Reuters is reporting that the FBI “had identified and disabled malware wielded by Russia’s FSB security service against an undisclosed number of American computers, a move they hoped would deal a death blow to one of Russia’s leading cyber spying programs.”
The headline says that the FBI “sabotaged” the malware, which seems to be wrong.
Presumably we will learn more soon.
EDITED TO ADD: New York Times story.
EDITED TO ADD: Maybe “sabotaged” is the right word. The FBI hacked the malware so that it disabled itself.
Despite the bravado of its developers, Snake is among the most sophisticated pieces of malware ever found, the FBI said. The modular design, custom encryption layers, and high-caliber quality of the code base have made it hard if not impossible for antivirus software to detect. As FBI agents continued to monitor Snake, however, they slowly uncovered some surprising weaknesses. For one, there was a critical cryptographic key with a prime length of just 128 bits, making it vulnerable to factoring attacks that expose the secret key. This weak key was used in Diffie-Hellman key exchanges that allowed each infected machine to have a unique key when communicating with another machine.
Posted on May 10, 2023 at 11:25 AM •
The FBI is warning people against using public phone-charging stations, worrying that the combination power-data port can be used to inject malware onto the devices:
Avoid using free charging stations in airports, hotels, or shopping centers. Bad actors have figured out ways to use public USB ports to introduce malware and monitoring software onto devices that access these ports. Carry your own charger and USB cord and use an electrical outlet instead.
How much of a risk is this, really? I am unconvinced, although I do carry a USB condom for charging stations I find suspicious.
Posted on April 12, 2023 at 7:11 AM •
Genesis Market is shut down:
Active since 2018, Genesis Market’s slogan was, “Our store sells bots with logs, cookies, and their real fingerprints.” Customers could search for infected systems with a variety of options, including by Internet address or by specific domain names associated with stolen credentials.
But earlier today, multiple domains associated with Genesis had their homepages replaced with a seizure notice from the FBI, which said the domains were seized pursuant to a warrant issued by the U.S. District Court for the Eastern District of Wisconsin.
The U.S. Attorney’s Office for the Eastern District of Wisconsin did not respond to requests for comment. The FBI declined to comment.
But sources close to the investigation tell KrebsOnSecurity that law enforcement agencies in the United States, Canada and across Europe are currently serving arrest warrants on dozens of individuals thought to support Genesis, either by maintaining the site or selling the service bot logs from infected systems.
The seizure notice includes the seals of law enforcement entities from several countries, including Australia, Canada, Denmark, Germany, the Netherlands, Spain, Sweden and the United Kingdom.
Posted on April 5, 2023 at 11:55 AM •
From Brian Krebs:
A Croatian national has been arrested for allegedly operating NetWire, a Remote Access Trojan (RAT) marketed on cybercrime forums since 2012 as a stealthy way to spy on infected systems and siphon passwords. The arrest coincided with a seizure of the NetWire sales website by the U.S. Federal Bureau of Investigation (FBI). While the defendant in this case hasn’t yet been named publicly, the NetWire website has been leaking information about the likely true identity and location of its owner for the past 11 years.
The article details the mistakes that led to the person’s address.
Posted on March 14, 2023 at 7:23 AM •
No details, though:
According to the complaint against him, Al-Azhari allegedly visited a dark web site that hosts “unofficial propaganda and photographs related to ISIS” multiple times on May 14, 2019. In virtue of being a dark web site—that is, one hosted on the Tor anonymity network—it should have been difficult for the site owner’s or a third party to determine the real IP address of any of the site’s visitors.
Yet, that’s exactly what the FBI did. It found Al-Azhari allegedly visited the site from an IP address associated with Al-Azhari’s grandmother’s house in Riverside, California. The FBI also found what specific pages Al-Azhari visited, including a section on donating Bitcoin; another focused on military operations conducted by ISIS fighters in Iraq, Syria, and Nigeria; and another page that provided links to material from ISIS’s media arm. Without the FBI deploying some form of surveillance technique, or Al-Azhari using another method to visit the site which exposed their IP address, this should not have been possible.
There are lots of ways to de-anonymize Tor users. Someone at the NSA gave a presentation on this ten years ago. (I wrote about it for the Guardian in 2013, an essay that reads so dated in light of what we’ve learned since then.) It’s unlikely that the FBI uses the same sorts of broad surveillance techniques that the NSA does, but it’s certainly possible that the NSA did the surveillance and passed the information to the FBI.
Posted on January 17, 2023 at 7:02 AM •
An ex-NSA employee has been charged with trying to sell classified data to the Russians (but instead actually talking to an undercover FBI agent).
It’s a weird story, and the FBI affidavit raises more questions than it answers. The employee only worked for the NSA for three weeks—which is weird in itself. I can’t figure out how he linked up with the undercover FBI agent. It’s not clear how much of this was the employee’s idea, and whether he was goaded by the FBI agent. Still, hooray for not leaking NSA secrets to the Russians. (And, almost ten years after Snowden, do we still have this much trouble vetting people before giving them security clearances?)
Mr. Dalke, who had already left the N.S.A. but told the agent that he still worked there on a temporary assignment, then revealed that had taken “highly sensitive information” related to foreign targeting of U.S. systems and information on cyber operations, the prosecutors said. He offered the information in exchange for cryptocurrency and said he was in “financial need.” Court records show he had nearly $84,000 in debt between student loans and credit cards.
EDITED TO ADD (10/5): Marcy Wheeler notes that the FBI seems to be sitting on some common recruitment point, and collecting potential Russian spies.
Posted on October 4, 2022 at 6:30 AM •
The Wall Street Journal is reporting that the FBI has recovered over $30 million in cryptocurrency stolen by North Korean hackers earlier this year. It’s only a fraction of the $540 million stolen, but it’s something.
The Axie Infinity recovery represents a shift in law enforcement’s ability to trace funds through a web of so-called crypto addresses, the virtual accounts where cryptocurrencies are stored. These addresses can be created quickly without them being linked to a cryptocurrency company that could freeze the funds.
In its effort to mask the stolen crypto, Lazarus Group used more than 12,000 different addresses, according to Chainalysis. Unlike bank transactions that happen through private networks, movement between crypto accounts is visible to the world on the blockchain.
Advanced blockchain-monitoring tools and cooperation from centralized crypto exchanges enabled the FBI to trace the crypto to where Lazarus Group tried to cash out, investigators said.
The money was laundered through the Tornado Cash mixer.
Posted on September 13, 2022 at 6:51 AM •
The Justice Department announced the disruption of a Russian GRU-controlled botnet:
The Justice Department today announced a court-authorized operation, conducted in March 2022, to disrupt a two-tiered global botnet of thousands of infected network hardware devices under the control of a threat actor known to security researchers as Sandworm, which the U.S. government has previously attributed to the Main Intelligence Directorate of the General Staff of the Armed Forces of the Russian Federation (the GRU). The operation copied and removed malware from vulnerable internet-connected firewall devices that Sandworm used for command and control (C2) of the underlying botnet. Although the operation did not involve access to the Sandworm malware on the thousands of underlying victim devices worldwide, referred to as “bots,” the disabling of the C2 mechanism severed those bots from the Sandworm C2 devices’ control.
The botnet “targets network devices manufactured by WatchGuard Technologies Inc. (WatchGuard) and ASUSTek Computer Inc. (ASUS).” And note that only the command-and-control mechanism was disrupted. Those devices are still vulnerable.
The Justice Department made a point that they did this before the botnet was used for anything offensive.
Four more news articles. Slashdot post.
EDITED TO ADD (4/13): WatchGuard knew and fixed it nearly a year ago, but tried to keep it hidden. The patches were reverse-engineered.
Posted on April 7, 2022 at 9:31 AM •
Remember when the US and Australian police surreptitiously owned and operated the encrypted cell phone app ANOM? They arrested 800 people in 2021 based on that operation.
New documents received by Motherboard show that over 100 of those phones were shipped to users in the US, far more than previously believed.
What’s most interesting to me about this new information is how the US used the Australians to get around domestic spying laws:
For legal reasons, the FBI did not monitor outgoing messages from Anom devices determined to be inside the U.S. Instead, the Australian Federal Police (AFP) monitored them on behalf of the FBI, according to previously published court records. In those court records unsealed shortly before the announcement of the Anom operation, FBI Special Agent Nicholas Cheviron wrote that the FBI received Anom user data three times a week, which contained the messages of all of the users of Anom with some exceptions, including “the messages of approximately 15 Anom users in the U.S. sent to any other Anom device.”
Stewart Baker, partner at Steptoe & Johnson LLP, and Bryce Klehm, associate editor of Lawfare, previously wrote that “The ‘threat to life; standard echoes the provision of U.S. law that allows communications providers to share user data with law enforcement without legal process under 18 U.S.C. § 2702. Whether the AFP was relying on this provision of U.S. law or a more general moral imperative to take action to prevent imminent threats is not clear.” That section of law discusses the voluntary disclosure of customer communications or records.
When asked about the practice of Australian law enforcement monitoring devices inside the U.S. on behalf of the FBI, Senator Ron Wyden told Motherboard in a statement “Multiple intelligence community officials have confirmed to me, in writing, that intelligence agencies cannot ask foreign partners to conduct surveillance that the U.S. would be legally prohibited from doing itself. The FBI should follow this same standard. Allegations that the FBI outsourced warrantless surveillance of Americans to a foreign government raise troubling questions about the Justice Department’s oversight of these practices.”
I and others have long suspected that the NSA uses foreign nationals to get around restrictions that prevent it from spying on Americans. It is interesting to see the FBI using the same trick.
Posted on January 13, 2022 at 9:35 AM •
The US has returned $154 million in bitcoins stolen by a Sony employee.
However, on December 1, following an investigation in collaboration with Japanese law enforcement authorities, the FBI seized the 3879.16242937 BTC in Ishii’s wallet after obtaining the private key, which made it possible to transfer all the bitcoins to the FBI’s bitcoin wallet.
Posted on December 22, 2021 at 10:20 AM •
Sidebar photo of Bruce Schneier by Joe MacInnis.