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ShadowPad attacks supply chain companies

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Kaspersky Labs has identified ShadowPad, a backdoor virus planted in server management software that allows attackers to download further malicious modules or steal data.

Kaspersky Lab experts have discovered a backdoor planted in a server management software product used by hundreds of large businesses around the world. When activated, the backdoor allows attackers to download further malicious modules or steal data. Kaspersky Lab has alerted NetSarang, the vendor of the affected software, and it has promptly removed the malicious code and released an update for customers.

ShadowPad is one of the largest known supply-chain attacks. Had it not been detected and patched so quickly, it could potentially have targeted hundreds of organisations worldwide.

In July, 2017 Kaspersky Lab’s Global Research and Analysis (GReAT) team was approached by one of its partners – a financial institution. The organisation’s security specialists were worried about suspicious DNS (domain name server) requests originating on a system involved in the processing of financial transactions. Further investigation showed that the source of these requests was server management software produced by a legitimate company and used by hundreds of customers in industries like financial services, education, telecoms, manufacturing, energy, and transportation. The most worrying finding was the fact that the vendor did not mean for the software to make these requests.

Further Kaspersky Lab analysis showed that the suspicious requests were actually the result of the activity of a malicious module hidden inside a recent version of the legitimate software. Following the installation of an infected software update, the malicious module would start sending DNS-queries to specific domains (its command and control server) at a frequency of once every eight hours. The request would contain basic information about the victim system (user name, domain name, host name). If the attackers considered the system to be “interesting”, the command server would reply and activate a fully-fledged backdoor platform that would silently deploy itself inside the attacked computer. After that, on command from the attackers, the backdoor platform would be able to download and execute further malicious code.

Following the discovery, Kaspersky Lab researchers immediately contacted NetSarang. The company reacted fast and released an updated version of the software without the malicious code.

So far, according to Kaspersky Lab research, the malicious module has been activated in Hong Kong, but it could be lying dormant on many other systems worldwide, especially if the users have not installed the updated version of the affected software.

While analysing the tools techniques and procedures used by the attackers, Kaspersky Lab researchers came to the conclusion that some similarities exist that point to PlugX malware variants used by the Winnti APT, a known Chinese-speaking cyberespionage group. This information, however, is not enough to establish a precise connection to these actors.

“ShadowPad is an example of how dangerous and wide-scale a successful supply-chain attack can be. Given the opportunities for reach and data collection it gives to the attackers, most likely it will be reproduced again and again with some other widely used software component. Luckily NetSarang was fast to react to our notification and released a clean software update, most likely preventing hundreds of data stealing attacks against its clients. However, this case shows that large companies should rely on advanced solutions capable of monitoring network activity and detecting anomalies. This is where you can spot malicious activity even if the attackers were sophisticated enough to hide their malware inside legitimate software,” said Igor Soumenkov, security expert, Global Research and Analysis Team, Kaspersky Lab.

NetSarang Statement

“To combat the ever-changing landscape of cyberattacks NetSarang has incorporated various methods and measures to prevent our line of products from being compromised, infected, or utilised by cyberespionage groups. Regretfully, the Build release of our full line of products on July 18th, 2017 was unknowingly shipped with a backdoor which had the potential to be exploited by its creator.

The security of our customers and user base is our highest priority and ultimately, our responsibility. The fact that malicious groups and entities are utilising commercial and legitimate software for illicit gain is an ever-growing concern and one that NetSarang, as well as others in the computer software industry, is taking very seriously.

NetSarang is committed to its users’ privacy and has incorporated a more robust system to ensure that never again will a compromised product be delivered to its users. NetSarang will continue to evaluate and improve our security not only to combat the efforts of cyber espionage groups around the world but also in order to regain the trust of its loyal user base.”

All Kaspersky Lab products detect and protect against the ShadowPad malware as “Backdoor.Win32.ShadowPad.a”.

Kaspersky Lab advises users to update immediately to the latest version of the NetSarang software, from which the malicious module has been removed, and to check their systems for signs of DNS queries to unusual domains. A list of the command server domains used by the malicious module can be found in the Securelist blogpost, which also includes further technical information on the backdoor.

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Now download a bank account

Absa has introduced an end-to-end account opening for new customers, through the Absa Banking App, which can be downloaded from the Android and Apple app stores. This follows the launch of the world first ChatBanking on WhatsApp service.

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This “download your account” feature enables new customers to Absa, to open a Cheque account, order their card and start transacting on the Absa Banking App, all within minutes, from anywhere and at any time, by downloading it from the App stores.

“Overall, this new capability is not only expected to enhance the customer’s digital experience, but we expect to leverage this in our branches, bringing digital experiences to the branch environment and making it easier for our customers to join and bank with us regardless of where they may be,” says Aupa Monyatsi, Managing Executive for Virtual Channels at Absa Retail & Business Banking.

“With this innovation comes the need to ensure that the security of our customers is at the heart of our digital experience, this is why the digital onboarding experience for this feature includes a high-quality facial matching check with the Department of Home Affairs to verify the customer’s identity, ensuring that we have the most up to date information of our clients. Security is supremely important for us.”

The new version of the Absa Banking App is now available in the Apple and Android App stores, and anyone with a South African ID can become an Absa customer, by following these simple steps:

  1. Download the Absa App
  2. Choose the account you would like to open
  3. Tell us who you are
  4. To keep you safe, we will verify your cell phone number
  5. Take a selfie, and we will do facial matching with the Department of Home Affairs to confirm you are who you say you are
  6. Tell us where you live
  7. Let us know what you do for a living and your income
  8. Click Apply.

 

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How we use phones to avoid human contact

A recent study by Kaspersky Lab has found that 75% of people pick up their connected device to avoid conversing with another human being.

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Connected devices are becoming essential to keeping people in contact with each other, but for many they are also a much-needed comfort blanket in a variety of social situations when they do not want to interact with others. A recent survey from Kaspersky Lab has confirmed this trend in behaviour after three-quarters of people (75%) admitted they use a device to pretend to be busy when they don’t want to talk to someone else, showing the importance of keeping connected devices protected under all circumstances. 

Imagine you’ve arrived at a bar and you’re waiting for your date. The bar is busy, and people are chatting all around you. What do you do now? Strike up a conversation with someone you don’t know? Grab your phone from your pocket or handbag until your date arrives to keep yourself busy? Why talk to humans or even make eye-contact with someone else when you can stare at your connected device instead?

The truth is, our use of devices is making it much easier to avoid small talk or even be polite to those around us, and new Kaspersky Lab research has found that 72% of people use one when they do not know what to do in a social situation. They are also the ‘go-to’ distraction for people even when they aren’t trying to look busy or avoid someone’s eye. 46% of people admit to using a device just to kill time every day and 44% use it as a daily distraction.

In addition to just being a distraction, devices are also a lifeline to those who would rather not talk directly to another person in day-to-day situations, to complete essential tasks. In fact, nearly a third (31%) of people would prefer to carry out tasks such as ordering a taxi or finding directions to where they need to go via a website and an app, because they find it an easier experience than speaking with another person.

Whether they are helping us avoid direct contact or filling a void in our daily lives, our constant reliance on devices has become a cause for panic when they become unusable. A third (34%) of people worry that they will not be able to entertain themselves if they cannot access a connected device. 12% are even concerned that they won’t be able to pretend to be busy if their device is out of action.

Dmitry Aleshin, VP for Product Marketing, Kaspersky Lab said, “The reliance on connected devices is impacting us in more ways than we could have ever expected. There is no doubt that being connected gives us the freedom to make modern life easier, but devices are also vital to help people get through different and difficult social situations. No matter what your ‘connection crutch’ is, it is essential to make sure your device is online and available when you need it most.”

To ensure your device lifeline is always there and in top health – no matter what the reason or situation – Kaspersky Security Cloud keeps your connection safe and secure:

·         I want to use my device while waiting for a friend – is it secure to access the bar’s Wi-Fi?

With Kaspersky Security Cloud, devices are protected against network threats, even if the user needs to use insecure public Wi-Fi hotspots. This is done through transferring data via an encrypted channel to ensure personal data safety, so users’ devices are protected on any connection.

·         Oh no! I’m bored but my phone’s battery is getting low – what am I going to do?

Users can track their battery level thanks to a countdown of how many minutes are left until their device shuts down in the Kaspersky Security Cloud interface. There is also a wide-range of portable power supplies available to keep device batteries charged while on-the-go.

·         I’ve lost my phone! How will I keep myself entertained now?

Should the unthinkable happen and you lose or have your phone stolen, Kaspersky Security Cloud can track and protect your device from data breaches, for complete peace of mind. Remote lock and locate features ensure your device remains secure until you are reunited.

 

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