with a soft hyphen (0xAD), the CGI handler won’t feel the need to escape it, and will pass it to PHP. PHP, however, will interpret it as if it were a real hyphen, which allows an attacker to sneak extra command line arguments, which begin with hyphens, into the PHP process.
This is remarkably similar to an older PHP bug (when in CGI mode), CVE-2012-1823, and so we can borrow some exploitation techniques developed for this older bug and adapt them to work with our new bug. A helpful writeup advises that, to translate our injection into RCE, we should aim to inject the following arguments:
This will accept input from our HTTP request body, and process it using PHP. Straightforward enough – let’s try a version of this equipped with our 0xAD ‘soft hyphen’ instead of the usual hyphen. Maybe it’s enough to slip through the escaping?
Oh joy—we’re rewarded with a phpinfo page, showing us we have indeed achieved RCE.
The vulnerability was discovered by Devcore researcher Orange Tsai, who said: “The bug is incredibly simple, but that’s also what makes it interesting.”
The Devcore writeup said that the researchers have confirmed that XAMPP is vulnerable when Windows is configured to use the locales for Traditional Chinese, Simplified Chinese, or Japanese. In Windows, a locale is a set of user preference information related to the user’s language, environment, and/or cultural conventions. The researchers haven’t tested other locales and have urged people using them to perform a comprehensive asset assessment to test their usage scenarios.
CVE-2024-4577 affects all versions of PHP running on a Windows device. That includes version branches 8.3 prior to 8.3.8, 8.2 prior to 8.2.20, and 8.1 prior to 8.1.29.
The 8.0, 7, and 5 version branches are also vulnerable, but since they’re no longer supported, admins will have to follow mitigation advice since patches aren’t available. One option is to apply what are known as rewrite rules such as:
The researchers caution these rules have been tested only for the three locales they have confirmed as vulnerable.
XAMPP for Windows had yet to release a fix at the time this post went live. For admins without the need for PHP CGI, they can turn it off using the following Apache HTTP Server configuration:
C:/xampp/apache/conf/extra/httpd-xampp.conf
Locating the corresponding lines:
ScriptAlias /php-cgi/ "C:/xampp/php/"
And comment it out:
# ScriptAlias /php-cgi/ "C:/xampp/php/"
Additional analysis of the vulnerability is available here.
The US Cybersecurity and Infrastructure Security Agency has added a critical security bug in Linux to its list of vulnerabilities known to be actively exploited in the wild.
The vulnerability, tracked as CVE-2024-1086 and carrying a severity rating of 7.8 out of a possible 10, allows people who have already gained a foothold inside an affected system to escalate their system privileges. It’s the result of a use-after-free error, a class of vulnerability that occurs in software written in the C and C++ languages when a process continues to access a memory location after it has been freed or deallocated. Use-after-free vulnerabilities can result in remote code or privilege escalation.
The vulnerability, which affects Linux kernel versions 5.14 through 6.6, resides in the NF_tables, a kernel component enabling the Netfilter, which in turn facilitates a variety of network operations, including packet filtering, network address [and port] translation (NA[P]T), packet logging, userspace packet queueing, and other packet mangling. It was patched in January, but as the CISA advisory indicates, some production systems have yet to install it. At the time this Ars post went live, there were no known details about the active exploitation.
A deep-dive write-up of the vulnerability reveals that these exploits provide “a very powerful double-free primitive when the correct code paths are hit.” Double-free vulnerabilities are a subclass of use-after-free errors that occur when the free() function for freeing memory is called more than once for the same location. The write-up lists multiple ways to exploit the vulnerability, along with code for doing so.
The double-free error is the result of a failure to achieve input sanitization in netfilter verdicts when nf_tables and unprivileged user namespaces are enabled. Some of the most effective exploitation techniques allow for arbitrary code execution in the kernel and can be fashioned to drop a universal root shell.
The author offered the following graphic providing a conceptual illustration:
pwning tech
CISA has given federal agencies under its authority until June 20 to issue a patch. The agency is urging all organizations that have yet to apply an update to do so as soon as possible.
One day last October, subscribers to an ISP known as Windstream began flooding message boards with reports their routers had suddenly stopped working and remained unresponsive to reboots and all other attempts to revive them.
“The routers now just sit there with a steady red light on the front,” one user wrote, referring to the ActionTec T3200 router models Windstream provided to both them and a next door neighbor. “They won’t even respond to a RESET.”
In the messages—which appeared over a few days beginning on October 25—many Windstream users blamed the ISP for the mass bricking. They said it was the result of the company pushing updates that poisoned the devices. Windstream’s Kinetic broadband service has about 1.6 million subscribers in 18 states, including Iowa, Alabama, Arkansas, Georgia, and Kentucky. For many customers, Kinetic provides an essential link to the outside world.
“We have 3 kids and both work from home,” another subscriber wrote in the same forum. “This has easily cost us $1,500+ in lost business, no tv, WiFi, hours on the phone, etc. So sad that a company can treat customers like this and not care.”
After eventually determining that the routers were permanently unusable, Windstream sent new routers to affected customers. Black Lotus has named the event Pumpkin Eclipse.
A deliberate act
A report published Thursday by security firm Lumen Technologies’ Black Lotus Labs may shed new light on the incident, which Windstream has yet to explain. Black Lotus Labs researchers said that over a 72-hour period beginning on October 25, malware took out more than 600,000 routers connected to a single autonomous system number, or ASN, belonging to an unnamed ISP.
While the researchers aren’t identifying the ISP, the particulars they report match almost perfectly with those detailed in the October messages from Windstream subscribers. Specifically, the date the mass bricking started, the router models affected, the description of the ISP, and the displaying of a static red light by the out-of-commission ActionTec routers. Windstream representatives declined to answer questions sent by email.
According to Black Lotus, the routers—conservatively estimated at a minimum of 600,000—were taken out by an unknown threat actor with equally unknown motivations. The actor took deliberate steps to cover their tracks by using commodity malware known as Chalubo, rather than a custom-developed toolkit. A feature built into Chalubo allowed the actor to execute custom Lua scripts on the infected devices. The researchers believe the malware downloaded and ran code that permanently overwrote the router firmware.
“We assess with high confidence that the malicious firmware update was a deliberate act intended to cause an outage, and though we expected to see a number of router make and models affected across the internet, this event was confined to the single ASN,” Thursday’s report stated before going on to note the troubling implications of a single piece of malware suddenly severing the connections of 600,000 routers.
The researchers wrote:
Destructive attacks of this nature are highly concerning, especially so in this case. A sizeable portion of this ISP’s service area covers rural or underserved communities; places where residents may have lost access to emergency services, farming concerns may have lost critical information from remote monitoring of crops during the harvest, and health care providers cut off from telehealth or patients’ records. Needless to say, recovery from any supply chain disruption takes longer in isolated or vulnerable communities.
After learning of the mass router outage, Black Lotus began querying the Censys search engine for the affected router models. A one-week snapshot soon revealed that one specific ASN experienced a 49 percent drop in those models just as the reports began. This amounted to the disconnection of at least 179,000 ActionTec routers and more than 480,000 routers sold by Sagemcom.
Black Lotus Labs
The constant connecting and disconnecting of routers to any ISP complicates the tracking process, because it’s impossible to know if a disappearance is the result of the normal churn or something more complicated. Black Lotus said that a conservative estimate is that at least 600,000 of the disconnections it tracked were the result of Chaluba infecting the devices and, from there, permanently wiping the firmware they ran on.
After identifying the ASN, Black Lotus discovered a complex multi-path infection mechanism for installing Chaluba on the routers. The following graphic provides a logical overview.
Black Lotus Labs
There aren’t many known precedents for malware that wipes routers en masse in the way witnessed by the researchers. Perhaps the closest was the discovery in 2022 of AcidRain, the name given to malware that knocked out 10,000 modems for satellite Internet provider Viasat. The outage, hitting Ukraine and other parts of Europe, was timed to Russia’s invasion of the smaller neighboring country.
A Black Lotus representative said in an interview that researchers can’t rule out that a nation-state is behind the router-wiping incident affecting the ISP. But so far, the researchers say they aren’t aware of any overlap between the attacks and any known nation-state groups they track.
The researchers have yet to determine the initial means of infecting the routers. It’s possible the threat actors exploited a vulnerability, although the researchers said they aren’t aware of any known vulnerabilities in the affected routers. Other possibilities are the threat actor abused weak credentials or accessed an exposed administrative panel.
An attack unlike any other
While the researchers have analyzed attacks on home and small office routers before, they said two things make this latest one stand out. They explained:
First, this campaign resulted in a hardware-based replacement of the affected devices, which likely indicates that the attacker corrupted the firmware on specific models. The event was unprecedented due to the number of units affected—no attack that we can recall has required the replacement of over 600,000 devices. In addition, this type of attack has only ever happened once before, with AcidRain used as a precursor to an active military invasion.
They continued:
The second unique aspect is that this campaign was confined to a particular ASN. Most previous campaigns we’ve seen target a specific router model or common vulnerability and have effects across multiple providers’ networks. In this instance, we observed that both Sagemcom and ActionTec devices were impacted at the same time, both within the same provider’s network.This led us to assess it was not the result of a faulty firmware update by a single manufacturer, which would normally be confined to one device model or models from a given company. Our analysis of the Censys data shows the impact was only for the two in question. This combination of factors led us to conclude the event was likely a deliberate action taken by an unattributed malicious cyber actor, even if we were not able to recover the destructive module.
With no clear idea how the routers came to be infected, the researchers can only offer the usual generic advice for keeping such devices free of malware. That includes installing security updates, replacing default passwords with strong ones, and regular rebooting. ISPs and other organizations that manage routers should follow additional advice for securing the management interfaces for administering the devices.
Thursday’s report includes IP addresses, domain names, and other indicators that people can use to determine if their devices have been targeted or compromised in the attacks.
A previously unknown piece of ransomware, dubbed ShrinkLocker, encrypts victim data using the BitLocker feature built into the Windows operating system.
BitLocker is a full-volume encryptor that debuted in 2007 with the release of Windows Vista. Users employ it to encrypt entire hard drives to prevent people from reading or modifying data in the event they get physical access to the disk. Starting with the rollout of Windows 10, BitLocker by default has used the 128-bit and 256-bit XTS-AES encryption algorithm, giving the feature extra protection from attacks that rely on manipulating cipher text to cause predictable changes in plain text.
Recently, researchers from security firm Kaspersky found a threat actor using BitLocker to encrypt data on systems located in Mexico, Indonesia, and Jordan. The researchers named the new ransomware ShrinkLocker, both for its use of BitLocker and because it shrinks the size of each non-boot partition by 100 MB and splits the newly unallocated space into new primary partitions of the same size.
“Our incident response and malware analysis are evidence that attackers are constantly refining their tactics to evade detection,” the researchers wrote Friday. “In this incident, we observed the abuse of the native BitLocker feature for unauthorized data encryption.”
ShrinkLocker isn’t the first malware to leverage BitLocker. In 2022, Microsoft reported that ransomware attackers with a nexus to Iran also used the tool to encrypt files. That same year, the Russian agricultural business Miratorg was attacked by ransomware that used BitLocker to encrypt files residing in the system storage of infected devices.
Once installed on a device, ShrinkLocker runs a VisualBasic script that first invokes the Windows Management Instrumentation and Win32_OperatingSystem class to obtain information about the operating system.
“For each object within the query results, the script checks if the current domain is different from the target,” the Kaspersky researchers wrote. “If it is, the script finishes automatically. After that, it checks if the name of the operating system contains ‘xp,’ ‘2000,’ ‘2003,’ or ‘vista,’ and if the Windows version matches any one of these, the script finishes automatically and deletes itself.”
Enlarge/ A screenshot showing initial conditions for execution.
Kaspersky
The script then continues to use the WMI for querying information about the OS. It goes on to perform the disk resizing operations, which can vary depending on the OS version detected. The ransomware performs these operations only on local, fixed drives. The decision to leave network drives alone is likely motivated by the desire not to trigger network detection protections.
Eventually, ShrinkLocker disables protections designed to secure the BitLocker encryption key and goes on to delete them. It then enables the use of a numerical password, both as a protector against anyone else taking back control of BitLocker and as an encryptor for system data. The reason for deleting the default protectors is to disable key recovery features by the device owner. ShrinkLocker then goes on to generate a 64-character encryption key using random multiplication and replacement of:
A variable with the numbers 0–9;
The famous pangram, “The quick brown fox jumps over the lazy dog,” in lowercase and uppercase, which contains every letter of the English alphabet;
Special characters.
After several additional steps, data is encrypted. The next time the device reboots, the display looks like this:
Enlarge/ Screenshot showing the BitLocker recovery screen.
Kaspersky
Decrypting drives without the attacker-supplied key is difficult and likely impossible in many cases. While it is possible to recover some of the passphrases and fixed values used to generate the keys, the script uses variable values that are different on each infected device. These variable values aren’t easy to recover.
There are no protections specific to ShrinkLocker for preventing successful attacks. Kaspersky advises the following:
Use robust, properly configured endpoint protection to detect threats that try to abuse BitLocker;
If BitLocker is enabled, make sure it uses a strong password and that the recovery keys are stored in a secure location;
Ensure that users have only minimal privileges. This prevents them from enabling encryption features or changing registry keys on their own;
Enable network traffic logging and monitoring. Configure the logging of both GET and POST requests. In case of infection, the requests made to the attacker’s domain may contain passwords or keys;
Monitor for events associated with VBS execution and PowerShell, then save the logged scripts and commands to an external repository storing activity that may be deleted locally;
Make backups frequently, store them offline, and test them.
Friday’s report also includes indicators that organizations can use to determine if they have been targeted by ShrinkLocker.
A software maker serving more than 10,000 courtrooms throughout the world hosted an application update containing a hidden backdoor that maintained persistent communication with a malicious website, researchers reported Thursday, in the latest episode of a supply-chain attack.
The software, known as the JAVS Viewer 8, is a component of the JAVS Suite 8, an application package courtrooms use to record, play back, and manage audio and video from proceedings. Its maker, Louisville, Kentucky-based Justice AV Solutions, says its products are used in more than 10,000 courtrooms throughout the US and 11 other countries. The company has been in business for 35 years.
JAVS Viewer users at high risk
Researchers from security firm Rapid7 reported that a version of the JAVS Viewer 8 available for download on javs.com contained a backdoor that gave an unknown threat actor persistent access to infected devices. The malicious download, planted inside an executable file that installs the JAVS Viewer version 8.3.7, was available no later than April 1, when a post on X (formerly Twitter) reported it. It’s unclear when the backdoored version was removed from the company’s download page. JAVS representatives didn’t immediately respond to questions sent by email.
“Users who have version 8.3.7 of the JAVS Viewer executable installed are at high risk and should take immediate action,” Rapid7 researchers Ipek Solak, Thomas Elkins, Evan McCann, Matthew Smith, Jake McMahon, Tyler McGraw, Ryan Emmons, Stephen Fewer, and John Fenninger wrote. “This version contains a backdoored installer that allows attackers to gain full control of affected systems.”
The installer file was titled JAVS Viewer Setup 8.3.7.250-1.exe. When executed, it copied the binary file fffmpeg.exe to the file path C:Program Files (x86)JAVSViewer 8. To bypass security warnings, the installer was digitally signed, but with a signature issued to an entity called “Vanguard Tech Limited” rather than to “Justice AV Solutions Inc.,” the signing entity used to authenticate legitimate JAVS software.
fffmpeg.exe, in turn, used Windows Sockets and WinHTTP to establish communications with a command-and-control server. Once successfully connected, fffmpeg.exe sent the server passwords harvested from browsers and data about the compromised host, including hostname, operating system details, processor architecture, program working directory, and the user name.
The researchers said fffmpeg.exe also downloaded the file chrome_installer.exe from the IP address 45.120.177.178. chrome_installer.exe went on to execute a binary and several Python scripts that were responsible for stealing the passwords saved in browsers. fffmpeg.exe is associated with a known malware family called GateDoor/Rustdoor. The exe file was already flagged by 30 endpoint protection engines.
Enlarge/ A screenshot from VirusTotal showing detections from 30 endpoint protection engines.
The researchers warned that the process of disinfecting infected devices will require care. They wrote:
To remediate this issue, affected users should:
Reimage any endpoints where JAVS Viewer 8.3.7 was installed. Simply uninstalling the software is insufficient, as attackers may have implanted additional backdoors or malware. Re-imaging provides a clean slate.
Reset credentials for any accounts that were logged into affected endpoints. This includes local accounts on the endpoint itself as well as any remote accounts accessed during the period when JAVS Viewer 8.3.7 was installed. Attackers may have stolen credentials from compromised systems.
Reset credentials used in web browsers on affected endpoints. Browser sessions may have been hijacked to steal cookies, stored passwords, or other sensitive information.
Install the latest version of JAVS Viewer (8.3.8 or higher) after re-imaging affected systems. The new version does not contain the backdoor present in 8.3.7.
Completely re-imaging affected endpoints and resetting associated credentials is critical to ensure attackers have not persisted through backdoors or stolen credentials. All organizations running JAVS Viewer 8.3.7 should take these steps immediately to address the compromise.
The Rapid7 post included a statement from JAVS that confirmed that the installer for version 8.3.7 of the JAVS viewer was malicious.
“We pulled all versions of Viewer 8.3.7 from the JAVS website, reset all passwords, and conducted a full internal audit of all JAVS systems,” the statement read. “We confirmed all currently available files on the JAVS.com website are genuine and malware-free. We further verified that no JAVS Source code, certificates, systems, or other software releases were compromised in this incident.”
The statement didn’t explain how the installer became available for download on its site. It also didn’t say if the company retained an outside firm to investigate.
The incident is the latest example of a supply-chain attack, a technique that tampers with a legitimate service or piece of software with the aim of infecting all downstream users. These sorts of attacks are usually carried out by first hacking the provider of the service or software. There’s no sure way to prevent falling victim to supply-chain attacks, but one potentially useful measure is to vet a file using VirusTotal before executing it. That advice would have served JAVS users well.
For more than four days, a server at the very core of the Internet’s domain name system was out of sync with its 12 root server peers due to an unexplained glitch that could have caused stability and security problems worldwide. This server, maintained by Internet carrier Cogent Communications, is one of the 13 root servers that provision the Internet’s root zone, which sits at the top of the hierarchical distributed database known as the domain name system, or DNS.
Here’s a simplified recap of the way the domain name system works and how root servers fit in:
When someone enters wikipedia.org in their browser, the servers handling the request first must translate the human-friendly domain name into an IP address. This is where the domain name system comes in. The first step in the DNS process is the browser queries the local stub resolver in the local operating system. The stub resolver forwards the query to a recursive resolver, which may be provided by the user’s ISP or a service such as 1.1.1.1 or 8.8.8.8 from Cloudflare and Google, respectively.
If it needs to, the recursive resolver contacts the c-root server or one of its 12 peers to determine the authoritative name server for the .org top level domain. The .org name server then refers the request to the Wikipedia name server, which then returns the IP address. In the following diagram, the recursive server is labeled “iterator.”
Given the crucial role a root server provides in ensuring one device can find any other device on the Internet, there are 13 of them geographically dispersed all over the world. Each root sever is, in fact, a cluster of servers that are also geographically dispersed, providing even more redundancy. Normally, the 13 root servers—each operated by a different entity—march in lockstep. When a change is made to the contents they host, it generally occurs on all of them within a few seconds or minutes at most.
Strange events at the C-root name server
This tight synchronization is crucial for ensuring stability. If one root server directs traffic lookups to one intermediate server and another root server sends lookups to a different intermediate server, the Internet as we know it could collapse. More important still, root servers store the cryptographic keys necessary to authenticate some of intermediate servers under a mechanism known as DNSSEC. If keys aren’t identical across all 13 root servers, there’s an increased risk of attacks such as DNS cache poisoning.
For reasons that remain unclear outside of Cogent—which declined to comment for this post—all 12 instances of the c-root it’s responsible for maintaining suddenly stopped updating on Saturday. Stéphane Bortzmeyer, a French engineer who was among the first to flag the problem in a Tuesday post, noted then that the c-root was three days behind the rest of the root servers.
Enlarge/ A mismatch in what’s known as the zone serials shows root-c is three days behind.
The Securities and Exchange Commission (SEC) will require some financial institutions to disclose security breaches within 30 days of learning about them.
On Wednesday, the SEC adopted changes to Regulation S-P, which governs the treatment of the personal information of consumers. Under the amendments, institutions must notify individuals whose personal information was compromised “as soon as practicable, but not later than 30 days” after learning of unauthorized network access or use of customer data. The new requirements will be binding on broker-dealers (including funding portals), investment companies, registered investment advisers, and transfer agents.
“Over the last 24 years, the nature, scale, and impact of data breaches has transformed substantially,” SEC Chair Gary Gensler said. “These amendments to Regulation S-P will make critical updates to a rule first adopted in 2000 and help protect the privacy of customers’ financial data. The basic idea for covered firms is if you’ve got a breach, then you’ve got to notify. That’s good for investors.”
Notifications must detail the incident, what information was compromised, and how those affected can protect themselves. In what appears to be a loophole in the requirements, covered institutions don’t have to issue notices if they establish that the personal information has not been used in a way to result in “substantial harm or inconvenience” or isn’t likely to.
The amendments will require covered institutions to “develop, implement, and maintain written policies and procedures” that are “reasonably designed to detect, respond to, and recover from unauthorized access to or use of customer information.” The amendments also:
• Expand and align the safeguards and disposal rules to cover both nonpublic personal information that a covered institution collects about its own customers and nonpublic personal information it receives from another financial institution about customers of that financial institution;
• Require covered institutions, other than funding portals, to make and maintain written records documenting compliance with the requirements of the safeguards rule and disposal rule;
• Conform Regulation S-P’s annual privacy notice delivery provisions to the terms of an exception added by the FAST Act, which provide that covered institutions are not required to deliver an annual privacy notice if certain conditions are met; and
• Extend both the safeguards rule and the disposal rule to transfer agents registered with the Commission or another appropriate regulatory agency.
The requirements also broaden the scope of nonpublic personal information covered beyond what the firm itself collects. The new rules will also cover personal information the firm has received from another financial institution.
SEC Commissioner Hester M. Peirce voiced concern that the new requirements may go too far.
“Today’s Regulation S-P modernization will help covered institutions appropriately prioritize safeguarding customer information,” she https://www.sec.gov/news/statement/peirce-statement-reg-s-p-051624 wrote. “Customers will be notified promptly when their information has been compromised so they can take steps to protect themselves, like changing passwords or keeping a closer eye on credit scores. My reservations stem from the breadth of the rule and the likelihood that it will spawn more consumer notices than are helpful.”
Regulation S-P hadn’t been substantially updated since its adoption in 2000.
Last year, the SEC adopted new regulations requiring publicly traded companies to disclose security breaches that materially affect or are reasonably likely to materially affect business, strategy, or financial results or conditions.
The amendments take effect 60 days after publication in the Federal Register, the official journal of the federal government that publishes regulations, notices, orders, and other documents. Larger organizations will have 18 months to comply after modifications are published. Smaller organizations will have 24 months.
Public comments on the amendments are available here.
An Arizona woman has been accused of helping generate millions of dollars for North Korea’s ballistic missile program by helping citizens of that country land IT jobs at US-based Fortune 500 companies.
Christina Marie Chapman, 49, of Litchfield Park, Arizona, raised $6.8 million in the scheme, federal prosecutors said in an indictment unsealed Thursday. Chapman allegedly funneled the money to North Korea’s Munitions Industry Department, which is involved in key aspects of North Korea’s weapons program, including its development of ballistic missiles.
Part of the alleged scheme involved Chapman and co-conspirators compromising the identities of more than 60 people living in the US and using their personal information to get North Koreans IT jobs across more than 300 US companies.
In the indictment, prosecutors wrote:
The conspiracy perpetrated a staggering fraud on a multitude of industries, at the expense of generally unknowing US companies and persons. It impacted more than 300 US companies, compromised more than 60 identities of US persons, caused false information to be conveyed to DHS on more than 100 occasions, created false tax liabilities for more than 35 US persons, and resulted in at least $6.8 million of revenue to be generated for the overseas IT workers. The overseas IT workers worked at blue-chip US companies, including a top-5 national television network and media company, a premier Silicon Valley technology company, an aerospace and defense manufacturer, an iconic American car manufacturer, a high-end retail chain, and one of the most recognizable media and entertainment companies in the world, all of which were Fortune 500 companies.
As another part of the alleged conspiracy, Chapman operated a “laptop farm” at one of her residences to give the employers the impression the North Korean IT staffers were working from within the US; the laptops were issued by the employers. By using proxies and VPNs, the overseas workers appeared to be connecting from US-based IP addresses. Chapman also received employees’ paychecks at her home, prosecutors said.
Federal prosecutors said that Chapman and three North Korean IT workers—using the aliases of Jiho Han, Chunji Jin, Haoran Xu, and others—had been working since at least 2020 to plan a remote-work scheme. In March of that year, prosecutors said, an individual messaged Chapman on LinkedIn and invited her to “be the US face” of their company. From August to November of 2022, the North Korean IT workers allegedly amassed guides and other information online designed to coach North Koreans on how to write effective cover letters and résumés and falsify US Permanent Resident Cards.
Under the alleged scheme, the foreign workers developed “fictitious personas and online profiles to match the job requirements” and submitted fake documents to the Homeland Security Department as part of an employment eligibility check. Chapman also allegedly discussed with co-conspirators about transferring the money earned from their work.
“The charges in this case should be a wakeup call for American companies and government agencies that employ remote IT workers,” Nicole Argentieri, head of the Justice Department’s Criminal Division, said. “These crimes benefited the North Korean government, giving it a revenue stream and, in some instances, proprietary information stolen by the co-conspirators.”
The indictment came alongside a criminal complaint charging a Ukrainian man with carrying out a similar multiyear scheme. Oleksandr Didenko, 27, of Kyiv, Ukraine, allegedly helped individuals in North Korea “market” themselves as remote IT workers.
Chapman was arrested Wednesday. It wasn’t immediately known when she or Didenko were scheduled to make their first appearance in court. If convicted, Chapman faces 97.5 years in prison, and Didenko faces up to 67.5 years.
The FBI and law enforcement partners worldwide have seized BreachForums, a website that openly trafficked malware and data stolen in hacks.
The site has operated for years as an online trading post where criminals could buy and sell all kinds of compromised data, including passwords, customer records, and other often-times sensitive data. Last week, a site user advertised the sale of Dell customer data that was obtained from a support portal, forcing the computer maker to issue a vague warning to those affected. Also last week, Europol confirmed to Bleeping Computer that some of its data had been exposed in a breach of one of its portals. The data was put up for sale on BreachForums, Bleeping Computer reported.
On Wednesday, the normal BreachForums front page was replaced with one that proclaimed: “This website has been taken down by the FBI and DOJ with assistance from international partners.” It went on to say agents are analyzing the backend data and invited those with information about the site to contact them. A graphic shown prominently at the top showed the forum profile images of the site’s two administrators, Baphomet and ShinyHunters, positioned behind prison bars.
The FBI also created a dedicated subdomain on its IC3.gov domain that said: “From June 2023 until May 2024, BreachForums (hosted at breachforums.st/.cx/.is/.vc and run by ShinyHunters) was operating as a clear-net marketplace for cybercriminals to buy, sell, and trade contraband, including stolen access devices, means of identification, hacking tools, breached databases, and other illegal services.” The page provided a form that visitors could fill out to provide tips. At the time this post went live, breachforums.ic3.gov was not available.
The FBI and the Department of Justice declined to comment.
The action on Wednesday is the second time within a year that the online data bazaar has been taken down by law enforcement. Last June, a different domain used to host the site was seized three months after the FBI arrested its alleged founder and operator. Conor Brian Fitzpatrick, then 21 years old, pleaded guilty to multiple charges. In January, he was sentenced to 20 years of supervised release. Prosecutors said that under Fitzpatrick, BreachForums had provided access to the personal information of millions of US citizens.
Shortly after the June takedown of the site, a new individual stepped forward and revived the forum by hosting it on a new domain, which the FBI said had changed three times. This time around, the FBI also seized the official BreachForums Telegram channel and a second one belonging to Baphomet. Both channels displayed the same graphic appearing on the newly seized BreachForums site. It’s not clear how authorities took control of the Telegram channels.
The claim that authorities have access to the BreachForums’ backend data raises the possibility that they are now in possession of email addresses, IP addresses, and other data that could be used to prosecute site users.
In 2022, the FBI seized RaidForums, another site for buying and selling malware and compromised data.
Infrastructure used to maintain and distribute the Linux operating system kernel was infected for two years, starting in 2009, by sophisticated malware that managed to get a hold of one of the developers’ most closely guarded resources: the /etc/shadow files that stored encrypted password data for more than 550 system users, researchers said Tuesday.
The unknown attackers behind the compromise infected at least four servers inside kernel.org, the Internet domain underpinning the sprawling Linux development and distribution network, the researchers from security firm ESET said. After obtaining the cryptographic hashes for 551 user accounts on the network, the attackers were able to convert half into plaintext passwords, likely through password-cracking techniques and the use of an advanced credential-stealing feature built into the malware. From there, the attackers used the servers to send spam and carry out other nefarious activities. The four servers were likely infected and disinfected at different times, with the last two being remediated at some point in 2011.
Stealing kernel.org’s keys to the kingdom
An infection of kernel.org came to light in 2011, when kernel maintainers revealed that 448 accounts had been compromised after attackers had somehow managed to gain unfettered, or “root,” system access to servers connected to the domain. Maintainers reneged on a promise to provide an autopsy of the hack, a decision that has limited the public’s understanding of the incident.
Besides revealing the number of compromised user accounts, representatives of the Linux Kernel Organization provided no details other than saying that the infection:
Occurred no later than August 12, 2011, and wasn’t detected for another 17 days
Installed an off-the-shelf rootkit known as Phalanx on multiple servers and personal devices belonging to a senior Linux developer
Modified the files that both servers and end user devices inside the network used to connect through OpenSSH, an implementation of the SSH protocol for securing remote connections.
In 2014, ESET researchers said the 2011 attack likely infected kernel.org servers with a second piece of malware they called Ebury. The malware, the firm said, came in the form of a malicious code library that, when installed, created a backdoor in OpenSSH that provided the attackers with a remote root shell on infected hosts with no valid password required. In a little less than 22 months, starting in August 2011, Ebury spread to 25,000 servers. Besides the four belonging to the Linux Kernel Organization, the infection also touched one or more servers inside hosting facilities and an unnamed domain registrar and web hosting provider.
A 47-page report summarizing Ebury’s 15-year history said that the infection hitting the kernel.org network began in 2009, two years earlier than the domain was previously thought to have been compromised. The report said that since 2009, the OpenSSH-dwelling malware has infected more than 400,000 servers, all running Linux except for about 400 FreeBSD servers, a dozen OpenBSD and SunOS servers, and at least one Mac.
Researcher Marc-Etienne M. Léveillé wrote:
In our 2014 paper, we mentioned that there was evidence that kernel.org, hosting the source code of the Linux kernel, had been a victim of Ebury. Data now at our disposal reveals additional details about the incident. Ebury had been installed on at least four servers belonging to the Linux Foundation between 2009 and 2011. It seems these servers acted as mail servers, name servers, mirrors, and source code repositories at the time of the compromise. We cannot tell for sure when Ebury was removed from each of the servers, but since it was discovered in 2011 it is likely that two of the servers were compromised for as long as two years, one for one year and the other for six months.
The perpetrator also had copies of the /etc/shadow files, which overall contained 551 unique username and hashed password pairs. The cleartext passwords for 275 of those users (50%) are in possession of the attackers. We believe that the cleartext passwords were obtained by using the installed Ebury credential stealer, and by brute force.
The researcher said in an email that the Ebury and Phalanx infections appear to be separate compromises by two unrelated threat groups. Representatives of the Linux Kernel Organization didn’t respond to emails asking if they were aware of the ESET report or if its claims were accurate. There is no indication that either infection resulted in tampering with the Linux kernel source code.
Federal agencies, health care associations, and security researchers are warning that a ransomware group tracked under the name Black Basta is ravaging critical infrastructure sectors in attacks that have targeted more than 500 organizations in the past two years.
One of the latest casualties of the native Russian-speaking group, according to CNN, is Ascension, a St. Louis-based health care system that includes 140 hospitals in 19 states. A network intrusion that struck the nonprofit last week took down many of its automated processes for handling patient care, including its systems for managing electronic health records and ordering tests, procedures, and medications. In the aftermath, Ascension has diverted ambulances from some of its hospitals and relied on manual processes.
“Severe operational disruptions”
In an Advisory published Friday, the FBI and the Cybersecurity and Infrastructure Security Agency said Black Basta has victimized 12 of the country’s 16 critical infrastructure sectors in attacks that it has mounted on 500 organizations spanning the globe. The nonprofit health care association Health-ISAC issued its own advisory on the same day that warned that organizations it represents are especially desirable targets of the group.
“The notorious ransomware group, Black Basta, has recently accelerated attacks against the healthcare sector,” the advisory stated. It went on to say: “In the past month, at least two healthcare organizations, in Europe and in the United States, have fallen victim to Black Basta ransomware and have suffered severe operational disruptions.”
Black Basta has been operating since 2022 under what is known as the ransomware-as-a-service model. Under this model, a core group creates the infrastructure and malware for infecting systems throughout a network once an initial intrusion is made and then simultaneously encrypting critical data and exfiltrating it. Affiliates do the actual hacking, which typically involves either phishing or other social engineering or exploiting security vulnerabilities in software used by the target. The core group and affiliates divide any revenue that results.
Recently, researchers from security firm Rapid7 observed Black Basta using a technique they had never seen before. The end goal was to trick employees from targeted organizations to install malicious software on their systems. On Monday, Rapid7 analysts Tyler McGraw, Thomas Elkins, and Evan McCann reported:
Since late April 2024, Rapid7 identified multiple cases of a novel social engineering campaign. The attacks begin with a group of users in the target environment receiving a large volume of spam emails. In all observed cases, the spam was significant enough to overwhelm the email protection solutions in place and arrived in the user’s inbox. Rapid7 determined many of the emails themselves were not malicious, but rather consisted of newsletter sign-up confirmation emails from numerous legitimate organizations across the world.
With the emails sent, and the impacted users struggling to handle the volume of the spam, the threat actor then began to cycle through calling impacted users posing as a member of their organization’s IT team reaching out to offer support for their email issues. For each user they called, the threat actor attempted to socially engineer the user into providing remote access to their computer through the use of legitimate remote monitoring and management solutions. In all observed cases, Rapid7 determined initial access was facilitated by either the download and execution of the commonly abused RMM solution AnyDesk, or the built-in Windows remote support utility Quick Assist.
In the event the threat actor’s social engineering attempts were unsuccessful in getting a user to provide remote access, Rapid7 observed they immediately moved on to another user who had been targeted with their mass spam emails.