Eliana Willis

Malware delivered over the cloud increased by 68% in Q2, according to data from cybersecurity firm Netskope.

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The company released the fifth edition of its Cloud and Threat Report that covers the cloud data risks, threats and trends they see throughout the quarter. The report noted that cloud storage apps account for more than 66% of cloud malware delivery.”In Q2 2021, 43% of all malware downloads were malicious Office docs, compared to just 20% at the beginning of 2020. This increase comes even after the Emotet takedown, indicating that other groups observed the success of the Emotet crew and have adopted similar techniques,” the report said. “Collaboration apps and development tools account for the next largest percentage, as attackers abuse popular chat apps and code repositories to deliver malware. In total, Netskope detected and blocked malware downloads originating from 290 distinct cloud apps in the first half of 2021.”
Netskope
The researchers behind the report explained that cybercriminals deliver malware through cloud apps “to bypass blocklists and take advantage of any app-specific allow lists.” Cloud service providers generally remove most malware immediately, but some attackers have found ways to do significant damage in the short time they spend undetected in a system. According to the company’s researchers, about 35% of all workloads are also exposed to the public internet within AWS, Azure, and GCP, with public IP addresses that are reachable from anywhere on the internet.

RDP servers — which they say have become “a popular infiltration vector for attackers” — were exposed in 8.3% of workloads. The average company with anywhere between 500 and 2000 employees now deploys 805 distinct apps and cloud services, with 97% of those being “unmanaged and often freely adopted by business units and users.”The rapid adoption of enterprise cloud apps has continued into 2021, with data showing adoption is up 22% for the first half of the year. But, the report notes that “97% of cloud apps used in the enterprise are shadowing IT, unmanaged and often freely adopted by business units and users.”There are also issues raised in the report about employee habits, both at the workplace and at home. The report raises concerns about the nearly universal trend of employees authorizing at least one third-party app in Google Workspace. Netskope’s report says employees leaving an organization upload three times more data to their personal apps in the final 30 days of employment. The uploads are leaving company data exposed because much of it is uploaded to personal Google Drive and Microsoft OneDrive, which are popular targets for cyberattackers. According to Netskope’s findings, 15% “either upload files that were copied directly from managed app instances or that violate a corporate data policy.”The researchers also add that remote work is still in full swing as of the end of June 2021, with 70% of users surveyed still working remotely. “At the beginning of the pandemic, when users began working from home, we saw a spike in users visiting risky websites, including adult content, file sharing, and piracy websites,” the report added. “Over time, this risky web surfing subsided as users presumably became more accustomed to working from home, and IT teams were able to coach users on acceptable use policies.”The report touts the decline in risky browsing but also highlights the “growing danger of malicious Office documents” and cloud configurations as particularly thorny problems. Joseph Carson, chief security scientist and advisory CISO at ThycoticCentrify, said the change to a hybrid work environment last year meant that cybersecurity needed to evolve from being perimeter and network-based to one that is focused on cloud, identity and privileged access management.  “Organizations must continue to adapt and prioritize managing and securing access to the business applications and data, such as that similar to the BYOD types of devices, and that means further segregation networks for untrusted devices but secured with strong privileged access security controls to enable productivity and access,” Carson said.  More

Mitre has released its rundown of the most widespread and critical vulnerabilities in software, many of which are easy to find and can be exploited by cyber criminals to take over systems, steal data or crash applications and even computers.

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The 2021 Common Weakness Enumeration (CWE) Top 25 Most Dangerous Software Weaknesses details the most common and most impactful security issues.   The list is based on published Common Vulnerabilities and Exposures (CVE) data, as well as data from the National Institute of Standards and Technology (NIST) National Vulnerability Database (NVD) and the Common Vulnerability Scoring System (CVSS) scores of the CVEs.  Top of the list with the highest score by some margin is CWE-787: Out-of-bounds Write, a vulnerability where software writes past the end, or before the beginning, of the intended buffer. Like many of the vulnerabilities in the list this can lead to corruption of data and crashing systems, as well as the ability for attackers to execute code.  “These weaknesses are dangerous because they are often easy to find, exploit, and can allow adversaries to completely take over a system, steal data, or prevent an application from working,” Mitre said in a blog post.  Mitre Corporation is an US non-for-profit organisation behind the MITRE ATT&CK framework – a globally-accessible knowledge base of adversary tactics and techniques based on real-world observations.  SEE: A winning strategy for cybersecurity (ZDNet special report) | Download the report as a PDF (TechRepublic)  

Second in the list is CWE-79: Improper Neutralization of Input During Web Page Generation, a cross-site scripting vulnerability which doesn’t correctly neutralise inputs before being placed as outputs on a website. This can lead to attackers being able to inject malicious script and allow them to steal sensitive information and send other malicious requests, particularly if they able to gain administrator privileges.  Third in the list is CWE-125: Out-of-bounds Read, a vulnerability which can allow attackers read sensitive information from other memory locations or cause a crash. While many of the vulnerabilities are potentially very damaging if they’re discovered and exploited by cyber criminals, the weaknesses can often be countered, particularly for those for which a security patch is available. Applying security patches to fix known vulnerabilities is one of the key things that organisations can do to help protect their networks from cyber attacks and intrusions.  The 2021 CWE Top 25 uses NVD data from the years 2019 and 2020, which consists of approximately 32,500 CVEs that are associated with a weakness. The full list is available on the CWE website.

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Analysts with cybersecurity company Intezer have found that cybercriminals are now going after a new attack vector against Kubernetes clusters via misconfigured Argo Workflows instances.Intezer security researchers Ryan Robinson and Nicole Fishbein wrote a report detailing the attack, noting that they have already found infected nodes. The two said the attacks were concerning because there are hundreds of misconfigured deployments, and attackers have been detected dropping crypto-miners like the Kannix/ Monero-miner through this attack vector.”We have detected exposed instances of Argo Workflows that belong to companies from different sectors including technology, finance and logistics. Argo Workflows is an open-source, container-native workflow engine designed to run on K8s clusters. Argo Workflows instances with misconfigured permissions allow threat actors to run unauthorized code on the victim’s environment,” Robinson and Fishbein said. “Exposed instances can contain sensitive information such as code, credentials and private container image names. We also discovered that in many instances, permissions are configured, which allow any visiting user to deploy workflows. We also detected that threat actors are targeting some misconfigured nodes.”Some cyber-attackers have been able to take advantage of misconfigured permissions that give them access to an open Argo dashboard where they can submit their own workflow.The “Kannix/ Monero-miner,” according to the researchers, requires little skill to use, and the report notes that other security teams have discovered large-scale cryptocurrency mining attacks against Kubernetes clusters.”In Docker Hub, there are still a number of options for Monero mining that attackers can use. A simple search shows that there are at least 45 other containers with millions of downloads,” the study said. 

Fishbein and Robinson urge users to access the Argo Workflows dashboard from an unauthenticated incognito browser outside of corporate environments as a way to check if instances are misconfigured. Administrators can also query the API of an instance and check the status code. 

Yaniv Bar-Dayan, CEO of Vulcan Cyber, explained that the complexity and scale inherent to enterprise cloud deployments means that there will be breaches due to human error. “Misconfiguration is just one type of risk-inducing vulnerability, and cloud is just one attack vector that needs to be tracked and mitigated. If security teams can understand and prioritize risk created by cloud misconfigurations alongside IT infrastructure and application vulnerabilities, they have a shot at reducing risk and improving the security posture of business,” Bar-Dayan added. “Cloud security can no longer be someone else’s problem, and it is not enough to ask if cloud infrastructure by itself is secure. We must ask the same about our applications, traditional infrastructure and networks.”Coalfire managing principal Andrew Barratt noted that orchestration platforms are an interesting attack surface due to their ability to perform. Barratt said they could allow an adversary to perform very sophisticated lateral attacks entirely leveraging the scale of native cloud services. While he is not against using them, he said it is now important for them to be seen as a sophisticated attack platform with many capabilities and typically elevated privileges and the ability to build and deploy resources with an immediate cost associated. “These vulnerabilities have been around for a long time, and security teams are already aware of them to some degree, regardless of platform — be it virtualization, physical data centers or the public cloud and the many different service offerings,” said Michael Cade, a senior global technologist with Kasten.”This is not going to be the only vulnerability that is found within Kubernetes environments or wider operating systems.” More

Microsoft is warning customers about the LemonDuck crypto mining malware which is targeting both Windows and Linux systems and is spreading via phishing emails, exploits, USB devices, and brute force attacks, as well as attacks targeting critical on-premise Exchange Server vulnerabilities uncovered in March. 

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Also: The 25 most dangerous software vulnerabilities to watch out forThe group was discovered to be using Exchange bugs to mine for cryptocurrency in May, two years after it first emerged.         Notably, the group behind LemonDuck is taking advantage of high-profile security bugs by exploiting older vulnerabilities during periods where security teams are focussed on patching critical flaws, and even removing rival malware.  “[LemonDuck] continues to use older vulnerabilities, which benefit the attackers at times when focus shifts to patching a popular vulnerability rather than investigating compromise,” the Microsoft 365 Defender Threat Intelligence Team note.  “Notably, LemonDuck removes other attackers from a compromised device by getting rid of competing malware and preventing any new infections by patching the same vulnerabilities it used to gain access.” Cisco’s Talos malware researchers have been scoping out the group’s Exchange activities too. It found LemonDuck was using automated tools to scan, detect, and exploit servers before loading payloads such as the Cobalt Strike pen-testing kit — a favored tool for lateraled movement — and web shells, allowing malware to install additional modules. 

According to Microsoft, LemonDuck initially hit China heavily, but it has now expanded to the US, Russia, Germany, the UK, India, Korea, Canada, France, and Vietnam. It focuses on the manufacturing and IoT sectors. This year, the group ramped up hands-on-keyboard or manual hacking after an initial breach. The group is selective with its targets.  It also crafted automated tasks to exploit the Eternal Blue SMB exploit from the NSA that was leaked by Kremlin-backed hackers and used in the 2017 WannCry ransomware attack. “The task was used to bring in the PCASTLE tool to achieve a couple of goals: abuse the EternalBlue SMB exploit, as well as use brute force or pass-the-hash to move laterally and begin the operation again. Many of these behaviors are still observed in LemondDuck campaigns today,” Microsoft’s security team notes.  LemonDuck got its name from the variable “Lemon_Duck” in a PowerShell script that’s acts as the user agent to track infected devices.  The vulnerabilities it targets for initial compromise include CVE-2017-0144 (EternalBlue), CVE-2017-8464 (LNK RCE), CVE-2019-0708 (BlueKeep), CVE-2020-0796 (SMBGhost), CVE-2021-26855 (ProxyLogon), CVE-2021-26857 (ProxyLogon), CVE-2021-26858 (ProxyLogon), and CVE-2021-27065 (ProxyLogon). “Once inside a system with an Outlook mailbox, as part of its normal exploitation behavior, LemonDuck attempts to run a script that utilizes the credentials present on the device. The script instructs the mailbox to send copies of a phishing message with preset messages and attachments to all contacts,” Microsoft notes.  More

GitHub has announced a slew of supply chain security upgrades for modules based on the Go programming language. 

On July 22, GitHub staff product manager William Bartholomew said in a blog post that Go — also known as Golang — is now firmly entrenched in the top 15 programming languages on the platform, and as the most popular host for Go modules, GitHub wants to help the community “discover, report, and prevent security vulnerabilities.” Introduced in 2019, Go modules were designed to improve dependency management. According to the Go Developer Survey 2020, 76% of respondents said that Go is now used in some form in the enterprise.  In addition, Go modules adoption is increasing, with 96% of those surveyed saying that these modules are used for package management — an increase of 7% from 2019 — and 87% of respondents reported that only Go modules are used for this purpose.  An overall trend in the survey appears to suggest the use of other package management tools is decreasing.  According to GitHub, there are four main areas of improvement for supply chain security now available for Go modules. The first is GitHub’s Advisory Database, an open source repository of vulnerability information which, at the time of writing, now contains over 150 Go advisories.  The database also allows developers to request CVE IDs for newly-discovered security issues. 

“This number is growing every day as we curate existing vulnerabilities and triage newly discovered ones,” Bartholomew commented.  In addition, GitHub has now provided its dependency graph, which can be used to monitor and analyze project dependencies via go.mod — as well as to alert users when vulnerable dependencies are detected.  GitHub has also included Dependabot in this update, which will send developers a notification when new vulnerabilities are discovered in Go modules. Automatic pull requests can be enabled to patch vulnerable Go modules and notification settings have been upgraded for fine-tuning.  Bartholomew says that when repositories are set to automatically generate pull requests for security updates, dependencies tend to patch up to 40% faster than those which do not.  Developers can check GitHub’s documentation for repository security here.  Previous and related coverage Have a tip? Get in touch securely via WhatsApp | Signal at +447713 025 499, or over at Keybase: charlie0 More

Kaseya, an IT solutions developer for MSPs and enterprise clients, announced that it had become the victim of a cyberattack on July 2, over the American Independence Day weekend. 

It appears that attackers have carried out a supply chain ransomware attack by leveraging a vulnerability in Kaseya’s VSA software against multiple managed service providers (MSP) — and their customers. Also: Kaseya issues patch for on-premise customers, SaaS rollout underwayAccording to Kaseya CEO Fred Voccola, less than 0.1% of the company’s customers were embroiled in the breach — but as their clientele includes MSPs, this means that smaller businesses have also been caught up in the incident.  Present estimates suggest that 800 to 1500 small to medium-sized companies may have experienced a ransomware compromise through their MSP.  The attack is reminiscent of the SolarWinds security fiasco, in which attackers managed to compromise the vendor’s software to push a malicious update to thousands of customers. However, we are yet to find out just how widespread Kaseya’s ransomware incident will prove to be.  Here is everything we know so far. ZDNet will update this primer as we learn more. 

What is Kaseya?

Kaseya’s international headquarters is in Dublin, Ireland, and the company has a US headquarters in Miami, Florida. The vendor maintains a presence in 10 countries. Kaseya provides IT solutions including VSA, a unified remote-monitoring and management tool for handling networks and endpoints. In addition, the company provides compliance systems, service desks, and a professional services automation platform. The firm’s software is designed with enterprises and managed service providers (MSPs) in mind, and Kaseya says that over 40,000 organizations worldwide use at least one Kaseya software solution. As a provider of technology to MSPs, which serve other companies, Kaseya is central to a wider software supply chain. 

What happened?

On July 2 at 2:00 PM EDT, as previously reported by ZDNet, Kaseya CEO Fred Voccola announced “a potential attack against the VSA that has been limited to a small number of on-premise customers.”At the same time, out of an abundance of caution, Voccola urged clients to immediately shut down their VSA servers. “It’s critical that you do this immediately because one of the first things the attacker does is shut off administrative access to the VSA,” the executive said. Customers were notified of the breach via email, phone, and online notices. As Kaseya’s Incident Response team investigated, the vendor also decided to proactively shut down its SaaS servers and pull its data centers offline. By July 4, the company had revised its thoughts on the severity of the incident, calling itself the “victim of a sophisticated cyberattack.” Cyber forensics experts from FireEye’s Mandiant team, alongside other security companies, have been pulled in to assist. “Our security, support, R&D, communications, and customer teams continue to work around the clock in all geographies to resolve the issue and restore our customers to service,” Kaseya said, adding that more time is needed before its data centers are brought back online. Once the SaaS servers are operational, Kaseya will publish a schedule for distributing a security patch to on-prem clients. In a July 5 update, Kaseya said that a fix has been developed and would first be deployed to SaaS environments, once testing and validation checks are complete. “We are developing the new patch for on-premises clients in parallel with the SaaS Data Center restoration,” the company said. “We are deploying in SaaS first as we control every aspect of that environment. Once that has begun, we will publish the schedule for distributing the patch for on-premises customers.”

The ransomware attack, explained

The FBI described the incident succinctly: a “supply chain ransomware attack leveraging a vulnerability in Kaseya VSA software against multiple MSPs and their customers.”Huntress (1,2) has tracked 30 MSPs involved in the breach and believes with “high confidence” that the attack was triggered via an authentication bypass vulnerability in the Kaseya VSA web interface. According to the cybersecurity firm, this allowed the attackers to circumvent authentication controls, gain an authenticated session, upload a malicious payload, and execute commands via SQL injection, achieving code execution in the process. Kyle Hanslovan, CEO and co-founder of Huntress, told attendees of a webinar discussing the technical aspects of the attack on July 6 that the threat actors responsible were “crazy efficient.””There is no proof that the threat actors had any idea of how many businesses they targeted through VSA,” Hanslovan commented, adding that the incident seemed to be shaped more due to a “race against time.” “Some of the functionality of a VSA Server is the deployment of software and automation of IT tasks,” Sophos noted. “As such, it has a high level of trust on customer devices. By infiltrating the VSA Server, any attached client will perform whatever task the VSA Server requests without question. This is likely one of the reasons why Kaseya was targeted.”The vendor has also provided an in-depth technical analysis of the attack. Security expert Kevin Beaumont said that ransomware was pushed via an automated, fake, and malicious software update using Kaseya VSA dubbed “Kaseya VSA Agent Hot-fix”.”This fake update is then deployed across the estate — including on MSP client customers’ systems — as it [is] a fake management agent update,” Beaumont commented. “This management agent update is actually REvil ransomware. To be clear, this means organizations that are not Kaseya’s customers were still encrypted.”With a tip from RiskIQ, Huntress is also investigating an AWS IP address that may have been used as a launch point for the attack. On July 5, Kaseya released an overview of the attack, which began on July 2 with reports of ransomware deployment on endpoints. “In light of these reports, the executive team convened and made the decision to take two steps to try to prevent the spread of any malware: we sent notifications to on-premises customers to shut off their VSA servers and we shut down our VSA SaaS infrastructure,” the company says.According to the firm, zero-day vulnerabilities were exploited by the attackers to trigger a bypass authentication and for code execution, allowing them to infect endpoints with ransomware. However, Kaseya emphasizes that there is no evidence of the VSA codebase being “maliciously modified”. Wietse Boonstra, a Dutch Institute for Vulnerability Disclosure (DIVD) researcher, previously identified a number of vulnerabilities, tracked as CVE-2021-30116, which were used in the ransomware attacks. They were reported under a Coordinated Vulnerability Disclosure pact.”Once Kaseya was aware of our reported vulnerabilities, we have been in constant contact and cooperation with them. When items in our report were unclear, they asked the right questions,” DIVD says. “Also, partial patches were shared with us to validate their effectiveness. During the entire process, Kaseya has shown that they were willing to put in the maximum effort and initiative into this case both to get this issue fixed and their customers patched. ” 

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Who has been impacted?

Over the weekend, Kaseya said that SaaS customers were “never at risk” and current estimates suggest that fewer than 40 on-prem clients worldwide have been affected. However, it should be noted that while a small number of Kaseya clients may have been directly infected, as MSPs, SMB customers further down the chain relying on these services could be impacted in their turn. According to reports, 800 Coop supermarket chain stores in Sweden had to temporarily close as they were unable to open their cash registers.Huntress said in a Reddit explainer that an estimated 1,000 companies have had servers and workstations encrypted. The vendor added that it is reasonable to suggest “thousands of small businesses” may have been impacted.”This is one of the farthest-reaching criminal ransomware attacks that Sophos has ever seen,” commented Ross McKerchar, Sophos VP. “At this time, our evidence shows that more than 70 managed service providers were impacted, resulting in more than 350 further impacted organizations. We expect the full scope of victim organizations to be higher than what’s being reported by any individual security company.”On July 5, Kaseya revised previous estimates to “fewer than 60” customers, adding that “we understand the total impact thus far has been to fewer than 1,500 downstream businesses.”Now, on July 6, the estimate is between 50 direct customers, and between 800 and 1,500 businesses down the chain. When it comes to SaaS environments, Kaseya says, “We have not found evidence that any of our SaaS customers were compromised.”In a press release dated July 6, Kaseya has insisted that “while impacting approximately 50 of Kaseya’s customers, this attack was never a threat nor had any impact to critical infrastructure.” The number of vulnerable Kaseya servers online, visible, and open to attackers dropped by 96% from roughly 1,500 on July 2 to 60 on July 8, according to Palo Alto Networks.

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Kaseya CEO Fred Voccola said that the attack, “for the very small number of people who have been breached, it totally sucks.” “We are two days after this event,” Voccola commented. “We have about 150 people that have probably slept a grand total of four hours in the last two days, literally, and that’ll continue until everything is as perfect as can be.” Less than 0.1% of the company’s customers experienced a breach. “Unfortunately, this happened, and it happens,” the executive added. “Doesn’t make it okay. It just means it’s the way the world we live in is today.”

What is ransomware?

Ransomware is a type of malware that specializes in the encryption of files and drives. In what has become one of the most severe and serious security problems modern businesses now face, ransomware is used by threat actors worldwide to hijack systems and disrupt operations. Once a victim’s system or network has been encrypted, cyber criminals will place a ransom note on the system, demanding payment in return for a decryption key (which may, or may not, work). Today’s ransomware operators may be part of Ransomware-as-a-Service (RaaS), when they ‘subscribe’ to access and use a particular type of ransomware. Another emerging trend is double extortion, in which a victim will have their information stolen during a ransomware raid. If they refuse to pay up, they may then face the prospect of their data being sold or published online. Common and well-known ransomware families include REvil, Locky, WannaCry, Gandcrab, Cerber, NotPetya, Maze, and Darkside. Read on: What is ransomware? Everything you need to know about one of the biggest menaces on the webSee also:

Who is responsible?

Charlie Osborne | ZDNet

The cyberattack has been attributed to the REvil/Sodinikibi ransomware group, which has claimed responsibility on its Dark Web leak site, “Happy Blog.”In an update over the weekend, the operators, believed to have ties to Russia, claimed that more than “a million” systems have been infected. REvil has offered a decryption key, allegedly universal and, therefore, able to unlock all encrypted systems, for the ‘bargain’ price of $70 million in the bitcoin (BTC) cryptocurrency.REvil has been previously linked to ransomware attacks against companies, including JBS, Travelex, and Acer. 

What are the ransomware payment terms?

The ransomware note claims that files are “encrypted, and currently unavailable.” A file extension .csruj has reportedly been used. Operators are demanding payment in return for a decryption key and one ‘freebie’ file decryption is also on the table to prove the decryption key works. The operators add (spelling unchanged):”Its just a business. We absolutely do not care about you and your deals, except getting benefits. If we do not do our work and liabilities – nobody will not cooperate with us. Its not in our interests. If you will not cooperate with our service –for us, its does not matter. But you will lose your time and data, cause just we have the private key. In practice – time is much more valuable than money.”Sophos malware analyst Mark Loman shared a screenshot on Twitter of a ransomware note planted on an infected endpoint demanding $44,999. John Hammond, senior security researcher at Huntress, told ZDNet that the company has already seen ransom demands of up to $5 million. Kevin Beaumont says that, unfortunately, he has observed victims “sadly negotiating” with the ransomware’s operators. Fabian Wosar, CTO of Emsisoft, has also explained in a Twitter thread why using a key obtained by a single organization paying up is unlikely to be a viable path for unlocking all victims. “REvil absolutely has the capability of decrypting only a single victim without these purchased decryption tools being applicable for other victims hit by the same campaign public key,” the security expert noted.CNBC reports that the universal ransom demand has been reduced to $50 million in private conversations. However, as of July 7, the public demand for $70 million on the threat group’s leak site remains unchanged.

What are the reactions so far?

At the time of the breach, Kaseya notified law enforcement and cybersecurity agencies, including the Federal Bureau of Investigation (FBI) and US Cybersecurity and Infrastructure Security Agency (CISA).The FBI and CISA have released a joint statement on the security incident and are urging customers to run a tool provided by Kaseya to determine the risk of exploit, and to both enable and enforce multi-factor authentication (MFA) on enterprise accounts, wherever possible.Kaseya has been holding meetings with the FBI and CISA “to discuss systems and network hardening requirements prior to service restoration for both SaaS and on-premises customers.”The White House is asking organizations to inform the Internet Crime Complaint Center (IC3) if they suspect they have been compromised.On Saturday, US President Biden said he has directed federal intelligence agencies to investigate. “Targeting [an] MSP platform (that is managing many customers at once) was very well thought and planned,” Amit Bareket, CEO of Perimeter 81, told ZDNet. “What’s unique is that hackers are becoming more strategic and targeting platforms that will filtrate down to many companies with one shot. RMMs [remote monitoring and management] are basically keys to many many companies, which amount to the kingdom for bad actors.”The White House has attempted to strengthen its stance on cybercrime in light of this attack, warning Russian President Vladimir Putin that unless he deals with the problem in his own backyard, “we will take action or reserve the right to take action on our own.” 

Are there any recovery plans?

As of July 4, Kaseya says the company has now moved on from a root cause analysis of the attack to recovery and patch plans, consisting of:Communication of our phased recovery plan with SaaS first followed by on-premises customers.  Kaseya will be publishing a summary of the attack and what we have done to mitigate it.   Some lightly-used legacy VSA functionality will be removed as part of this release out of an abundance of caution. A specific list of the functionality and its impact on VSA capabilities will be outlined in the release notes.  There will be new security measures implemented including enhanced security monitoring of our SaaS servers by FireEye and enablement of enhanced WAF capabilities. We have successfully completed an external Vulnerability Scan, checked our SaaS Databases for Indicators of Compromise, and have had external security experts review our code to ensure a successful service restart.Data centers starting with the EU will be restored, followed by the UK, APAC, and then North American systems.  By late evening on July 5, Kaseya said a patch has been developed and it is the firm’s intention to bring back VSA with “staged functionality” to hasten the process. The company explained: The first release will prevent access to functionality used by a very small fraction of our user base, including: Classic Ticketing Classic Remote Control (not LiveConnect). User Portal Kaseya has now published an updated timeline for its restoration efforts, starting with the relaunch of SaaS servers, now set for July 6, 4:00 PM EDT and 7:00 PM EDT. Configuration changes to improve security will follow, including an on-premise patch, expected to land in 24 hours, or less, from the time SaaS servers come back online. “We are focused on shrinking this time frame to the minimal possible — but if there are any issues found during the spin-up of SaaS, we want to fix them before bringing our on-premises customers up,” the firm says. Additional security improvements include the creation of 24/7 SOCs for VSA, as well as a complimentary CDN with a web application firewall (WAF) for every VSA. Update July 7: The timeline has not been met. Kaseya said that “an issue was discovered that has blocked the release” of the VSA SaaS rollout. “We apologize for the delay and R&D and operations are continuing to work around the clock to resolve this issue and restore service,” Kaseya commented.In a service update, the vendor said it has been unable to resolve the problem.”The R&D and operations teams worked through the night and will continue to work until we have unblocked the release,” Kaseya added.July 7, 12 pm EDT: Kaseya hopes to resolve the SaaS systems rollout no later than the evening of Thursday, July 8. A playbook is currently being written up, due to be published today, which will provide guidelines for impacted businesses to deploy the upcoming on-prem VSA patch.

Current recovery status

As of July 8, Kaseya has published two run books, “VSA SaaS Startup Guide,” and “On Premises VSA Startup Readiness Guide,” to assist clients in preparing for a return to service and patch deployment. Recovery, however, is taking longer than initially expected. “We are in the process of resetting the timelines for VSA SaaS and VSA On-Premises deployment,” the company says. “We apologize for the delay and changes to the plans as we work through this fluid situation.”In a second video message recorded by the firm’s CEO, Voccola said:”The fact we had to take down VSA is very disappointing to me, it’s very disappointing to me personally. I feel like I’ve let this community down. I let my company down, our company let you down. [..] This is not BS, this is the reality.”The new release time for VSA is Sunday, in the afternoon, Eastern Time, in order to also harden the software and bolster its security ahead of deployment. July 12: Kaseya has now released a patch and is working with on-prem customers to deploy the security fix. Now, 100% of all SaaS customers are live, according to the company.”Our support teams continue to work with VSA on-premises customers who have requested assistance with the patch,” Kaseya added.

What can customers do?

Kaseya has released a tool, including Indicators of Compromise (IoC), which can be downloaded via Box. There are two PowerShell scripts for use: one on a VSA server, and the other has been designed for endpoint scanning. The self-assessment scripts should be used in offline mode. They were updated on July 5 to also scan for data encryption and REvil’s ransom note.However, the scripts are only for potential exploit risk detection and are not security fixes. Kaseya will release patches as quickly as it can, but in the meantime, customers simply have to wait until Sunday. Kaseya intends to bring customers back online on July 11, at 4 PM EDT. “All on-premises VSA Servers should continue to remain offline until further instructions from Kaseya about when it is safe to restore operations,” the firm said. “A patch will be required to be installed prior to restarting the VSA.”Cado Security has provided a GitHub repository for responders, including malware samples, IoCs, and Yara Rules. Truesec CSIRT has also released a script on GitHub to identify and mitigate damage on infected systems. Kaseya has also warned that scammers are trying to take advantage of the situation. “Spammers are using the news about the Kaseya Incident to send out fake email notifications that appear to be Kaseya updates. These are phishing emails that may contain malicious links and/or attachments.Do not click on any links or download any attachments claiming to be a Kaseya advisory.”

Are REvil still active?

After Biden made his stance clear to Putin on ransomware gangs, the REvil ransomware group’s leak site was seized and taken down by law enforcement. The takedown included REvil’s payment site, public domain, helpdesk chat platform, and the negotiation portal. While the intention was to secure some form of control over the group, it should be noted that ransomware operators often close down sites, rebrand, and regroup. A side effect of the takedown is that the removal of negotiation and the possibility of purchasing a decryption key have left victims with unrecoverable systems. One victim who paid up for a decryption key — which ended up not working — is now out of pocket and unable to secure assistance from the cybercriminals. 

A decryption key?

On July 22, Kaseya said that the company has managed to secure a decryption key. Obtained by a “third-party,” the decryption key has been tested successfully in victim environments — and the suggestion is that the decryption key may be universal. The company is working with Emsisoft to reach customers still suffering due to locked systems and in need of a decryption key. “We remain committed to ensuring the highest levels of safety for our customers and will continue to update here as more details become available,” Kaseya said. “Customers who have been impacted by the ransomware will be contacted by Kaseya representatives.”

Kaseya attack More

American software firm Kaseya has access to the universal decryption key for the REvil ransomware that targeted its managed service provider customers.   The company announced its access to the decryption tool on Thursday, some 20 days after the ransomware attack took place on July 2 

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The attack affected 60 of its customers directly and as many as 1500 of its customers downstream. Swedish supermarket chain Coop’s cash registers were down for almost a week due to the attack. The company’s cash registers nationwide were infected via a tainted software update of Kaseya’s product, VSA, which distributes software and security updates to endpoints. Schools in New Zealand using Kaseya software were also affected. SEE: Network security policy (TechRepublic Premium)According to Kaseya, New Zealand-based security firm Emsisoft has confirmed the decryption tool does unlock files encrypted with REvil. “We can confirm that Kaseya obtained the tool from a third party and have teams actively helping customers affected by the ransomware to restore their environments, with no reports of any problem or issues associated with the decryptor,” Kaseya said in a statement. “Kaseya is working with Emsisoft to support our customer engagement efforts, and Emsisoft has confirmed the key is effective at unlocking victims.” 

Last week, an unnamed customer claimed to have paid a ransom to the REvil gang but was unable to decrypt encrypted files with the decryption key provided. REvil sold its ransomware as a service to third-party criminal gangs.     The REvil gang’s websites went dark last week after US President Joe Biden pressed Russian President Vladimir Putin to clamp down on cybercriminals based in Russia that were targeting US firms.  Biden reportedly told Putin that critical infrastructure should be off-limits after a separate ransomware attack from the group DarkSide knocked US east coast fuel distributor Colonial Pipeline offline. 

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Some security experts believe the attack on Colonial elevated Russian-based ransomware to diplomatic discussions and prompted REvil to suspend its operations. See: Ransomware: Now gangs are using virtual machines to disguise their attacksCoop rolled out a mobile payment system to allow customers to pay for goods while replacing encrypted cash registers on July 8. The mobile payment system was rolled out to 300 stores across Sweden, allowing it to continue in-store trade. It also worked with charities to distribute perishable items while its cash registers were down to minimize waste. It’s not clear whether Kaseya paid the ransom demand of $70 million. A Kaseya spokesperson told The Guardian that it acquired the decryption key from a “trusted third party”. While some of Kaseya’s downstream customers have remediated affected systems, some customers’ endpoints have remained offline and could restore systems with the decryption key.  More