Ransomware surge imperils hospitals as pandemic intensifies

WASHINGTON - Hackers are stepping up attacks on health care systems with ransomware in the United States and other countries, creating new risks for medical care as the global coronavirus pandemic accelerates. 

Alerts from US authorities and security researchers highlight a wave of cyberattacks on hospitals coping with rising virus infections.

An unusual warning this week from the FBI with the Departments of Homeland Security and Health and Human Services, underscored the threat.

The three agencies "have credible information of an increased and imminent cybercrime threat to US hospitals and health care providers," said the alert issued Wednesday, calling on health systems to "take timely and reasonable precautions to protect their networks from these threats."

Media reports have cited several US hospitals hit by ransomware. 

One of them, the University of Vermont Medical Center, said in a statement Thursday it was working with law enforcement on "a now confirmed cyberattack that has affected some of our systems" which has had "variable impacts" on patient care.

Daniel dos Santos of the computer security firm Forescout said cash-strapped medical centers are particularly attractive targets for hackers and that at least 400 hospitals had been hit in the past few weeks in the US and Britain.

Hackers are aware that "health care is the most likely to pay the ransom because their services are critical," dos Santos said.

"Stopping services means that people will literally be dying."

For hospitals unable or willing to pay, "it would mean going back to pen and paper, which can cause huge slowdowns," he added.

Forescout said in a report that while many hospitals have upgraded computer systems, most use a variety of connected devices such as patient monitors or CT scanners which "act as the weak links in the network" because they transmit data over insecure channels.

In one sign of the troubles looming, dos Santos and fellow researchers said they discovered data on some three million US patients online, "unprotected and accessible to anyone who knows how to search for it.," the Forescout report said.

 Most targeted 

Ransomware is a longstanding security issue and health care has been a frequent target. A September attack disrupted Universal Health Services, which operates hospitals in the US and Britain.

But security experts say the attacks are accelerating as the pandemic worsens.

Researchers at the security firm Check Point said its survey showed health care has been the most targeted industry by ransomware, with a 71 percent jump in attacks on US providers in October from a month earlier.

Check Point said there have been significant rises in ransomware attacks on hospitals in Asia, Europe and the Middle East as well. Globally, the firm said ransomware attacks were up 50 percent in the third quarter compared with the first half of this year.

Many of the attacks use a strain of ransomware known as Ryuk, which security researchers say may be tied to North Korean or Russian cybercriminals.

The US government warning said health organizations are being targeted by phishing attacks to get access to the systems, with hackers using sophisticated tools including TrickBot software which can harvest credentials and exfiltrate data.

The Canadian government's Cyber Centre issued a similar warning in early October, warning of Ryuk ransomware "affecting multiple entities, including municipal governments and public health and safety organizations in Canada and abroad."

"The ransomware problem is steadily worsening and a solution desperately needs to be found," said Brett Callow of the security firm Emsisoft.

"We believe that solution is a prohibition on the payment of demands. Ransomware exists only because it's profitable. If the flow of cash stops, the attacks will stop and hospitals will no longer be at risk."

Agence France-Presse

White House blames North Korea for cyberattack

The White House on Tuesday publicly accused North Korea of launching a massive cyberattack that hit 150 countries last May -- hobbling networks from Britain's public health system to FedEx.

"After careful investigation, the United States is publicly attributing the massive 'WannaCry' cyberattack to North Korea," said White House homeland security advisor Tom Bossert.

"We do not make this allegation lightly, we do so with evidence and we do so with partners," he added.

Exploiting a security flaw in Microsoft's Windows XP operating system, the malware infected an estimated 300,000 computers demanding ransom to decrypt data.

The United States is the latest country to point the finger of blame at Pyongyang, attribution which comes as part of a drive to exert "maximum pressure" on the regime.

As yet, no retaliatory measures have been announced.

Among the infected computers were those at Britain's National Health Service (NHS), Spanish telecoms company Telefonica and US logistics company FedEx.

London had already blamed North Korea, which hit a third of Britain's public hospitals.

Pyongyang then denied the allegation, saying it went "beyond the limit of our tolerance" and was a "wicked attempt to lure the international community into harboring greater mistrust of the DPRK."

US government under scrutiny

Questions had been raised about whether the US government acted in a timely manner to respond to the attack, with Microsoft accusing Washington of spotting the flaw and using it for its own ends.

"This attack provides yet another example of why the stockpiling of vulnerabilities by governments is such a problem," Microsoft's Brad Smith said at the time.

"Repeatedly, exploits in the hands of governments have leaked into the public domain and caused widespread damage," he said, claiming that the National Security Agency of spotting the flaw and saying nothing.

Bossert said that the United States kept only 10 percent of security flaws secret and had no policy of "stockpiling" or withholding information from potential targets.

Since coming to office Donald Trump has sought to put pressure on North Korea, as its reclusive leaders edge ever-closer to developing a ballistic missile that could deliver a nuclear warhead to the United States.

Amid a series of tests Trump's administration has appeared at odds over whether talks could offer a way out of the standoff.

National Security Advisor HR McMaster tried to clean up that question in an interview with the BBC, saying the United States wanted a peaceful solution: "Of course that's what we want but we are not committed to a peaceful resolution."

"We are committed to a resolution, we want the resolution to be peaceful. But, as the president has said, all options are on the table and we have to be prepared if necessary to compel the denuclearization of North Korea without the cooperation of that regime."

Trump's first National Security Strategy released Monday, declared that "North Korea seeks the capability to kill millions of Americans with nuclear weapons."

"Continued provocations by North Korea will prompt neighboring countries and the United States to further strengthen security bonds and take additional measures to protect themselves."

source: news.abs-cbn.com

New computer virus spreads from Ukraine to disrupt world business

FRANKFURT/MOSCOW/KIEV - A new cyber virus spread from Ukraine to wreak havoc around the globe on Wednesday, crippling thousands of computers, disrupting ports from Mumbai to Los Angeles and halting production at a chocolate factory in Australia.

The virus is believed to have first taken hold on Tuesday in Ukraine where it silently infected computers after users downloaded a popular tax accounting package or visited a local news site, national police and international cyber experts said.

More than a day after it first struck, companies around the world were still wrestling with the fallout while cyber security experts scrambled to find a way to stem the spread.

Danish shipping giant A.P. Moller-Maersk said it was struggling to process orders and shift cargoes, congesting some of the 76 ports around the world run by its APM Terminals subsidiary.

U.S. delivery firm FedEx Corp said its TNT Express division had been significantly affected by the virus, which also wormed its way into South America, affecting ports in Argentina operated by China's Cofco.

The malicious code locked machines and demanded victims post a ransom worth $300 in bitcoins or lose their data entirely, similar to the extortion tactic used in the global WannaCry ransomware attack in May.

More than 30 victims paid up but security experts are questioning whether extortion was the goal, given the relatively small sum demanded, or whether the hackers were driven by destructive motives rather than financial gain.

Hackers asked victims to notify them by email when ransoms had been paid but German email provider Posteo quickly shut down the address, a German government cyber security official said.

Ukraine, the epicentre of the cyber strike, has repeatedly accused Russia of orchestrating attacks on its computer systems and critical power infrastructure since its powerful neighbour annexed the Black Sea peninsula of Crimea in 2014.

The Kremlin, which has consistently rejected the accusations, said on Wednesday it had no information about the origin of the global cyber attack, which also struck Russian companies such as oil giant Rosneft and a steelmaker.

"No one can effectively combat cyber threats on their own, and, unfortunately, unfounded blanket accusations will not solve this problem," said Kremlin spokesman Dmitry Peskov.

ESET, a Slovakian company that sells products to shield computers from viruses, said 80 percent of the infections detected among its global customer base were in Ukraine, with Italy second hardest hit with about 10 percent.

ETERNAL BLUE

The aim of the latest attack appeared to be disruption rather than ransom, said Brian Lord, former deputy director of intelligence and cyber operations at Britain's GCHQ and now managing director at private security firm PGI Cyber.

"My sense is this starts to look like a state operating through a proxy ... as a kind of experiment to see what happens," Lord told Reuters on Wednesday.

While the malware seemed to be a variant of past campaigns, derived from code known as Eternal Blue believed to have been developed by the U.S. National Security Agency (NSA), experts said it was not as virulent as May's WannaCry attack.

Security researchers said Tuesday's virus could leap from computer to computer once unleashed within an organisation but, unlike WannaCry, it could not randomly trawl the internet for its next victims, limiting its scope to infect.

Bushiness that installed Microsoft's latest security patches from earlier this year and turned off Windows file-sharing features appeared to be largely unaffected.

There was speculation, however, among some experts that once the new virus had infected one computer it could spread to other machines on the same network, even if those devices had received a security update.

After WannaCry, governments, security firms and industrial groups advised businesses and consumers to make sure all their computers were updated with Microsoft security patches.

Austria's government-backed Computer Emergency Response Team (CERT) said "a small number" of international firms appeared to be affected, with tens of thousands of computers taken down.

Security firms including Microsoft, Cisco's Talos and Symantec said they had confirmed some of the initial infections occurred when malware was transmitted to users of a Ukrainian tax software programme called MEDoc.

The supplier of the software, M.E.Doc denied in a post on Facebook that its software was to blame, though Microsoft reiterated its suspicions afterwards.

"Microsoft now has evidence that a few active infections of the ransomware initially started from the legitimate MEDoc updater process," it said in a technical blog post.

Russian security firm Kaspersky said a Ukrainian news site for the city of Bakhumut was also hacked and used to distribute the ransomware to visitors, encrypting data on their machines.

CORPORATE CHAOS

A number of the international firms hit have operations in Ukraine, and the virus is believed to have spread within global corporate networks after gaining traction within the country.

Shipping giant A.P. Moller-Maersk, which handles one in seven containers shipped worldwide, has a logistics unit in Ukraine.

Other large firms affected, such as French construction materials company Saint Gobain and Mondelez International Inc, which owns chocolate brand Cadbury, also have operations in the country.

Maersk was one of the first global firms to be taken down by the cyber attack and its operations at major ports such as Mumbai in India, Rotterdam in the Netherlands and Los Angeles on the U.S. west coast were disrupted.

Other companies to succumb included BNP Paribas Real Estate , a part of the French bank that provides property and investment management services.

"The international cyber attack hit our non-bank subsidiary, Real Estate. The necessary measures have been taken to rapidly contain the attack," the bank said on Wednesday.

Production at the Cadbury factory on the Australian island state of Tasmania ground to a halt late on Tuesday after computer systems went down.

Russia's Rosneft, one of the world's biggest crude producers by volume, said on Tuesday its systems had suffered "serious consequences" but oil production had not been affected because it switched to backup systems.

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More disruptions feared from cyber attack; Microsoft slams US govt secrecy

WASHINGTON/FRANKFURT - Officials across the globe scrambled over the weekend to catch the culprits behind a massive ransomware worm that disrupted operations at car factories, hospitals, shops and schools, while Microsoft on Sunday pinned blame on the US government for not disclosing more software vulnerabilities.

Cyber security experts said the spread of the worm dubbed WannaCry - "ransomware" that locked up more than 200,000 computers in more than 150 countries - had slowed but that the respite might only be brief amid fears new versions of the worm will strike.

In a blog post on Sunday, Microsoft President Brad Smith appeared to tacitly acknowledge what researchers had already widely concluded: The ransomware attack leveraged a hacking tool, built by the US National Security Agency, that leaked online in April.

"This is an emerging pattern in 2017," Smith wrote. "We have seen vulnerabilities stored by the CIA show up on WikiLeaks, and now this vulnerability stolen from the NSA has affected customers around the world."

He also poured fuel on a long-running debate over how government intelligence services should balance their desire to keep software flaws secret - in order to conduct espionage and cyber warfare - against sharing those flaws with technology companies to better secure the internet.

"This attack provides yet another example of why the stockpiling of vulnerabilities by governments is such a problem," Smith wrote. He added that governments around the world should "treat this attack as a wake-up call" and "consider the damage to civilians that comes from hoarding these vulnerabilities and the use of these exploits."

The NSA and White House did not immediately respond to requests for comment about the Microsoft statement.

Economic experts offered differing views on how much the attack, and associated computer outages, would cost businesses and governments.

The non-profit US Cyber Consequences Unit research institute estimated that total losses would range in the hundreds of millions of dollars, but not exceed $1 billion.

Most victims were quickly able to recover infected systems with backups, said the group's chief economist, Scott Borg.

California-based cyber risk modeling firm Cyence put the total economic damage at $4 billion, citing costs associated with businesses interruption.

US President Donald Trump on Friday night ordered his homeland security adviser, Tom Bossert, to convene an "emergency meeting" to assess the threat posed by the global attack, a senior administration official told Reuters.

Senior US security officials held another meeting in the White House Situation Room on Saturday, and the FBI and the NSA were working to help mitigate damage and identify the perpetrators of the massive cyber attack, said the official, who spoke on condition of anonymity to discuss internal deliberations.

The investigations into the attack were in the early stages, however, and attribution for cyber attacks is notoriously difficult.

The original attack lost momentum late on Friday after a security researcher took control of a server connected to the outbreak, which crippled a feature that caused the malware to rapidly spread across infected networks.

Infected computers appear to largely be out-of-date devices that organizations deemed not worth the price of upgrading or, in some cases, machines involved in manufacturing or hospital functions that proved too difficult to patch without possibly disrupting crucial operations, security experts said.

Microsoft released patches last month and on Friday to fix a vulnerability that allowed the worm to spread across networks, a rare and powerful feature that caused infections to surge on Friday.

Code for exploiting that bug, which is known as "Eternal Blue," was released on the internet last month by a hacking group known as the Shadow Brokers.

The head of the European Union police agency said on Sunday the cyber assault hit 200,000 victims in at least 150 countries and that number would grow when people return to work on Monday.

MONDAY MORNING RUSH?

Monday was expected to be a busy day, especially in Asia, which may not have seen the worst of the impact yet, as companies and organizations turned on their computers.

"Expect to hear a lot more about this tomorrow morning when users are back in their offices and might fall for phishing emails" or other as yet unconfirmed ways the worm may propagate, said Christian Karam, a Singapore-based security researcher.

The attack hit organizations of all sizes.

Renault said it halted manufacturing at plants in France and Romania to prevent the spread of ransomware.

Other victims include is a Nissan manufacturing plant in Sunderland, northeast England, hundreds of hospitals and clinics in the British National Health Service, German rail operator Deutsche Bahn and international shipper FedEx Corp

A Jakarta hospital said on Sunday that the cyber attack had infected 400 computers, disrupting the registration of patients and finding records.

Account addresses hard-coded into the malicious WannaCry virus appear to show the attackers had received just under $32,500 in anonymous bitcoin currency as of (1100 GMT) 7 a.m. EDT on Sunday, but that amount could rise as more victims rush to pay ransoms of $300 or more.

The threat receded over the weekend after a British-based researcher, who declined to give his name but tweets under the profile @MalwareTechBlog, said he stumbled on a way to at least temporarily limit the worm's spread by registering a web address to which he noticed the malware was trying to connect.

Security experts said his move bought precious time for organizations seeking to block the attacks.

(Additional reporting by Jim Finkle, Neil Jerome Morales, Masayuki Kitano, Kiyoshi Takenaka, Jose Rodriguez, Elizabeth Piper, Emmanuel Jarry, Orathai Sriring, Jemima Kelly, Alistair Smout, Andrea Shalal, Jack Stubbs, Antonella Cinelli, Kate Holton, Andy Bruce, Michael Holden, David Milliken, Tim Hepher, Luiza Ilie, Patricia Rua, Axel Bugge, Sabine Siebold, Eric Walsh, Engen Tham, Fransiska Nangoy, Soyoung Kim, Mai Nguyen and Nick Zieminski; Editing by Mark Heinrich and Peter Cooney)

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Organizations hit by 'unprecedented' global cyberattack

A huge range of organizations around the world have been affected by the WannaCry ransomware cyberattack, described by the EU's law enforcement agency as "unprecedented."

Here are some of the most prominent victims, from Britain's National Health Service (NHS) to French carmaker Renault and the Russian interior ministry.

NHS

The British public health service - the world's fifth-largest employer, with 1.7 million staff -- was badly hit, with interior minister Amber Rudd saying around 45 facilities were affected. Several were forced to cancel or delay treatment for patients.

Pictures on social media showed screens of NHS computers with images demanding payment of $300 (230 pounds, 275 euros) in the virtual currency Bitcoin, saying: "Ooops, your files have been encrypted!"

Renault

The French automobile giant was hit, forcing it to halt production at sites in France and its factory in Slovenia as part of measures to stop the spread of the virus.

Nissan UK's unit in Sunderland was hit by the attack, spokeswoman Lucy Banwell said.

Russian banks and ministries

Russia's central bank was targeted, along with several government ministries and the railway system. The interior ministry said 1,000 of its computers were hit by a virus. Officials played down the incident, saying the attacks had been contained.

Germany railways

Germany's Deutsche Bahn national railway operator was affected, with information screens and ticket machines hit. Travellers tweeted pictures of hijacked departure boards showing the ransom demand instead of train times. But the company insisted that trains were running as normal.

Fedex

The US package delivery group acknowledged it had been hit by malware and said it was "implementing remediation steps as quickly as possible."

Telefonica

The Spanish telephone giant said it was attacked but "the infected equipment is under control and being reinstalled," said Chema Alonso, the head of the company's cyber security unit and a former hacker.

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British hospitals shut down by cyberattack

LONDON/MADRID - A huge cyberattack brought disruption to Britain's health system on Friday and infected many Spanish companies with malicious software, and security researchers said a dozen other countries may be affected.

Hospitals and doctors' surgeries in parts of England were forced to turn away patients and cancel appointments. People in affected areas were being advised to seek medical care only in emergencies.

"We are experiencing a major IT disruption and there are delays at all of our hospitals," said the Barts Health group, which manages major London hospitals. Routine appointments had been cancelled and ambulances were being diverted to neighboring hospitals.

Telecommunications giant Telefonica was among the targets in Spain, though it said the attack was limited to some computers on an internal network and had not affected clients or services.

Authorities in both countries said the attack was conducted using 'ransomware' - malicious software that infects machines, locks them up by encrypting data and demands a ransom to restore access. They identified the type of malware as 'Wanna Cry', also known as 'Wanna Decryptor'.

A Telefonica spokesman said a window appeared on screens of infected computers that demanded payment with the digital currency bitcoin in order to regain access to files.

In Spain, the attacks did not disrupt the provision of services or networks operations of the victims, the government said in a statement. Still, the news prompted security teams at large financial services firms and businesses around the world to review their plans for defending against ransomware attacks, according to executives with private cyber security firms.

A spokeswoman for Portugal Telecom said: "We were the target of an attack, like what is happening in all of Europe, a large scale-attack, but none of our services were affected."

British based cyber researcher Chris Doman of AlienVault said the ransomware "looks to be targeting a wide range of countries", with preliminary evidence of infections from 14 countries so far, also including Russia, Indonesia and Ukraine.

PM BRIEFED

A spokesman for British Prime Minister Theresa May said she was being kept informed of the incident, which came less than four weeks before a parliamentary election in which national security and the management of the state-run National Health Service (NHS) are important campaign themes.

Authorities in Britain have been braced for possible cyberattacks in the run-up to the vote, as happened during last year's U.S. election and on the eve of this month's presidential vote in France.

But those attacks - blamed on Russia, which has repeatedly denied them - followed a entirely different modus operandi involving penetrating the accounts of individuals and political organizations and then releasing hacked material online.

The full extent of Friday's disruption in Britain remained unclear.

"This attack was not specifically targeted at the NHS and is affecting organisations from across a range of sectors," NHS Digital, the computer arm of the health service, said in a statement.

Britain's National Cyber Security Centre, part of the GCHQ spy agency, said it was aware of a cyber incident and was working with NHS Digital and the police to investigate.

A reporter from the Health Service Journal said the attack had affected X-ray imaging systems, pathology test results, phone systems and patient administration systems.

Although cyber extortion cases have been rising for several years, they have to date affected small-to-mid sized organisations, disrupting services provided by hospitals, police departments, public transportation systems and utilities in the United States and Europe.

"Seeing a large telco like Telefonica get hit is going to get everybody worried. Now ransomware is affecting larger companies with more sophisticated security operations," Chris Wysopal, chief technology officer with cyber security firm Veracode, said.

The news is also likely to embolden cyber extortionists when selecting targets, Chris Camacho, chief strategy officer with cyber intelligence firm Flashpoint, said.

“Now that the cyber criminals know they can hit the big guys, they will start to target big corporations. And some of them may not be well prepared for such attacks,” Camacho said. In Spain, some big firms took pre-emptive steps to thwart ransomware attacks following a warning from Spain's National Cryptology Centre of "a massive ransomware attack."

Iberdrola and Gas Natural, along with Vodafone's unit in Spain, asked staff to turn off computers or cut off internet access in case they had been compromised, representatives from the firms said.

It was not immediately clear how many Spanish organizations had been compromised by the attacks, if any critical services had been interrupted or whether victims had paid cyber criminals to regain access to their networks.

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Chinese hackers behind U.S. ransomware attacks - security firms

Hackers using tactics and tools previously associated with Chinese government-supported computer network intrusions have joined the booming cyber crime industry of ransomware, four security firms that investigated attacks on U.S. companies said.

Ransomware, which involves encrypting a target's computer files and then demanding payment to unlock them, has generally been considered the domain of run-of-the-mill cyber criminals.

But executives of the security firms have seen a level of sophistication in at least a half dozen cases over the last three months akin to those used in state-sponsored attacks, including techniques to gain entry and move around the networks, as well as the software used to manage intrusions.

"It is obviously a group of skilled of operators that have some amount of experience conducting intrusions," said Phil Burdette, who heads an incident response team at Dell SecureWorks.

Burdette said his team was called in on three cases in as many months where hackers spread ransomware after exploiting known vulnerabilities in application servers. From there, the hackers tricked more than 100 computers in each of the companies into installing the malicious programs.

The victims included a transportation company and a technology firm that had 30 percent of its machines captured.

Security firms Attack Research, InGuardians and G-C Partners, said they had separately investigated three other similar ransomware attacks since December.

Although they cannot be positive, the companies concluded that all were the work of a known advanced threat group from China, Attack Research Chief Executive Val Smith told Reuters.

The ransomware attacks have not previously been reported. None of the companies that were victims of the hackers agreed to be identified publicly.

The security companies investigating the advanced ransomware intrusions have various theories about what is behind them, but they do not have proof and they have not come to any firm conclusions.

Most of the theories flow from the possibility that the Chinese government has reduced its support for economic espionage, which it pledged to oppose in an agreement with the United States late last year. Some U.S. companies have reported a decline in Chinese hacking since the agreement.

Smith said some government hackers or contractors could be out of work or with reduced work and looking to supplement their income via ransomware.

It is also possible, Burdette said, that companies which had been penetrated for trade secrets or other reasons in the past were now being abandoned as China backs away, and that spies or their associates were taking as much as they could on the way out. In one of Dell's cases, the means of access by the team spreading ransomware was established in 2013.

The cyber security experts could not completely rule out more prosaic explanations, such as the possibility that ordinary criminals had improved their skills and bought tools previously used only by governments.

Dell said that some of the malicious software had been associated by other security firms with a group dubbed Codoso, which has a record of years of attacks of interest to the Chinese government, including those on U.S. defense companies and sites that draw Chinese minorities.

PAYMENT IN BITCOIN

Ransomware has been around for years, spread by some of the same people that previously installed fake antivirus programs on home computers and badgered the victims into paying to remove imaginary threats.

In the past two years, better encryption techniques have often made it impossible for victims to regain access to their files without cooperation from the hackers. Many ransomware payments are made in the virtual currency Bitcoin and remain secret, but institutions including a Los Angeles hospital have gone public about ransomware attacks.

Ransomware operators generally set modest prices that many victims are willing to pay, and they usually do decrypt the files, which ensures that victims will post positively online about the transaction, making the next victims who research their predicament more willing to pay.

Security software companies have warned that because the aggregate payoffs for ransomware gangs are increasing, more criminals will shift to it from credit card theft and other complicated scams.

The involvement of more sophisticated hackers also promises to intensify the threat.

InGuardians CEO Jimmy Alderson said one of the cases his company investigated appeared to have been launched with online credentials stolen six months earlier in a suspected espionage hack of the sort typically called an Advanced Persistent Threat, or APT.

"The tactics of getting access to these networks are APT tactics, but instead of going further in to sit and listen stealthily, they are used for smash-and-grab," Alderson said.

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