IT Contractor Of The Month

"A former IT worker for the Bank of New York has admitted to stealing personal information of 2,000 employees and using it to steal more than $1m from charity bank accounts, city prosecutors said.

"Adeniyi Adeyemi, 27, used his position as a contract computer technician at the bank's headquarters to steal the personal identifying information of 2,000 employees, most of whom worked in the IT department. Over an eight-year span, he used the information to set up dummy bank accounts in the employees' names and then transfer stolen funds from at least 11 charities throughout the world.

"Adeyemi used publicly available routing numbers for the charities to initiate wire transfers through financial sites such as ETrade and Fidelity and deposit them into the dummy accounts. To better cover his tracks, he then transferred the funds to a second layer of dummy accounts, according to a press release issued by the New York City District Attorney."

From The Register...

Microsoft's African Investments Start To Pay Off

"Imagine a network of virus-driven computers so infectious that it could bring down the world's top 10 leading economies with just a few strokes. It would require about 100 million computers working together as one, a `botnet` -- the cybersecurity world's version of a WMD. But unlike its conventional weapons equivalent, this threat is the subject of no geopolitical row or diplomatic initiative. That's because no one sees it coming -- straight out of Africa.

"Cybercrime is growing at a faster rate in Africa than on any other continent in the world, according to statistics presented at a conference on the matter in Cote D'Ivoire in 2008. Cybersecurity experts estimate that 80 percent of PCs on the African continent are already infected with viruses and other malicious software. And while that may not have been too worrisome for the international economy a few years ago, the arrival of broadband service to Africa means that is about to change. The new undersea broadband Internet cables being installed today will make Africa no further away from New York than, say, Boston, in the virtual world.

"Broadband Internet access will allow Africa's virus and malware problems to go global. With more users able to access the Internet (and faster), larger amounts of data can be transferred both out and inward. More spam messages in your inbox from Africa's email fraudsters will be only the beginning..."

More at ForeignPolicy.com...

Killer Robot In Custody

"An 81-year-old Australian man has shot himself dead with an elaborate suicide robot built using plans he downloaded from the Internet.

"The Gold Coast man, who lived alone, left notes of his plans and thoughts as he struggled to come to terms with demands by interstate relatives that he move out his home and into care.

"He spent hours searching the Internet for a way to kill himself, downloaded what he needed and then built a complex machine that would remotely fire a gun.

"He set the device up in his driveway about 7 a.m. Wednesday, placed himself in front of it and set it in motion.

"His notes explained that he chose the driveway as he knew there were tradesmen working next door who would find his body. The plan worked as the workmen heard the gunshots and ran to investigate.

"The machine was attached to a .22 semi-automatic pistol loaded with four bullets.

"It was able to fire multiple shots into the man's head after he activated it."

From FOX News...

$15M Cyberscam PWN3D

"U.S. prosecutors indicted 19 people Friday – most in Dallas and Fort Worth – on charges related to a `massive cybercrime conspiracy` that they said defrauded local telecommunications companies and other merchants of $15 million worth of services and goods.

"The indictments follow raids by the FBI last year on two data hosting companies where computer servers were taken on suspicion of fraudulent activity. Friday's move expands a Sept. 2 indictment by U.S. Attorney James Jacks that targeted nine people.

"Several of those charged are believed to have fled the United States; one, Michael Faulkner of Southlake, is reported anonymously to have been killed trying to re-enter the U.S., Jacks' office said, though that has not been confirmed.

"The scheme went from 2003 to 2009 and involved the creation of shell companies through the data hosting companies run by Faulkner, according to the indictment."

More at dallasnews.com...

School District Locks Barn Door

"Over three days last month, about $3 million was drained by computer hackers from the bank account of the Duanesburg Central School District and deposited into overseas accounts. The cyber crime has prompted a joint probe into what banking and security officials say is a growing problem, underscoring the need for airtight internal controls.

"Duanesburg Superintendent Christine Crowley said during a news conference Tuesday at Duanesburg Elementary that the discovery of the unauthorized electronic transfers from the district coffers three days before Christmas left her in `total shock` and then `sheer anger.`

"...In response to the security breech, Crowley said Duanesburg school officials have closed all district bank accounts and established new ones with restricted online access."

More at timesunion.com...

HAWT New Haxx: RAM Scrapers

"Forget keyloggers and packet sniffers. In the wake of industry rules requiring credit card data to be encrypted, malware that siphons clear-text information from computer memory is all the rage among scammers, security researchers say.

"So-called RAM scrapers scour the random access memory of POS, or point-of-sale, terminals, where PINs and other credit card data must be stored in the clear so it can be processed. When valuable information passes through, it is uploaded to servers controlled by credit card thieves.

"While RAM scrapers have been around for a few years, they are a `fairly new` threat, according to a report released Wednesday that outlines the 15 most common attacks encountered by security experts at Verizon Business. They come in the wake of Payment Card Industry rules that require credit card data to be encrypted as it passes from merchants to the processing houses.

"`They are definitely a response to some of the external trends that have been going on in the cybercrime environment,` says Wade Baker, research and intelligence principal for Verizon Business. `Within a year, we've seen quite a few of them in the wild.`"

More at The Register...

First, We Hack All The Lawyers...

"The FBI has some advice for law firms: Be careful.

"The agency recently issued a warning alerting firms that what may appear to be e-mails from clients or contacts could instead be from hackers trying to infiltrate law firm databases.

"The FBI says it has `high confidence` that hackers are targeting legal and public relations firms.

"`Opening a message will not directly compromise the system or network because the malicious payload lies in the attachment or linked domain,` the warning reads. `Infection occurs once someone opens the attachment or clicks the link, which launches a self-executing file and, through a variety of malicious processes, attempts to download another file.`

"... It’s no surprise that law firms are being targeted, said Rohyt Belani, co-founder of the New York-based Intrepidus Group, an information security consulting and software company. `If I can get on a senior partner’s machine or the system administrator’s machine, I’ll get access to the keys to the kingdom for the entire network. A law firm is a place where a lot of sensitive data for different [companies] is collected.`"

More at the Wisconsin Law Journal...

Hinkyvision Coming SOON!

"Former national cyber czar Andy Purdy launched Cybercrime.TV today, an online development site for producers, directors, writers, experts, and others joining him in launching a television network that focuses on cyber criminals and those who enable them.

"`Cybercrime.TV is an online network for television people and computer people to work together,` said Purdy.

"The website provides tools to develop new projects and showcase them for production financing through Purdy and his associates. Membership is free, and members can upload videos and proposals, create groups, create forums, publish papers and articles, announce events, and publicize their programs.

"Cybercrime.TV, as a television network, will focus on all aspects of cybercrime in the form of news and talk shows, specials, movies, and original series.

"Topics of greatest interest to Purdy include cybersecurity, cyber terrorism, cyberstalking, encryption, financial crime, financial espionage, hackers, identity theft, information assurance, information warfare, Internet fraud, Internet privacy, Internet safety, malware, money laundering, network security, online predators, phishing, pirated software, social engineering, spamming, spoofing, spyware, and viruses."

More at PRWeb...

Employed Programmers Can Be Crooks, Too

"Two computer programmers who worked for Bernard L. Madoff’s investment firm were accused Friday of helping to cover up the giant Ponzi scheme for more than 15 years.

"In a statement, the United States attorney’s office in Manhattan said the two programmers — Jerome O’Hara, 46, of Malverne, N.Y., and George Perez, 43, of East Brunswick, N.J. — were arrested Friday at their homes.

"The complaint accuses the two men of providing the technical support needed to produce false documents and trading records in defrauding investors in Bernard L. Madoff Investment Securities of billions of dollars.

"Jerome O’Hara and George Perez allegedly helped construct Bernie Madoff’s house of cards. The computer codes and random algorithms they allegedly designed served to deceive investors and regulators and concealed Madoff’s crimes,` Preet Bharara, the United States attorney for the Southern District of New York, said in a statement.

"In addition, Joseph M. Demarest Jr., the assistant director in charge of the F.B.I.’s New York office, said that when the two men told Mr. Madoff `they would no longer lie for him,` they were paid to keep the scheme quiet."

From The New York Times...

Old Passwords Never Die

"Federal authorities on Wednesday filed intrusion charges against two men accused of accessing the computer systems of their former employer.

"Scott R. Burgess, 45, of Jasper, Indiana, and Walter D. Puckett, 39, of Williamstown, Kentucky, both worked as managers for Indiana-based Stens Corporation until taking jobs with a competing company in Ohio, according to an indictment filed in federal court. On at least 12 occasions, they used old passwords to access their former employer's computer and access proprietary information, prosecutors allege.

"Although the men left their jobs in 2004 and early 2005, they were able to use the outdated passwords successfully as late as September of 2006. On at least two occasions, administrators at Stens grew suspicious and terminated old passwords. The men simply tried different login credentials - and succeeded several times."

From The Register...

Contractor Of The Year

"A 27-year-old Brooklyn man used his job as a computer technician to appropriate the identities of more than 150 employees at the Bank of New York Mellon and steal more than $1.1 million from a wide array of nonprofit groups and other institutions, officials announced on Wednesday.

"The technician, Adeniyi Adeyemi, 27, of Crown Heights, was charged with grand larceny, identity theft, money laundering, scheme to defraud, computer tampering and unlawful possession of personal identification information in a 149-count indictment.

"The fraud started in November 2001 and lasted through April of this year, according to the office of the Manhattan district attorney, Robert M. Morgenthau, which is prosecuting the case.

"Using his position as a contract employee in the information technology department at Bank of New York Mellon, Mr. Adeyemi stole personal identifying information from dozens of employees, using the information to more than 30 bank and brokerage accounts in their names at E*Trade, Fidelity, Citi, Wachovia and Washington Mutual, Mr. Morgenthau said."

From The New York Times...

Company Dumps Windows After $40K Hack

"The FBI is helping out the Steuben ARC after overseas hackers stole more than $40,000. Police say the hackers went through an employee's microsoft windows computer system. That worker had access to ARC's bank account.

"Authorities say the crooks were from Eastern Europe and used that information to steal the money. Since then, the Steuben ARC has limited their employee's internet access. They've also switched from a Microsoft operating system to Linux, which is said to be tougher to hack."

From WETMTV.com...

"High Profile" FTP Sites PWN3D

"Security researchers have found a treasure chest of FTP passwords, some from high profile sites, on an open cybercrime server.

"Jacques Erasmus, CTO at security tools firm Prevx, stumbled across a site where a Trojan is uploading FTP login credentials captured from compromised machines. So far, Erasmus has found logins for ftp.bbc.co.uk, ftp.cisco.com, ftp.amazon.com, ftp.monster.com and, even security sites including ftp.mcafee.com and ftp.symantec.com along the extensive list of more than 68,000."

More...

Coffee Shack Hack

"One day last August, the Secret Service paid a visit to the new owners of Custom House Coffee off West Main Road.

"The news they brought was bad: Computer hackers, whereabouts unknown, had used sophisticated spy software to break into the store’s wireless network and steal the credit and debit card numbers of customers.

"In all, about 50 customers of Custom House Coffee had been victimized, as early as May 2008, according to Police Chief Lance Hebert. But it wasn’t until the victims got their bank or credit card statements and saw charges they didn’t recognize that they realized they had been robbed. As the police reports started to filter in, detectives began connecting the dots..."

More at projo.com...

New York ATM Customers PWN3D

"A band of brazen thieves ripped off hundreds of New Yorkers by rigging ATMs to steal account and password information from bank customers.

"They used the pilfered info to swipe half a million dollars from their victims' bank accounts - the latest twist in increasingly aggressive identity-theft scams, police said.

"`This crew is sophisticated,` said Deputy Inspector Gregory Antonsen, head of the NYPD's special investigations division. `And they are coming up with new ways to steal your identity every day.`"

More at NY Daily News...

Chinese SPAM Startup Cost: $700

"It's a great deal, if you're a spammer.

"You pay US$700 to use a server in China that lets you send all the spam you like. It's called bulletproof hosting, and to the people who fight spam and cybercrime it's becoming a big problem.

"Cybercriminals use these services not just to host servers, but also to register Internet domain names that they use for spam and online attacks. In a three-month period this year, researchers at the University of Alabama at Birmingham traced more than 22,300 domains, all used to send online pharmaceutical spam, to just six bulletproof computers hosted in China..."

More at The Standard...

I Like Big Bots And I Cannot Lie

Baby Got Haxx

"The world's largest-ever malware network has been uncovered, affecting 1.9 million corporate, government and consumer computers.

"Finjan Inc's Malicious Code Research Center (MCRC) uncovered the network as part of research into command and control servers operated by cybercriminals.

"`It is the biggest ever - 600,000 was the largest last year,` a spokesman for Finjan told TG Daily. He declined to name the organisations affected, but said `I think you can assume that most large corporations and most western governments are affected.`"

More at TG Daily...

Evidence Of Zombie Mac Botnet Found

"If you let yourself get tempted into installing the pirated versions of iWork or Photoshop CS4 that circulated on Bit Torrent earlier this year, you may have unwittingly turned your Mac into a zombie. Security researchers for Symantec have turned up evidence that these zombie machines are being used to create a Mac-based botnet.

"Botnets are used to perform DDoS attacks on systems, gather sensitive personal information, and send out a majority of the spam that clogs up the 'Net. While commonly made out of infected Windows computers, this is the first known attempt to create one from Macs..."

More at Ars Technica...

Another "Study" Jumps On The Anti-IT Bandwagon

"Enterprises increasingly worry that their employees may be more willing to steal data or sell insider knowledge because of the poor economy, according to an annual security survey conducted by KPMG International.

"Sixty-six percent of respondents felt that out-of-work IT staffers would be tempted to join the criminal underground, driven in part by threats to bonuses, job losses and worthless stock options.

"The E-crime Survey 2009, presented at the E-Crime Congress in London on Tuesday, surveyed 307 private companies, government organizations and law enforcement agencies.

"In the survey, KPMG said that fraud committed by managers, employees and customers tripled last year in comparison with 2007, which indicates that the recession will likely only exacerbate those problems..."

More lies at ComputerWorld...

Security Researchers Admit To Having NO CLUE

No Surprise There

"Security researchers are in the dark about what will happen next week when the newest variant of Conficker, 2009's biggest worm by a mile, begins trying to contact its controllers.

"`It's impossible to know until we see something that has a clear profit motive,` said Joe Stewart, director of malware research at SecureWorks Inc. and a noted botnet researcher.

"PCs infected with Conficker.c, the third version of the worm that first appeared late last year, will use a new communication scheme on April 1 to establish a link to the command-and-control servers operated by the hackers who seeded the malware. The date is hard-coded into the worm, which in turn polls any of a number of major Web sites, including Yahoo, for the date, said Stewart.

"That tactic is just one of several designed to make it tough for security researchers to figure out what Conficker's all about, and more importantly, what it might do..."

From ComputerWorld...