Samsung, the electronics giant of Korea, has earned 2 Cloud Security certifications at the end of last week and admitted that the addition of new standards will bolster its current information protection and system operation capabilities to the core.

The newly acquired two certifications are ISO 27001- Information Security Management System; and ISO 27017- Cloud Service Information Security Management System. Both these certifications are identified by the International Organization for Standardization (ISO) and the British Royal Society of Standards.

Thus, with the latest certification, the Electronics giant has shown its commitment to security cloud technology with the utmost security competences.

On administration perspective, the company released an official statement that its board has retained the current two CEOs in the respective designations for the coming year. Hence, CEOs JH Han and Kyung Kye-Hyun will continue to lead the Device Experience and Device Solutions Divisions, respectively.

However, the company changed its mobile business division by appointing Executive Lee Young Hee as the next President of the Global Marketing business.

Ms. Hee, who is the first daughter of late Samsung Electronics chairperson Lee Kun Hee, will serve as the firm’s first female president and will also lead Samsung’s another business unit, Hotel Shilla, as Chief Executive.

FYI, she is the same person who gave a new image to the brand of Samsung Galaxy series of mobiles across the globe and has experience of leading L’Oreal brand for quite some time.

 

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Samsung, the electronics giant of Korea, is all set to release a new privacy tool that will help its smart phone users to block data from being accessed by those repairing the mobile device. It is actually a maintenance tool that will help users to get relieved from anxiety fears that unsolicited resources will access their personal information.

In simple terms, the tool will help hold photos, messages and contacts along with other types of data, privately secure during device maintenance.

But Samsung will be currently offering this ‘maintenance mode’ only to select the Galaxy series of phones starting with Samsung Galaxy S22. Thus, with the new feature roll out, the company will provide a safe and control mobile experience to all its users.

Samsung Galaxy users need to just activate ‘Maintenance Mode’ in the “Battery and Device Care” segment that is within the “Settings” section and then reboot the device.

Once activated, no one will be allowed to retrieve information from the installed apps, nor they will be allowed to delete any information. Information and accounts created in Maintenance mode will get automatically deleted as soon as the owner takes an exit from the feature.

Already, KNOX platform that offers military grade security is loaded onto all Galaxy series smart phones of Samsung and it offers multi-layered protection against cyber threats and unauthorized access. It works by integrating hardware and software security features, thus safeguarding all areas in the device, enabling perfect control and transparency.

Knox Matrix will be the next security feature that the world’s top smart phone maker will introduce from February next year and they will roll it out across multiple devices.

Hence, Samsung’s commitment to provide the utmost mobile security environments is visible in its deeds.

 

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Samsung has issued an apology for the latest data breach that affected a small portion of its US Customers leaking data such as demographic info, DoBs, product registration info, contact and names. The company has urged its customers to stay assured that the attack did not affect the information such as social security numbers and debit and credit card numbers.

As per the update released by the Electronics giant of Korea, the extent of data leak might vary to each customer and all those affected will be informed on a formal note in this matter.

The only good news about the incident is that all those customers who were impacted will be provided a free one-year credit report on an annual note. However, the company is also asking its customers to monitor any suspicious transactions in their accounts and report the same at the earliest to concerned authorities.

Samsung is also urging its customers not to click on suspicious links and download any attachments from any kind of SMS or email content.

NOTE- In December 2021, the Lapsus$ Ransomware group targeted the servers of the smart phones giant and stole source code related to Galaxy Phones and some administrative data. Later the stolen info was dumped on the Telegram account for sale. After the incident, an analysis made by Microsoft led to the arrest of various criminals linked to Lapsus$ from the city of London in March 2022. The Windows giant gave a new designation to the group as DEV-0537.

 

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1.) Samsung has issued a public statement that it treats the data generated by its customers as a state secret and protects it with chip-level security to safeguard sensitive information.

Reacting to the news on the government spyware like NSO Group Pegasus and Android affecting Hermit malware, the Mobile Giant of Korea said that it offers a firm commitment to safeguarding the personal and sensitive information of its users.

As a part of this commitment, Samsung developed a TEEGRIS operating system for security that allows partners to use hardware cryptography, encryption, and access controls for users to have a more secure experience.

2.) British Insurance firm AON has disclosed that a database of its customers was exposed to hackers for a reasonable amount of time, say one year. And so, data of about 145,889 North American customers could have been exposed.

The information exposed in the incident includes social security numbers, driving license numbers, and enrollment benefit details that can be accounted to be Personally Identifiable Information.

Interestingly, the IT staff of the Financial firm could not detect the unauthorized intrusion as it was taking place from Dec’2020 to February 2022.

3.) Hackers defaced Disneyland’s Instagram and Facebook accounts last week as he/she tried to fill the pages with racist and ho%^phobic posts. A hacker named “Super Hacker” claimed to have taken control of the account before defacing the account with objectionable photos.

The hacker also posted some objectionable texts by claiming to have invented COVID-19 and is said to be working on COVID 20 virus.

Law enforcement has launched an investigation on this note and an official complaint has been lodged on Instagram through the proper channel.

4.) Russia has denied media reports that the Kremlin was behind the hack of Rogers Communications, which experienced a wide-scale internet and mobile service disruption across Canada on July 8th,2022.

Canada’s Public Safety Minister Marco Mendicino issued a warning that the critical infrastructure of the country was on the verge of being cyber attacked by Russia as it was supporting Ukraine financially and politically at NATO.

 

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Samsung, the Electronics giant from Taiwan, has announced that it is official presenting its Knox Guard Enterprise Mobile Security platform to assist companies in placing a remote lock on devices to prevent data spill during thefts and reduce cyber risks.

To those uninitiated, Knox Guard is backed by a Knox Security platform emerging from the chipset hardware level. It reduces risks to corporate devices that have been lost, stolen or being fraudulently used, thus, acting as an additional protection against unauthorized access of features and data.

The entire purpose of Knox Guard is to completely block a user from using a protected device for illegal purposes.

And the best part is that an administrator can remove remotely the lock after the device does a two-way verification in a fresh manner.

Another highlight of Knox Guard is it prevents a user from putting a SIM card after it is locked and so by restricting functionalities such as taking phone calls, sending and receiving messages and restricting data usage, the purpose of the overall device becomes useless.

Samsung has committed to offer utmost security on its devices and its Knox Guard acts as the best example of proving its excellence.

Note- Soon, the Korea based electronics maker is all set to introduce a similar Knox Guard feature on all its Galaxy range of devices, thus cutting down risks and concerns related to frauds and thefts.

 

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KrebsOnSecurity recently reviewed a copy of the private chat messages between members of the LAPSUS$ cybercrime group in the week leading up to the arrest of its most active members last month. The logs show LAPSUS$ breached T-Mobile multiple times in March, stealing source code for a range of company projects. T-Mobile says no customer or government information was stolen in the intrusion.

LAPSUS$ is known for stealing data and then demanding a ransom not to publish or sell it. But the leaked chats indicate this mercenary activity was of little interest to the tyrannical teenage leader of LAPSUS$, whose obsession with stealing and leaking proprietary computer source code from the world’s largest tech companies ultimately led to the group’s undoing.

From its inception in December 2021 until its implosion late last month, LAPSUS$ operated openly on its Telegram chat channel, which quickly grew to more than 40,000 followers after the group started using it to leak huge volumes of sensitive data stolen from victim corporations.

But LAPSUS$ also used private Telegram channels that were restricted to the core seven members of the group. KrebsOnSecurity recently received a week’s worth of these private conversations between LAPSUS$ members as they plotted their final attacks late last month.

The candid conversations show LAPSUS$ frequently obtained the initial access to targeted organizations by purchasing it from sites like Russian Market, which sell access to remotely compromised systems, as well as any credentials stored on those systems.

The logs indicate LAPSUS$ had exactly zero problems buying, stealing or sweet-talking their way into employee accounts at companies they wanted to hack. The bigger challenge for LAPSUS$ was the subject mentioned by “Lapsus Jobs” in the screenshot above: Device enrollment. In most cases, this involved social engineering employees at the targeted firm into adding one of their computers or mobiles to the list of devices allowed to authenticate with the company’s virtual private network (VPN).

The messages show LAPSUS$ members continuously targeted T-Mobile employees, whose access to internal company tools could give them everything they needed to conduct hassle-free “SIM swaps” — reassigning a target’s mobile phone number to a device they controlled. These unauthorized sim swaps allow an attacker to intercept a target’s text messages and phone calls, including any links sent via SMS for password resets, or one-time codes sent for multi-factor authentication.

The LAPSUS$ group had a laugh at this screenshot posted by their leader, White, which shows him reading a T-Mobile news alert about their hack into Samsung. White is viewing the page via a T-Mobile employee’s virtual machine.

In one chat, the LAPSUS$ leader — 17-year-old from the U.K. who goes by the nicknames “White,” “WhiteDoxbin” and “Oklaqq” — is sharing his screen with another LAPSUS$ member who used the handles “Amtrak” and “Asyntax.”

The two were exploring T-Mobile’s internal systems, and Amtrak asked White to obscure the T-Mobile logo on his screen. In these chats, the user “Lapsus Jobs” is White. Amtrak explains this odd request by saying his parents are aware he was previously involved in SIM swapping, and he doesn’t want to give them any cause for alarm if they happen to look over his shoulder while he’s hacking away at home.

“Parents know I simswap,” Amtrak said. “So, if they see [that] they think I’m hacking.”

The messages reveal that each time LAPSUS$ was cut off from a T-Mobile employee’s account — either because the employee tried to log in or change their password — they would just find or buy another set of T-Mobile VPN credentials. T-Mobile currently has approximately 75,000 employees worldwide.

On March 19, 2022, the logs and accompanying screenshots show LAPSUS$ had gained access to Atlas, a powerful internal T-Mobile tool for managing customer accounts.

LAPSUS$ leader White/Lapsus Jobs looking up the Department of Defense in T-Mobile’s internal Atlas system.

After gaining access to Atlas, White proceeded to look up T-Mobile accounts associated with the FBI and Department of Defense (see image above). Fortunately, those accounts were listed as requiring additional verification procedures before any changes could be processed.

Faced with increasingly vocal pleadings from other LAPSUS$ members not to burn their access to Atlas and other tools by trying to SIM swap government accounts, White unilaterally decided to terminate the VPN connection permitting access to T-Mobile’s network.

The other LAPSUS$ members desperately wanted to SIM swap some wealthy targets for money. Amtrak throws a fit, saying “I worked really hard for this!” White calls the Atlas access trash and then kills the VPN connection anyway, saying he wanted to focus on using their illicit T-Mobile access to steal source code.

A screenshot taken by LAPSUS$ inside T-Mobile’s source code repository at Bitbucket.

Perhaps to mollify his furious teammates, White changed the subject and told them he’d gained access to T-Mobile’s Slack and Bitbucket accounts. He said he’d figured out how to upload files to the virtual machine he had access to at T-Mobile.

Roughly 12 hours later, White posts a screenshot in their private chat showing his automated script had downloaded more than 30,000 source code repositories from T-Mobile over a 12-hour period:

White showing a screenshot of a script that he said downloaded all available T-Mobile source code.

In response to questions from KrebsOnSecurity, T-Mobile issued the following statement:

“Several weeks ago, our monitoring tools detected a bad actor using stolen credentials to access internal systems that house operational tools software. The systems accessed contained no customer or government information or other similarly sensitive information, and we have no evidence that the intruder was able to obtain anything of value. Our systems and processes worked as designed, the intrusion was rapidly shut down and closed off, and the compromised credentials used were rendered obsolete.”

CONSIDER THE SOURCE

It is not clear why LAPSUS$ was so fixated on stealing source code. Perhaps LAPSUS$ thought they could find in the source clues about security weaknesses that could be used to further hack these companies and their customers. Maybe the group already had buyers lined up for specific source code that they were then hired to procure. Or maybe it was all one big Capture the Flag competition, with source code being the flag. The leaked chats don’t exactly explain this fixation.

But it seems likely that the group routinely tried to steal and then delete any source code it could find on victim systems. That way, it could turn around and demand a payment to restore the deleted data.

In one conversation in late March, a LAPSUS$ member posts screenshots and other data indicating they’d gained remote administrative access to a multi-billion dollar company. But White is seemingly unimpressed, dismissing the illicit access as not worth the group’s time because there was no source code to be had.

LAPSUS$ first surfaced in December 2021, when it hacked into Brazil’s Ministry of Health and deleted more than 50 terabytes of data stored on the ministry’s hacked servers. The deleted data included information related to the ministry’s efforts to track and fight the COVID-19 pandemic in Brazil, which has suffered a disproportionate 13 percent of the world’s COVID-19 fatalities. LAPSUS$’s next 15 victims were based either in Latin America or Portugal, according to cyber threat intelligence firm Flashpoint.

By February 2022, LAPSUS$ had pivoted to targeting high-tech firms based in the United States. On Feb. 26, LAPSUS$ broke into graphics and computing chip maker NVIDIA. The group said it stole more than a terabyte of NVIDIA data, including source code and employee credentials.

Dan Goodin at Ars Technica wrote about LAPSUS$’s unusual extortion demand against NVIDIA: The group pledged to publish the stolen code unless NVIDIA agreed to make the drivers for its video cards open-source. According to these chats, NVIDIA responded by connecting to the computer the attackers were using in their attack, and then encrypting the stolen data.

Like many high-tech firms whose value is closely tied to their intellectual property, NVIDIA relies on a number of technologies designed to prevent data leaks or theft. According to LAPSUS$, among those is a requirement that only devices which have been approved or issued by the company can be used to access its virtual private network (VPN).

These so-called Mobile Device Management (MDM) systems retrieve information about the underlying hardware and software powering the system requesting access, and then relay that information along with any login credentials.

In a typical MDM setup, a company will issue employees a laptop or smartphone that has been pre-programmed with a data profile, VPN and other software that allows the employer to track, monitor, troubleshoot or even wipe device data in the event of theft, loss, or a detected breach.

MDM tools also can be used to encrypt or retrieve data from connected systems, and this was purportedly the functionality NVIDIA used to claw back the information stolen by LAPSUS$.

“Access to NVIDIA employee VPN requires the PC to be enrolled in MDM,” LAPSUS$ wrote in a post on their public Telegram channel. “With this they were able to connect to a [virtual machine] that we use. Yes, they successfully encrypted the data. However, we have a backup and it’s safe from scum!!!”

NVIDIA declined to comment for this story.

On March 7, consumer electronics giant Samsung confirmed what LAPSUS$ had bragged on its Telegram channel: That the group had stolen and leaked nearly 200 GB of source code and other internal company data.

The chats reveal that LAPSUS$ stole a great deal more source code than they bragged about online. One of White’s curious fascinations was SASCAR, Brazil’s leading fleet management and freight security company. White had bought and talked his way into SASCAR’s systems, and had stolen many gigabytes worth of source code for the company’s fleet tracking software.

It was bad enough that LAPSUS$ had just relieved this company of valuable intellectual property: The chats show that for several days White taunted SASCAR employees who were responding to the then-unfolding breach, at first by defacing the company’s website with porn.

The messages show White maintained access to the company’s internal systems for at least 24 hours after that, even sitting in on the company’s incident response communications where the security team discussed how to evict their tormentors.

SASCAR is owned by tire industry giant Michelin, which did not respond to requests for comment.

ENROLLMENT

The leaked LAPSUS$ internal chats show the group spent a great deal of time trying to bypass multi-factor authentication for the credentials they’d stolen. By the time these leaked chat logs were recorded, LAPSUS$ had spent days relentlessly picking on another target that relied on MDM to restrict employee logins: Iqor, a customer support outsourcing company based in St. Petersburg, Fla.

LAPSUS$ apparently had no trouble using Russian Market to purchase access to Iqor employee systems. “I will buy login when on sale, Russians stock it every 3-4 days,” Amtrak wrote regarding Iqor credentials for sale in the bot shops.

The real trouble for LAPSUS$ came when the group tried to evade Iqor’s MDM systems by social engineering Iqor employees into removing multi-factor authentication on Iqor accounts they’d purchased previously. The chats show that time and again Iqor’s employees simply refused requests to modify multi-factor authentication settings on the targeted accounts, or make any changes unless the requests were coming from authorized devices.

One of several IQOR support engineers who told LAPSUS$ no over and over again.

After many days of trying, LAPSUS$ ultimately gave up on Iqor. On Mar. 22, LAPSUS$ announced it hacked Microsoft, and began leaking 37 gigabytes worth of Microsoft source code.

Like NVIDIA, Microsoft was able to stanch some of the bleeding, cutting off LAPSUS$’s illicit access while the group was in the process of downloading all of the available source code repositories alphabetically (the group publicized their access to Microsoft at the same time they were downloading the software giant’s source code). As a result, LAPSUS$ was only able to leak the source for Microsoft products at the beginning of the code repository, including Azure, Bing and Cortana.

BETRAYAL

LAPSUS$ leader White drew attention to himself prior to the creation of LAPSUS$ last year when he purchased a website called Doxbin, a long-running and highly toxic online community that is used to “dox” or post deeply personal information on people.

Based on the feedback posted by Doxbin members, White was not a particularly attentive administrator. Longtime members soon took to harassing him about various components of the site falling into disrepair. That pestering eventually prompted White to sell Doxbin back to its previous owner at a considerable loss. But before doing so, White leaked the Doxbin user database.

White’s leak triggered a swift counterpunch from Doxbin’s staff, which naturally responded by posting on White perhaps the most thorough dox the forum had ever produced — including videos filmed just outside his home where he lives with his parents in the United Kingdom.

The past and current owner of the Doxbin — an established cybercriminal who goes by the handle “KT” — is the same person who leaked these private LAPSUS$ Telegram chat logs to KrebsOnSecurity.

In early April, multiple news outlets reported that U.K. police had arrested seven people aged 15-21 in connection with the LAPSUS$ investigation. But it seems clear from reading these leaked Telegram chats that individual members of LAPSUS$ were detained and questioned at different times over the course of several months.

In his chats with other LAPSUS$ members during the last week in March, White maintained that he was arrested 1-2 months prior in connection with an intrusion against a victim referred to only by the initials “BT.” White also appeared unconcerned when Amtrak admits that the City of London police found LAPSUS$ Telegram chat conversations on his mobile phone.

Perhaps to demonstrate his indifference (or maybe just to screw with Amtrak), White responds by leaking Amtrak’s real name and phone number to the group’s public Telegram channel. In an ALL CAPS invective of disbelief at the sudden betrayal, Amtrak relates how various people started calling his home and threatening his parents as a result, and how White effectively outed him to law enforcement and the rest of the world as a LAPSUS$ member.

The vast majority of noteworthy activity documented in these private chats takes place between White and Amtrak, but it doesn’t seem that White counted Amtrak or any of his fellow LAPSUS$ members as friends or confidants. On the contrary, White generally behaved horribly toward everyone in the group, and he particularly seemed to enjoy abusing Amtrak (who somehow always came back for more).

Mox,” one of the LAPSUS$ members who shows up throughout these leaked chats, helped the group in their unsuccessful attempts to enroll their mobile devices with an airline in the Middle East to which they had purchased access. Audio recordings leaked from the group’s private Telegram channel include a call wherein Mox can be heard speaking fluently in Arabic and impersonating an airline employee.

At one point, Mox’s first name briefly shows up in a video he made and shared with the group, and Mox mentions that he lives in the United States. White then begins trying to find and leak Mox’s real-life identity.

When Mox declares he’s so scared he wants to delete his iCloud account, White suggests he can get Mox’s real name, precise location and other information by making a fraudulent “emergency data request” (EDR) to Apple, in which they use a hacked police department email account to request emergency access to subscriber information under the claim that the request can’t wait for a warrant because someone’s life is on the line.

White was no stranger to fake EDRs. White was a founding member of a cybercriminal group called “Recursion Team,” which existed between 2020 and 2021. This group mostly specialized in SIM swapping targets of interest and participating in “swatting” attacks, wherein fake bomb threats, hostage situations and other violent scenarios are phoned in to police as part of a scheme to trick them into visiting potentially deadly force on a target’s address.

The roster of the now-defunct “Infinity Recursion” hacking team, from which some members of LAPSUS$ hail.

The Recursion Team was founded by a then 14-year-old from the United Kingdom who used the handle “Everlynn.” On April 5, 2021, Everlynn posted a new sales thread to the cybercrime forum cracked[.]to titled, “Warrant/subpoena service (get law enforcement data from any service).” The price: $100 to $250 per request.

Everlynn advertising a warrant/subpoena service based on fake EDRs.

As part of the Recursion Team, White used the alias “Peter.” Several LAPSUS$ members quizzed White and Amtrak about whether authorities asked about Recursion Team during questioning. In several discussion threads, White’s “Lapsus Jobs” alias on Telegram answers “yes?” or “I’m here” when another member addresses him by Peter.

White dismissed his public doxing of both Amtrak and Mox as their fault for being sloppy with operational security, or by claiming that everyone already knew their real identities. Incredibly, just a few minutes after doxing Amtrak, White nonchalantly asks him for help in stealing source code from yet another victim firm — as if nothing had just happened between them. Amtrak seems soothed by this invitation, and agrees to help.

On Mar. 30, software consultancy giant Globant was forced to acknowledge a hack after LAPSUS$ published 70 gigabytes of data stolen from the company, including customers’ source code. While the Globant hack has been widely reported for weeks, the cause of the breach remained hidden in these stolen logs: A stolen five-year-old access token for Globant’s network that still worked.

LAPSUS$ members marvel at a 5-year-old stolen authentication cookie still working when they use it against Globant to steal source code.

Globant lists a number of high-profile customers on its website, including the U.K. Metropolitan Police, software house Autodesk and gaming giant Electronic Arts. In March, KrebsOnSecurity showed how White was connected to the theft of 780 GB worth of source code from Electronic Arts last summer.

In that attack, the intruders reportedly gained access to EA’s data after purchasing authentication cookies for an EA Slack channel from the dark web marketplace “Genesis,” which offers more or less the same wares as the Russian Market.

One remarkable aspect of LAPSUS$ was that its members apparently decided not to personally download or store any data they stole from companies they hacked. They were all so paranoid of police raiding their homes that they assiduously kept everything “in the cloud.” That way, when investigators searched their devices, they would find no traces of the stolen information.

But this strategy ultimately backfired: Shortly before the private LAPSUS$ chat was terminated, the group learned it had just lost access to the Amazon AWS server it was using to store months of source code booty and other stolen data.

“RIP FBI seized my server,” Amtrak wrote. “So much illegal shit. It’s filled with illegal shit.”

White shrugs it off with the dismissive comment, “U can’t do anything about ur server seized.” Then Amtrak replies that he never made a backup of the server.

“FFS, THAT AWS HAD TMO SRC [T-Mobile source] code!” White yelled back.

The two then make a mad scramble to hack back into T-Mobile and re-download the stolen source code. But that effort ultimately failed after T-Mobile’s systems revoked the access token they were using to raid the company’s source code stash.

“How they noticed?” Amtrak asked White.

“Gitlab auto-revoked, likely,” White replied. “Cloning 30k repos four times in 24 hours isn’t very normal.”

Ah, the irony of a criminal hacking group that specializes in stealing and deleting data having their stolen data deleted.

It’s remarkable how often LAPSUS$ was able to pay a few dollars to buy access to some hacked machine at a company they wanted to break into, and then successfully parlay that into the theft of source code and other sensitive information.

What’s even more remarkable is that anyone can access dark web bot shops like Russian Market and Genesis, which means larger companies probably should be paying someone to regularly scrape these criminal bot services, even buying back their own employee credentials to take those vulnerable systems off the market. Because that’s probably the simplest and cheapest incident response money can buy.

The Genesis bot shop.

Many organizations are already struggling to combat cybersecurity threats from ransomware purveyors and state-sponsored hacking groups, both of which tend to take days or weeks to pivot from an opportunistic malware infection to a full blown data breach. But few organizations have a playbook for responding to the kinds of virtual “smash and grab” attacks we’ve seen recently from LAPSUS$, a juvenile data extortion group whose short-lived, low-tech and remarkably effective tactics have put some of the world’s biggest corporations on edge.

Since surfacing in late 2021, LAPSUS$ has gained access to the networks or contractors for some of the world’s largest technology companies, including Microsoft, NVIDIA, Okta and Samsung. LAPSUS$ typically threatens to release sensitive data unless paid a ransom, but with most victims the hackers ended up publishing any information they stole (mainly computer source code).

Microsoft blogged about its attack at the hands of LAPSUS$, and about the group targeting its customers. It found LAPSUS$ used a variety of old-fashioned techniques that seldom show up in any corporate breach post-mortems, such as:

-targeting employees at their personal email addresses and phone numbers;
-offering to pay $20,000 a week to employees who give up remote access credentials;
-social engineering help desk and customer support employees at targeted companies;
-bribing/tricking employees at mobile phone stores to hijack a target’s phone number;
-intruding on their victims’ crisis communications calls post-breach.

If these tactics sound like something you might sooner expect from spooky, state-sponsored “Advanced Persistent Threat” or APT groups, consider that the core LAPSUS$ members are thought to range in age from 15 to 21. Also, LAPSUS$ operates on a shoestring budget and is anything but stealthy: According to Microsoft, LAPSUS$ doesn’t seem to cover its tracks or hide its activity. In fact, the group often announces its hacks on social media.

ADVANCED PERSISTENT TEENAGERS

This unusual combination makes LAPSUS$ something of an aberration that is probably more aptly referred to as “Advanced Persistent Teenagers,” said one CXO at a large organization that recently had a run-in with LAPSUS$.

“There is a lot of speculation about how good they are, tactics et cetera, but I think it’s more than that,” said the CXO, who spoke about the incident on condition of anonymity. “They put together an approach that industry thought suboptimal and unlikely. So it’s their golden hour.”

LAPSUS$ seems to have conjured some worst-case scenarios in the minds of many security experts, who worry what will happen when more organized cybercriminal groups start adopting these techniques.

“LAPSUS$ has shown that with only $25,000, a group of teenagers could get into organizations with mature cybersecurity practices,” said Amit Yoran, CEO of security firm Tenable and a former federal cybersecurity czar, testifying last week before the House Homeland Security Committee. “With much deeper pockets, focus, and mission, targeting critical infrastructure. That should be a sobering, if not terrifying, call to action.”

My CXO source said LAPSUS$ succeeds because they simply refuse to give up, and just keep trying until someone lets them in.

“They would just keep jamming a few individuals to get [remote] access, read some onboarding documents, enroll a new 2FA [two-factor authentication method] and exfiltrate code or secrets, like a smash-and-grab,” the CXO said. “These guys were not leet, just damn persistent.”

HOW DID WE GET HERE?

The smash-and-grab attacks by LAPSUS$ obscure some of the group’s less public activities, which according to Microsoft include targeting individual user accounts at cryptocurrency exchanges to drain crypto holdings.

In some ways, the attacks from LAPSUS$ recall the July 2020 intrusion at Twitter, wherein the accounts for Apple, Bill Gates, Jeff Bezos, Kanye West, Uber and others were made to tweet messages inviting the world to participate in a cryptocurrency scam that promised to double any amount sent to specific wallets. The flash scam netted the perpetrators more than $100,000 in the ensuing hours.

The group of teenagers who hacked Twitter hailed from a community that traded in hacked social media accounts. This community places a special premium on accounts with short “OG” usernames, and some of its most successful and notorious members were known to use all of the methods Microsoft attributed to LAPSUS$ in the service of hijacking prized OG accounts.

The Twitter hackers largely pulled it off by brute force, writes Wired on the July 15, 2020 hack.

“Someone was trying to phish employee credentials, and they were good at it,” Wired reported. “They were calling up consumer service and tech support personnel, instructing them to reset their passwords. Many employees passed the messages onto the security team and went back to business. But a few gullible ones—maybe four, maybe six, maybe eight—were more accommodating. They went to a dummy site controlled by the hackers and entered their credentials in a way that served up their usernames and passwords as well as multifactor authentication codes.”

Twitter revealed that a key tactic of the group was “phone spear phishing” (a.k.a. “voice phishing” a.k.a. “vishing”). This involved calling up Twitter staffers using false identities, and tricking them into giving up credentials for an internal company tool that let the hackers reset passwords and multi-factor authentication setups for targeted users.

In August 2020, KrebsOnSecurity warned that crooks were using voice phishing to target new hires at major companies, impersonating IT employees and asking them to update their VPN client or log in at a phishing website that mimicked their employer’s VPN login page.

Two days after that story ran, the FBI and the Cybersecurity & Infrastructure Security Agency (CISA) issued their own warning on vishing, saying the attackers typically compiled dossiers on employees at specific companies by mass-scraping public profiles on social media platforms, recruiter and marketing tools, publicly available background check services, and open-source research. The joint FBI/CISA alert continued:

“Actors first began using unattributed Voice over Internet Protocol (VoIP) numbers to call targeted employees on their personal cellphones, and later began incorporating spoofed numbers of other offices and employees in the victim company. The actors used social engineering techniques and, in some cases, posed as members of the victim company’s IT help desk, using their knowledge of the employee’s personally identifiable information—including name, position, duration at company, and home address—to gain the trust of the targeted employee.”

“The actors then convinced the targeted employee that a new VPN link would be sent and required their login, including any 2FA [2-factor authentication] or OTP [one-time passwords]. The actor logged the information provided by the employee and used it in real-time to gain access to corporate tools using the employee’s account.”

Like LAPSUS$, these vishers just kept up their social engineering attacks until they succeeded. As KrebsOnSecurity wrote about the vishers back in 2020:

“It matters little to the attackers if the first few social engineering attempts fail. Most targeted employees are working from home or can be reached on a mobile device. If at first the attackers don’t succeed, they simply try again with a different employee.”

“And with each passing attempt, the phishers can glean important details from employees about the target’s operations, such as company-specific lingo used to describe its various online assets, or its corporate hierarchy.”

“Thus, each unsuccessful attempt actually teaches the fraudsters how to refine their social engineering approach with the next mark within the targeted organization.”

SMASH & GRAB

The primary danger with smash-and-grab groups like LAPSUS$ is not just their persistence but their ability to extract the maximum amount of sensitive information from their victims using compromised user accounts that typically have a short lifespan. After all, in many attacks, the stolen credentials are useful only so long as the impersonated employee isn’t also trying to use them.

This dynamic puts tremendous pressure on cyber incident response teams, which suddenly are faced with insiders who are trying frantically to steal everything of perceived value within a short window of time. On top of that, LAPSUS$ has a habit of posting screenshots on social media touting its access to internal corporate tools. These images and claims quickly go viral and create a public relations nightmare for the victim organization.

Single sign-on provider Okta experienced this firsthand last month, when LAPSUS$ posted screenshots that appeared to show Okta’s Slack channels and another with a Cloudflare interface. Cloudflare responded by resetting its employees’ Okta credentials.

Okta quickly came under fire for posting only a brief statement that said the screenshots LAPSUS$ shared were connected to a January 2022 incident involving the compromise of “a third-party customer support engineer working for one of our subprocessors,” and that “the matter was investigated and contained by the subprocessor.”

This assurance apparently did not sit well with many Okta customers, especially after LAPSUS$ began posting statements that disputed some of Okta’s claims. On March 25, Okta issued an apology for its handling of the January breach at a third-party support provider, which ultimately affected hundreds of its customers.

My CXO source said the lesson from LAPSUS$ is that even short-lived intrusions can have a long-term negative impact on victim organizations — especially when victims are not immediately forthcoming about the details of a security incident that affects customers.

“It does force us to think about insider access differently,” the CXO told KrebsOnSecurity. “Nation states have typically wanted longer, more strategic access; ransomware groups want large lateral movement. LAPSUS$ doesn’t care, it’s more about, ‘What can these 2-3 accounts get me in the next 6 hours?’ We haven’t optimized to defend that.”

Any organizations wondering what they can do to harden their systems against attacks from groups like LAPSUS$ should consult Microsoft’s recent blog post on the group’s activities, tactics and tools. Microsoft’s guidance includes recommendations that can help prevent account takeovers or at least mitigate the impact from stolen employee credentials.

British police arrested seven people earlier this week in relation to a wave of attacks launched by the LAPSUS$ hacking group, against firms such as Microsoft, NVIDIA, Ubisoft, Samsung, and Okta. The hacking group's alleged mastermind? A 16-year-old boy from Oxford, UK.