Tag Archive for Hacking

Data Breach Ensnares Michigan Politician

Data Breach Ensnares Michigan PoliticianHardly a day goes by that another company announces a data breach. In 2023, 353 million people had their personal info stolen. One reason for this many data breaches is the rise in healthcare data breaches. Since 2020, the healthcare sector has recorded the most data breaches. Healthcare is digitizing and storing lots of sensitive data. This sensitive data is a desirable target for hackers. Attackers can re-use the stolen information. They can use it to run more attacks. These include ransomware, SPAM emails, phishing, vishing, and bogus websites.

Data LeakOne example of why breaches in the healthcare sector are increasing is Perry Johnson and Associates (PJ&A). PJ&A is a health care consulting and medical transcription firm. It is largest private provider of transcription services in the United States. They have offices in Troy MI at the world headquarters of Perry Johnson Inc. Perry Johnson, of Bloomfield Hills MI, heads the firm. His claim to fame is as a “quality guru.”

Politics

Johnson has a dubious political track-record. He spent more than $20 million of his own money to get elected. He ran for governor of Michigan, as a Republican in 2022. But, before the Republican primary, they removed him from the ballot. This was due to fraudulent and invalid petition signatures. Johnson later started a campaign to become the 2024 Republican candidate for president. He abandoned that effort in October 2023.

PoliticanA data breach controversy has also ensnared Johnson. PJ&A suffered a data breach in March 2023. The PJ&A data breach is the second-largest healthcare data breach of 2023 and the 6th largest ever. The cyberattack exposed the medical and other personal data of at least 14 million people in the U.S. according to The HIPAA Journal, an online publication that covers the Health Insurance Portability and Accountability Act.

What Happened

PJ&A found unauthorized activity in its IT systems on May 2, 2023. It hired third-party cybersecurity experts to investigate the incident. The experts were assigned to find the attack’s nature and scope. They were to see if the attackers took sensitive data.

unauthorized activityThe investigation confirmed unauthorized network access. The unauthorized access occurred from March 27, 2023, to May 2, 2023. During this time, attackers got data from its clients. PJ&A told its clients about the cyberattack on July 21, 2023. In the following days, they confirmed unauthorized access to data.

Data compromised in data breach

Investigators completed the PJ&A data breach investigation on September 28, 2023. PJ&A said the information accessed by the unauthorized party included:

  • Name,
  • Address,
  • Date of birth,
  • information accessed by the unauthorized partyMedical record number,
  • Hospital account number,
  • Admission diagnosis,
  • Date/time of service,
  • Social Security number,
  • Insurance information,
  • Medical and clinical information including:
  • Laboratory and diagnostic testing results,
  • Medications,
  • The name of the treatment facility, and
  • Healthcare provider name.

Who does the data breach impact?

Health care providers that have reported data breaches related to Perry Johnson & Associates:

  • Health care providers that have reported data breachesConcentra (NY) 01/09/2024, almost 4 million records.
  • North Kansas City Hospital (MO) 01/05/2024, over 500,000 records.
  • Cook County Health (IL) 1.2 million individuals.
  • Northwell Health (NY) 3,891,565 individuals.
  • Mercy Medical Center (IA) 97,132 patients.

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In recent years, the healthcare industry has become a prime target for cyberattacks. Data breaches are a big threat to patient privacy and institutional integrity. The Perry Johnson & Associates incident shows the vulnerabilities in healthcare systems.

The repercussions of such a breach are far-reaching. This exposure could lead to identity theft and financial fraud. It affects individuals and reveals their personal and medical information.

For patients, the incident is a wake-up call. They need to guard their personal data. They must also watch their digital footprint. Consumers can take actions to protect against data misuse. These include placing a credit freeze. You can also take these additional steps:

  • Place a credit freeze, which would prevent thieves from opening a new account in their name,
  • Put a fraud alert on their credit report so lenders can take extra steps to verify your identity before issuing credit,
  • Obtain copies of their medical records and review them for any errors,
  • Contest unrecognized medical billing, and
  • Inform your insurance company.
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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

What You Need to Know About Zoom

Updated 12/01/2020 – Zoom has agreed to settle allegations (PDF) made by the US Federal Trade Commission (FTC) that it “engaged in a series of deceptive and unfair practices that undermined the security of its users.” Among the charges were that Zoom misled users by:

The settlement does not require Zoom to admit fault or pay a fine – So they got away with it.

Updated 05/01/2020 – Zoom made a big splash when CEO Eric Yuan claimed the video conferencing firm had surpassed 300 million daily Zoom meeting users last week. That’s impressive growth in the face of security and privacy holes documented on the Bach Seat and around the Intertubes.

Well in a Zoom tradition they “back-tracked” that announcement, just like they back-tracked their definition of “end-to-end encryption.” Zoom artificially inflated the number of users by counting meeting participants as “users” and “people.” 

Daily meeting participants can be counted multiple times – if you have four Zoom meetings in a day then you’re counted four times. SVCOnline explains that by calling meeting participants “daily users” makes Zoom usage seem larger than it is. The term most companies use to measure service usage is a daily active user (DAU). A DAU is counted once per day. 

Updated 04/08/2020 -Zoom now faces four lawsuits over its security and privacy practices. Today,  Google has banned employees from using Zoom, joining NASA, SpaceX, NYC schools, Clark County (Las Vegas) schools. the governments of Germany and Taiwan as well as Apple.

Updated 04/07/2020Reports of a new blow to Zoom’s security cred’s researchers have discovered up to 15,000 private Zoom recordings exposed online. Many of them were apparently stored in Amazon Web Services (AWS) S3 buckets without passwords.

What You Need to Know About Zoom

Zoom has taken off. Thanks to the global COVID-19 lock-down Zoom’s (ZM) stock has surged over 250% on the NASDAQ since October 2019. Zoom’s video conferencing platform daily usage has exploded from 10 million in December 2019 to more than 200 million in March 2020.

Zoom logo

After its stock price run-up and exploitation of the COVID-19 pandemic Zoom has come under intense scrutiny. The FBI issued a warning about using Zoom. The New York Attorney General’s office sent a letter to Zoom about its practices. Security professionals have found a disturbing list of flaws on Zoom. Here is a brief list of the risks you take when using Zoom.

Zoom Risks

Phishing – Security firm Check Point Software says criminals are waging phishing campaigns with Zoom-related themes as a lure. The phishing emails that Check Point has observed spoof Zoom login pages and attempt to get victims to input their credentials. The Zoom credentials are then harvested by the attackers. Also, Check Point has also uncovered malicious files with names that include “zoom” in the title. 

Encryption

Phony end-to-end encryption – Zoom uses misleading advertising to claim that its meetings use “end-to-end encryption,” according to The Intercept. Zoom uses the term end-to-end encryption” incorrectly. Zoom admitted their definitions of “end-to-end” and of “endpoint” are different from everyone else’s. A spokesperson told The Intercept, “When we use the phrase ‘End to End … it is in reference to the connection being encrypted from Zoom endpoint to Zoom endpoint.

Unlike Apple, Zoom’s data is only encrypted when it travels back and forth from an end-user to a Zoom server. Your data is decrypted at the Zoom server. Zoom (or TLA) can see and hear whatever is going on in its meetings. Zoom Chief Product Officer Oded Gal wrote:

We recognize that there is a discrepancy between the commonly accepted definition of end-to-end encryption and how we were using it.

The Intercept concludes that Zoom doesn’t decrypt user transmissions — but it could.

What You Need to Know About Zoom

Zoom bombing – Zoom bombing occurs when a third party interrupts or takes over a video conference. Anyone can “bomb” a public Zoom meeting. All they need is the meeting number. Attackers can use the file-share to post shocking images or make annoying sounds in the audio. The host of the Zoom meeting can kick out troublemakers, but they can come right back with new user IDs The FBI issued a warning about zoom bombing.

To prevent Zoom bombing do not share Zoom meeting numbers with anyone but the intended participants. Also require participants to use a password to log into the meeting.

Windows password stealing
Bleeping Computer reports that malicious users can use the Zoom side chats to post a Universal Naming Convention (UNC) link that points to a remote server. From there the victim’s Windows computer will try to reach out to the hacker’s remote server specified in the path. From there the PC will automatically try to log in with the user’s Windows username and password. The attacker could capture the password “hash” and decrypt it, giving them access to the Zoom user’s Windows account.

Windows malware injectionWindows malware injection – The same flaw allows a hacker to insert a UNC path to a remote executable malicious file into a Zoom meeting. If a Zoom user running Windows clicks on it, the computer will try to load and run the malicious software. The victim will be prompted to authorize the software to run, which will stop some hacking attempts but not all.

Apple iOS profile sharing – Zoom sends iOS user profiles to Facebook. This is done with the “log in with Facebook” feature in the iPhone and iPad Zoom apps. After Motherboard exposed the practice, Zoom said it hadn’t been aware of the profile-sharing. Zoom’s initial response was to blame the social network’s software development kit used in the Zoom software. CNet concludes that Zoom shares enough personal data that it qualifies as selling your data

Mac malwareMalware-like behavior on Macs – Zoom was caught using hacker-like methods to bypass normal macOS security. It was thought this flaw had been fixed. But security researcher Felix Seele noticed that Zoom installed itself on his Mac without the usual user authorization.

The application is installed without the user giving his final consent and a highly misleading prompt is used to gain root privileges. The same tricks that are being used by macOS malware.

A backdoor for Mac malware – Patrick Wardle, a former NSA hacker and now principal security researcher at Jamf said in a blog post that Zoom used a discontinued installation process. The deprecated process could allow malware to add malicious code to “escalate privileges.” This would allow an attacker to gain total control over the machine without knowing the administrator’s password

Zoom privacy issues

CSO Online reports that he demonstrated the backdoor. He installed a malicious script into the Zoom Mac client. This could give any piece of malware access to the Mac’s webcam and microphone. It would turn any Mac with Zoom into a spying device.

Leaks of email addresses and profile photos – Zoom automatically puts everyone sharing the same email domain into a “company” folder where they can see each other’s information. If you are not a user of large webmail clients like Gmail, Yahoo, Hotmail, or Outlook.com, you could end up in a “company” with dozens of strangers.

Data leakSharing of personal data with advertisers – Privacy experts for Consumer Reports reviewed Zoom’s privacy policy and found that it gave Zoom the right to use Zoom users’ personal data and to share it with third-party marketers. In a blog, Aparna Bawa, Zoom’s chief legal officer, claimed “we do not sell your personal data.” The lawyer definitely concluded, “We are not changing any of our practices.” But we don’t know the details of Zoom’s business dealings with third-party advertisers.

Cloud snitching – For paid subscribers, Zoom’s cloud recording feature can be a problem waiting to happen.  Mashable points out that any time Zoom is used, your person-to-person chat messages are saved and could be sent to your boss by any authorized user. CNet notes that Zoom administrators can limit the recording’s accessibility by IP addresses – but this is not enabled by default.

Tattle-tale attention-tracking feature – Zoom’s attention-tracking feature allows the meeting host to monitor if you are paying attention to their PowerPoint deck. The Zoom desktop client or mobile app alerts the host if any attendees go more than 30 seconds without Zoom being in focus on their screen.

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I agree with those who are calling Zoom’s development processes lazy  As you can see  – Zoom’s software development process creates a huge attack surface.

Tom’s Guide is tracking the status of Zoom’s problems.  So is  Zoom safe to use?  – That is your call. – You need to make an informed decision and patch your Zoom software.

Zoom CEO Eric Yuan

You should be suspicious of “free” products. As in the case of Google and Facebook, you are the product for Zoom. They are monetizing you. Follow the money.

Eric Yuan, the founder, and CEO of Zoom is profiting by using your info. His personal wealth has increased 112% to $7.57 billion in the past three months, as the use of Zoom skyrockets amid the pandemic. While the other 99%f the world braces for a global recession.

How does he get all of that money on free software?

 

Stay safe out there!

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

$2.9M Per Minute Lost to Cybercriminals

Updated 10/27/2019 – On October 22, 2019, the FBI issued a warning about cybercriminals running e-skimming attacks, also known as Magecart attacks. These attacks have been happening since 2016, but have intensified during 2018 and 2019. These attacks started out by exploiting vulnerabilities in open-source e-shopping platforms. However, over the past two years, attackers evolved their attack methodology, and any online store is now susceptible to attacks, regardless if it runs on top of an open-source platform or a cloud-hosted service.

$2.9M Per Minute Lost to CybercriminalsCybercriminals cost the global economy $2.9 million every minute of 2018. This shocking statistic comes from RiskIQ‘s latest Evil Minute report. RiskIQ specializes in online attack surface management, providing threat discovery, intelligence, and mitigation. The San Francisco, CA-based firm figured that a total of $1.5 trillion was lost to cyber-criminals in 2018. Some of the more ominous info-bits they presented include:

  • RiskIQ logo$25 per minute, the cost to top companies due to security breaches.
  • $17,700: lost from phishing attacks per minute
  • $22,184: the projected by-the-minute cost of global ransomware events in 2019

Other statistics include:

  • 8,100: identifier records compromised every minute
  • 2.4: phish traversing the internet per minute
  • 0.32: blacklisted apps by-the-minute
  • 0.21: Magecart attacks detected every minute

Lou Manousos, CEO of RiskIQ said in the presser, “As the scale of the internet continues to proliferate, so does the threat landscape.

Magecart hacks

Magento .logoThe report specifically calls out attacks that target e-commerce. They focus on the Magecart hacks. Magecart hacks have increased by 20% in the last year. By some estimates, the Magecart supply chain attacks have resulted in the theft of more credit card information than more infamous breaches at Home Depot and Target. According to reports, Magecart was behind the 2018 cyber-attacks on British Airways and Ticketmaster which together compromised the info of over 425,000 of the firm’s customers.

Magecart attack is a credit card skimmer that intercepts card numbers and information when a payment card is swiped at the point of sale. Unlike gas card or ATM skimmers, there is almost no way for a consumer to determine that Magecart skimming is about to take place. There is no physical manifestation of Magecart and it is not always easy to catch, because it takes advantage of universal code and other applications not typically related to payments.

ecommerace

Magecart is a consortium of at least six different hacking groups that target flaws in online shopping cart systems. The attackers like Magento to steal customer payment card information. Magento, an open-source e-commerce platform written in open-source PHP. At least initially attackers exploited a PHP Object Injection flaw (CVE-2016-4010) in the popular online shopping cart.

In order to run this compromise, the Magecart attacker substitutes a piece of Javascript code, either by altering the Magento source code or by redirecting the shopping cart using an injection to a website that hosts the malware to steal the credit card and user information.

Trend Micro Mirrorthief attack chainRiskIQ CEO Manousos warns;

Without greater awareness and an increased effort to implement necessary security controls, there will be more attacks using an ever-expanding range of technologies and strategies.

 

RiskIQ infographic

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Firms that fall victim to attacks don’t just lose card info. They also lose time and productivity. Restoring hacked data and systems takes time and resources. The damage to a company’s reputation can cost it new and existing customers. Then there are the legal penalties from PCI, HIPAA, and the courts that come with mishandling customer information.

Like I keep saying – time to go back to the cash economy.

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.

World’s First Hacker?

World's First Hacker ?The story of the first hacker could be a 21st-century tale. It includes a zero-day exploit, patent trolling, a live demo, egos, and industrial espionageNew Scientist has identified its candidate for the world’s first hacker. The hacker found a security hole in Marconi’s wireless telegraph technology and used it to publicly show the inventor up.

The first hacker

Nevil Maskelyne haclerNew Scientist’s first hacker was, Nevil Maskelyne. Nevil Maskelyne was a stage magician who disrupted a public demo of Marconi’s wireless telegraph in 1903. He disrupted the demo by wirelessly sending insults in Morse code through Marconi confidential channels. Visitors to the Bach Seat should be sophisticated enough to know the risks of running a live demo, but 110+ years ago, they didn’t.

According to the author, the first hack occurred at the Royal Institution in London. As Marconi associate, John A. Fleming (inventor of the vacuum tube) was preparing the Marconi equipment for a public demo of the long-range wireless communication system developed by his boss, the Italian radio pioneer Guglielmo Marconi when something unplanned happened.

Scientific hooliganism

Marconi's wirelessBefore the demonstration was scheduled to begin, the demo gear began to receive a message. The unplanned message included a poem that accused Marconi of “diddling the public.” Then it started in with some Shakespeare.

Arthur Blok, Fleming’s assistant, figured that someone else was beaming powerful wireless pulses into the theater. The new signal was strong enough to interfere with Marconi’s equipment. Unfortunately for Marconi and Fleming, Nevil Maskelyne figured out the hack first. Mr. Maskelyne’s hack proved that Marconi’s gear was insecure. It also proved it was likely that they could eavesdrop on supposedly private messages too.

Wood towers supporting Marconi aerial at Cornwall England

In response, Fleming fired posted a complaint in The Times. In the paper he dubbed the hack “scientific hooliganism.”  He asked the newspaper’s readers to help him find the hacker.

However, Maskelyne, whose family had made a fortune making “spend-a-penny” locks in pay toilets outed himself four days later. He justified his actions on the grounds that he revealed the security holes for the public good. (Sound familiar?)

Maskelyne who taught himself wireless technology had a great deal of experience with wireless. According to the article, he would use Morse code in “mind-reading” magic tricks to secretly communicate with a partner. And in 1900, Maskelyn sent wireless messages between a ground station and a balloon 10 miles away. But, his ambitions were frustrated by Marconi’s broad patents. The overly broad patent left him embittered towards the Italian. Maskelyne would soon find a way to get back at Marconi. It turned out that the Eastern Telegraph Companyworried that Marconi’s wireless would kill their global wired communications business hired Maskelyne as a spy.

Revealed security holes for the public good

eavesdrop on the "confidential channelMaskelyne built a 50-meter radio mast near the Marconi Wireless offices. From these offices Marconi was beaming wireless messages to vessels as part of its highly successful “secure” ship-to-shore messaging business. From there, Maskelyne could easily eavesdrop on the “confidential channel” Marconi wireless messages.

Maskelyne gleefully revealed the lack of security by writing in the journal The Electrician in November 1902,

I received Marconi messages with a 25-foot collecting circuit [aerial] raised on a scaffold pole. When eventually the mast was erected the problem was not interception but how to deal with the enormous excess of energy.

To further publicize his results and perhaps extract some revenge on Marconi, Maskelyne staged his Royal Institution poetry broadcast.

The New Scientist concludes that Maskelyne’s name had been forgotten but now he is in the history books as the world’s patron saint of hackers.

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers and anything else that catches his attention since 2005. You can follow him at LinkedInFacebook and Twitter. Email the Bach Seat here.

Anthem Data Breach Allows Phish of US Cyber Forces

Anthem Data Breach Allows Phish of US Cyber Forces– Updated 10/25/2018 – Anthem, Inc. has agreed to pay a $16 million HIPAA fine to the U.S. Department of Health and Human Service, Office for Civil Rights. The OCR found that the data breach between December 2, 2014, and January 27, 2015, cyber-attackers stole the electronic protected health information of almost 79 million people. The stolen information in the data breach included names, social security numbers, medical identification numbers, addresses, dates of birth, email addresses, and employment information.

The $16 million settlement is the largest HIPAA settlement.

Anthem Breach Allows Phish of US Cyber ForcesMany online believe that the Anthem (ANTM) hack was a strategic cyber-war strike by China. Stu Sjouwerman at CyberheistNews writes that PII thefts would normally be a Russian operation. However, the Anthem data breach appears to be a Chinese attack. CNN reports that Chinese hackers tend to target trade, economic, and national security secrets that could help the Chinese economy. Mr. Sjouwerman says he received an insider tip that most of the three-letter U.S. Government agencies have their employees insured through Anthem’s Blue Cross Blue Shield. Anthem also provided health insurance defense contractors Northrop Grumman and Boeing.

Anthem Bluse Cross logoKnowbe4’s Sjouwerman speculates that the Chinese now own the identities of all the people fighting them. The stolen data can now be used in a multitude of social engineering scenarios. Dmitri Alperovitch, co-founder of security firm CrowdStrike told CNN that the attack fit the profile of a hacking group believed to be Chinese government spies called “Deep Panda.”

The objective of the “Deep Panda” data breach according to the CrowdStrike CTO is to amass a large collection of Americans’ personal information to find citizens willing to spy for the Chinese and find potential U.S. spies operating in China. Mr. Alperovitch told CNN that’s why Chinese hackers broke into U.S. federal employee network last year. They also broke at least three hospital chains and two insurance providers the public hasn’t yet heard about.

PhishingKnowbe4 speculates that many people in the Government have steam coming out of their ears about the Anthem hack. Cyberwar has suddenly become very personal to them. This may be why President Obama recently signed an executive order that will nudge private companies to share data about cybersecurity threats between each other and with the federal government.

Apart from the cost of the Anthem data breach are likely to smash $100 million barrier, it’s surprising that Anthem did not encrypt SSN’s which allowed wholesale identity theft of thousands of American cyber-warriors.

Deep Panda is amassimg a large collection of Americans' personal informationCEO Sjouwerman explains that hackers are going after healthcare records because they are much more valuable. He points out that healthcare records stay active for several months after a hack, as opposed to credit card numbers which quickly get nixed after a few days. Since Anthem is a healthcare company, you would expect them to take HIPAA compliance to the max and even top the required controls with higher standards. As we all know, compliance does not equal security, but it establishes a baseline at the very least.

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There is enough blame to go around.

Time to go back to a cash society and barter.

Say, Doc Johnson, I’ll trade you two chickens for measles vaccination.

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Ralph Bach has been in IT long enough to know better and has blogged from his Bach Seat about IT, careers, and anything else that catches his attention since 2005. You can follow him on LinkedInFacebook, and Twitter. Email the Bach Seat here.