Government

US Sanctions Chinese Firm, Hacker Behind Telecom and Treasury Hacks (bleepingcomputer.com) 3

The U.S. Department of the Treasury's OFAC has sanctioned Yin Kecheng and Sichuan Juxinhe Network Technology Co. for their roles in a recent Treasury breach and espionage operations targeting U.S. telecommunications. BleepingComputer reports: "Yin Kecheng has been a cyber actor for over a decade and is affiliated with the People's Republic of China Ministry of State Security (MSS)," reads the Treasury's announcement. "Yin Kecheng was associated with the recent compromise of the Department of the Treasury's Departmental Offices network," says the agency.

OFAC also announced sanctions against Sichuan Juxinhe Network Technology Co., a Chinese cybersecurity firm believed to be directly involved with the Salt Typhoon state hacker group. Salt Typhoon was recently linked to several breaches on major U.S. telecommunications and internet service providers to spy on confidential communications of high-profile targets. "Sichuan Juxinhe Network Technology Co., LTD. (Sichuan Juxinhe) had direct involvement in the exploitation of these U.S. telecommunication and internet service provider companies," the U.S. Treasury explains, adding that "the MSS has maintained strong ties with multiple computer network exploitation companies, including Sichuan Juxinhe." [...]

The sanctions imposed on Kecheng and the Chinese cybersecurity firm under Executive Order (E.O.) 13694 block all property and financial assets located in the United States or are in the possession of U.S. entities, including banks, businesses, and individuals. Additionally, U.S. entities are prohibited from conducting any transactions with the sanctioned entities without OFAC's explicit authorization. It's worth noting that these sanctions come after OFAC sanctioned Beijing-based cybersecurity company Integrity Tech for its involvement in cyberattacks attributed to the Chinese state-sponsored Flax Typhoon hacking group. U.S. Treasury's announcement reiterates that the U.S. Department of State offers, through its Rewards for Justice program, up to $10,000,000 for information leading to uncovering the identity of hackers who have targeted the U.S. government or critical infrastructure in the country.

Security

FBI Warned Agents It Believes Phone Logs Hacked Last Year (yahoo.com) 20

An anonymous reader shares a report: FBI leaders have warned that they believe hackers who broke into AT&T's system last year stole months of their agents' call and text logs, setting off a race within the bureau to protect the identities of confidential informants, a document reviewed by Bloomberg News shows.

FBI officials told agents across the country that details about their use on the telecom carrier's network were believed to be among the billions of records stolen, according to the document and interviews with a current and a former law enforcement official. They asked not to be named to discuss sensitive information. Data from all FBI devices under the bureau's AT&T service for public safety agencies were presumed taken, the document shows.

The cache of hacked AT&T records didn't reveal the substance of communications but, according to the document, could link investigators to their secret sources. The data was believed to include agents' mobile phone numbers and the numbers with which they called and texted, the document shows. Records for calls and texts that weren't on the AT&T network, such as through encrypted messaging apps, weren't part of the stolen data.

Microsoft

Microsoft Research: AI Systems Cannot Be Made Fully Secure (theregister.com) 28

Microsoft researchers who tested more than 100 of the company's AI products concluded that AI systems can never be made fully secure, according to a new pre-print paper. The 26-author study, which included Azure CTO Mark Russinovich, found that large language models amplify existing security risks and create new vulnerabilities. While defensive measures can increase the cost of attacks, the researchers warned that AI systems will remain vulnerable to threats ranging from gradient-based attacks to simpler techniques like interface manipulation for phishing.
United States

Supreme Court Upholds Law Banning TikTok If It's Not Sold By Its Chinese Parent Company (apnews.com) 132

An anonymous reader shares a report: The Supreme Court on Friday unanimously upheld the federal law banning TikTok beginning Sunday unless it's sold by its China-based parent company, holding that the risk to national security posed by its ties to China overcomes concerns about limiting speech by the app or its 170 million users in the United States.

A sale does not appear imminent and, although experts have said the app will not disappear from existing users' phones once the law takes effect on Jan. 19, new users won't be able to download it and updates won't be available. That will eventually render the app unworkable, the Justice Department has said in court filings.

Microsoft

Microsoft Patches Windows To Eliminate Secure Boot Bypass Threat (arstechnica.com) 39

Microsoft has patched a Windows vulnerability that allowed attackers to bypass Secure Boot, a critical defense against firmware infections, the company said. The flaw, tracked as CVE-2024-7344, affected Windows devices for at least seven months. Security researcher Martin Smolar discovered the vulnerability in a signed UEFI application within system recovery software from seven vendors, including Howyar.

The application, reloader.efi, circumvented standard security checks through a custom PE loader. Administrative attackers could exploit the vulnerability to install malicious firmware that persists even after disk reformatting. Microsoft revoked the application's digital signature, though the vulnerability's impact on Linux systems remains unclear.
United States

A New Jam-Packed Biden Executive Order Tackles Cybersecurity, AI, and More (wired.com) 127

U.S. President Joe Biden has issued a comprehensive cybersecurity executive order, four days before leaving office, mandating improvements to government network monitoring, software procurement, AI usage, and foreign hacker penalties.

The 40-page directive aims to leverage AI's security benefits, implement digital identities for citizens, and address vulnerabilities that have allowed Chinese and Russian intrusions into U.S. government systems. It requires software vendors to prove secure development practices and gives the Commerce Department eight months to establish mandatory cybersecurity standards for government contractors.
Government

Governments Call For Spyware Regulations In UN Security Council Meeting (techcrunch.com) 13

An anonymous reader quotes a report from TechCrunch: On Tuesday, the United Nations Security Council held a meeting to discuss the dangers of commercial spyware, which marks the first time this type of software -- also known as government or mercenary spyware -- has been discussed at the Security Council. The goal of the meeting, according to the U.S. Mission to the UN, was to "address the implications of the proliferation and misuse of commercial spyware for the maintenance of international peace and security." The United States and 15 other countries called for the meeting. While the meeting was mostly informal and didn't end with any concrete proposals, most of the countries involved, including France, South Korea, and the United Kingdom, agreed that governments should take action to control the proliferation and abuse of commercial spyware. Russia and China, on the other hand, dismissed the concerns.

John Scott-Railton, a senior researcher at The Citizen Lab, a human rights organization that has investigated spyware abuses since 2012, gave testimony in which he sounded the alarm on the proliferation of spyware made by "a secretive global ecosystem of developers, brokers, middlemen, and boutique firms," which "is threatening international peace and security as well as human rights." Scott-Railton called Europe "an epicenter of spyware abuses" and a fertile ground for spyware companies, referencing a recent TechCrunch investigation that showed Barcelona has become a hub for spyware companies in the last few years.

Representatives of Poland and Greece, countries that had their own spyware scandals involving software made by NSO Group and Intellexa, respectively, also intervened. Poland's representative pointed at local legislative efforts to put "more control, including by the judiciary, on the relevant operational activities of the security and intelligence services," while also recognizing that spyware can be used in a legal way. "We are not saying that the use of spyware is never justified or even required," said Poland's representative. And the Greek representative pointed to the country's 2022 bill to ban the sale of spyware.

Security

Russia's Largest Platform For State Procurement Hit By Cyberattack (therecord.media) 53

Roseltorg, Russia's main electronic trading platform for government and corporate procurement, confirmed it was targeted by a cyberattack claimed by the pro-Ukraine hacker group Yellow Drift. The group allegedly deleted 550 terabytes of data, causing significant operational delays and client concerns. The Record reports: The company initially confirmed last Thursday that its services had been temporarily suspended, without providing further details. In a recent Telegram statement, Roseltorg disclosed that it had been targeted by "an external attempt to destroy data and the entire infrastructure of electronic trading." Roseltorg stated that all data and infrastructure affected by the recent attack had been fully restored, and trading systems are expected to resume operations shortly. However, as of the time of writing, the company's website remains offline.

Last week, the previously unknown pro-Ukraine hacker group Yellow Drift claimed responsibility for the attack on Roseltorg, stating they had deleted 550 terabytes of data, including emails and backups. As proof, the hackers published screenshots from the platform's allegedly compromised infrastructure on their Telegram channel. "If you support tyranny and sponsor wars, be prepared to return to the Stone Age," the hackers said.

The cyberattack on Roseltorg is already impacting clients who rely on the platform's operations, including government agencies, state-owned companies and suppliers. Following the company's announcement, many clients expressed concerns in the comments section, complaining about potential financial losses and delays in the procurement process. Roseltorg said in a statement that once access to the trading systems is reinstated, all deadlines for procedures, including contract signings, will be automatically extended without requiring any requests from users.

Security

Dead Google Apps Domains Can Be Compromised By New Owners (arstechnica.com) 34

An anonymous reader quotes a report from Ars Technica: Lots of startups use Google's productivity suite, known as Workspace, to handle email, documents, and other back-office matters. Relatedly, lots of business-minded webapps use Google's OAuth, i.e. "Sign in with Google." It's a low-friction feedback loop -- up until the startup fails, the domain goes up for sale, and somebody forgot to close down all the Google stuff. Dylan Ayrey, of Truffle Security Co., suggests in a report that this problem is more serious than anyone, especially Google, is acknowledging. Many startups make the critical mistake of not properly closing their accounts -- on both Google and other web-based apps -- before letting their domains expire.

Given the number of people working for tech startups (6 million), the failure rate of said startups (90 percent), their usage of Google Workspaces (50 percent, all by Ayrey's numbers), and the speed at which startups tend to fall apart, there are a lot of Google-auth-connected domains up for sale at any time. That would not be an inherent problem, except that, as Ayrey shows, buying a domain allows you to re-activate the Google accounts for former employees if the site's Google account still exists.

With admin access to those accounts, you can get into many of the services they used Google's OAuth to log into, like Slack, ChatGPT, Zoom, and HR systems. Ayrey writes that he bought a defunct startup domain and got access to each of those through Google account sign-ins. He ended up with tax documents, job interview details, and direct messages, among other sensitive materials.
A Google spokesperson said in a statement: "We appreciate Dylan Ayrey's help identifying the risks stemming from customers forgetting to delete third-party SaaS services as part of turning down their operation. As a best practice, we recommend customers properly close out domains following these instructions to make this type of issue impossible. Additionally, we encourage third-party apps to follow best-practices by using the unique account identifiers (sub) to mitigate this risk."
Privacy

UnitedHealth Hid Its Change Healthcare Data Breach Notice For Months (techcrunch.com) 24

Change Healthcare has hidden its data breach notification webpage from search engines using "noindex" code, TechCrunch found, making it difficult for affected individuals to find information about the massive healthcare data breach that compromised over 100 million people's medical records last year.

The UnitedHealth subsidiary said Tuesday it had "substantially" completed notifying victims of the February 2024 ransomware attack. The cyberattack caused months of healthcare disruptions and marked the largest known U.S. medical data theft.
Privacy

PowerSchool Data Breach Victims Say Hackers Stole 'All' Historical Student and Teacher Data (techcrunch.com) 21

An anonymous reader shares a report: U.S. school districts affected by the recent cyberattack on edtech giant PowerSchool have told TechCrunch that hackers accessed "all" of their historical student and teacher data stored in their student information systems. PowerSchool, whose school records software is used to support more than 50 million students across the United States, was hit by an intrusion in December that compromised the company's customer support portal with stolen credentials, allowing access to reams of personal data belonging to students and teachers in K-12 schools.

The attack has not yet been publicly attributed to a specific hacker or group. PowerSchool hasn't said how many of its school customers are affected. However, two sources at affected school districts -- who asked not to be named -- told TechCrunch that the hackers accessed troves of personal data belonging to both current and former students and teachers.
Further reading: Lawsuit Accuses PowerSchool of Selling Student Data To 3rd Parties.
China

US Finalizes Rule To Effectively Ban Chinese Vehicles (theverge.com) 115

An anonymous reader quotes a report from The Verge: The Biden administration finalized a new rule that would effectively ban all Chinese vehicles from the US under the auspices of blocking the "sale or import" of connected vehicle software from "countries of concern." The rule could have wide-ranging effects on big automakers, like Ford and GM, as well as smaller manufacturers like Polestar -- and even companies that don't produce cars, like Waymo. The rule covers everything that connects a vehicle to the outside world, such as Bluetooth, Wi-Fi, cellular, and satellite components. It also addresses concerns that technology like cameras, sensors, and onboard computers could be exploited by foreign adversaries to collect sensitive data about US citizens and infrastructure. And it would ban China from testing its self-driving cars on US soil.

"Cars today have cameras, microphones, GPS tracking, and other technologies connected to the internet," US Secretary of Commerce Gina Raimondo said in a statement. "It doesn't take much imagination to understand how a foreign adversary with access to this information could pose a serious risk to both our national security and the privacy of U.S. citizens. To address these national security concerns, the Commerce Department is taking targeted, proactive steps to keep [People's Republic of China] and Russian-manufactured technologies off American roads." The rules for prohibited software go into effect for model year 2027 vehicles, while the ban on hardware from China waits until model year 2030 vehicles. According to Reuters, the rules were updated from the original proposal to exempt vehicles weighing over 10,000 pounds, which would allow companies like BYD to continue to assemble electric buses in California.
The Biden administration published a fact sheet with more information about this rule.

"[F]oreign adversary involvement in the supply chains of connected vehicles poses a significant threat in most cars on the road today, granting malign actors unfettered access to these connected systems and the data they collect," the White House said. "As PRC automakers aggressively seek to increase their presence in American and global automotive markets, through this final rule, President Biden is delivering on his commitment to secure critical American supply chains and protect our national security."
Transportation

Texas Sues Allstate For Collecting Driver Data To Raise Premiums (gizmodo.com) 62

An anonymous reader quotes a report from Gizmodo: Texas has sued (PDF) one of the nation's largest car insurance providers alleging that it violated the state's privacy laws by surreptitiously collecting detailed location data on millions of drivers and using that information to justify raising insurance premiums. The state's attorney general, Ken Paxton, said the lawsuit against Allstate and its subsidiary Arity is the first enforcement action ever filed by a state attorney general to enforce a data privacy law. It also follows a deceptive business practice lawsuit he filed against General Motors accusing the car manufacturer of misleading customers by collecting and selling driver data.

In 2015, Allstate developed the Arity Driving Engine software development kit (SDK), a package of code that the company allegedly paid mobile app developers to install in their products in order to collect a variety of sensitive data from consumers' phones. The SDK gathered phone geolocation data, accelerometer, and gyroscopic data, details about where phone owners started and ended their trips, and information about "driving behavior," such as whether phone owners appeared to be speeding or driving while distracted, according to the lawsuit. The apps that installed the SDK included GasBuddy, Fuel Rewards, and Life360, a popular family monitoring app, according to the lawsuit.

Paxton's complaint said that Allstate and Arity used the data collected by its SDK to develop and sell products to other insurers like Drivesight, an algorithmic model that assigned a driving risk score to individuals, and ArityIQ, which allowed other insurers to "[a]ccess actual driving behavior collected from mobile phones and connected vehicles to use at time of quote to more precisely price nearly any driver." Allstate and Arity marketed the products as providing "driver behavior" data but because the information was collected via mobile phones the companies had no way of determining whether the owner was actually driving, according to the lawsuit. "For example, if a person was a passenger in a bus, a taxi, or in a friend's car, and that vehicle's driver sped, hard braked, or made a sharp turn, Defendants would conclude that the passenger, not the actual driver, engaged in 'bad' driving behavior," the suit states. Neither Allstate and Arity nor the app developers properly informed customers in their privacy policies about what data the SDK was collecting or how it would be used, according to the lawsuit.
The lawsuit violates Texas' Data Privacy and Security Act (DPSA) and insurance code by failing to address violations within the required 30-day cure period. "In its complaint, filed in federal court, Texas requested that Allstate be ordered to pay a penalty of $7,500 per violation of the state's data privacy law and $10,000 per violation of the state's insurance code, which would likely amount to millions of dollars given the number of consumers allegedly affected," adds the report.

"The lawsuit also asks the court to make Allstate delete all the data it obtained through actions that allegedly violated the privacy law and to make full restitution to customers harmed by the companies' actions."
United States

US Removes Malware Allegedly Planted on Computers By Chinese-Backed Hackers (reuters.com) 17

The U.S. Justice Department said on Tuesday that it has deleted malware planted on more than 4,200 computers by a group of criminal hackers who were backed by the People's Republic of China. From a report: The malware, known as "PlugX," affected thousands of computers around the globe and was used to infect and steal information, the department said. Investigators said the malware was installed by a band of hackers who are known by the names "Mustang Panda" and "Twill Typhoon."
Earth

Nobel Prize Winners Call For Urgent 'Moonshot' Effort To Avert Global Hunger Catastrophe (theguardian.com) 117

More than 150 Nobel and World Food prize laureates have signed an open letter calling for "moonshot" efforts to ramp up food production before an impending world hunger catastrophe. From a report: The coalition of some of the world's greatest living thinkers called for urgent action to prioritise research and technology to solve the "tragic mismatch of global food supply and demand." Big bang physicist Robert Woodrow Wilson; Nobel laureate chemist Jennifer Doudna; the Dalai Lama; economist Joseph E Stiglitz; Nasa scientist Cynthia Rosenzweig; Ethiopian-American geneticist Gebisa Ejeta; Akinwumi Adesina, president of the African Development Bank; Wole Soyinka, Nobel prize for literature winner; and black holes Nobel physicist Sir Roger Penrose were among the signatories in the appeal coordinated by Cary Fowler, joint 2024 World Food prize laureate and US special envoy for global food security.

Citing challenges including the climate crisis, war and market pressures, the coalition called for "planet-friendly" efforts leading to substantial leaps in food production to feed 9.7 billion people by 2050. The plea was for financial and political backing, said agricultural scientist Geoffrey Hawtin, the British co-recipient of last year's World Food prize. [...] The world was "not even close" to meeting future needs, the letter said, predicting humanity faced an "even more food insecure, unstable world" by mid-century unless support for innovation was ramped up internationally.

United Kingdom

UK Plans To Ban Public Sector Organizations From Paying Ransomware Hackers (techcrunch.com) 16

U.K. public sector and critical infrastructure organizations could be banned from making ransom payments under new proposals from the U.K. government. From a report: The U.K.'s Home Office launched a consultation on Tuesday that proposes a "targeted ban" on ransomware payments. Under the proposal, public sector bodies -- including local councils, schools, and NHS trusts -- would be banned from making payments to ransomware hackers, which the government says would "strike at the heart of the cybercriminal business model."

This government proposal comes after a wave of cyberattacks targeting the U.K. public sector. The NHS last year declared a "critical" incident following a cyberattack on pathology lab provider Synnovis, which led to a massive data breach of sensitive patient data and months of disruption, including canceled operations and the diversion of emergency patients. According to new data seen by Bloomberg, the cyberattack on Synnovis resulted in harm to dozens of patients, leading to long-term or permanent damage to their health in at least two cases.

Security

Snyk Researcher Caught Deploying Malicious Code Targeting AI Startup (sourcecodered.com) 3

A Snyk security researcher has published malicious NPM packages targeting Cursor, an AI coding startup, in what appears to be a dependency confusion attack. The packages, which collect and transmit system data to an attacker-controlled server, were published under a verified Snyk email address, according to security researcher Paul McCarty.

The OpenSSF package analysis scanner flagged three packages as malicious, generating advisories MAL-2025-27, MAL-2025-28 and MAL-2025-29. The researcher deployed the packages "cursor-retrieval," "cursor-always-local" and "cursor-shadow-workspace," likely attempting to exploit Cursor's private NPM packages of the same names.
Encryption

Ransomware Crew Abuses AWS Native Encryption, Sets Data-Destruct Timer for 7 Days (theregister.com) 18

A new ransomware group called Codefinger targets AWS S3 buckets by exploiting compromised or publicly exposed AWS keys to encrypt victims' data using AWS's own SSE-C encryption, rendering it inaccessible without the attacker-generated AES-256 keys. While other security researchers have documented techniques for encrypting S3 buckets, "this is the first instance we know of leveraging AWS's native secure encryption infrastructure via SSE-C in the wild," Tim West, VP of services with the Halcyon RISE Team, told The Register. "Historically AWS Identity IAM keys are leaked and used for data theft but if this approach gains widespread adoption, it could represent a significant systemic risk to organizations relying on AWS S3 for the storage of critical data," he warned. From the report: ... in addition to encrypting the data, Codefinder marks the compromised files for deletion within seven days using the S3 Object Lifecycle Management API â" the criminals themselves do not threaten to leak or sell the data, we're told. "This is unique in that most ransomware operators and affiliate attackers do not engage in straight up data destruction as part of a double extortion scheme or to otherwise put pressure on the victim to pay the ransom demand," West said. "Data destruction represents an additional risk to targeted organizations."

Codefinger also leaves a ransom note in each affected directory that includes the attacker's Bitcoin address and a client ID associated with the encrypted data. "The note warns that changes to account permissions or files will end negotiations," the Halcyon researchers said in a report about S3 bucket attacks shared with The Register. While West declined to name or provide any additional details about the two Codefinger victims -- including if they paid the ransom demands -- he suggests that AWS customers restrict the use of SSE-C.

"This can be achieved by leveraging the Condition element in IAM policies to prevent unauthorized applications of SSE-C on S3 buckets, ensuring that only approved data and users can utilize this feature," he explained. Plus, it's important to monitor and regularly audit AWS keys, as these make very attractive targets for all types of criminals looking to break into companies' cloud environments and steal data. "Permissions should be reviewed frequently to confirm they align with the principle of least privilege, while unused keys should be disabled, and active ones rotated regularly to minimize exposure," West said.
An AWS spokesperson said it notifies affected customers of exposed keys and "quickly takes any necessary actions, such as applying quarantine policies to minimize risks for customers without disrupting their IT environment."

They also directed users to this post about what to do upon noticing unauthorized activity.
AI

Ministers Mull Allowing Private Firms to Make Profit From NHS Data In AI Push 35

UK ministers are considering allowing private companies to profit from anonymized NHS data as part of a push to leverage AI for medical advancements, despite concerns over privacy and ethical risks. The Guardian reports: Keir Starmer on Monday announced a push to open up the government to AI innovation, including allowing companies to use anonymized patient data to develop new treatments, drugs and diagnostic tools. With the prime minister and the chancellor, Rachel Reeves, under pressure over Britain's economic outlook, Starmer said AI could bolster the country's anaemic growth, as he put concerns over privacy, disinformation and discrimination to one side.

"We are in a unique position in this country, because we've got the National Health Service, and the use of that data has already driven forward advances in medicine, and will continue to do so," he told an audience in east London. "We have to see this as a huge opportunity that will impact on the lives of millions of people really profoundly." Starmer added: "It is important that we keep control of that data. I completely accept that challenge, and we will also do so, but I don't think that we should have a defensive stance here that will inhibit the sort of breakthroughs that we need."

The move to embrace the potential of AI rather than its risks comes at a difficult moment for the prime minister, with financial markets having driven UK borrowing costs to a 30-year high and the pound hitting new lows against the dollar. Starmer said on Monday that AI could help give the UK the economic boost it needed, adding that the technology had the potential "to increase productivity hugely, to do things differently, to provide a better economy that works in a different way in the future." Part of that, as detailed in a report by the technology investor Matt Clifford, will be to create new datasets for startups and researchers to train their AI models.

Data from various sources will be included, such as content from the National Archives and the BBC, as well as anonymized NHS records. Officials are working out the details on how those records will be shared, but said on Monday that they would take into account national security and ethical concerns. Starmer's aides say the public sector will keep "control" of the data, but added that could still allow it to be used for commercial purposes.
AI

Nvidia Snaps Back at Biden's 'Innovation-Killing' AI Chip Export Restrictions (theregister.com) 61

Nvidia has hit back at the outgoing Biden administration's AI chip tech export restrictions designed to tighten America's stranglehold on supply chains and maintain market dominance. From a report: The White House today unveiled what it calls the Final Rule on Artificial Intelligence Diffusion from the Biden-Harris government, placing limits on the number of AI-focused chips that can be exported to most countries, but allowing exemptions for key allies and partners.

The intent is to work with AI companies and foreign governments to initiate critical security and trust standards as they build out their AI infrastructure, but the regulation also makes it clear that the focus of this policy is "to enhance US national security and economic strength," and "it is essential that ... the world's AI runs on American rails." Measures are intended to restrict the transfer to non-trusted countries of the weights for advanced "closed-weight" AI models, and set out security standards to protect the weights of such models. However GPU supremo Nvidia claims the proposed rules are so harmful that it has published a document strongly criticizing the decision.

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