Attacks/Breaches
4/11/2017
09:50 AM
50%
50%

Computer Engineer Charged with Theft of Proprietary Computer Code

Zhengquan Zhang arrested for stealing over 3 million files containing company trade secrets from his employer, a global finance firm.

Zhengquan Zhang of California has been arrested and charged by a US federal court with stealing trade secrets from his employer, a New York financial services firm. A US Department of Justice (DoJ) release says that between March 2016 and March 2017, Zhang stole over three million files of confidential data and computer code.

According to the DoJ, Zhang stole the company’s source code for algorithmic trading models and trading platforms by installing a code that gained access to the network’s encryption keys. He allegedly also stored the stolen files on his employer’s network before installing another code to transfer the data to a third-party software development site.

William F. Sweeney Jr. of the FBI says, “Proprietary computer code may not be a tangible asset that people can observe, but it is indeed one of the most critical assets that companies possess.”

Zhang is also accused of illegally accessing the computers of his co-workers by stealing user credentials.

Read details here.

Dark Reading's Quick Hits delivers a brief synopsis and summary of the significance of breaking news events. For more information from the original source of the news item, please follow the link provided in this article. View Full Bio

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
qinezyqy
50%
50%
qinezyqy,
User Rank: Apprentice
6/27/2017 | 8:24:32 AM
it will increase
Theft like this will increase, a lot of engineers are not good persons.
RyanSepe
50%
50%
RyanSepe,
User Rank: Ninja
4/11/2017 | 3:16:35 PM
Insider Threat
This is a perfect example of the potential of insider threats. Employees are a huge risk based on the nature of their involvement with the company. They have credentials that may provide them upper level access and have access to proprietary information. It just takes one disgruntled employee to leverage these responsibilities in a nefarious manner.
Companies Blindly Believe They've Locked Down Users' Mobile Use
Dawn Kawamoto, Associate Editor, Dark Reading,  11/14/2017
Microsoft Word Vuln Went Unnoticed for 17 Years: Report
Kelly Sheridan, Associate Editor, Dark Reading,  11/14/2017
121 Pieces of Malware Flagged on NSA Employee's Home Computer
Kelly Jackson Higgins, Executive Editor at Dark Reading,  11/16/2017
Register for Dark Reading Newsletters
White Papers
Video
Cartoon
Current Issue
Managing Cyber-Risk
An online breach could have a huge impact on your organization. Here are some strategies for measuring and managing that risk.
Flash Poll
The State of Ransomware
The State of Ransomware
Ransomware has become one of the most prevalent new cybersecurity threats faced by today's enterprises. This new report from Dark Reading includes feedback from IT and IT security professionals about their organization's ransomware experiences, defense plans, and malware challenges. Find out what they had to say!
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2017-0290
Published: 2017-05-09
NScript in mpengine in Microsoft Malware Protection Engine with Engine Version before 1.1.13704.0, as used in Windows Defender and other products, allows remote attackers to execute arbitrary code or cause a denial of service (type confusion and application crash) via crafted JavaScript code within ...

CVE-2016-10369
Published: 2017-05-08
unixsocket.c in lxterminal through 0.3.0 insecurely uses /tmp for a socket file, allowing a local user to cause a denial of service (preventing terminal launch), or possibly have other impact (bypassing terminal access control).

CVE-2016-8202
Published: 2017-05-08
A privilege escalation vulnerability in Brocade Fibre Channel SAN products running Brocade Fabric OS (FOS) releases earlier than v7.4.1d and v8.0.1b could allow an authenticated attacker to elevate the privileges of user accounts accessing the system via command line interface. With affected version...

CVE-2016-8209
Published: 2017-05-08
Improper checks for unusual or exceptional conditions in Brocade NetIron 05.8.00 and later releases up to and including 06.1.00, when the Management Module is continuously scanned on port 22, may allow attackers to cause a denial of service (crash and reload) of the management module.

CVE-2017-0890
Published: 2017-05-08
Nextcloud Server before 11.0.3 is vulnerable to an inadequate escaping leading to a XSS vulnerability in the search module. To be exploitable a user has to write or paste malicious content into the search dialogue.