Canada

China, Canada Vow Not To Conduct Cyberattacks On Private Sector (reuters.com) 46

New submitter tychoS writes from a report via Reuters: China and Canada have signed an agreement vowing not to conduct state-sponsored cyberattacks against each other aimed at stealing trade secrets or other confidential business information. The new agreement was reached during talks between Canada's national security and intelligence adviser, Daniel Jean, and senior communist party official Wang Yongqing, a statement dated June 22 on the Canadian government's website showed. "This is something that three or four years ago (Beijing) would not even have entertained in the conversation," an unnamed Canadian government official told the Globe and Mail, which first reported the agreement. The new agreement only covers economic cyber-espionage, which includes hacking corporate secrets and proprietary technology, but does not deal with state-sponsored cyber spying for intelligence gathering.
Security

Judge Sentences Man To One Year In Prison For Hacking Smart Water Readers In Five US Cities (bleepingcomputer.com) 54

An anonymous reader writes: A Pennsylvania man was sentenced to one year and one day in prison for hacking and disabling base stations belonging to water utility providers in five cities across the U.S. East Coast. Called TGB, these devices collect data from smart meters installed at people's homes and relay the information to the water provider's main systems, where it is logged, monitored for incidents, and processed for billing. Before he was fired by the unnamed TGB manufacturing company, Flanagan's role was to set up these devices. After he was fired, Flanagan used former root account passwords to log onto the devices and disable their ability to communicate with their respective water utility providers' upstream equipment. He wasn't that careful, as the FBI was able to trace back the attacks to his home. Apparently, the guy wasn't that silent, leaving behind a lot of clues. Flanagan's attacks resulted in water utility providers not being able to collect user equipment readings remotely. This incurred damage to the utility providers, who had to send out employees at customer premises to collect monthly readings. He was arrested in Nov 2014, and later pleaded guilty.
Communications

Google Replaces Gchat With Hangouts Today (axios.com) 149

An anonymous reader shares a report: The day dreaded by stubborn office workers around the country has finally arrived. At some point today, Google will replace its Google Talk feature in Gmail -- known colloquially to most of the world as Gchat -- with Google Hangouts. The reasoning: Google's announcement of the switch back in March touts Hangouts' better features and integration with other Google products over the barebones Gchat, which launched way back in 2005.
Businesses

The High-Tech Jobs That Created India's Gilded Generation Are Disappearing (washingtonpost.com) 148

An anonymous reader shares a report: Information technology services account for 9.5 percent of the India's gross domestic product, according to the India Brand Equity Foundation (IBEF), but now, after decades of boom, the future of the industry seems precarious. Since May, workers' groups have reported unusually numerous layoffs. The Forum for IT Employees (FITE) estimates that 60,000 workers have lost their jobs in the past few months (syndicated source). "Employees are being rated as poor performers so companies can get rid of them," said FITE's Chennai coordinator, Vinod A.J. IT companies and some government officials say the numbers have been exaggerated, but industry experts say the country's digital wunderkinds have much to fear. "For the first time, companies are touching middle management," said Kris Lakshmikanth, chief of a recruitment firm called Head Hunters India. Bias against Indians abroad is also compounding workers' fears of layoffs and downsizing at home. President Trump has stoked anxiety among Indian techies, who make up the majority of applicants for the H-1B visa program for highly skilled foreign workers. Trump has talked about sharply restricting H-1Bs, and this year the number of applications dropped a staggering 16 percent as companies prepared for Trump's immigration cutbacks. Instead, Indian outsourcing companies such as Infosys started recruiting Americans, bowing to Trump's calls for "America First." On Monday, India's Prime Minister Modi will meet Trump to talk about trade, visas and climate issues.
Australia

Australian Officials Want Encryption Laws To Fight 'Terrorist Messaging' (arstechnica.com) 182

An anonymous reader quotes Ars Technica: Two top Australian government officials said Sunday that they will push for "thwarting the encryption of terrorist messaging" during an upcoming meeting next week of the so-called "Five Eyes" group of English-speaking nations that routinely share intelligence... According to a statement released by Attorney General George Brandis, and Peter Dutton, the country's top immigration official, Australia will press for new laws, pressure private companies, and urge for a new international data sharing agreement amongst the quintet of countries... "Within a short number of years, effectively, 100 per cent of communications are going to use encryption," Brandis told Australian newspaper The Age recently. "This problem is going to degrade if not destroy our capacity to gather and act upon intelligence unless it's addressed"... Many experts say, however, that any method that would allow the government access even during certain situations would weaken overall security for everyone.
America's former American director of national intelligence recently urged Silicon Valley to "apply that same creativity, innovation to figuring out a way that both the interests of privacy as well as security can be guaranteed." Though he also added, "I don't know what the answer is. I'm not an IT geek, but I just don't think we're in a very good place right now."
Security

Anthem To Pay $115 Million In The Largest Data Breach Settlement Ever (cnet.com) 56

An anonymous reader quotes CNET: Anthem, the largest health insurance company in the U.S., has agreed to settle a class action lawsuit over a 2015 data breach for a record $115 million, according to lawyers for the plaintiffs. The settlement still has to be approved by US District Court Judge Lucy Koh, who is scheduled to hear the case on August 17 in San Jose, California. And Anthem, which didn't immediately respond to a request for confirmation and comment, isn't admitting any admitting any wrongdoing, according to a statement it made to CyberScoop acknowledging the settlement.

But if approved, it would be the largest data breach settlement in history, according to the plaintiffs' lawyers, who announced the agreement Friday. The funds would be used to provide victims of the data breach at least two years of credit monitoring and to reimburse customers for breach-related expenses. The settlement would also guarantee a certain level of funding for "information security to implement or maintain numerous specific changes to its data security systems, including encryption of certain information and archiving sensitive data with strict access controls," the plaintiff attorneys said.

The breach compromised data for 80 million people, including their social security numbers, birthdays, street addresses (and email addresses) as well as income data. The $115 million settlement averages out to $1.43 for every person who was affected.
Wireless Networking

How A Contractor Exploited A Vulnerability In The FCC Website (wirelessestimator.com) 69

RendonWI writes: A Wisconsin wireless contractor discovered a flaw in the FCC's Antenna Structure Registration (ASR) database, and changed the ownership of more than 40 towers from multiple carriers and tower owners into his company's name during the past five months without the rightful owners being notified by the agency, according to FCC documents and sources knowledgeable of the illegal transfers. Sprint, AT&T and key tower companies were targeted in the wide-ranging thefts... Changing ASR ownership is an easy process by applying online for an FCC Registration Number (FRN) which is instantly granted whether the factual or inaccurate information is provided. Then, once logged in, an FRN holder can submit a form stating that they are the new owner of any or multiple structures in the database. As soon as it is submitted, the change is immediately reflected in the ASR.
Security

Account Registrations Enable 'Password Reset Man In The Middle' Attacks (helpnetsecurity.com) 77

"Attackers that have set up a malicious site can use users' account registration process to successfully perform a password reset process on a number of popular websites and messaging mobile applications, researchers have demonstrated." Orome1 quotes Help Net Security: The Password Reset Man in the Middle attack exploits the similarity of the registration and password reset processes. To launch such an attack, the attacker only needs to control a website. To entice victims to make an account on the malicious website, the attacker can offer free access to a wanted resource. Once the user initiates the account registration process by entering their email address, the attacker can use that information to initiate a password reset process on another website that uses that piece of information as the username (e.g. Google, YouTube, Amazon, Twitter, LinkedIn, PayPal, and so on). Every request for input from that site is forwarded to the potential victim, and then his or her answers forwarded back to that particular site.
Interestingly, it can also beat two-factor authentication -- since the targeted user will still input the phone code into the man-in-the-middle site.
Bug

Researcher Finds Critical OpenVPN Bug Using Fuzzing (zdnet.com) 47

"Guido Vranken recently published 4 security vulnerabilities in OpenVPN on his personal blog," writes long-time Slashdot reader randomErr -- one of which was a critical remote execution bug. Though patches have been now released, there's a lesson to be learned about the importance of fuzzing -- bug testing with large amounts of random data -- Guido Vranken writes: Most of these issues were found through fuzzing. I hate admitting it, but...the arcane art of reviewing code manually, acquired through grueling practice, are dwarfed by the fuzzer in one fell swoop; the mortal's mind can only retain and comprehend so much information at a time, and for programs that perform long cycles of complex, deeply nested operations it is simply not feasible to expect a human to perform an encompassing and reliable verification.
ZDNet adds that "OpenVPN's audits, carried out over the past two years, missed these major flaws. While a handful of other bugs are found, perhaps OpenVPN should consider adding fuzzing to their internal security analysis in the future."

Guido adds on his blog, "This was a labor of love. Nobody paid me to do this. If you appreciate this effort, please donate BTC..."
United Kingdom

UK Parliament Emails Closed After 'Sustained And Determined' Cyber-Attack (theguardian.com) 44

An anonymous reader quotes the Guardian: Parliament has been hit by a "sustained and determined" cyber-attack by hackers attempting to gain access to MPs' and their staffers' email accounts. Both houses of parliament were targeted on Friday in an attack that sought to gain access to accounts protected by weak passwords... The estate's digital services team said they had made changes to accounts to block out the hackers, and that the changes could mean staff were unable to access their emails...

The international trade secretary, Liam Fox, told ITV News the attack was a "warning to everyone we need more security and better passwords. You wouldn't leave your door open at night." In an interview with the BBC, he added: "We know that there are regular attacks by hackers attempting to get passwords. We have seen reports in the last few days of even Cabinet ministers' passwords being for sale online. We know that our public services are attacked, so it is not at all surprising that there should be an attempt to hack into parliamentary emails."

One member of Parliament posted on Twitter "Sorry, no parliamentary email access today â" we're under cyber-attack from Kim Jong-un, Putin or a kid in his mom's basement or something." He added later, "I'm off to the pub."
Government

Obama Authorized a Secret Cyber Operation Against Russia, Says Report (engadget.com) 227

Jessica Conditt reports via Engadget: President Barack Obama learned of Russia's attempts to hack U.S. election systems in early August 2016, and as intelligence mounted over the following months, the White House deployed secrecy protocols it hadn't used since the 2011 raid on Osama bin Laden's compound, according to a report by The Washington Post. Apparently, one of the covert programs Obama, the CIA, NSA and other intelligence groups eventually put together was a new kind of cyber operation that places remotely triggered "implants" in critical Russian networks, ready for the U.S. to deploy in the event of a pre-emptive attack. The downed Russian networks "would cause them pain and discomfort," a former U.S. official told The Post. The report says CIA director John Brennan, Obama and other officials had at least four "blunt" conversations with Russian officials about its cyber intrusions beginning August 4th. Obama confronted Vladimir Putin in person during a meeting of world leaders in China this past September, the report says, and his administration even sent Russia a warning through a secure channel originally designed to help the two countries avoid a nuclear strike. Moscow apparently responded one week later -- after the U.S. election -- denying the accusation.
Operating Systems

32TB of Windows 10 Internal Builds, Core Source Code Leak Online (theregister.co.uk) 200

According to an exclusive report via The Register, "a massive trove of Microsoft's internal Windows operating system builds and chunks of its core source code have leaked online." From the report: The data -- some 32TB of installation images and software blueprints that compress down to 8TB -- were uploaded to betaarchive.com, the latest load of files provided just earlier this week. It is believed the data has been exfiltrated from Microsoft's in-house systems since around March. The leaked code is Microsoft's Shared Source Kit: according to people who have seen its contents, it includes the source to the base Windows 10 hardware drivers plus Redmond's PnP code, its USB and Wi-Fi stacks, its storage drivers, and ARM-specific OneCore kernel code. Anyone who has this information can scour it for security vulnerabilities, which could be exploited to hack Windows systems worldwide. The code runs at the heart of the operating system, at some of its most trusted levels. In addition to this, hundreds of top-secret builds of Windows 10 and Windows Server 2016, none of which have been released to the public, have been leaked along with copies of officially released versions.
Businesses

IT Services Company Wipro Forces 600 Employees To Work In Bed Bug Infested Office (11alive.com) 127

McGruber writes: Information Technology Services CorporationWipro's 600-employee call center in Chamblee, Georgia is in infected with bed bugs according to Atlanta television station 11Alive. The facilities manager admits there is a bed bug problem and it's been an issue since late May. Employees told the tv station that the bugs are all over the three floors -- and they're biting. But employees are being told they still must go to work. Kwanita Holmes sent 11Alive photos of what she said is a bed bug bite on her arm: "We're at work 8 hours a day and we're getting munched on all day," she said. Wipro said it's paying for in-home bed bug consultations and treatments for employees.
Network

WikiLeaks Doc Dump Reveals CIA Tools For Hacking Air-Gapped PCs (bleepingcomputer.com) 74

An anonymous reader writes: "WikiLeaks dumped today the manuals of several hacking utilities part of Brutal Kangaroo, a CIA malware toolkit for hacking into air-gapped (offline) networks using tainted USB thumb drives," reports Bleeping Computer. The CIA uses these tools as part of a very complex attack process, that allows CIA operatives to infect offline, air-gapped networks. The first stage of these attacks start with the infection of a "primary host," an internet-connected computer at a targeted company. Malware on this primary host automatically infects all USB thumb drives inserted into the machine. If this thumb drive is connected to computers on an air-gapped network, a second malware is planted on these devices. This malware is so advanced, that it can even create a network of hacked air-gapped PCs that talk to each other and exchange commands. To infect the air-gapped computers, the CIA malware uses LNK (shortcut) files placed on the USB thumb drive. Once the user opens and views the content of the thumb drive in Windows Explorer, his air-gapped PC is infected without any other interaction.
Government

Victims Aren't Reporting Ransomware Attacks, FBI Report Concludes (bleepingcomputer.com) 86

Catalin Cimpanu, writing for BleepingComputer: Despite being an expanding threat, ransomware infections are rarely reported to law enforcement agencies, according to conclusions from the 2016 Internet Crime Report (PDF), released yesterday by the FBI's Internet Crime Complaint Center (IC3). During 2016, FBI IC3 officials said they received only 2,673 complaints regarding ransomware incidents, which ranked ransomware as the 22nd most reported cyber-crime in the US, having caused just over $2.4 million in damages (ranked 25th). The numbers are ridiculously small compared to what happens in the real world, where ransomware is one of today's most prevalent cyber-threats, according to multiple reports from cyber-security companies.
Security

Under Pressure, Western Tech Firms Including Cisco and IBM Bow To Russian Demands To Share Cyber Secrets (reuters.com) 110

An anonymous reader shares a Reuters report: Western technology companies, including Cisco, IBM and SAP, are acceding to demands by Moscow for access to closely guarded product security secrets, at a time when Russia has been accused of a growing number of cyber attacks on the West, a Reuters investigation has found. Russian authorities are asking Western tech companies to allow them to review source code for security products such as firewalls, anti-virus applications and software containing encryption before permitting the products to be imported and sold in the country. The requests, which have increased since 2014, are ostensibly done to ensure foreign spy agencies have not hidden any "backdoors" that would allow them to burrow into Russian systems. But those inspections also provide the Russians an opportunity to find vulnerabilities in the products' source code -- instructions that control the basic operations of computer equipment -- current and former U.S. officials and security experts said. [...] In addition to IBM, Cisco and Germany's SAP, Hewlett Packard Enterprise Co and McAfee have also allowed Russia to conduct source code reviews of their products, according to people familiar with the companies' interactions with Moscow and Russian regulatory records.
Microsoft

Microsoft Claims 'No Known Ransomware' Runs on Windows 10 S. Researcher Says 'Hold My Beer' (zdnet.com) 125

Earlier this month, Microsoft said "no Windows 10 customers were known to be compromised by the recent WannaCry (WannaCrypt) global cyberattack," adding that "no known ransomware works against Windows 10 S." News outlet ZDNet asked a security researcher to see how good Microsoft's claims were. Turns out, not much. From the report: We asked Matthew Hickey, a security researcher and co-founder of cybersecurity firm Hacker House, a simple enough question: Will ransomware install on this operating system? It took him a little over three hours to bust the operating system's various layers of security, but he got there. "I'm honestly surprised it was this easy," he said in a call after his attack. "When I looked at the branding and the marketing for the new operating system, I thought they had further enhanced it. I would've wanted more restrictions on trying to run privileged processes instead of it being such a short process."
China

Chinese Government Fabricates Social Media Posts for Strategic Distraction, not Engaged Argument (cnet.com) 69

Abstract of a study: The Chinese government has long been suspected of hiring as many as 2,000,000 people to surreptitiously insert huge numbers of pseudonymous and other deceptive writings into the stream of real social media posts, as if they were the genuine opinions of ordinary people. Many academics, and most journalists and activists, claim that these so-called "50c party" posts vociferously argue for the government's side in political and policy debates. As we show, this is also true of the vast majority of posts openly accused on social media of being 50c. Yet, almost no systematic empirical evidence exists for this claim, or, more importantly, for the Chinese regime's strategic objective in pursuing this activity. In the first large scale empirical analysis of this operation, we show how to identify the secretive authors of these posts, the posts written by them, and their content. We estimate that the government fabricates and posts about 448 million social media comments a year. In contrast to prior claims, we show that the Chinese regime's strategy is to avoid arguing with skeptics of the party and the government, and to not even discuss controversial issues. From a CNET article, titled, Chinese media told to 'shut down' talk that makes country look bad: Being an internet business in China appears to be getting tougher. Chinese broadcasters, including social media platform Weibo, streamer Acfun and media company Ifeng were told to shut down all audio and visual content that cast the country or its government in bad light, China's State Administration of Press, Publication, Radio, Film and Television posted on its website on Thursday, saying they violate local regulations. "[The service providers] broadcast large amounts of programmes that don't comply with national rules and propagate negative discussions about public affairs. [The agency] has notified all relevant authorities and ... will take measures to shut down these programmes and rectify the situation," reads the statement.
Television

BBC Technical Glitch Leaves TV Presenter In Silence (theguardian.com) 56

Viewers of BBC's News at Ten were entranced last night when a glitch in its system produced over four minutes of surreal beauty. Two readers share a report: Huw Edwards was left sitting in silence for four minutes at the start of BBC News at Ten on Tuesday night after a technical fault delayed the start of the programme and bemused viewers. Viewers on some devices and channels were left watching the presenter sitting in silence as he waited for his cue to start. The BBC News Channel showed Edwards sitting mute for the entirety of the delay, while BBC1 put up a message apologising for the fault and played saxophone music. On BBC iPlayer an announcer apologised for the glitch and breaking news alerts also appeared during the delay. When the programme started at 22:04, Edwards apologised for what he described as a "few technical problems." The presenter said on Wednesday that nobody had told him he was on air until two minutes into the delay. However, Edwards told Radio 4's The Media Show that he "sensed I might be on" so took "the most conservative approach possible" and sat at his desk reading his notes before the bulletin started. BBC hasn't shared more about those "technical glitches." You can watch the clip here.
Security

Fireball Browser Hijack Impact Revised After Microsoft Analysis (eweek.com) 10

Sean Michael Kerner, writing for eWeek: A browser hijacking operation initially reported to have 250 million victims by security firm Check Point isn't quite that large, according to a new analysis by Microsoft. On June 1, security firm Check Point reported that a browser hijacking operation called "Fireball" had already claimed 250 million victims. According to a Microsoft analysis published June 22, Check Point's estimate of the number of victims was "overblown" and the attack is not nearly as widespread as initially reported. The Fireball attack is a browser hijacking that is potentially able to download malware onto victims' systems, as well as manipulate pageviews and redirect search requests. Check Point's initial analysis claimed that Fireball was being bundled as part of free software downloads to unsuspecting users. "Indeed, we have been working with Microsoft on their analysis, feeding them with some additional data," Maya Horowitz, group manager of threat intelligence at Check Point, said in a statement sent to eWEEK. "We tried to reassess the number of infections, and from recent data we know for sure that numbers are at least 40 million, but could be much more."

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