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Scrape Timestamp (UTC): 2024-03-01 18:33:05.959
Source: https://www.theregister.com/2024/03/01/iranian_cyberattack_charges/
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Iranian charged over attacks against US defense contractors, government agencies. $10M bounty for anyone with info leading to Alireza Shafie Nasab's identification or location. The US Department of Justice has unsealed an indictment accusing an Iranian national of a years-long campaign that compromised hundreds of thousands of accounts and attempting to infiltrate US defense contractors and multiple government agencies. It's alleged [PDF] that Alireza Shafie Nasab and his co-conspirators, while doing business as a cybersecurity business called Mahak Rayan Afraz, were actually operating a criminal gang. Nasab and his accomplices reportedly used spear phishing, social engineering, and software built in-house to compromise US targets from sometime in 2016 to April 2021, the DoJ claims. "Nasab participated in a cyber campaign using spear phishing and other hacking techniques to infect more than 200,000 victim devices, many of which contained sensitive or classified defense information," said Damian Williams, US Attorney for the Southern District of New York. According to [PDF] the DoJ, Nasab and his accomplices primarily targeted US contractors cleared to work with the Department of Defense, though not exclusively. It's alleged that Nasab also targeted an accounting firm and hospitality company based in New York, as well as the US Departments of State and the Treasury and an unnamed foreign country. The indictment doesn't state whether intrusion attempts at federal government departments were successful, though we note both the State and Treasury departments have been broken into in recent years. Those attacks were attributed to China and Russia respectively. The DoJ's indictment doesn't include much information on which of Nasab's alleged breach attempts were successful, but it does state that the more than 200,000 employee accounts were compromised at the aforementioned accounting firm, and that the hospitality company had 2,000 employee accounts "targeted," but not necessarily successfully breached. It's claimed that Nasab's crew compromised an administrator email account belonging to a defense contractor, which was used to register a pair of fake accounts used to target employees at another contractor, as well as a consulting firm. The DoJ alleged that Nasab's crew also made use of social engineering tactics, generally posing as women "in order to obtain the confidence of victims." Russian microelectronics smuggler pleads guilty Russian citizen Maxim Marchenko, who was living in Hong Kong prior to his arrest in September last year on charges of illegally procuring OLED displays for use in Russia, has pleaded guilty, the DoJ said yesterday. Marchenko used a series of Hong Kong-based shell companies to purchase OLED microdisplays for alleged use in electron microscopes, but the US is concerned the dual-use devices could be used in weapons. American officials haven't said whether they believe Marchenko's smuggled goods were necessarily destined for weapons, but regardless of the purpose, sending them to Russia is verboten. Marchenko is scheduled to be sentenced on May 29 on one count each of money laundering and smuggling. He faces up to 30 years in prison. This isn't the first time Mahak Rayan Afraz has been fingered by cybersecurity researchers either. In 2021, Facebook said it had taken action against a group of Iranian cybercriminals dubbed "Tortoiseshell" by threat researchers at Symantec with links to Mahak Rayan Afraz. According to Facebook, Tortoiseshell appeared to have outsourced its malware development, a portion of which it attributed to Nasab's firm, which Facebook alleged has ties to Iran's Revolutionary Guard Corps. The DoJ claimed Nasab's role involved procuring infrastructure for use by Mahak Rayan Afraz, and has charged him with one count of conspiracy to commit computer fraud, one count of conspiracy to commit wire fraud, a count of actually committing wire fraud, and one count of aggravated identity theft. If convicted on all counts, Nasab could face up to 47 years in prison, though the US might have trouble finding him. Nasab, a citizen of Iran, remains at large and the Department of State's Rewards for Justice Program is offering $10 million for information leading to identification or Nasab's whereabouts. "Today's charges highlight Iran's corrupt cyber ecosystem, in which criminals are given free rein to target computer systems abroad and threaten US sensitive information and critical infrastructure," said Assistant Attorney General Matthew Olsen of the DoJ's National Security division. "Our National Security Cyber Section remains focused on disputing these cross-border hacking schemes and holding those responsible to account."
Daily Brief Summary
The US Department of Justice has indicted Iranian national Alireza Shafie Nasab for leading cyberattacks against US defense contractors and government agencies since 2016.
Nasab's operations, under the guise of a cybersecurity company, compromised over 200,000 accounts containing sensitive or classified defense information.
Targets included defense contractors with Department of Defense clearance, US State and Treasury Departments, an accounting firm, a hospitality company, and entities of a foreign government.
Tactics used by Nasab and his co-conspirators involved spear-phishing, social engineering, in-house software tools, and impersonating female personas to gain victim trust.
The DoJ alleges successful account compromises, including an administrator email at a defense contractor, which facilitated further attacks against another contractor and a consulting firm.
A parallel legal development cites Russian citizen Maxim Marchenko's guilty plea for smuggling OLED displays for potential military use into Russia, facing a 30-year prison sentence.
Facebook previously identified connections between Nasab's firm and the Iranian cybercriminal group "Tortoiseshell," which outsourced malware development with potential ties to Iran's Revolutionary Guard Corps.
Nasab remains at large, and a $10 million bounty is offered for information leading to his identification or location, accentuating the US government's drive to counter cross-border cybercriminal activities.