Dark Reading is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Attacks/Breaches

Organized Crime Group Scams US Companies Out Of Millions

Social engineering attack tricks companies into large wire transfers.

An organized crime group has spent the last month defrauding US companies, fooling them into making large wire transfers into fake partners' accounts.

According to a blog posted Friday by researchers at security firm TrustedSec, the crime group is conducting "a major offensive" against US firms using a sophisticated social engineering attack that appears to be a request for funds from one of the victim companies' legitimate partners. The attacks have a high rate of success, often fooling enterprises into sending amounts of $50,000 to $1 million, the blog says.

"A number of companies are still unaware that they have been victims of this attack," TrustedSec says.

The attack works in much the same way as a traditional phishing attack, only the stakes are much higher. The attacker compromises an email account in the victim's accounting department -- or that of the business partner -- and then registers an Internet domain that is very similar to the partner's legitimate domain name.

The attacker will establish communications with the victim using the partner's email credentials, often communicating via legitimate company letterhead with legitimate signatures. Initially, the communications may include the legitimate domain names.

Once communications have been established, the attacker will then submit requests for funds, change orders, or lines of credit from the victim company, TrustedSec says. If the initial requests don't work, the attacker may spoof emails to authorize the funds transfer or conduct a convincing social engineering attack over the phone.

The attackers often are successful in getting wire transfers to the fake domains, the blog says. A large number of the transfers are processed by banks in China.

"Note that the attackers are persistent; they use emotional triggers in order to entice the affected company to expedite the fraudulent requests," says TrustedSec. "They will become agitated, demand that it be expedited and even spoof emails coming from internal employees to coax the company to hurrying the process. They will also target your company again if successful."

IT organizations should warn their accounting departments about this fraud and verify all transactions with third-party partners and vendors, TrustedSec advices.

Tim Wilson is Editor in Chief and co-founder of Dark Reading.com, UBM Tech's online community for information security professionals. He is responsible for managing the site, assigning and editing content, and writing breaking news stories. Wilson has been recognized as one ... View Full Bio
 

Recommended Reading:

Comment  | 
Print  | 
More Insights
Comments
Threaded  |  Newest First  |  Oldest First
macker490
50%
50%
macker490,
User Rank: Ninja
4/28/2014 | 9:30:53 AM
notes, email security
="The attacker will establish communications with the victim using the partner's email credentials, often communicating via legitimate company letterhead with legitimate signatures. Initially, the communications may include the legitimate domain names."

1. verify e/mails by using a phone call.

this is the quickest and easy way to verify e/mail that we can all make a policy of,.... now.

2. learn PGP

you can inplement PGP/Desktop with Outlook, -- or -- you can use the ENIGMAIL plug-in with Thunderbird and GnuPG if you prefer open-source software.

PGP depends on a secure Operating System

keep this in mind

think about what you are doing.
DarkReadingTim
100%
0%
DarkReadingTim,
User Rank: Strategist
4/28/2014 | 9:56:22 AM
Re: notes, email security
Thanks for these thoughts, all good ones. Like most social engineering attacks, this can be avoided if you know what to look for. The key is getting accounting departments up to speed.
securityaffairs
50%
50%
securityaffairs,
User Rank: Ninja
4/29/2014 | 5:22:56 AM
Re: notes, email security
Of course awareness could help to mitigate this type of cyber threats, but we must also consider that cybercrime ecosystems is adopting even more complex strategies to deceive victims. 

Another element which advantage cyber criminal gangs is the simplicity to acquire/rent products and services in the underground market at low prices but that are extremely effective. Let me suggest you the reading of my last post on the study published by TrenMicro on the Russian Ungerground.

 

http://securityaffairs.co/wordpress/24440/cyber-crime/evolution-russian-underground.html

Regards

Pierluigi
COVID-19: Latest Security News & Commentary
Dark Reading Staff 8/3/2020
Pen Testers Who Got Arrested Doing Their Jobs Tell All
Kelly Jackson Higgins, Executive Editor at Dark Reading,  8/5/2020
New 'Nanodegree' Program Provides Hands-On Cybersecurity Training
Nicole Ferraro, Contributing Writer,  8/3/2020
Register for Dark Reading Newsletters
White Papers
Video
Cartoon Contest
Current Issue
Special Report: Computing's New Normal, a Dark Reading Perspective
This special report examines how IT security organizations have adapted to the "new normal" of computing and what the long-term effects will be. Read it and get a unique set of perspectives on issues ranging from new threats & vulnerabilities as a result of remote working to how enterprise security strategy will be affected long term.
Flash Poll
The Changing Face of Threat Intelligence
The Changing Face of Threat Intelligence
This special report takes a look at how enterprises are using threat intelligence, as well as emerging best practices for integrating threat intel into security operations and incident response. Download it today!
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2020-15058
PUBLISHED: 2020-08-07
Lindy 42633 4-Port USB 2.0 Gigabit Network Server 2.078.000 devices allow an attacker on the same network to elevate privileges because the administrative password can be discovered by sniffing unencrypted UDP traffic.
CVE-2020-15059
PUBLISHED: 2020-08-07
Lindy 42633 4-Port USB 2.0 Gigabit Network Server 2.078.000 devices allow an attacker on the same network to bypass authentication via a web-administration request that lacks a password parameter.
CVE-2020-15060
PUBLISHED: 2020-08-07
Lindy 42633 4-Port USB 2.0 Gigabit Network Server 2.078.000 devices allow an attacker on the same network to conduct persistent XSS attacks by leveraging administrative privileges to set a crafted server name.
CVE-2020-15061
PUBLISHED: 2020-08-07
Lindy 42633 4-Port USB 2.0 Gigabit Network Server 2.078.000 devices allow an attacker on the same network to denial-of-service the device via long input values.
CVE-2020-15062
PUBLISHED: 2020-08-07
DIGITUS DA-70254 4-Port Gigabit Network Hub 2.073.000.E0008 devices allow an attacker on the same network to elevate privileges because the administrative password can be discovered by sniffing unencrypted UDP traffic.