http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/02/15/BU47V0VOH.DTL
An insidious computer virus recently discovered
on digital photo frames has been identified as a powerful new
Trojan Horse from China that collects passwords for online games -
and its designers might have larger targets in mind.
"It is a nasty worm that has a great deal of intelligence," said
Brian Grayek, who heads product development at Computer Associates,
a security vendor that analyzed the Trojan Horse.
The virus, which Computer Associates calls Mocmex, recognizes
and blocks antivirus protection from more than 100 security
vendors, as well as the security and firewall built into Microsoft
Windows. It downloads files from remote locations and hides files,
which it names randomly, on any PC it infects, making itself very
difficult to remove. It spreads by hiding itself on photo frames
and any other portable storage device that happens to be plugged
into an infected PC.
The authors of the new Trojan Horse are well-funded
professionals whose malware has "specific designs to capture
something and not leave traces," Grayek said. "This would be a
nuclear bomb" of malware.
By studying how the code is constructed and how it's propagated,
Computer Associates has traced the Trojan to a specific group in
China, Grayek said. He would not name the group.
The strength of the malware shows how skilled hackers have
become and how serious they are about targeting digital devices,
which provide a new frontier for stealing information from vast
numbers of unwary PC owners. More than 2.26 million digital frames
were sold in 2007, according to the Consumer Electronics
Association, and it expects sales to grow to 3.26 million in
2008.
The new Trojan also has
been spotted in Singapore and the Russian
Federation and has 67,500 variants, according to Prevx, a security
vendor headquartered in England.
Grayek said Mocmex might be a test for some bigger attack,
because it's designed to capture any personal, private or financial
information, yet so far it's only stealing passwords for online
games.
"If I send you a package but it doesn't explode, why did I send
it?" he said. "Maybe I want to see if I can get it out to you and
how you open it."
The initial reports of infected frames came from people who had
bought them over the holidays from Sam's Club and Best Buy. New
reports involve frames sold at Target and Costco, according to
SANS, a group of security researchers in Bethesda, Md., who began
asking for accounts of infected devices on Christmas Day. So far
the group has collected more than a dozen complaints from people
across the country.
The new Trojan isn't the only piece of malware involved. Deborah
Hale of Sans said the researchers also found four other, older
Trojans on each frame, which may serve as markers for botnets -
networks of infected PCs that are remotely controlled by
hackers.
There is W32.Rajump, which deposits the same piece of malware
that infected some of Apple's video iPods during manufacturing in
October 2006. It gathers Internet Protocol addresses and port
numbers from infected PCs and ships them out, according to
Symantec. One destination is registered to a service in China that
allows people to conceal their own IP addresses.
Then there is a generic Trojan; a Trojan that opens a back door
on PCs and displays pop-up ads; and a Trojan that spreads itself
through portable devices like Mocmex does.
How all this malware got onto the photo frames and what it's
doing there is unclear. Trojans can download other Trojans, which
is part of how botnets are controlled.
While SANS is investigating the infections, the retailers are
saying little.
Sam's Club said it has found no infected frames, and its
distributor, Advanced Design Systems, did not return calls seeking
comment.
A few Target customers complained about frames distributed by
Uniek, a store spokesman confirmed. Target is no longer selling
those frames, but that's because the frames didn't sell well over
the holidays, he said. Target has found no infections, he said, but
is watching for them.
Best Buy said one line of its Insignia frames - also now
discontinued - was infected during manufacturing but would not
provide details.
Costco did not return calls seeking comment.
Protecting against these new computer viruses, which so far are
aimed at PCs running Windows, is hard - and sometimes
impossible.
Updated antivirus software works unless the malware writers get
ahead of the antivirus vendors, which is what happened with the new
Trojan. Computer Associates, for example, just began protecting
against it last week.
While some advise disabling Autorun in Windows, which allows
devices to run automatically when they're plugged into a USB port,
it's not a failsafe. Doing so requires some computer expertise, and
this Trojan re-enables Autorun if it's turned off, according to
Brian Grayek of Computer Associates. "If you plug in (the frame),
you're already infected," he said.
Deborah Hale at SANS suggested that PC users find friends with
Macintosh or Linux machines and have them check for malware before
plugging any device into a PC.
She also recommended backing up data with an online service such
as Mozy.com that offers free backup for home users with less than 2
gigabytes of data. But it does not back up the operating system,
she warned. If you're attacked and your PC fails, you'll have to
reformat and reload all of the programs.
Didn't know this kind of frames are available here???
Anyway, sounds bad. Looks like reformatting is the way to go.
But then again, if your thumbdrive or any external drives are
infected, reinstalling doesn't help. Plug in again, the whole thing
starts again. It's an evil cycle.