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Threat Weekly – A Situational Awareness Report from our Technical Security Team

Volume 1, Issue 6 – 15 December 2011

ThreatCon 1: Elevated

Adobe Reader 9.x and Adobe Acrobat 9.x Zero Day vulnerability has been seen in the wild. Adobe expects to have a patch issued for version 9.x this week. Microsoft has issued a bumper Christmas Patch release including fixed for the Duqu exploit.

TOP OF THE NEWS


US, Israel shocked by undamaged captured drone

Iran exhibited the top-secret US stealth drone RQ-170 Sentinel captured on Sunday, Dec. 4. Its almost perfect condition confirmed Tehran's claim that the UAV was downed by a cyber attack, meaning it was not shot down but brought in undamaged by an electronic warfare ambush. This is a major debacle for the stealth technology the US uses in its warplanes and the drone technology developed by the US and Israel.

The state of the lost UAV refutes the US military contention that the Sentinel's systems malfunctioned. If this had happened, it would have crashed and either been wrecked or damaged. The condition of the RQ-170 intact obliges the US and Israel to make major changes in plans for a potential strike against Iran's nuclear program.

The Obama administration's decision after internal debate not to send US commando or air units into Iran to retrieve or destroy the secret RQ-170 stealth drone which fell into Iranian hands has strengthened the hands of the Israeli faction which argues the case for striking Iran's nuclear installations without waiting for the Americans to make their move.

Senior Israeli diplomatic and security officials who followed the discussion in Washington concluded that, by failing to act, the administration has left Iran not only with the secrets of the Sentinel's stealth coating, its sensors and cameras, but also with the data stored in its computer cells on targets marked out by the US and/or Israeli for attack.

debkafile’s military sources say that this knowledge compels the US and Israel to revise their plans of attack for aborting the Iranian nuclear program. Like every clandestine weapons system, the RQ-170 had a self-destruct mechanism to prevent its secrets spilling out to the enemy in the event of a crash or capture. This did not happen. Tehran was able to claim the spy drone was only slightly damaged when they downed it.

More on this story can be found at http://debka.com/article/21550/


Oil cyber-attacks could cost lives, Shell warns

The oil industry has been warned that cyber-attacks could "cost lives" and cause "huge damage". Ludolf Luehmann, an IT manager for Shell, told the World Petroleum Conference in Doha that the company had suffered an increased number of attacks. He said the hacks had been motivated by both commercial and criminal intent. Security researcher David Emm said that such attacks were "not only possible, but they're now real". Mr Luehmann said Shell and others in the industry were experiencing a "new dimension" of attack which could leave physical machinery at serious risk. He made reference to Stuxnet, a targeted "worm" which was designed to attack industrial systems in the summer of 2010.

Mr Luehmann said Stuxnet showed energy giants that cyber-attacks could have a real-world consequence on business processes. "If anybody gets into the area where you can control opening and closing of valves, or release valves, you can imagine what happens. "It will cost lives and it will cost production, it will cost money, cause fires and cause loss of containment, environmental damage - huge, huge damage." He added: "We see an increasing number of attacks on our IT systems and information and there are various motivations behind it - criminal and commercial."

When contacted by the BBC, Shell said it would not comment further on Mr Luehmann's statements. BP, itself a target of high-profile cyber-attacks following the Gulf oil spill, said it did not speak publicly about security issues as a matter of company policy.

Dennis Painchaud, director of international government relations at Canadian energy company Nexen, said targeted attacks such as Stuxnet and the more recent threat Duqu form a "very significant risk to our business". "Cybercrime is a huge issue. It's not restricted to one company or another - it's really broad and it is on-going. "It's something that we have to stay on top of every day. It is a risk that is only going to grow and is probably one of the pre-eminent risks that we face today and will continue to face for some time."

Moscow-based security experts Kaspersky, said the past 18 months had seen a dramatic change in how cyber-threats were perceived by large companies. "The scene used to be dominated by speculative attacks - people being at the wrong place at the wrong time, but it was nothing personal," Mr Emm told the BBC. "But we certainly are in a different world than where we were 18 months ago. What we're starting to see is an increase in targeted attacks. We know critical systems, like those in oil production, are vulnerable to attack. "A lot of countries now are pumping money into research - the last 18 months have shown these people are after not just the public's money, but they're after larger organisation's information. "Organisations like Shell and others are hopefully taking steps to minimise that risk."

Source: http://www.bbc.co.uk/news/technology-16137573


Firms may face five percent fines for data loss

Companies which suffer major data breaches could be fined up to five percent of global turnover under new European data rules. Firms found to have mishandled data may fall foul of data breach notification rules that are due to be updated next month, according to leaked documents seen by the Financial Times. The European Commission is considering the large increase in data breach fines, but the new rules have not yet been finalised, Commission justice spokesman Matthew Newman told ZDNet UK on Tuesday. "There will be much more consistency in terms of sanctions," Newman said. "Draft documents have been circulated. There's a lot in the proposals that's interesting."

The Commission is aiming for Europe-wide parity in data regulation, justice commissioner Viviane Reding said at the 2nd Annual European Data Protection and Privacy Conference in Brussels on Tuesday. "Inconsistent rules hold back businesses," said Reding. "If we want to encourage companies to take advantage of new technologies and operate across borders, we need to make the rules simpler." Reding is leading the Commission's review of 1995 European data protection legislation. On Thursday, Reding said that businesses will find it easier to enforce pan-European privacy rules under the updated legislation.

Source: http://www.zdnet.co.uk/blogs/security-bullet-in-10000166/firms-may-face-five-percent-fines-for-data-loss-10024955/?s_cid=169


Microsoft issues hefty Christmas Patch Tuesday

On Tuesday, December 13, Microsoft released fixes for 20 vulnerabilities in Windows, Internet Explorer (IE), Office, and Windows Media Player. The flaws addressed include one in the Windows kernel that has been exploited by the Duqu Trojan and another in the SSL 3.0 TLS that garnered publicity several months ago with the release of the BEAST hacking tool. Three of 14 bulletins scheduled for release have been rated critical; the other 11 are rated important.

Source: http://www.computerworld.com/s/article/9222530/Update_Microsoft_plans_20_patches_next_week_will_fix_Duqu_and_BEAST_bugs?taxonomyId=17


THE REST OF THE WEEK’S NEWS


Download.com President Apologizes for Bundling Installer with Nmap

Tech publisher CNet has removed the controversial proprietary installer it overlaid the penetration testing tool Nmap with, but critics are angry it is still used for "thousands" of other downloads.

Gordon Lyon, aka Fyodor, the creator of open source penetration testing tool, Nmap, slammed Cnet for using his software, distributed on title’s Download.com file site, as bait to lure people in to downloading various sponsored software, such as browser toolbars.

The StartNow toolbar that was offered in the CNet-altered Nmap download process, for example, would make Bing the default search engine and MSN the home page.

CNet's proprietary "installer" has been identified by several antivirus vendors — at least by its behaviour — as a Trojan, and was first noticed in August when ExtremeTech reported an altered install process for the popular VLC media player.

CNet describes its Download.com Installer as “a tiny ad-supported stub installer or “download manager” that helps securely deliver downloads from Download.com’s servers to the user's device.”

The publisher began adding its own installer on Windows-compatible non-premium software in July but claims it is not actually installed on the user’s machine and that the process offers a clearly labelled option to accept or decline additional software.

Source: http://www.cso.com.au/article/409633/cnet_de-trojans_nmap_outrage_continues/


White House Issues Cyber Security R&D Priorities

The White House has issued a roadmap of its cyber security research and development (R&D) priorities. The outline from the Office of Science and Technology Policy divides the priorities into four areas: Inducing Change; Developing Scientific Foundations; Maximizing Research Impact; and Accelerating Transition to Practice. The R&D plan--developed by the White House Office of Science and Technology Policy-- aims to jumpstart how the United States approaches the challenge to ensure more effective cyberspace protections. The R&D roadmap is based on the 2009 review of the state of cyber security in the US.

Written by D Gray VCSL


FBI says hackers hit key services in three US cities

The infrastructure systems of three US cities have been attacked, according to the Federal Bureau of Investigation. At a recent cybersecurity conference, Michael Welch, deputy assistant director of the FBI's cyber division, said hackers had accessed crucial water and power services. The hackers could theoretically have dumped sewage into a lake or shut off the power to a shopping mall, he said.

Industrial control systems are becoming an increasing target for hackers. "We just had a circumstance where we had three cities, one of them a major city within the US, where you had several hackers that had made their way into Scada systems within the city," Mr Welch told delegates at the Flemings Cyber Security conference. "Essentially it was an ego trip for the hacker because he had control of that city's system and he could dump raw sewage into the lake, he could shut down the power plant at the mall - a wide array of things," he added.

Such systems - commonly known as Supervisory Control and Data Acquisition (Scada) - are increasingly being targeted by hackers, following reports that they rely on weak security. It follows two alleged break-ins to city water supplies. The first, to a water supply in Springfield, Illinois, was later played down by the FBI which said it could find no evidence of cyber-intrusion. Initially it had thought a hardware fault was caused by Russian hackers but it later emerged that this was not the case.

In another attack a hacker named pr0f claimed to have broken into a control system that kept water supplied to a town in Texas. The hacker said the system had only been protected by a three-character password which "required almost no skill" to get around. Mr Welch did not confirm whether this breach was one of the three he was talking about. Security experts predict there will be a rise in such attacks. "Such systems have become a target partly because of all the chatter about the lack of security. Hackers are doing it out of curiosity to see how poorly they are protected," said Graham Cluley, senior security consultant at Sophos. He said that many relied on default passwords, and information about some of these passwords was "available for download online".

Furthermore the firms that run Scada systems, such as Siemens, often advise against changing passwords because they claim the threat from malware is not a great as the problem that will be caused if passwords are changed. "Not changing passwords is obviously slightly crazy. Proper security needs to be in place otherwise it is laughable," said Mr Cluley.

Industrial-scale hacking hit the headlines in 2010 with news of a worm aimed at Iran's nuclear facilities. Stuxnet was widely rumoured to have been developed by either the US or Israeli authorities and, according to experts, was configured to damage motors used in uranium-enrichment centrifuges by sending them spinning out of control. Iran later admitted that some of its centrifuges had been sabotaged although it downplayed the significance of Stuxnet in that.

This year a Stuxnet copycat, Duqu, was discovered by security experts. Initial analysis of the worm found that parts of Duqu are nearly identical to Stuxnet and suggested that it was written by either the same authors or those with access to the Stuxnet source code. Unlike Stuxnet it was not designed to attack industrial systems but rather to gather intelligence for a future attack. Mr Welch also revealed at the conference that, to date, the FBI's cyberteam had worked a 9 to 5 day. He said that a 12% increase in its budget would mean the team could now expand and begin monitoring cyberthreats around the clock.

Source: http://www.bbc.co.uk/news/technology-16157883


Bradley Manning Defence Team Points to Army's Neglect of Warning Signs

The U.S. Army disciplined 15 people over their failure to adequately supervise suspected WikiLeaks leaker Bradley Manning, according to a news report.

In the wake of an internal report written by Lt. General Robert Caslen chronicling disciplinary failures that allowed Manning to maintain access to classified networks despite repeated assessments documenting his emotional and behavioral difficulties, the Army demoted one non-commissioned officer for dereliction of duty. Fourteen others were also disciplined in an undisclosed manner, according to Politico.

“Appropriate action has been taken against 15 individuals identified in Lt. Gen. Caslen’s report,” an Army spokesman told Politico. “In accordance with the Army’s long-standing policy to protect the privacy of individuals below the general officer level, specific information concerning their misconduct is not releasable.”

According to a recent list of proposed witnesses that Manning’s defense attorney hopes to call for testimony at a pre-trial hearing for his client on Dec. 16, the supervisor who was demoted apparently drafted three memos detailing Manning’s behavior but failed to notify anyone of his concerns.

Two good reads on identifying the internal threat:

Source: http://www.wired.com/threatlevel/2011/12/army-disciplined-15/


Criminal Records Bureau to Allow Online Checking

The Criminal Records Bureau (CRB) is to introduce an online status checking service for employers to verify that potential employees have been cleared for relevant jobs. It is intended to save people from having to request a new certificate every time they apply for a new role.

The move is one of the measures announced by Lynne Featherstone, the criminal information minister, in response to a review of the criminal records regime by the government's independent advisor Sunita Mason. Featherstone said the government has accepted the majority of the recommendations and incorporated them in the protection of freedoms bill.

In a statement to parliament, she said the online service is part of an effort to reduce the bureaucracy in the CRB regime. The checks are run for positions working with vulnerable people.

"We have included a provision to make the CRB process less burdensome on all concerned by introducing a new, online status checking capability that will in effect mean individuals can re-use their certificates for different employers across the same workforce and so will no longer need to apply for a new certificate every time they want to take up a new role," she said. "This will have a positive impact on business, making it significantly easier for employers to take on staff in relevant sectors."

A Home Office spokesman was unable to provide any further detail on how the service will work.

More on this story can be found at: http://www.guardian.co.uk/government-computing-network/2011/dec/07/crb-checks-online


RIM's PlayBook Security Patch Doesn't Last Long

Research In Motion hoped to close a security breach with a software update to its PlayBook tablet, but coders cracked the patch in only a few hours.

Research In Motion provided a system update to the BlackBerry PlayBook tablet late Tuesday. According to the changelog, the primary purpose of the update was to plug a security hole being exploited by the Dingleberry Playbook jailbreak tool.

The log said that version 1.0.8.6067, which is only 5 MB in size, "offers support for Flash 10.3 and updates to Adobe AIR to support developers in addition to DST and security fixes."

Researchers had recently released a tool--called Dingleberry--that unlocks the PlayBook, a first for RIM's tablet, which included government-grade security features. Once unlocked, PlayBook users are granted access to the entire PlayBook codebase, allowing them to do a lot more with it than through the generally available tools.

For example, the Android Market--and its hundreds of thousands of apps--is available for the first time on the PlayBook. While RIM is still developing PlayBook OS 2.0, which will bring support for Android apps in an emulator, impatient PlayBook owners can dive in now if they don't mind cracking the tablet's code. (The patch isn't yet available to developers already using the PlayBook OS 2.0 beta.)

Source: http://www.informationweek.com/news/security/attacks/232300081


Out-of-Cycle Patch for Flaw in Windows Versions of Reader and Acrobat on its way.

Adobe says it is working on a fix for a vulnerability in Acrobat and Reader that is being actively exploited in targeted attacks the patch is expected to be released by the end of this week. Adobe is working on a patch for versions 9.X for Windows-based systems only because that is the platform targeted in the attacks. Fixes for other versions of the programs will be released as part of Adobe’s normal schedule in January 2012. The flaw itself exists in versions 10.1.1 and earlier. The flaw is a memory corruption vulnerability in the way Universal 3D files are processed and is being exploited to crash the applications and take control of vulnerable computers.  The sandboxing protected mode in X versions of the programs stops the execution of exploit code. The flaw is being exploited through malicious PDF files that have been sent to several different organizations, including some US defence contractors. Lockheed Martin has acknowledged that it was targeted in an attack but the attackers were not successful in accessing the company's computer network.

Written by D Gray VCSL


DARPA Backing Huge Anomaly Detection System to Identify Insider Threats

Researchers backed by the Defense Advanced Research Projects Agency are developing a system than could scan up to 250 million text messages, e-mail messages and file transfers a day in search of anomalies that could help identify insider threats or employees who might be about to “break bad.”

The system, dubbed PRODIGAL, for Proactive Discovery of Insider Threats Using Graph Analysis and Learning, will combine graph processing, anomaly detection and relational machine learning on a massive scale to create a prototype Anomaly Detection at Multiple Scales (ADAMS) system, according to a release from the Georgia Institute of Technology, which is working with four other organizations on the project.

PRODIGAL, which would be used initially to monitor the communications in civilian government and military organizations where employees have agreed to be monitored, is intended to identify “rogue” individuals — such as a potential mass-attack gunman, terrorist or spy — before they act, Georgia Tech said.

Analysts now have the capacity to investigate about “five anomalies per day out of thousands of possibilities,” said Georgia Tech professor David Bader, co-principal investigator on the project. “Our goal is to develop a system that will provide analysts for the first time a very short, ranked list of unexplained events that should be further investigated.”

DARPA and the Army Research Office are supporting the two-year, $9 million project. Science Applications International Corp. is leading the project, which also includes researchers from Oregon State University, the University of Massachusetts and Carnegie Mellon University.

More on this story at: http://gcn.com/articles/2011/12/06/darpa-prodigal-email-monitoring-insider-threats.aspx?admgarea=TC_SECCYBERSSEC


What Snowshoe Spam looks like

What is snowshoe spamming?  Well, it’s a different type of problem than the traditional spam problem.  Whereas botnet spam has declined over the past 12 months, snowshoe spam has increased.

Snowshoe spam gets its name because the spammers distribute its email over a wider area of IP addresses in order to avoid detection (not to mention IP blacklisting).  It does this in order to maintain a light footprint.  Just like real life snowshoes distribute your weight over a wide area to avoid sinking into the snow, snowshoe spam distributes its weight over a wide area to avoid filters.

Snowshoe spammers use dedicated IP addresses that are purchased by the spammer, and more often than not, the IPs are hosted in the United States.  The spammers make their money from affiliate programs and are not necessarily black hat spammers.  I use the term grey hat spammer, and those hats frequently have varying shades of grey.

More on this story at: http://blogs.msdn.com/b/tzink/archive/2011/11/22/what-snoeshow-spam-looks-like.aspx