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23 JUL, 2024

The Cybersecurity Express – July 23, 2024

Cybourn Media Hub

You stand on the platform, the crisp morning air buzzing with anticipation. The distant sound of a train whistle grows louder, a signal that your journey is about to begin. This isn’t just any train—it’s The Cybersecurity Express, a gateway to the latest and most vital cybersecurity news. The sleek, silver train pulls into the station, its lights casting a warm glow. Your pulse quickens with excitement as the doors slide open, inviting you into a world where each stop reveals critical insights and stories from the digital frontier.

Stepping inside, you find yourself in a comfortable carriage filled with fellow travelers eager to learn about the latest cyber threats and defenses. The hum of conversation and the soft glow of screens create an atmosphere of urgency and importance. As you settle into your seat, you can almost feel the flow of information waiting to be uncovered. The conductor’s voice crackles over the intercom, promising an enlightening journey through the most pressing issues in cybersecurity. Hold on tight—The Cybersecurity Express is about to depart, taking you to the forefront of the digital battleground.

US House Panel Summons CrowdStrike CEO Following Major Outage

The CEO of cybersecurity firm CrowdStrike has been called to testify before a US House panel following the infamous outage that impacted an estimated 9 million devices worldwide. No need to cover on that, as there probably isn’t a soul that hasn’t heard about the outage either via the news or memes, but we will touch on it later in the article. CrowdStrike’s response has been swift, and they have offered incredible support in remediating the issue and transparency into the cause, but nevertheless the deed is too great to be swept under the rug. As the congressional panel put it in the letter “While we appreciate CrowdStrike’s response and coordination with stakeholders, we cannot ignore the magnitude of this incident, which some have claimed is the largest IT outage in history,”. The U.S. House of Representatives Homeland Security Committee is summoning CrowdStrike CEO George Kurtz for a hearing that aims to shed light on the causes of the outage, its implications for cybersecurity, and the measures being taken to prevent future incidents and the world is looking forward to it.

The outage, which affected several of CrowdStrike’s clients, was reportedly caused by a complex chain of events involving both technical and operational failures, that led to a faulty CrowdStrike sensor update, what caused Windows hosts to enter a boot loop or showing the Blue Screen of Death. This incident crippled the world on Friday 17th of July 2024, halting operations in airports, banks, medical centers, retail and more for several hours, in some isolated cases even for days.  This raises critical questions about the resilience and reliance of cybersecurity defenses, especially for a company like CrowdStrike, which is a key player in the industry and poses a serious question: What do you do when your systems are brought down not by the attackers, but by the very systems put in place to keep them away?

The outage has significant implications for CrowdStrike and its clients. Businesses relying on CrowdStrike’s cybersecurity services suffered significant downtime, and still have not recovered from the delays and backlog produced by this event, for which the company will have to answer. On top of that, bad publicity and ridicule from the community made the CrowdStrike shares drop 30% by the time this article was written. The company has since implemented several measures to mitigate the impact and prevent future occurrences. CrowdStrike has also been proactive in communicating with its clients, providing updates on the situation and ensuring that all necessary patches and solutions are applied promptly.

This incident underscores the importance of robust and resilient software development practices, particularly for firms that provide critical defense services to other businesses. The scrutiny faced by CrowdStrike highlights the need for continuous improvement and vigilance in cybersecurity measures. It also serves as a reminder for other cybersecurity firms to evaluate and strengthen their own defenses to avoid similar situations.

Cybercriminals Exploit CrowdStrike Outage with Fake Fixes

On the same subject of CrowdStrike’s recent service outage, cybercriminals have taken advantage of the situation by distributing fake CrowdStrike updates that deliver malware and data wipers, adding to the already significant blunder. This malicious campaign aims to exploit the chaos and urgency created by the outage, tricking businesses into downloading harmful software under the guise of security fixes.

The cybercriminals behind this campaign have been sending out phishing emails that appear to be from CrowdStrike. These emails contain links to malicious websites or attachments purporting to be urgent security updates fixing the logic fault. Once the malicious payload is downloaded and executed, it can install data wipers, ransomware, or command and control malware, leading to significant data loss and network breaches.

The attackers use several sophisticated techniques to make their phishing emails convincing. These include spoofing email addresses to appear as if they are coming from legitimate CrowdStrike domains, using official-looking branding and language, and creating fake websites that closely mimic CrowdStrike’s official site or internal company IT communication channels, as they did for Spanish BBVA Bank. One of the notable malware strains being used in this campaign is a data wiper that deletes files irreversibly, aiming to cause maximum disruption to the targeted organizations. In some cases, ransomware has also been deployed, encrypting critical data and demanding a ransom for its release.

Phishing email send by the Handala threat actors

This malicious campaign has far-reaching implications, particularly for organizations already impacted by the CrowdStrike outage. The additional layer of deception and the potential for significant data loss or encryption make this a severe threat. Businesses are urged to be extremely cautious and verify the authenticity of any communications claiming to be from CrowdStrike. The cybersecurity giant has issued warnings to its clients, advising them to avoid downloading any updates from unofficial sources and to verify the legitimacy of any communications regarding security updates: “I encourage everyone to remain vigilant and ensure that you’re engaging with official CrowdStrike representatives. Our blog and technical support will continue to be the official channels for the latest updates” – George Kurtz, CrowdStrike CEO. The company has provided detailed guidance on its official website for identifying and avoiding these phishing attempts. Clients are encouraged to download updates directly from CrowdStrike’s official channels and to use advanced threat detection tools to monitor for any suspicious activity.

This incident underscores the need for robust email security measures, cybersecurity training of personnel and the importance of using legitimate channels for security updates. Organizations should implement multi-factor authentication, educate employees about phishing risks, and use endpoint protection solutions to defend against such threats.

Los Angeles Superior Court Shuts Down After Ransomware Attack

In a significant cybersecurity incident, the Los Angeles Superior Court was forced to shut down its operations following a ransomware attack. This attack disrupted court functions, delaying numerous legal proceedings and impacting the justice system’s efficiency. The ransomware infiltrated the court’s systems, encrypting critical data and demanding a ransom for its release.

The ransomware attack unfolded last Friday and is unrelate to the CrowdStrike outage. Details are yet unavailable, but what we know is that the entire court network was shut down deliberately to prevent spread and further damage. The malware used in this attack is believed to be a variant of the notorious Ryuk ransomware, known for targeting large organizations and demanding substantial ransoms. This strain of ransomware typically spreads through phishing emails, which contain malicious links or attachments that, once clicked, deploy the malware onto the victim’s system.

The attack led to the shutdown of the court’s digital infrastructure, that covers 41 court facilities in 26 cities across the County of Los Angeles, halting all electronic services, including case management systems, online filing portals, and internal communications. As a result, court proceedings had to be postponed, and the handling of cases was severely disrupted. This not only caused delays in the judicial process but also created a backlog of cases that will take considerable time to resolve.

The court’s IT department, in coordination with cybersecurity experts, immediately began working to contain the attack and assess the damage. Steps were taken to isolate the infected systems to prevent the ransomware from spreading further. Law enforcement agencies, including the FBI, were notified and have launched an investigation into the attack. To prevent such attacks, state entities should implement several measures to enhance their cybersecurity posture. These measures include:

  • Conducting a thorough audit of all IT systems to identify and patch vulnerabilities.
  • Employ a robust certified MSSP to monitor for suspicious activities, close security gaps and install adequate defenses.
  • Training employees to recognize and avoid phishing attempts, which are a common vector for ransomware attacks.
  • Regularly backing up critical data to ensure recovery in case of future incidents.

This ransomware attack on the Los Angeles Superior Court underscores the growing threat that cybercriminals pose to critical public infrastructure. It highlights the importance of robust cybersecurity measures and the need for continuous vigilance. Public institutions must invest in advanced security technologies and employee training to safeguard against such disruptive attacks. Unfortunately, it is these state entities that are usually neglected from the perspective of technology infrastructure and cybersecurity, rendering them as easy but also significant targets for cybercriminals, an issue that we at CyBourn are aware and have voiced about. Luckily CyBourn has worked with several such public institution, and helped buff their security stance and bring them up to current robust standards so they can operate and prosper in this treacherous environment, and we will continue to do so.

The themes discussed highlight the critical importance of robust cybersecurity measures, vigilance, and proactive responses to threats. Whether dealing with major outages, fake updates distributing malware, or ransomware attacks on critical infrastructure, the need for continuous improvement and awareness is paramount.

Thank you for joining us on The Cybersecurity Express. Your time and commitment to staying informed are invaluable. We look forward to welcoming you back for more insightful content on the latest in cybersecurity. Stay safe and vigilant as we navigate the digital frontier together.

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