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The head of counterintelligence for a division of the Russian Federal Security Service (FSB) was sentenced last week to nine years in a penal colony for accepting a USD $1.7 million bribe to ignore the activities of a prolific Russian cybercrime group that hacked thousands of e-commerce websites. The protection scheme was exposed in 2022 when Russian authorities arrested six members of the group, which sold millions of stolen payment cards at flashy online shops like Trump’s Dumps.
A now-defunct carding shop that sold stolen credit cards and invoked 45’s likeness and name.
As reported by The Record, a Russian court last week sentenced former FSB officer Grigory Tsaregorodtsev for taking a $1.7 million bribe from a cybercriminal group that was seeking a “roof,” a well-placed, corrupt law enforcement official who could be counted on to both disregard their illegal hacking activities and run interference with authorities in the event of their arrest.
Tsaregorodtsev was head of the counterintelligence department for a division of the FSB based in Perm, Russia. In February 2022, Russian authorities arrested six men in the Perm region accused of selling stolen payment card data. They also seized multiple carding shops run by the gang, including Ferum Shop, Sky-Fraud, and Trump’s Dumps, a popular fraud store that invoked the 45th president’s likeness and promised to “make credit card fraud great again.”
All of the domains seized in that raid were registered by an IT consulting company in Perm called Get-net LLC, which was owned in part by Artem Zaitsev — one of the six men arrested. Zaitsev reportedly was a well-known programmer whose company supplied services and leasing to the local FSB field office.
The message for Trump’s Dumps users left behind by Russian authorities that seized the domain in 2022.
Russian news sites report that Internal Affairs officials with the FSB grew suspicious when Tsaregorodtsev became a little too interested in the case following the hacking group’s arrests. The former FSB agent had reportedly assured the hackers he could have their case transferred and that they would soon be free.
But when that promised freedom didn’t materialize, four the of the defendants pulled the walls down on the scheme and brought down their own roof. The FSB arrested Tsaregorodtsev, and seized $154,000 in cash, 100 gold bars, real estate and expensive cars.
At Tsaregorodtsev’s trial, his lawyers argued that their client wasn’t guilty of bribery per se, but that he did admit to fraud because he was ultimately unable to fully perform the services for which he’d been hired.
The Russian news outlet Kommersant reports that all four of those who cooperated were released with probation or correctional labor. Zaitsev received a sentence of 3.5 years in prison, and defendant Alexander Kovalev got four years.
In 2017, KrebsOnSecurity profiled Trump’s Dumps, and found the contact address listed on the site was tied to an email address used to register more than a dozen domains that were made to look like legitimate Javascript calls many e-commerce sites routinely make to process transactions — such as “js-link[dot]su,” “js-stat[dot]su,” and “js-mod[dot]su.”
Searching on those malicious domains revealed a 2016 report from RiskIQ, which shows the domains featured prominently in a series of hacking campaigns against e-commerce websites. According to RiskIQ, the attacks targeted online stores running outdated and unpatched versions of shopping cart software from Magento, Powerfront and OpenCart.
Those shopping cart flaws allowed the crooks to install “web skimmers,” malicious Javascript used to steal credit card details and other information from payment forms on the checkout pages of vulnerable e-commerce sites. The stolen customer payment card details were then sold on sites like Trump’s Dumps and Sky-Fraud.
For nearly a dozen years, residents of South Carolina have been kept in the dark by state and federal investigators over who was responsible for hacking into the state’s revenue department in 2012 and stealing tax and bank account information for 3.6 million people. The answer may no longer be a mystery: KrebsOnSecurity found compelling clues suggesting the intrusion was carried out by the same Russian hacking crew that stole of millions of payment card records from big box retailers like Home Depot and Target in the years that followed.
Questions about who stole tax and financial data on roughly three quarters of all South Carolina residents came to the fore last week at the confirmation hearing of Mark Keel, who was appointed in 2011 by Gov. Nikki Haley to head the state’s law enforcement division. If approved, this would be Keel’s third six-year term in that role.
The Associated Press reports that Keel was careful not to release many details about the breach at his hearing, telling lawmakers he knows who did it but that he wasn’t ready to name anyone.
“I think the fact that we didn’t come up with a whole lot of people’s information that got breached is a testament to the work that people have done on this case,” Keel asserted.
A ten-year retrospective published in 2022 by The Post and Courier in Columbia, S.C. said investigators determined the breach began on Aug. 13, 2012, after a state IT contractor clicked a malicious link in an email. State officials said they found out about the hack from federal law enforcement on October 10, 2012.
KrebsOnSecurity examined posts across dozens of cybercrime forums around that time, and found only one instance of someone selling large volumes of tax data in the year surrounding the breach date.
On Oct. 7, 2012 — three days before South Carolina officials say they first learned of the intrusion — a notorious cybercriminal who goes by the handle “Rescator” advertised the sale of “a database of the tax department of one of the states.”
“Bank account information, SSN and all other information,” Rescator’s sales thread on the Russian-language crime forum Embargo read. “If you purchase the entire database, I will give you access to it.”
A week later, Rescator posted a similar offer on the exclusive Russian forum Mazafaka, saying he was selling information from a U.S. state tax database, without naming the state. Rescator said the data exposed included Social Security Number (SSN), employer, name, address, phone, taxable income, tax refund amount, and bank account number.
“There is a lot of information, I am ready to sell the entire database, with access to the database, and in parts,” Rescator told Mazafaka members. “There is also information on corporate taxpayers.”
On Oct. 26, 2012, the state announced the breach publicly. State officials said they were working with investigators from the U.S. Secret Service and digital forensics experts from Mandiant, which produced an incident report (PDF) that was later published by South Carolina Dept. of Revenue. KrebsOnSecurity sought comment from the Secret Service, South Carolina prosecutors, and Mr. Keel’s office. This story will be updated if any of them respond. Update: The Secret Service declined to comment.
On Nov. 18, 2012, Rescator told fellow denizens of the forum Verified he was selling a database of 65,000 records with bank account information from several smaller, regional financial institutions. Rescator’s sales thread on Verified listed more than a dozen database fields, including account number, name, address, phone, tax ID, date of birth, employer and occupation.
Asked to provide more context about the database for sale, Rescator told forum members the database included financial records related to tax filings of a U.S. state. Rescator added that there was a second database of around 80,000 corporations that included social security numbers, names and addresses, but no financial information.
The AP says South Carolina paid $12 million to Experian for identity theft protection and credit monitoring for its residents after the breach.
“At the time, it was one of the largest breaches in U.S. history but has since been surpassed greatly by hacks to Equifax, Yahoo, Home Depot, Target and PlayStation,” the AP’s Jeffrey Collins wrote.
As it happens, Rescator’s criminal hacking crew was directly responsible for the 2013 breach at Target and the 2014 hack of Home Depot. The Target intrusion saw Rescator’s cybercrime shops selling roughly 40 million stolen payment cards, and 56 million cards from Home Depot customers.
Who is Rescator? On Dec. 14, 2023, KrebsOnSecurity published the results of a 10-year investigation into the identity of Rescator, a.k.a. Mikhail Borisovich Shefel, a 36-year-old who lives in Moscow and who recently changed his last name to Lenin.
Mr. Keel’s assertion that somehow the efforts of South Carolina officials following the breach may have lessened its impact on citizens seems unlikely. The stolen tax and financial data appears to have been sold openly on cybercrime forums by one of the Russian underground’s most aggressive and successful hacking crews.
While there are no indications from reviewing forum posts that Rescator ever sold the data, his sales threads came at a time when the incidence of tax refund fraud was skyrocketing.
Tax-related identity theft occurs when someone uses a stolen identity and SSN to file a tax return in that person’s name claiming a fraudulent refund. Victims usually first learn of the crime after having their returns rejected because scammers beat them to it. Even those who are not required to file a return can be victims of refund fraud, as can those who are not actually owed a refund from the U.S. Internal Revenue Service (IRS).
According to a 2013 report from the Treasury Inspector General’s office, the IRS issued nearly $4 billion in bogus tax refunds in 2012, and more than $5.8 billion in 2013. The money largely was sent to people who stole SSNs and other information on U.S. citizens, and then filed fraudulent tax returns on those individuals claiming a large refund but at a different address.
It remains unclear why Shefel has never been officially implicated in the breaches at Target, Home Depot, or in South Carolina. It may be that Shefel has been indicted, and that those indictments remain sealed for some reason. Perhaps prosecutors were hoping Shefel would decide to leave Russia, at which point it would be easier to apprehend him if he believed no one was looking for him.
But all signs are that Shefel is deeply rooted in Russia, and has no plans to leave. In January 2024, authorities in Australia, the United States and the U.K. levied financial sanctions against 33-year-old Russian man Aleksandr Ermakov for allegedly stealing data on 10 million customers of the Australian health insurance giant Medibank.
A week after those sanctions were put in place, KrebsOnSecurity published a deep dive on Ermakov, which found that he co-ran a Moscow-based IT security consulting business along with Mikhail Shefel called Shtazi-IT.
A Google-translated version of Shtazi dot ru. Image: Archive.org.
A cybercrook who has been setting up websites that mimic the self-destructing message service privnote.com accidentally exposed the breadth of their operations recently when they threatened to sue a software company. The disclosure revealed a profitable network of phishing sites that behave and look like the real Privnote, except that any messages containing cryptocurrency addresses will be automatically altered to include a different payment address controlled by the scammers.
The real Privnote, at privnote.com.
Launched in 2008, privnote.com employs technology that encrypts each message so that even Privnote itself cannot read its contents. And it doesn’t send or receive messages. Creating a message merely generates a link. When that link is clicked or visited, the service warns that the message will be gone forever after it is read.
Privnote’s ease-of-use and popularity among cryptocurrency enthusiasts has made it a perennial target of phishers, who erect Privnote clones that function more or less as advertised but also quietly inject their own cryptocurrency payment addresses when a note is created that contains crypto wallets.
Last month, a new user on GitHub named fory66399 lodged a complaint on the “issues” page for MetaMask, a software cryptocurrency wallet used to interact with the Ethereum blockchain. Fory66399 insisted that their website — privnote[.]co — was being wrongly flagged by MetaMask’s “eth-phishing-detect” list as malicious.
“We filed a lawsuit with a lawyer for dishonestly adding a site to the block list, damaging reputation, as well as ignoring the moderation department and ignoring answers!” fory66399 threatened. “Provide evidence or I will demand compensation!”
MetaMask’s lead product manager Taylor Monahan replied by posting several screenshots of privnote[.]co showing the site did indeed swap out any cryptocurrency addresses.
After being told where they could send a copy of their lawsuit, Fory66399 appeared to become flustered, and proceeded to mention a number of other interesting domain names:
You sent me screenshots from some other site! It’s red!!!!
The tornote.io website has a different color altogether
The privatenote,io website also has a different color! What’s wrong?????
A search at DomainTools.com for privatenote[.]io shows it has been registered to two names over as many years, including Andrey Sokol from Moscow and Alexandr Ermakov from Kiev. There is no indication these are the real names of the phishers, but the names are useful in pointing to other sites targeting Privnote since 2020.
DomainTools says other domains registered to Alexandr Ermakov include pirvnota[.]com, privatemessage[.]net, privatenote[.]io, and tornote[.]io.
A screenshot of the phishing domain privatemessage dot net.
The registration records for pirvnota[.]com at one point were updated from Andrey Sokol to “BPW” as the registrant organization, and “Tambov district” in the registrant state/province field. Searching DomainTools for domains that include both of these terms reveals pirwnote[.]com.
Other Privnote phishing domains that also phoned home to the same Internet address as pirwnote[.]com include privnode[.]com, privnate[.]com, and prevnóte[.]com. Pirwnote[.]com is currently selling security cameras made by the Chinese manufacturer Hikvision, via an Internet address based in Hong Kong.
It appears someone has gone to great lengths to make tornote[.]io seem like a legitimate website. For example, this account at Medium has authored more than a dozen blog posts in the past year singing the praises of Tornote as a secure, self-destructing messaging service. However, testing shows tornote[.]io will also replace any cryptocurrency addresses in messages with their own payment address.
These malicious note sites attract visitors by gaming search engine results to make the phishing domains appear prominently in search results for “privnote.” A search in Google for “privnote” currently returns tornote[.]io as the fifth result. Like other phishing sites tied to this network, Tornote will use the same cryptocurrency addresses for roughly 5 days, and then rotate in new payment addresses.
Tornote changed the cryptocurrency address entered into a test note to this address controlled by the phishers.
Throughout 2023, Tornote was hosted with the Russian provider DDoS-Guard, at the Internet address 186.2.163[.]216. A review of the passive DNS records tied to this address shows that apart from subdomains dedicated to tornote[.]io, the main other domain at this address was hkleaks[.]ml.
In August 2019, a slew of websites and social media channels dubbed “HKLEAKS” began doxing the identities and personal information of pro-democracy activists in Hong Kong. According to a report (PDF) from Citizen Lab, hkleaks[.]ml was the second domain that appeared as the perpetrators began to expand the list of those doxed.
HKleaks, as indexed by The Wayback Machine.
DomainTools shows there are more than 1,000 other domains whose registration records include the organization name “BPW” and “Tambov District” as the location. Virtually all of those domains were registered through one of two registrars — Hong Kong-based Nicenic and Singapore-based WebCC — and almost all appear to be phishing or pill-spam related.
Among those is rustraitor[.]info, a website erected after Russia invaded Ukraine in early 2022 that doxed Russians perceived to have helped the Ukrainian cause.
An archive.org copy of Rustraitor.
In keeping with the overall theme, these phishing domains appear focused on stealing usernames and passwords to some of the cybercrime underground’s busiest shops, including Brian’s Club. What do all the phished sites have in common? They all accept payment via virtual currencies.
It appears MetaMask’s Monahan made the correct decision in forcing these phishers to tip their hand: Among the websites at that DDoS-Guard address are multiple MetaMask phishing domains, including metarrnask[.]com, meternask[.]com, and rnetamask[.]com.
How profitable are these private note phishing sites? Reviewing the four malicious cryptocurrency payment addresses that the attackers swapped into notes passed through privnote[.]co (as pictured in Monahan’s screenshot above) shows that between March 15 and March 19, 2024, those address raked in and transferred out nearly $18,000 in cryptocurrencies. And that’s just one of their phishing websites.
Roughly nine years ago, KrebsOnSecurity profiled a Pakistan-based cybercrime group called “The Manipulaters,” a sprawling web hosting network of phishing and spam delivery platforms. In January 2024, The Manipulaters pleaded with this author to unpublish previous stories about their work, claiming the group had turned over a new leaf and gone legitimate. But new research suggests that while they have improved the quality of their products and services, these nitwits still fail spectacularly at hiding their illegal activities.
In May 2015, KrebsOnSecurity published a brief writeup about the brazen Manipulaters team, noting that they openly operated hundreds of web sites selling tools designed to trick people into giving up usernames and passwords, or deploying malicious software on their PCs.
Manipulaters advertisement for “Office 365 Private Page with Antibot” phishing kit sold on the domain heartsender,com. “Antibot” refers to functionality that attempts to evade automated detection techniques, keeping a phish deployed as long as possible. Image: DomainTools.
The core brand of The Manipulaters has long been a shared cybercriminal identity named “Saim Raza,” who for the past decade has peddled a popular spamming and phishing service variously called “Fudtools,” “Fudpage,” “Fudsender,” “FudCo,” etc. The term “FUD” in those names stands for “Fully Un-Detectable,” and it refers to cybercrime resources that will evade detection by security tools like antivirus software or anti-spam appliances.
A September 2021 story here checked in on The Manipulaters, and found that Saim Raza and company were prospering under their FudCo brands, which they secretly managed from a front company called We Code Solutions.
That piece worked backwards from all of the known Saim Raza email addresses to identify Facebook profiles for multiple We Code Solutions employees, many of whom could be seen celebrating company anniversaries gathered around a giant cake with the words “FudCo” painted in icing.
Since that story ran, KrebsOnSecurity has heard from this Saim Raza identity on two occasions. The first was in the weeks following the Sept. 2021 piece, when one of Saim Raza’s known email addresses — bluebtcus@gmail.com — pleaded to have the story taken down.
“Hello, we already leave that fud etc before year,” the Saim Raza identity wrote. “Why you post us? Why you destroy our lifes? We never harm anyone. Please remove it.”
Not wishing to be manipulated by a phishing gang, KrebsOnSecurity ignored those entreaties. But on Jan. 14, 2024, KrebsOnSecurity heard from the same bluebtcus@gmail.com address, apropos of nothing.
“Please remove this article,” Sam Raza wrote, linking to the 2021 profile. “Please already my police register case on me. I already leave everything.”
Asked to elaborate on the police investigation, Saim Raza said they were freshly released from jail.
“I was there many days,” the reply explained. “Now back after bail. Now I want to start my new work.”
Exactly what that “new work” might entail, Saim Raza wouldn’t say. But a new report from researchers at DomainTools.com finds that several computers associated with The Manipulaters have been massively hacked by malicious data- and password-snarfing malware for quite some time.
DomainTools says the malware infections on Manipulaters PCs exposed “vast swaths of account-related data along with an outline of the group’s membership, operations, and position in the broader underground economy.”
“Curiously, the large subset of identified Manipulaters customers appear to be compromised by the same stealer malware,” DomainTools wrote. “All observed customer malware infections began after the initial compromise of Manipulaters PCs, which raises a number of questions regarding the origin of those infections.”
A number of questions, indeed. The core Manipulaters product these days is a spam delivery service called HeartSender, whose homepage openly advertises phishing kits targeting users of various Internet companies, including Microsoft 365, Yahoo, AOL, Intuit, iCloud and ID.me, to name a few.
A screenshot of the homepage of HeartSender 4 displays an IP address tied to fudtoolshop@gmail.com. Image: DomainTools.
HeartSender customers can interact with the subscription service via the website, but the product appears to be far more effective and user-friendly if one downloads HeartSender as a Windows executable program. Whether that HeartSender program was somehow compromised and used to infect the service’s customers is unknown.
However, DomainTools also found the hosted version of HeartSender service leaks an extraordinary amount of user information that probably is not intended to be publicly accessible. Apparently, the HeartSender web interface has several webpages that are accessible to unauthenticated users, exposing customer credentials along with support requests to HeartSender developers.
“Ironically, the Manipulaters may create more short-term risk to their own customers than law enforcement,” DomainTools wrote. “The data table “User Feedbacks” (sic) exposes what appear to be customer authentication tokens, user identifiers, and even a customer support request that exposes root-level SMTP credentials–all visible by an unauthenticated user on a Manipulaters-controlled domain. Given the risk for abuse, this domain will not be published.”
This is hardly the first time The Manipulaters have shot themselves in the foot. In 2019, The Manipulaters failed to renew their core domain name — manipulaters[.]com — the same one tied to so many of the company’s past and current business operations. That domain was quickly scooped up by Scylla Intel, a cyber intelligence firm that focuses on connecting cybercriminals to their real-life identities.
Currently, The Manipulaters seem focused on building out and supporting HeartSender, which specializes in spam and email-to-SMS spamming services.
“The Manipulaters’ newfound interest in email-to-SMS spam could be in response to the massive increase in smishing activity impersonating the USPS,” DomainTools wrote. “Proofs posted on HeartSender’s Telegram channel contain numerous references to postal service impersonation, including proving delivery of USPS-themed phishing lures and the sale of a USPS phishing kit.”
Reached via email, the Saim Raza identity declined to respond to questions about the DomainTools findings.
“First [of] all we never work on virus or compromised computer etc,” Raza replied. “If you want to write like that fake go ahead. Second I leave country already. If someone bind anything with exe file and spread on internet its not my fault.”
Asked why they left Pakistan, Saim Raza said the authorities there just wanted to shake them down.
“After your article our police put FIR on my [identity],” Saim Raza explained. “FIR” in this case stands for “First Information Report,” which is the initial complaint in the criminal justice system of Pakistan.
“They only get money from me nothing else,” Saim Raza continued. “Now some officers ask for money again again. Brother, there is no good law in Pakistan just they need money.”
Saim Raza has a history of being slippery with the truth, so who knows whether The Manipulaters and/or its leaders have in fact fled Pakistan (it may be more of an extended vacation abroad). With any luck, these guys will soon venture into a more Western-friendly, “good law” nation and receive a warm welcome by the local authorities.
Thread hijacking attacks. They happen when someone you know has their email account compromised, and you are suddenly dropped into an existing conversation between the sender and someone else. These missives draw on the recipient’s natural curiosity about being copied on a private discussion, which is modified to include a malicious link or attachment. Here’s the story of a thread hijacking attack in which a journalist was copied on a phishing email from the unwilling subject of a recent scoop.
In Sept. 2023, the Pennsylvania news outlet LancasterOnline.com published a story about Adam Kidan, a wealthy businessman with a criminal past who is a major donor to Republican causes and candidates, including Rep. Lloyd Smucker (R-Pa).
The LancasterOnline story about Adam Kidan.
Several months after that piece ran, the story’s author Brett Sholtis received two emails from Kidan, both of which contained attachments. One of the messages appeared to be a lengthy conversation between Kidan and a colleague, with the subject line, “Re: Successfully sent data.” The second missive was a more brief email from Kidan with the subject, “Acknowledge New Work Order,” and a message that read simply, “Please find the attached.”
Sholtis said he clicked the attachment in one of the messages, which then launched a web page that looked exactly like a Microsoft Office 365 login page. An analysis of the webpage reveals it would check any submitted credentials at the real Microsoft website, and return an error if the user entered bogus account information. A successful login would record the submitted credentials and forward the victim to the real Microsoft website.
But Sholtis said he didn’t enter his Outlook username and password. Instead, he forwarded the messages to LancasterOneline’s IT team, which quickly flagged them as phishing attempts.
LancasterOnline Executive Editor Tom Murse said the two phishing messages from Mr. Kidan raised eyebrows in the newsroom because Kidan had threatened to sue the news outlet multiple times over Sholtis’s story.
“We were just perplexed,” Murse said. “It seemed to be a phishing attempt but we were confused why it would come from a prominent businessman we’ve written about. Our initial response was confusion, but we didn’t know what else to do with it other than to send it to the FBI.”
The phishing lure attached to the thread hijacking email from Mr. Kidan.
In 2006, Kidan was sentenced to 70 months in federal prison after pleading guilty to defrauding lenders along with Jack Abramoff, the disgraced lobbyist whose corruption became a symbol of the excesses of Washington influence peddling. He was paroled in 2009, and in 2014 moved his family to a home in Lancaster County, Pa.
The FBI hasn’t responded to LancasterOnline’s tip. Messages sent by KrebsOnSecurity to Kidan’s emails addresses were returned as blocked. Messages left with Mr. Kidan’s company, Empire Workforce Solutions, went unreturned.
No doubt the FBI saw the messages from Kidan for what they likely were: The result of Mr. Kidan having his Microsoft Outlook account compromised and used to send malicious email to people in his contacts list.
Thread hijacking attacks are hardly new, but that is mainly true because many Internet users still don’t know how to identify them. The email security firm Proofpoint says it has tracked north of 90 million malicious messages in the last five years that leverage this attack method.
One key reason thread hijacking is so successful is that these attacks generally do not include the tell that exposes most phishing scams: A fabricated sense of urgency. A majority of phishing threats warn of negative consequences should you fail to act quickly — such as an account suspension or an unauthorized high-dollar charge going through.
In contrast, thread hijacking campaigns tend to patiently prey on the natural curiosity of the recipient.
Ryan Kalember, chief strategy officer at Proofpoint, said probably the most ubiquitous examples of thread hijacking are “CEO fraud” or “business email compromise” scams, wherein employees are tricked by an email from a senior executive into wiring millions of dollars to fraudsters overseas.
But Kalember said these low-tech attacks can nevertheless be quite effective because they tend to catch people off-guard.
“It works because you feel like you’re suddenly included in an important conversation,” Kalember said. “It just registers a lot differently when people start reading, because you think you’re observing a private conversation between two different people.”
Some thread hijacking attacks actually involve multiple threat actors who are actively conversing while copying — but not addressing — the recipient.
“We call these multi-persona phishing scams, and they’re often paired with thread hijacking,” Kalember said. “It’s basically a way to build a little more affinity than just copying people on an email. And the longer the conversation goes on, the higher their success rate seems to be because some people start replying to the thread [and participating] psycho-socially.”
The best advice to sidestep phishing scams is to avoid clicking on links or attachments that arrive unbidden in emails, text messages and other mediums. If you’re unsure whether the message is legitimate, take a deep breath and visit the site or service in question manually — ideally, using a browser bookmark so as to avoid potential typosquatting sites.
The nonprofit organization that supports the Firefox web browser said today it is winding down its new partnership with Onerep, an identity protection service recently bundled with Firefox that offers to remove users from hundreds of people-search sites. The move comes just days after a report by KrebsOnSecurity forced Onerep’s CEO to admit that he has founded dozens of people-search networks over the years.
Mozilla Monitor. Image Mozilla Monitor Plus video on Youtube.
Mozilla only began bundling Onerep in Firefox last month, when it announced the reputation service would be offered on a subscription basis as part of Mozilla Monitor Plus. Launched in 2018 under the name Firefox Monitor, Mozilla Monitor also checks data from the website Have I Been Pwned? to let users know when their email addresses or password are leaked in data breaches.
On March 14, KrebsOnSecurity published a story showing that Onerep’s Belarusian CEO and founder Dimitiri Shelest launched dozens of people-search services since 2010, including a still-active data broker called Nuwber that sells background reports on people. Onerep and Shelest did not respond to requests for comment on that story.
But on March 21, Shelest released a lengthy statement wherein he admitted to maintaining an ownership stake in Nuwber, a consumer data broker he founded in 2015 — around the same time he launched Onerep.
Shelest maintained that Nuwber has “zero cross-over or information-sharing with Onerep,” and said any other old domains that may be found and associated with his name are no longer being operated by him.
“I get it,” Shelest wrote. “My affiliation with a people search business may look odd from the outside. In truth, if I hadn’t taken that initial path with a deep dive into how people search sites work, Onerep wouldn’t have the best tech and team in the space. Still, I now appreciate that we did not make this more clear in the past and I’m aiming to do better in the future.” The full statement is available here (PDF).
Onerep CEO and founder Dimitri Shelest.
In a statement released today, a spokesperson for Mozilla said it was moving away from Onerep as a service provider in its Monitor Plus product.
“Though customer data was never at risk, the outside financial interests and activities of Onerep’s CEO do not align with our values,” Mozilla wrote. “We’re working now to solidify a transition plan that will provide customers with a seamless experience and will continue to put their interests first.”
KrebsOnSecurity also reported that Shelest’s email address was used circa 2010 by an affiliate of Spamit, a Russian-language organization that paid people to aggressively promote websites hawking male enhancement drugs and generic pharmaceuticals. As noted in the March 14 story, this connection was confirmed by research from multiple graduate students at my alma mater George Mason University.
Shelest denied ever being associated with Spamit. “Between 2010 and 2014, we put up some web pages and optimize them — a widely used SEO practice — and then ran AdSense banners on them,” Shelest said, presumably referring to the dozens of people-search domains KrebsOnSecurity found were connected to his email addresses (dmitrcox@gmail.com and dmitrcox2@gmail.com). “As we progressed and learned more, we saw that a lot of the inquiries coming in were for people.”
Shelest also acknowledged that Onerep pays to run ads on “on a handful of data broker sites in very specific circumstances.”
“Our ad is served once someone has manually completed an opt-out form on their own,” Shelest wrote. “The goal is to let them know that if they were exposed on that site, there may be others, and bring awareness to there being a more automated opt-out option, such as Onerep.”
Reached via Twitter/X, HaveIBeenPwned founder Troy Hunt said he knew Mozilla was considering a partnership with Onerep, but that he was previously unaware of the Onerep CEO’s many conflicts of interest.
“I knew Mozilla had this in the works and we’d casually discussed it when talking about Firefox monitor,” Hunt told KrebsOnSecurity. “The point I made to them was the same as I’ve made to various companies wanting to put data broker removal ads on HIBP: removing your data from legally operating services has minimal impact, and you can’t remove it from the outright illegal ones who are doing the genuine damage.”
Playing both sides — creating and spreading the same digital disease that your medicine is designed to treat — may be highly unethical and wrong. But in the United States it’s not against the law. Nor is collecting and selling data on Americans. Privacy experts say the problem is that data brokers, people-search services like Nuwber and Onerep, and online reputation management firms exist because virtually all U.S. states exempt so-called “public” or “government” records from consumer privacy laws.
Those include voting registries, property filings, marriage certificates, motor vehicle records, criminal records, court documents, death records, professional licenses, and bankruptcy filings. Data brokers also can enrich consumer records with additional information, by adding social media data and known associates.
The March 14 story on Onerep was the second in a series of three investigative reports published here this month that examined the data broker and people-search industries, and highlighted the need for more congressional oversight — if not regulation — on consumer data protection and privacy.
On March 8, KrebsOnSecurity published A Close Up Look at the Consumer Data Broker Radaris, which showed that the co-founders of Radaris operate multiple Russian-language dating services and affiliate programs. It also appears many of their businesses have ties to a California marketing firm that works with a Russian state-run media conglomerate currently sanctioned by the U.S. government.
On March 20, KrebsOnSecurity published The Not-So-True People-Search Network from China, which revealed an elaborate web of phony people-search companies and executives designed to conceal the location of people-search affiliates in China who are earning money promoting U.S. based data brokers that sell personal information on Americans.
Malicious hackers are targeting people in the cryptocurrency space in attacks that start with a link added to the target’s calendar at Calendly, a popular application for scheduling appointments and meetings. The attackers impersonate established cryptocurrency investors and ask to schedule a video conference call. But clicking the meeting link provided by the scammers prompts the user to run a script that quietly installs malware on macOS systems.
KrebsOnSecurity recently heard from a reader who works at a startup that is seeking investment for building a new blockchain platform for the Web. The reader spoke on condition that their name not be used in this story, so for the sake of simplicity we’ll call him Doug.
Being in the cryptocurrency scene, Doug is also active on the instant messenger platform Telegram. Earlier this month, Doug was approached by someone on Telegram whose profile name, image and description said they were Ian Lee, from Signum Capital, a well-established investment firm based in Singapore. The profile also linked to Mr. Lee’s Twitter/X account, which features the same profile image.
The investor expressed interest in financially supporting Doug’s startup, and asked if Doug could find time for a video call to discuss investment prospects. Sure, Doug said, here’s my Calendly profile, book a time and we’ll do it then.
When the day and time of the scheduled meeting with Mr. Lee arrived, Doug clicked the meeting link in his calendar but nothing happened. Doug then messaged the Mr. Lee account on Telegram, who said there was some kind of technology issue with the video platform, and that their IT people suggested using a different meeting link.
Doug clicked the new link, but instead of opening up a videoconference app, a message appeared on his Mac saying the video service was experiencing technical difficulties.
“Some of our users are facing issues with our service,” the message read. “We are actively working on fixing these problems. Please refer to this script as a temporary solution.”
Doug said he ran the script, but nothing appeared to happen after that, and the videoconference application still wouldn’t start. Mr. Lee apologized for the inconvenience and said they would have to reschedule their meeting, but he never responded to any of Doug’s follow-up messages.
It didn’t dawn on Doug until days later that the missed meeting with Mr. Lee might have been a malware attack. Going back to his Telegram client to revisit the conversation, Doug discovered his potential investor had deleted the meeting link and other bits of conversation from their shared chat history.
In a post to its Twitter/X account last month, Signum Capital warned that a fake profile pretending to be their employee Mr. Lee was trying to scam people on Telegram.
The file that Doug ran is a simple Apple Script (file extension “.scpt”) that downloads and executes a malicious trojan made to run on macOS systems. Unfortunately for us, Doug freaked out after deciding he’d been tricked — backing up his important documents, changing his passwords, and then reinstalling macOS on his computer. While this a perfectly sane response, it means we don’t have the actual malware that was pushed to his Mac by the script.
But Doug does still have a copy of the malicious script that was downloaded from clicking the meeting link (the online host serving that link is now offline). A search in Google for a string of text from that script turns up a December 2023 blog post from cryptocurrency security firm SlowMist about phishing attacks on Telegram from North Korean state-sponsored hackers.
“When the project team clicks the link, they encounter a region access restriction,” SlowMist wrote. “At this point, the North Korean hackers coax the team into downloading and running a ‘location-modifying’ malicious script. Once the project team complies, their computer comes under the control of the hackers, leading to the theft of funds.”
Image: SlowMist.
SlowMist says the North Korean phishing scams used the “Add Custom Link” feature of the Calendly meeting scheduling system on event pages to insert malicious links and initiate phishing attacks.
“Since Calendly integrates well with the daily work routines of most project teams, these malicious links do not easily raise suspicion,” the blog post explains. “Consequently, the project teams may inadvertently click on these malicious links, download, and execute malicious code.”
SlowMist said the malware downloaded by the malicious link in their case comes from a North Korean hacking group dubbed “BlueNoroff, which Kaspersky Labs says is a subgroup of the Lazarus hacking group.
“A financially motivated threat actor closely connected with Lazarus that targets banks, casinos, fin-tech companies, POST software and cryptocurrency businesses, and ATMs,” Kaspersky wrote of BlueNoroff in Dec. 2023.
The North Korean regime is known to use stolen cryptocurrencies to fund its military and other state projects. A recent report from Recorded Future finds the Lazarus Group has stolen approximately $3 billion in cryptocurrency over the past six years.
While there is still far more malware out there today targeting Microsoft Windows PCs, the prevalence of information-stealing trojans aimed at macOS users is growing at a steady clip. MacOS computers include X-Protect, Apple’s built-in antivirus technology. But experts say attackers are constantly changing the appearance and behavior of their malware to evade X-Protect.
“Recent updates to macOS’s XProtect signature database indicate that Apple are aware of the problem, but early 2024 has already seen a number of stealer families evade known signatures,” security firm SentinelOne wrote in January.
According to Chris Ueland from the threat hunting platform Hunt.io, the Internet address of the fake meeting website Doug was tricked into visiting (104.168.163,149) hosts or very recently hosted about 75 different domain names, many of which invoke words associated with videoconferencing or cryptocurrency. Those domains indicate this North Korean hacking group is hiding behind a number of phony crypto firms, like the six-month-old website for Cryptowave Capital (cryptowave[.]capital).
In a statement shared with KrebsOnSecurity, Calendly said it was aware of these types of social engineering attacks by cryptocurrency hackers.
“To help prevent these kinds of attacks, our security team and partners have implemented a service to automatically detect fraud and impersonations that could lead to social engineering,” the company said. “We are also actively scanning content for all our customers to catch these types of malicious links and to prevent hackers earlier on. Additionally, we intend to add an interstitial page warning users before they’re redirected away from Calendly to other websites. Along with the steps we’ve taken, we recommend users stay vigilant by keeping their software secure with running the latest updates and verifying suspicious links through tools like VirusTotal to alert them of possible malware. We are continuously strengthening the cybersecurity of our platform to protect our customers.”
The increasing frequency of new Mac malware is a good reminder that Mac users should not depend on security software and tools to flag malicious files, which are frequently bundled with or disguised as legitimate software.
As KrebsOnSecurity has advised Windows users for years, a good rule of safety to live by is this: If you didn’t go looking for it, don’t install it. Following this mantra heads off a great deal of malware attacks, regardless of the platform used. When you do decide to install a piece of software, make sure you are downloading it from the original source, and then keep it updated with any new security fixes.
On that last front, I’ve found it’s a good idea not to wait until the last minute to configure my system before joining a scheduled videoconference call. Even if the call uses software that is already on my computer, it is often the case that software updates are required before the program can be used, and I’m one of those weird people who likes to review any changes to the software maker’s privacy policies or user agreements before choosing to install updates.
Most of all, verify new contacts from strangers before accepting anything from them. In this case, had Doug simply messaged Mr. Lee’s real account on Twitter/X or contacted Signum Capital directly, he would discovered that the real Mr. Lee never asked for a meeting.
If you’re approached in a similar scheme, the response from the would-be victim documented in the SlowMist blog post is probably the best.
Image: SlowMist.
Update: Added comment from Calendly.
On Jan. 9, 2024, U.S. authorities arrested a 19-year-old Florida man charged with wire fraud, aggravated identity theft, and conspiring with others to use SIM-swapping to steal cryptocurrency. Sources close to the investigation tell KrebsOnSecurity the accused was a key member of a criminal hacking group blamed for a string of cyber intrusions at major U.S. technology companies during the summer of 2022.
A graphic depicting how 0ktapus leveraged one victim to attack another. Image credit: Amitai Cohen of Wiz.
Prosecutors say Noah Michael Urban of Palm Coast, Fla., stole at least $800,000 from at least five victims between August 2022 and March 2023. In each attack, the victims saw their email and financial accounts compromised after suffering an unauthorized SIM-swap, wherein attackers transferred each victim’s mobile phone number to a new device that they controlled.
The government says Urban went by the aliases “Sosa” and “King Bob,” among others. Multiple trusted sources told KrebsOnSecurity that Sosa/King Bob was a core member of a hacking group behind the 2022 breach at Twilio, a company that provides services for making and receiving text messages and phone calls. Twilio disclosed in Aug. 2022 that an intrusion had exposed a “limited number” of Twilio customer accounts through a sophisticated social engineering attack designed to steal employee credentials.
Shortly after that disclosure, the security firm Group-IB published a report linking the attackers behind the Twilio intrusion to separate breaches at more than 130 organizations, including LastPass, DoorDash, Mailchimp, and Plex. Multiple security firms soon assigned the hacking group the nickname “Scattered Spider.”
Group-IB dubbed the gang by a different name — 0ktapus — which was a nod to how the criminal group phished employees for credentials. The missives asked users to click a link and log in at a phishing page that mimicked their employer’s Okta authentication page. Those who submitted credentials were then prompted to provide the one-time password needed for multi-factor authentication.
A booking photo of Noah Michael Urban released by the Volusia County Sheriff.
0ktapus used newly-registered domains that often included the name of the targeted company, and sent text messages urging employees to click on links to these domains to view information about a pending change in their work schedule. The phishing sites used a Telegram instant message bot to forward any submitted credentials in real-time, allowing the attackers to use the phished username, password and one-time code to log in as that employee at the real employer website.
0ktapus often leveraged information or access gained in one breach to perpetrate another. As documented by Group-IB, the group pivoted from its access to Twilio to attack at least 163 of its customers. Among those was the encrypted messaging app Signal, which said the breach could have let attackers re-register the phone number on another device for about 1,900 users.
Also in August 2022, several employees at email delivery firm Mailchimp provided their remote access credentials to this phishing group. According to an Aug. 12 blog post, the attackers used their access to Mailchimp employee accounts to steal data from 214 customers involved in cryptocurrency and finance.
On August 25, 2022, the password manager service LastPass disclosed a breach in which attackers stole some source code and proprietary LastPass technical information, and weeks later LastPass said an investigation revealed no customer data or password vaults were accessed.
However, on November 30, 2022 LastPass disclosed a far more serious breach that the company said leveraged data stolen in the August breach. LastPass said criminal hackers had stolen encrypted copies of some password vaults, as well as other personal information.
In February 2023, LastPass disclosed that the intrusion involved a highly complex, targeted attack against a DevOps engineer who was one of only four LastPass employees with access to the corporate vault. In that incident, the attackers exploited a security vulnerability in a Plex media server that the employee was running on his home network, and succeeded in installing malicious software that stole passwords and other authentication credentials. The vulnerability exploited by the intruders was patched back in 2020, but the employee never updated his Plex software.
As it happens, Plex announced its own data breach one day before LastPass disclosed its initial August intrusion. On August 24, 2022, Plex’s security team urged users to reset their passwords, saying an intruder had accessed customer emails, usernames and encrypted passwords.
A review of thousands of messages that Sosa and King Bob posted to several public forums and Discord servers over the past two years shows that the person behind these identities was mainly focused on two things: Sim-swapping, and trading in stolen, unreleased rap music recordings from popular artists.
Indeed, those messages show Sosa/King Bob was obsessed with finding new “grails,” the slang term used in some cybercrime discussion channels to describe recordings from popular artists that have never been officially released. It stands to reason that King Bob was SIM-swapping important people in the music industry to obtain these files, although there is little to support this conclusion from the public chat records available.
“I got the most music in the com,” King Bob bragged in a Discord server in November 2022. “I got thousands of grails.”
King Bob’s chats show he was particularly enamored of stealing the unreleased works of his favorite artists — Lil Uzi Vert, Playboi Carti, and Juice Wrld. When another Discord user asked if he has Eminem grails, King Bob said he was unsure.
“I have two folders,” King Bob explained. “One with Uzi, Carti, Juicewrld. And then I have ‘every other artist.’ Every other artist is unorganized as fuck and has thousands of random shit.”
King Bob’s posts on Discord show he quickly became a celebrity on Leaked[.]cx, one of most active forums for trading, buying and selling unreleased music from popular artists. The more grails that users share with the Leaked[.]cx community, the more their status and access on the forum grows.
The last cache of Leaked dot cx indexed by the archive.org on Jan. 11, 2024.
And King Bob shared a large number of his purloined tunes with this community. Still others he tried to sell. It’s unclear how many of those sales were ever consummated, but it is not unusual for a prized grail to sell for anywhere from $5,000 to $20,000.
In mid-January 2024, several Leaked[.]cx regulars began complaining that they hadn’t seen King Bob in a while and were really missing his grails. On or around Jan. 11, the same day the Justice Department unsealed the indictment against Urban, Leaked[.]cx started blocking people who were trying to visit the site from the United States.
Days later, frustrated Leaked[.]cx users speculated about what could be the cause of the blockage.
“Probs blocked as part of king bob investigation i think?,” wrote the user “Plsdontarrest.” “Doubt he only hacked US artists/ppl which is why it’s happening in multiple countries.”
On Sept. 21, 2022, KrebsOnSecurity told the story of a “Foreshadow,” the nickname chosen by a Florida teenager who was working for a SIM-swapping crew when he was abducted, beaten and held for a $200,000 ransom. A rival SIM-swapping group claimed that Foreshadow and his associates had robbed them of their fair share of the profits from a recent SIM-swap.
In a video released by his abductors on Telegram, a bloodied, battered Foreshadow was made to say they would kill him unless the ransom was paid.
As I wrote in that story, Foreshadow appears to have served as a “holder” — a term used to describe a low-level member of any SIM-swapping group who agrees to carry out the riskiest and least rewarding role of the crime: Physically keeping and managing the various mobile devices and SIM cards that are used in SIM-swapping scams.
KrebsOnSecurity has since learned that Foreshadow was a holder for a particularly active SIM-swapper who went by “Elijah,” which was another nickname that prosecutors say Urban used.
Shortly after Foreshadow’s hostage video began circulating on Telegram and Discord, multiple known actors in the SIM-swapping space told everyone in the channels to delete any previous messages with Foreshadow, claiming he was fully cooperating with the FBI.
This was not the first time Sosa and his crew were hit with violent attacks from rival SIM-swapping groups. In early 2022, a video surfaced on a popular cybercrime channel purporting to show attackers hurling a brick through a window at an address that matches the spacious and upscale home of Urban’s parents in Sanford, Fl.
“Brickings” are among the “violence-as-a-service” offerings broadly available on many cybercrime channels. SIM-swapping and adjacent cybercrime channels are replete with job offers for in-person assignments and tasks that can be found if one searches for posts titled, “If you live near,” or “IRL job” — short for “in real life” job.
A number of these classified ads are in service of performing brickings, where someone is hired to visit a specific address and toss a brick through the target’s window. Other typical IRL job offers involve tire slashings and even drive-by shootings.
Sosa was known to be a top member of the broader cybercriminal community online known as “The Com,” wherein hackers boast loudly about high-profile exploits and hacks that almost invariably begin with social engineering — tricking people over the phone, email or SMS into giving away credentials that allow remote access to corporate internal networks.
Sosa also was active in a particularly destructive group of accomplished criminal SIM-swappers known as “Star Fraud.” Cyberscoop’s AJ Vicens reported last year that individuals within Star Fraud were likely involved in the high-profile Caesars Entertainment an MGM Resorts extortion attacks.
“ALPHV, an established ransomware-as-a-service operation thought to be based in Russia and linked to attacks on dozens of entities, claimed responsibility for Caesars and MGM attacks in a note posted to its website earlier this month,” Vicens wrote. “Experts had said the attacks were the work of a group tracked variously as UNC 3944 or Scattered Spider, which has been described as an affiliate working with ALPHV made up of people in the United States and Britain who excel at social engineering.”
In February 2023, KrebsOnSecurity published data taken from the Telegram channels for Star Fraud and two other SIM-swapping groups showing these crooks focused on SIM-swapping T-Mobile customers, and that they collectively claimed access to T-Mobile on 100 separate occasions over a 7-month period in 2022.
The SIM-swapping groups were able to switch targeted phone numbers to another device on demand because they constantly phished T-Mobile employees into giving up credentials to employee-only tools. In each of those cases the goal was the same: Phish T-Mobile employees for access to internal company tools, and then convert that access into a cybercrime service that could be hired to divert any T-Mobile user’s text messages and phone calls to another device.
Allison Nixon, chief research officer at the New York cybersecurity consultancy Unit 221B, said the increasing brazenness of many Com members is a function of how long it has taken federal authorities to go after guys like Sosa.
“These incidents show what happens when it takes too long for cybercriminals to get arrested,” Nixon said. “If governments fail to prioritize this source of threat, violence originating from the Internet will affect regular people.”
The Daytona Beach News-Journal reports that Urban was arrested Jan. 9 and his trial is scheduled to begin in the trial term starting March 4 in Jacksonville. The publication said the judge overseeing Urban’s case denied bail because the defendant was a strong flight risk.
At Urban’s arraignment, it emerged that he had no fixed address and had been using an alias to stay at an Airbnb. The judge reportedly said that when a search warrant was executed at Urban’s residence, the defendant was downloading programs to delete computer files.
What’s more, the judge explained, despite telling authorities in May that he would not have any more contact with his co-conspirators and would not engage in cryptocurrency transactions, he did so anyway.
Urban entered a plea of not guilty. Urban’s court-appointed attorney said her client would have no comment at this time.
Prosecutors charged Urban with eight counts of wire fraud, one count of conspiracy to commit wire fraud, and five counts of aggravated identity theft. According to the government, if convicted Urban faces up to 20 years in federal prison on each wire fraud charge. He also faces a minimum mandatory penalty of two years in prison for the aggravated identity offenses, which will run consecutive to any other prison sentence imposed.
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