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Black Arrow Cyber Threat Briefing 21 July 2023

Black Arrow Cyber Threat Briefing 21 July 2023:

-Cyber Attacks Reach Two-Year High Amid Ransomware Resurgence as Financial Service Firms Lose $32 Billion in 5 Years

-MOVEit Body Count Closes in on 400 orgs, 20M+ Individuals

-IT Worker Jailed for Impersonating Ransomware Gang to Extort Employer

-Stabilising the Cyber Security Landscape: The CISO Exodus and the Rise of vCISOs

-Risk is Driving Medium-Sized Business Decisions

-Talent and Governance, Not Technology, are Key to Drive Change around Cyber Security

-Hybrid Work, Digital Transformation can Exploit Security Gaps

-Human Cyber-Risk Can Be Demonstrably Mitigated by Behaviour Changing Training

-AI Tool WormGPT Enables Convincing Fake Emails For BEC Attacks

-Pro-Russian Hacktivists Increase Focus on Western Targets

-Infosec Doesn't Know What AI Tools Orgs Are Using

-Google Restricting Internet Access to Some Employees to Reduce Cyber Attack Risk

-Unlocking Business Potential: How CISOs are Transforming Cyber Security into a Strategic Asset

Welcome to this week’s Black Arrow Cyber Threat Briefing – a weekly digest, collated and curated by our cyber experts to provide senior and middle management with an easy to digest round up of the most notable threats, vulnerabilities, and cyber related news from the last week.

Top Cyber Stories of the Last Week

  • Cyber Attacks Reach Two-Year High Amid Ransomware Resurgence as Financial Service Firms Lose $32 Billion in 5 Years

The average weekly volume of cyber attacks reached a two-year high in the second quarter of 2023 amid a spike in activity among ransomware groups according to Check Point Research, with healthcare in particular facing a significant year-on-year increase. The impact of ransomware hits every organisation, with separate research finding global financial services organisations having lost over $32bn in downtime since 2018 due to ransomware breaches.

A recent report found that the ransomware gangs LockBit and Cl0p alone accounted for nearly 40% of all recorded ransomware attacks across June 2023. The impact from Cl0p’s MOVEit attack alone has been felt by over 400 organisations since May 2023. One of the key takeaways from the MOVEit attack is that no matter the sector, any organisation can be a victim and as such it is essential to have effective controls in place, incorporating defence-in-depth. It’s worth considering how many organisations are still running vulnerable instances of MOVEit, or have someone in their supply chain who is.

https://www.infosecurity-magazine.com/news/ransomware-costs-financial-32bn/

https://www.itpro.com/security/ransomware/weekly-cyber-attacks-reach-two-year-high-amid-ransomware-resurgence

  • MOVEit Body Count Closes in on 400 Organisations, 20M+ Individuals

The number of victims and the costs tied to the MOVEit file transfer hack continues to climb as the fallout from the massive supply chain attack enters week seven. In late May 2023, Russian ransomware gang Cl0p exploited a security hole in Progress Software's MOVEit product suite to steal documents from vulnerable networks. As of last week, the number of affected organisations was closing in on 400 and individual victims exceed 20 million.

The attack highlights the need for organisations to have policies and procedures in place for third parties, and to be aware of the data which a third party supplier has on them. It will be the organisation who will need to let their customers know in the event of a breach.

https://www.theregister.com/2023/07/20/moveit_victim_count/

  • IT Worker Jailed for Impersonating Ransomware Gang to Extort Employer

28-year-old Ashley Liles, a former IT employee, has been sentenced to over three years in prison for attempting to blackmail his employer during a ransomware attack. Liles, an IT security analyst at an Oxford-based company in the UK, exploited his position to intercept a ransomware payment following an attack suffered by his employer. To deceive the company, he impersonated the ransomware gang extorting them. He tried to redirect the ransomware payments by switching the cyber criminals' cryptocurrency wallet to one under his control. He also accessed a board member's private emails over 300 times.

Insider threat is a risk that organisations need to be aware of and, although it was malicious in this case, it can also come from employee negligence. Organisations looking to achieve a strong level of cyber resilience should incorporate insider risk into their training and controls.

https://www.bleepingcomputer.com/news/security/it-worker-jailed-for-impersonating-ransomware-gang-to-extort-employer/

  • Stabilising the Cyber Security Landscape: The CISO Exodus and the Rise of vCISOs

In today's evolving digital landscape, the role of a chief information security officer (CISO) is critical. These professionals defend against the rising tide of daily cyber threats. Yet many CISOs are leaving or considering leaving their jobs; this trend seems to reflect the intense pressure CISOs endure. They face a constant stream of complex cyber threats, manage compliance issues and struggle with a talent deficit in cyber security. Paired with high expectations, many reconsider their roles which can lead to a leadership gap.

A virtual CISO (vCISO) is an outsourced security practitioner who offers their expertise to businesses on a part-time or contractual basis. These professionals provide many of the same services as a traditional CISO, such as developing and implementing security strategies, ensuring compliance with regulations, training staff and managing a company's cyber security posture. vCISOs, such as from Black Arrow, are often part of a larger team and can bring a wide range of experiences and skills. They are exposed to diverse security landscapes across industries, and can provide a fresh perspective and innovative solutions to your security challenges. The vCISO model may not replace the need for a full-time CISO in all cases, but it can certainly add a flexible and cost-effective tool to the arsenal of businesses looking to bolster their cyber security posture.

https://www.forbes.com/sites/theyec/2023/07/14/stabilizing-the-cybersecurity-landscape-the-ciso-exodus-and-the-rise-of-vcisos/

  • Risk is Driving Medium-Sized Business Decisions

Small and medium sized businesses (SMBs) have long lacked the tools, expertise, staff and budget to make major cyber security investments. However, as threats become more mainstream and more advanced, the focus is shifting, so SMBs need to take the threats seriously and evaluate their cyber security controls.

In a survey of 140 SMBs, it was found that 40% of respondents believe they are very likely or extremely likely to experience a cyber security attack target in the next 12 months. That fear is founded, as 34% of organisations stated they experienced a malware attack in the past year, and 29% experienced a phishing or spear phishing incident. SMBs are putting their time, energy, and budget toward risk management. When it came to budgeting, 67% list their primary budgeting method as “risk-based”, and only 32% as “ad hoc/following an attack or breach”. It was found that over two-thirds of businesses would rather spend money now than pay a ransom later.

https://www.msspalert.com/cybersecurity-guests/risk-is-driving-small-and-medium-sized-businesses-smb-decisions/

  • Talent and Governance, Not Technology, are Key to Drive Change Around Cyber Security

For the last 20 years, large organisations have been spending significant amounts of money on cyber security products and solutions, on managed services, or with consultancies large and small. Yet maturity levels remain elusive: a report found that 70% of firms surveyed had yet to fully advance to a mature-based approach. Cyber security good practices have been well established for the best part of the last 20 years and continue to provide, in most industries, an acceptable level of protection against most threats and an acceptable level of compliance against most regulations.

However cyber security is often viewed as something external to the business. This perspective leads to talent alienation and execution failures because the employees who should be invested in maintaining and improving cyber security may feel disconnected from these efforts. To make genuine progress, cyber security needs to be intrinsically linked to business values as a visible priority, owned and directed from the highest levels of an organisation.

This approach underlines the importance of governance in setting effective cyber security policies and procedures. It also highlights the crucial role of nurturing talent within the organisation to ensure active involvement in maintaining and improving cyber security measures. While technology is undoubtedly an essential element of cyber security, prioritising talent and governance can lead to lasting progress.

https://technative.io/talent-and-governance-not-technology-are-key-to-drive-change-around-cyber-security/

  • Hybrid Work, Digital Transformation can Exploit Security Gaps

A new study showed that larger organisations generally recognise malware threats but they lack protection against malicious actors and ways to properly remediate infections. The report revealed security leaders are concerned about attacks that leverage malware-exfiltrated authentication data. 53% say they are extremely concerned about attacks, with 1% of security leaders saying they weren’t concerned at all. 98% said that better visibility into at-risk applications would significantly improve their security posture.

The most overlooked entry points for malware include 57% of organisations allowing employees to sync browser data between personal and corporate devices. 54% of organisations struggle with shadow IT, due to employees’ unsanctioned adoption of applications and systems, creating gaps not only in visibility but also in basic security controls and corporate policies.

https://www.msspalert.com/cybersecurity-research/digital-transformation-hybrid-work-models-create-perfect-setting-for-cybercriminals-to-exploit-security-gaps-study-finds/

  • Human Cyber Risk Can Be Demonstrably Mitigated by Behaviour Changing Training

The process of encouraging secure cyber habits in end users is evolving from traditional awareness training toward changing end user behaviour. It reflects a growing acceptance that traditional methods haven’t worked. While traditional security awareness teaches users how to recognise social engineering, new behaviour changing trains the brain – almost pre-programs it – on the correct recognition and response to phishing.

What is considered a standard phishing email today may not be tomorrow, and changes in user behaviour will help to combat this. It is simply not enough to be shown one phishing email and be told to follow procedures. Training should instead be focused on going beyond; this should look to change how the user approaches things such as phishing, and gamifying the recognition and reporting of it.

https://www.securityweek.com/human-cyber-risk-can-be-demonstrably-mitigated-by-behavior-changing-training-analysis/

  • AI Tool WormGPT Enables Convincing Fake Emails For BEC Attacks

A generative AI tool, WormGPT, has emerged as a powerful weapon in the hands of cyber criminals, specifically for launching business email compromise (BEC) attacks, according to new findings. The tool is designed for malicious purposes and has no restrictions on what a user can request. Such a tool allows for impeccable grammar in emails to reduce suspicion and allows sophistication with no restrictions on prompts. The lowered entry threshold enables cyber criminals with limited skills to execute sophisticated attacks, democratising the use of this technology.

https://www.infosecurity-magazine.com/news/wormgpt-fake-emails-bec-attacks/

https://www.independent.co.uk/tech/chatgpt-dark-web-wormgpt-hack-b2376627.html

  • Pro-Russian Hacktivists Increase Focus on Western Targets

‘Anonymous Sudan’, apparent pro-Russian hacktivists, claimed a one-hour distributed denial of service attack on the social platform OnlyFans last week. This was the latest in a string of operations aimed at targets in the US and Europe. The group’s digital assaults coincide with attacks coming from a broader network of hackers aligned with Moscow that seek attention by taking down high-profile victims and strategic targets; many of the targets support Ukraine in its ongoing war against Russia.

The pro-Russian group appears to be affiliated with Killnet, a pro-Russian hacktivist group that emerged in late 2021 or early 2022 and has claimed distributed denial of service (DDoS) attacks, data theft and leaks on perceived adversaries of the Russian government, according to an analysis from Google’s Mandiant released earlier this week. The collective’s apparent significant growth in capabilities, demonstrated by Microsoft’s confirmation that Anonymous Sudan was responsible for the outages they experienced, potentially indicates a significant increase in outside investment in the collective, further suggesting a potential tie to the Russian state.

https://cyberscoop.com/anonymous-sudan-killnet-russia-onlyfans/

  • Infosec Doesn't Know What AI Tools Organisations Are Using

With the marketplace awash in new artificial intelligence (AI) tools and new AI features being added to existing tools, organisations are finding themselves lacking visibility into what AI tools are in use, how they are used, who has access, and what data is being shared. As businesses try, adopt, and abandon new generative AI tools, it falls on enterprise IT, risk, and security leaders to govern and secure their use without hindering innovation. While developing security policies to govern AI use is important, it is not possible without knowing what tools are being used in the first place.

Enterprise security teams have to consider how to handle discovery, learning which generative AI tools have been introduced into the environment and by whom, as well as risk assessment.

https://www.darkreading.com/tech-trends/infosec-doesnt-know-what-ai-tools-orgs-are-using

  • Google Restricting Internet Access to Some Employees to Reduce Cyber Attack Risk

In a bid to shrink the attack surface of its employees, and thus boost security, Google is taking an experimental, and some might say extreme, approach: cutting some of their workstations off from the internet. The company originally selected more than 2,500 employees to participate and will disable internet access on the selected desktops, except for internal web-based tools and Google owned websites like Google Drive and Gmail. Some workers who need the internet to do their job will get exceptions, the company stated in materials.

Google is running the programme to reduce the risk of cyber attacks, according to internal materials. If a Google employee’s device is compromised, the attackers may have access to user data and infrastructure code, which could result in a major incident and undermine user trust. The program comes as companies face increasingly sophisticated cyber attacks. Just last week, Microsoft said Chinese intelligence hacked into company email accounts belonging to two dozen government agencies in the US and Western Europe, including the US State Department, in a “significant” breach.

https://www.cnbc.com/2023/07/18/google-restricting-internet-access-to-some-employees-for-security.html

https://www.theregister.com/2023/07/19/google_cuts_internet/

  • Unlocking Business Potential: How CISOs are Transforming Cyber Security into a Strategic Asset

Enterprises are responding to growing cyber security threats by working to make the best use of tools and services to ensure business resilience, according to a recent report. Chief information security officers (CISOs) and virtual CISOs (vCISOS) in particular, want more solutions and services that help them align security measures with enterprise objectives and C-level executives have become more aware of the need for cyber resilience. As a result, security investments have expanded beyond detection and response to include rapid recovery and business continuity.

The report found that amongst other things, enterprises are investing in risk assessments and outsourcing more services. In some cases, where a CISO cannot be hired, organisations may look to hire a vCISO. It is important that the vCISO is able to understand cyber in context to the business and help to align security objectives with the organisations objectives. Black Arrow supports clients as their vCISO with specialist experience in cyber security risk management in a business context.

https://www.blackarrowcyber.com/blog/threat-briefing-14-july-2023



Threats

Ransomware, Extortion and Destructive Attacks

Ransomware Victims

Phishing & Email Based Attacks

BEC – Business Email Compromise

Other Social Engineering; Smishing, Vishing, etc

Artificial Intelligence

Malware

Mobile

Botnets

Denial of Service/DoS/DDOS

Internet of Things – IoT

Data Breaches/Leaks

Organised Crime & Criminal Actors

Cryptocurrency/Cryptomining/Cryptojacking/NFTs/Blockchain

Insider Risk and Insider Threats

Fraud, Scams & Financial Crime

AML/CFT/Sanctions

Insurance

Dark Web

Supply Chain and Third Parties

Cloud/SaaS

Hybrid/Remote Working

Attack Surface Management

Identity and Access Management

Encryption

API

Open Source

Passwords, Credential Stuffing & Brute Force Attacks

Social Media

Training, Education and Awareness

Digital Transformation

Travel

Regulations, Fines and Legislation

Models, Frameworks and Standards

Data Protection

Careers, Working in Cyber and Information Security

Law Enforcement Action and Take Downs

Privacy, Surveillance and Mass Monitoring

Misinformation, Disinformation and Propaganda


Nation State Actors, Advanced Persistent Threats (APTs), Cyber Warfare and Cyber Espionage

Russia

China

North Korea

Misc/Other/Unknown


Vulnerability Management

Vulnerabilities


Tools and Controls



Sector Specific

Industry specific threat intelligence reports are available.

Contact us to receive tailored reports specific to the industry/sector and geographies you operate in.

·       Automotive

·       Construction

·       Critical National Infrastructure (CNI)

·       Defence & Space

·       Education & Academia

·       Energy & Utilities

·       Estate Agencies

·       Financial Services

·       FinTech

·       Food & Agriculture

·       Gaming & Gambling

·       Government & Public Sector (including Law Enforcement)

·       Health/Medical/Pharma

·       Hotels & Hospitality

·       Insurance

·       Legal

·       Manufacturing

·       Maritime

·       Oil, Gas & Mining

·       OT, ICS, IIoT, SCADA & Cyber-Physical Systems

·       Retail & eCommerce

·       Small and Medium Sized Businesses (SMBs)

·       Startups

·       Telecoms

·       Third Sector & Charities

·       Transport & Aviation

·       Web3


As usual, contact us to help assess where your risks lie and to ensure you are doing all you can do to keep you and your business secure.

Look out for our ‘Cyber Tip Tuesday’ video blog and on our YouTube channel.

You can also follow us on Facebook, Twitter and LinkedIn.

Links to articles are for interest and awareness and linking to or reposting external content does not endorse any service or product, likewise we are not responsible for the security of external links.

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Black Arrow Cyber Threat Briefing 16 December 2022

Black Arrow Cyber Threat Briefing 16 December 2022:

-Executives Take More Cyber Security Risks Than Office Workers

-CISO Role is Diversifying from Technology to Leadership & Communication Skills

-How Emerging AIs, Like ChatGPT, Can Turn Anyone into a Ransomware and Malware Threat Actor

-Cyber Security Drives Improvements in Business Goals

-Incoming FCA Chair Says Crypto Firms Facilitate Money Laundering

-Managing Cyber Risk in 2023: The People Element

-What We Can't See Can Hurt Us

-Uber Suffers New Data Breach After Attack on Vendor, Info Leaked Online

-When Companies Compensate the Hackers, We All Foot the Bill

-HSE Cyber-Attack Costs Ireland $83m So Far

Welcome to this week’s Black Arrow Cyber Threat Briefing – a weekly digest, collated and curated by our cyber experts to provide senior and middle management with an easy to digest round up of the most notable threats, vulnerabilities, and cyber related news from the last week.

Top Cyber Stories of the Last Week

  • Executives Take More Cyber Security Risks Than Office Workers

IT software company Ivanti worked with cyber security experts and surveyed 6,500 executive leaders, cybersecurity professionals, and office workers to understand the perception of today’s cybersecurity threats and to find out how companies are preparing for yet-unknown future threats.

The report revealed that despite 97% of leaders and security professionals reporting their organisation is as prepared, or more prepared, to defend against cybersecurity attacks than they were a year ago, one in five wouldn’t bet a chocolate bar that they could prevent a damaging breach.

In fact, the study finds that organisations are racing to fortify against cyber attacks, but the industry still struggles with a reactive, checklist mentality. This is most pronounced in how security teams are prioritising patches. While 92% of security professionals reported they have a method to prioritise patches, they also indicated that all types of patches rank high – meaning none do.

“Patching is not nearly as simple as it sounds,” said Ivanti. “Even well-staffed, well-funded IT and security teams experience prioritisation challenges amidst other pressing demands. To reduce risk without increasing workload, organisations must implement a risk-based patch management solution and leverage automation to identify, prioritise, and even address vulnerabilities without excess manual intervention”.

Cyber security insiders view phishing, ransomware, and software vulnerabilities as top industry-level threats for 2023. Approximately half of respondents indicated they are “very prepared” to meet the growing threat landscape including ransomware, poor encryption, and malicious employees, but the expected safeguards such as deprovisioning credentials is ignored a third of a time and nearly half of those surveyed say they suspect a former employee or contractor still has active access to company systems and files.

The report also revealed that leaders engage in more dangerous behaviour and are four times more likely to be victims of phishing compared to office workers.

Additionally:

  • More than 1 in 3 leaders have clicked on a phishing link

  • Nearly 1 in 4 use easy-to-remember birthdays as part of their password

  • They are much more likely to hang on to passwords for years

  • And they are 5x more likely to share their password with people outside the company.

One survey taker shared, “We’ve experienced a few advanced phishing attempts and the employees were totally unaware they were being targeted. These types of attacks have become so much more sophisticated over the last two years – even our most experienced staff are falling prey to it.”

To cope with a rapidly expanding threat landscape, organisations must move beyond a reactive, rules-based approach.

https://www.helpnetsecurity.com/2022/12/16/executives-take-more-cybersecurity-risks-than-office-workers/

  • CISO Role is Diversifying from Technology to Leadership & Communication Skills

The role of chief information security officer (CISO), a relatively new executive position, is undergoing some significant changes and an archetype has yet to emerge, a new global report from Marlin Hawk, an executive recruiting and leadership consultant, said.

CISOs are still more likely to serve on advisory boards or industry bodies than on the board of directors. Only 13% of the global CISOs analysed are women; approximately 20% are non-white. Each diversity dimension analysed is down one percentage point year-on-year.

According to James Larkin, managing partner at Marlin Hawk, “Today’s CISOs are taking up the mantle of responsibilities that have traditionally fallen solely to the chief information officer (CIO), which is to act as the primary gateway from the tech department into the wider business and the outside marketplace. This widening scope requires CISOs to be adept communicators to the board, the broader business, as well as the marketplace of shareholders and customers. By thriving in the ‘softer’ skill sets of communication, leadership, and strategy, CISOs are now setting the new industry standards of today and, I predict, will be progressing into the board directors of tomorrow.”

The job does not come without its downsides. For one, according to the search firm, many CISOs change roles and leave their jobs. Their skillset may not be adequate or new leaders get appointed to the job, they lack the necessary internal support, or their company may not have the required commitment to cyber security to make the job effective.

Key findings from the report include:

  • 45% of global CISOs have been in their current role for two years or less, down from 53% in 2021, with 18% turnover year-on-year. While there is still a lot of movement in the CISO seat, there is potentially some stabilisation emerging.

  • Approximately 62% of global CISOs were hired from another company, indicating a slight increase in the number of CISOs hired internally (38% were hired internally compared to 36% in 2021) but a large gap remains in appropriate successors.

  • 36% of CISOs analysed with a graduate degree received a higher degree in business administration or management. This is down 10% from last year (46% in 2021). Conversely, there has been an increase to 61% of CISOs receiving a higher degree in STEM subjects (up from 46% in 2021).

https://www.msspalert.com/cybersecurity-research/ciso-role-is-diversifying-from-technology-to-leadership-communication-skills/

  • How Emerging AIs, Like ChatGPT, Can Turn Anyone into a Ransomware and Malware Threat Actor

Ever since OpenAI launched ChatGPT at the end of November, commentators on all sides have been concerned about the impact AI-driven content-creation will have, particularly in the realm of cybersecurity. In fact, many researchers are concerned that generative AI solutions will democratise cyber crime.

With ChatGPT, any user can enter a query and generate malicious code and convincing phishing emails without any technical expertise or coding knowledge.

While security teams can also leverage ChatGPT for defensive purposes such as testing code, by lowering the barrier for entry for cyber attacks, the solution has complicated the threat landscape significantly. From a cyber security perspective, the central challenge created by OpenAI’s creation is that anyone, regardless of technical expertise, can create code to generate malware and ransomware on-demand.

Whilst it can be used for good to assist developers in writing code for good, it can (and already has) been used for malicious purposes. Examples including asking the bot to create convincing phishing emails or assist in reverse engineering code to find zero-day exploits that could be used maliciously instead of reporting them to a vendor.

ChatGPT does have inbuilt guardrails designed to prevent the solution from being used for criminal activity. For instance, it will decline to create shell code or provide specific instructions on how to create shellcode or establish a reverse shell and flag malicious keywords like phishing to block the requests.

The problem with these protections is that they’re reliant on the AI recognising that the user is attempting to write malicious code (which users can obfuscate by rephrasing queries), while there’s no immediate consequences for violating OpenAI’s content policy.

https://venturebeat.com/security/chatgpt-ransomware-malware/

  • Cyber Security Drives Improvements in Business Goals

Cyber threats should no longer be viewed as just an IT problem, but also a business problem, Deloitte said in its latest Future of Cyber study. Operational disruption, loss of revenue, and loss of customer trust are the top three significant impacts of cyber incidents. More than half, or 56%, of respondents told Deloitte they suffered related consequences to a moderate or large extent.

In 2021, the top three negative consequences from cyber incidents and breaches were operational disruption, which includes supply chain and the partner ecosystem, intellectual property theft, and a drop in share price. While operational disruption remained the top concern in 2022, loss of revenue and loss of customer trust and negative brand impact moved up in importance. Intellectual property theft and drop in share price dropped to eighth and ninth (out of ten) in ranking. Losing funding for a strategic initiative, loss of confidence in the integrity of the technology, and impact on employee recruitment and retention moved up in ranking in 2022. Respondents were also asked to mark two consequences they felt would be most important in 2023: Operational disruption and loss of revenue topped the list.

"Today, cyber means business, and it is difficult to overstate the importance of cyber as a foundational and integral business imperative," Deloitte noted in its report. "It [cyber] should be included in every functional area, as an essential ingredient for success—to drive continuous business value, not simply mitigate risks to IT."

Deloitte categorised organisations' cyber security maturity based on their adoption of cyber planning, risk management, and board engagement. Risk management included activities such as industry benchmarking, incident response, scenario planning, and qualitative and quantitative risk assessment.

Whether or not the organisation adopted any of these three practices hinged on stakeholders recognising the importance of cyber responsibility and engagement across the whole organisation, Deloitte said in its report. Examples included having a governing body that comprises IT and senior business leaders to oversee the cyber program, conducting incident-response scenario planning and simulation at the organisational and/or board level, regularly providing cyber updates to the board to secure funding, and conducting regular cyber awareness training for all employees.

https://www.darkreading.com/edge-threat-monitor/cybersecurity-drives-improvements-in-business-goals

  • Incoming FCA Chair Says Crypto Firms Facilitate Money Laundering

The man who will lead UK efforts to regulate cryptocurrency firms issued a stark condemnation of the sector on Wednesday, telling MPs that in his experience crypto platforms were “deliberately evasive”, facilitated money laundering at scale and created “massively untoward risk”.

The comments from Ashley Alder, the incoming chair of the Financial Conduct Authority, suggest that crypto firms hoping to build businesses in the UK will face an uphill battle when the FCA assumes new powers to regulate broad swaths of the sector.

They also put Alder, who will become FCA chair in February, on a potential collision course with the government’s aspiration to create a high quality crypto hub that fosters innovation, a vision ministers have remained loyal to even as the global crypto market lurches from crisis to crisis, epitomised by the collapse of FTX. The FCA declined to comment on whether their incoming chair’s views were at odds with those of the government.

Alder comments came during a sometimes terse appointment hearing with the cross-party Treasury select committee, where he faced sustained criticism for appearing virtually from Hong Kong and for his lack of familiarity with some parts of the UK market place and its accountability structures.

https://www.ft.com/content/7bf0a760-5fb5-4146-b757-1acc5fc1dee5

  • Managing Cyber Risk in 2023: The People Element

2022 has had many challenges from cyber war between Russia and Ukraine, continuing ransomware attacks, and a number of high-profile vulnerabilities and zero day attacks.  With the attack surface constantly expanding, CISOs and security leaders are acutely aware of the need to minimise risk across people, processes, and technology.

Top infrastructure risk: people

It’s common knowledge that it’s not if, but when, your organisation will be the target of a cyber attack. CISOs and security leaders seem to share the same opinion—according to Trend Micro’s latest Cyber Risk Index (CRI) (1H’2022), 85% of 4,100 respondents across four global regions said its somewhat to very likely they will experience a cyber attack in the next 12 months.  More concerning was 90% of respondents had at least one successful cyber attack in the past 12 months.

The CRI (1H’2022) also found that CISOs, IT practitioners, and managers identified that most organisations’ IT security objectives are not aligned with the business objectives, which could cause challenges when trying to implement a sound cyber security strategy.

It’s important to note that while ideal, avoiding a cyber attack isn’t the main goal—companies need to address critical challenges across their growing digital attack surface to enable faster detection and response, therefore minimising cyber risk.

While it's commonly assumed that security efforts should be largely focused on protecting critical servers and infrastructure, the human attack vector shouldn’t be so quickly forgotten.

https://www.trendmicro.com/en_us/ciso/22/e/managing-cyber-risk.html

  • What We Can't See Can Hurt Us

In speaking with security and fraud professionals, visibility remains a top priority. This is no surprise, since visibility into the network, application, and user layers is one of the fundamental building blocks of both successful security programs and successful fraud programs. This visibility is required across all environments — whether on-premises, private cloud, public cloud, multicloud, hybrid, or otherwise.

Given this, it is perhaps a bit surprising that visibility in the cloud has lagged behind the move to those environments. This occurred partially because few options for decent visibility were available to businesses as they moved to the cloud. But it also partially happened because higher priority was placed on deploying to the cloud than on protecting those deployments from security and fraud threats.

This is unfortunate, since what we can't see can hurt us. That being said, cloud visibility is becoming a top priority for many businesses. There are a few areas where many businesses are looking for visibility to play a key role, including Compliance, Monitoring, Investigation, Response, API Discovery, Application Breaches, and Malicious User Detection.

Organisation have been a bit behind in terms of ensuring the requisite visibility into cloud environments. Whilst time has been lost, it does seem that gaining visibility into the network, application, and user layers is now a priority for many businesses. This is a positive development, as it enables those businesses to better mitigate the risks that operating blindly creates.

https://www.darkreading.com/edge-articles/what-we-can-t-see-can-hurt-us

  • Uber Suffers New Data Breach After Attack on Vendor, Info Leaked Online

Uber has suffered a new data breach after a threat actor leaked employee email addresses, corporate reports, and IT asset information stolen from a third-party vendor in a cyber security incident.

On Saturday last week, a threat actor named 'UberLeaks' began leaking data they claimed was stolen from Uber and Uber Eats on a hacking forum known for publishing data breaches. The leaked data includes numerous archives claiming to be source code associated with mobile device management platforms (MDM) used by Uber and Uber Eats and third-party vendor services.

The threat actor created four separate topics, allegedly for Uber MDM at uberhub.uberinternal.com and Uber Eats MDM, and the third-party Teqtivity MDM and TripActions MDM platforms. Each post refers to a member of the Lapsus$ hacking group who is believed to be responsible for numerous high-profile attacks, including a September cyber attack on Uber where threat actors gained access to the internal network and the company's Slack server.

News outlet BleepingComputer has been told that the newly leaked data consists of source code, IT asset management reports, data destruction reports, Windows domain login names and email addresses, and other corporate information. One of the documents seen by BleepingComputer includes email addresses and Windows Active Directory information for over 77,000 Uber employees.

While BleepingComputer initially thought this data was stolen during the September attack, Uber told BleepingComputer it believes it is related to a security breach on a third-party vendor.

https://www.bleepingcomputer.com/news/security/uber-suffers-new-data-breach-after-attack-on-vendor-info-leaked-online/

  • When Companies Compensate the Hackers, We All Foot the Bill

Companies are always absorbing costs that are seen as par for the course of budget planning: maintenance, upgrades, office supplies, wastage, shrinkage, etc. These costs ratchet up the price of a company's products and are then passed on to the consumer. Breaches in cyber security and paying out ransoms to hackers should be outside of this remit, and yet more than half of all companies admit to transferring the costs of data breaches on to consumers. Careless or ill-informed employees and other weaknesses in a company's protections lead to catastrophic losses to businesses of around $1,797,945 per minute — and the consumers are paying it off.

If a company estimates the recovery costs from a ransomware attack to exceed the requested payment from the hacker, then it feels like a no-brainer — they're better off just cutting their losses and giving in to the cyber criminal's demands. The issue is that this creates an unvirtuous circle of paying the hacker, which enforces nefarious behaviour and empowers hackers to increase the number and volume of ransoms.

When it comes to ransomware, 32% of companies pay off hackers, and, of that percentage, the average company only retrieves about 65% of its data. Giving in to hackers is counterintuitive. On an even more disturbing note, one study found that 80% of companies that paid a ransom were targeted a second time, with about 40% paying again and a majority of that 40% paying a higher ransom the second time round. This is ludicrous. With 33% of companies suspending operations following an attack, and nearly 40% resorting to laying off staff, it comes as no surprise that the downstream costs are picked up to some extent by the consumer.

As for smaller companies, about 50% of US small businesses don't have a cyber security plan in place, despite the fact that small businesses are three times more likely to be targeted by cyber criminals than larger companies. An average breach costs these companies around $200,000 and has put many out of business. It isn't simply the cost passed on to consumers, it's also the intangible assets, such as brand reputation.

When data is leaked and a site goes down, customers become rightly anxious when their information is sold to the highest bidder on the Dark Web. To safeguard against this, companies of all sizes should exploit automated solutions while training every single member of staff to recognise and report online threats. Paying a ransom does not guarantee the return of data, and for a smaller business, losing valuable customer information could cause long-term damage way beyond the initial attack.

Cyber security professionals, governments, and law enforcement agencies all advise companies to avoid paying the hackers' ransoms. This strategy is affirmed by the success businesses have had in retrieving the stolen data and turning the lights back on — 78% of organisations who say they did not pay a ransom were able to fully restore systems and data without the decryption key. This evidently is not enough to reassure companies who, at the click of a dangerous email being opened, have lost sensitive information and access to their systems and are desperate to get back online. There are many preventative techniques businesses can take advantage of before it even gets to that stage.

https://www.darkreading.com/attacks-breaches/when-companies-compensate-the-hackers-we-all-foot-the-bill

  • HSE Cyber-Attack Costs Ireland $83m So Far

The cost of the cyber-attack that hit the Irish Health Service Executive (HSE) last year has officially reached €80m ($83.75m).

The figures come from a letter from HSE’s chief information officer, seen by The Irish Times. This comes months after the Department of Health suggested in February the attack could end up costing up to €100m ($104m). The letter confirmed that the costs reached €42m ($43.97m) in 2021 and almost €39m ($40.83m) until October of this year.

Ireland has a very capable national cyber security centre and a well-oiled CSIRT team that engages the public/private sector. If the cost does continue to escalate to €100m, that is the equivalent to everyone in the Republic of Ireland having been defrauded by €20. According to The Irish Times, the costs were said to be “enormous,” and the government has been asked to complete a comprehensive assessment of the impact caused by the breach.

The cyber-attack, believed to have been conducted by Russia-based state actors, was reportedly caused by a malicious Microsoft Excel file delivered via a phishing email. According to a December 2021 report, the file was opened at an HSE workstation in March 2021. The malware would have been latent for two months before the breach, which was reportedly discovered in May, two months later. A total of roughly 100,000 people had their personal data stolen during the cyber-attack.

Healthcare continues to be a target of attacks given their enormous attack surface across critical applications, cloud environments and IoT devices.

https://www.infosecurity-magazine.com/news/hse-cyber-attack-ireland-dollar83m/


Threats

Ransomware, Extortion and Destructive Attacks

Phishing & Email Based Attacks

BEC – Business Email Compromise

Other Social Engineering; Smishing, Vishing, etc

Malware

Mobile

Internet of Things – IoT

Data Breaches/Leaks

Organised Crime & Criminal Actors

Cryptocurrency/Cryptomining/Cryptojacking/NFTs/Blockchain

Insider Risk and Insider Threats

Fraud, Scams & Financial Crime

AML/CFT/Sanctions

Insurance

Dark Web

Supply Chain and Third Parties

Software Supply Chain

Denial of Service DoS/DDoS

Cloud/SaaS

Hybrid/Remote Working

Encryption

API

Open Source

Passwords, Credential Stuffing & Brute Force Attacks

Social Media

Training, Education and Awareness

Parental Controls and Child Safety

Cyber Bullying, Cyber Stalking and Sextortion

Regulations, Fines and Legislation

Governance, Risk and Compliance

Models, Frameworks and Standards

Backup and Recovery

Data Protection

Careers, Working in Cyber and Information Security

Law Enforcement Action and Take Downs

Privacy, Surveillance and Mass Monitoring

Artificial Intelligence

Misinformation, Disinformation and Propaganda

Spyware, Cyber Espionage & Cyber Warfare, including Russian Invasion of Ukraine



Vulnerability Management

Vulnerabilities

Tools and Controls

Other News


Sector Specific

Industry specific threat intelligence reports are available.

Contact us to receive tailored reports specific to the industry/sector and geographies you operate in.

·       Automotive

·       Construction

·       Critical National Infrastructure (CNI)

·       Defence & Space

·       Education & Academia

·       Energy & Utilities

·       Estate Agencies

·       Financial Services

·       FinTech

·       Food & Agriculture

·       Gaming & Gambling

·       Government & Public Sector (including Law Enforcement)

·       Health/Medical/Pharma

·       Hotels & Hospitality

·       Insurance

·       Legal

·       Manufacturing

·       Maritime

·       Oil, Gas & Mining

·       OT, ICS, IIoT, SCADA & Cyber-Physical Systems

·       Retail & eCommerce

·       Small and Medium Sized Businesses (SMBs)

·       Startups

·       Telecoms

·       Third Sector & Charities

·       Transport & Aviation

·       Web3


As usual, contact us to help assess where your risks lie and to ensure you are doing all you can do to keep you and your business secure.

Look out for our ‘Cyber Tip Tuesday’ video blog and on our YouTube channel.

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Links to articles are for interest and awareness and linking to or reposting external content does not endorse any service or product, likewise we are not responsible for the security of external links.

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Black Arrow Cyber Advisory 09/11/2022 – Patches available for Three Citrix Vulnerabilities

Black Arrow Cyber Advisory 09/11/2022 – Patches available for Three Citrix Vulnerabilities

Executive Summary

Citrix has released patches to address three vulnerabilities present within Citrix Gateway and Citrix Application Delivery Controller (ADC). The vulnerabilities could allow a malicious attacker to gain unauthorised access, remote desktop takeover and bypass brute force protection on the affected products. Customers using Citrix-managed cloud services do not need to take any action to address these issues.

What’s the risk to me or my business?

These vulnerabilities could lead to a remote user gaining unauthorised access to Gateway user capabilities, ability to takeover a remote desktop session and the ability to bypass brute force protection which in turn could be used to access business data through these servers leading to further compromise.

What can I do?

Contact your Managed Service Provider to confirm if Citrix Gateway and Citrix ADC  is currently being used s for you organisation and confirm if the vulnerabilities is being managed and patched in line with Citrix guidance.


Technical Summary

Only limited technical details have been supplied by Citrix so far relating to the three vulnerabilities.

CVE-2022-27510: A critical rated remote authentication bypass vulnerability which does not currently have a CVSS 3.1 rating, which allows for a remote attacker to bypass authentication using an alternate path or channel, granting user capabilities. It is important to note that only appliances that are operating as a Gateway, using the SSL VPN functionality, or being deployed as an ICA proxy with authentication enabled are affected by this vulnerability.

CVE-2022-27513: A remote desktop takeover via phishing vulnerability which does not currently have a CVSS 3.1 rating, which allows for an attacker to take advantage of insufficient verification of Data Authenticity to takeover a remote desktop session using phishing. It is important to note that the only appliances configured as a VPN Gateway with RDP Proxy functionality configured are affected by this vulnerability.

CVE-2022-27516: A brute force protection bypass vulnerability which does not currently have a CVSS 3.1 rating, which allows for an attacker to take advantage of a protection mechanism failure to brute force credentials on the user login. It is important to note that only appliances configured as a VPN gateway or AAA virtual server with the user lockout functionality “Max Login Attempts” configured are affected by this vulnerability.

Further details can be found here: https://support.citrix.com/article/CTX463706/citrix-gateway-and-citrix-adc-security-bulletin-for-cve202227510-cve202227513-and-cve202227516

Need help understanding your gaps, or just want some advice? Get in touch with us.

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