U.S. Department of Homeland Security US-CERT

National Cyber Awareness System:

TA16-091A: Ransomware and Recent Variants
03/31/2016 6:00 PM EDT


Original release date: March 31, 2016

Systems Affected
Networked Systems

Overview
In early 2016, destructive ransomware variants such as Locky and Samas were
observed infecting computers belonging to individuals and businesses, which
included healthcare facilities and hospitals worldwide. Ransomware is a type
of malicious software that infects a computer and restricts users’ access to
it until a ransom is paid to unlock it.

The United States Department of Homeland Security (DHS), in collaboration with
Canadian Cyber Incident Response Centre (CCIRC), is releasing this Alert to
provide further information on ransomware, specifically its main
characteristics, its prevalence, variants that may be proliferating, and how
users can prevent and mitigate against ransomware.

Description
WHAT IS RANSOMWARE?
Ransomware is a type of malware that infects computer systems, restricting
users’ access to the infected systems. Ransomware variants have been observed
for several years and often attempt to extort money from victims by displaying
an on-screen alert. Typically, these alerts state that the user’s systems have
been locked or that the user’s files have been encrypted. Users are told that
unless a ransom is paid, access will not be restored. The ransom demanded from
individuals varies greatly but is frequently $200–$400 dollars and must be
paid in virtual currency, such as Bitcoin.

Ransomware is often spread through phishing emails that contain malicious
attachments or through drive-by downloading. Drive-by downloading occurs when
a user unknowingly visits an infected website and then malware is downloaded
and installed without the user’s knowledge.

Crypto ransomware, a malware variant that encrypts files, is spread through
similar methods and has also been spread through social media, such as
Web-based instant messaging applications. Additionally, newer methods of
ransomware infection have been observed. For example, vulnerable Web servers
have been exploited as an entry point to gain access into an organization’s
network.

WHY IS IT SO EFFECTIVE?
The authors of ransomware instill fear and panic into their victims, causing
them to click on a link or pay a ransom, and users systems can become infected
with additional malware. Ransomware displays intimidating messages similar to
those below:

“Your computer has been infected with a virus. Click here to resolve the
issue.”
“Your computer was used to visit websites with illegal content. To unlock your
computer, you must pay a $100 fine.”
“All files on your computer have been encrypted. You must pay this ransom
within 72 hours to regain access to your data.”
PROLIFERATION OF VARIANTS
In 2012, Symantec, using data from a command and control (C2) server of 5,700
computers compromised in one day, estimated that approximately 2.9 percent of
those compromised users paid the ransom. With an average ransom of $200, this
meant malicious actors profited $33,600 per day, or $394,400 per month, from a
single C2 server. These rough estimates demonstrate how profitable ransomware
can be for malicious actors.

This financial success has likely led to a proliferation of ransomware
variants. In 2013, more destructive and lucrative ransomware variants were
introduced, including Xorist, CryptorBit, and CryptoLocker. Some variants
encrypt not just the files on the infected device, but also the contents of
shared or networked drives. These variants are considered destructive because
they encrypt users’ and organizations’ files, and render them useless until
criminals receive a ransom.

In early 2016, a destructive ransomware variant, Locky, was observed infecting
computers belonging to healthcare facilities and hospitals in the United
States, New Zealand, and Germany. It propagates through spam emails that
include malicious Microsoft Office documents or compressed attachments (e.g.,
.rar, .zip). The malicious attachments contain macros or JavaScript files to
download Ransomware-Locky files.

Samas, another variant of destructive ransomware, was used to compromise the
networks of healthcare facilities in 2016. Unlike Locky, Samas propagates
through vulnerable Web servers. After the Web server was compromised, uploaded
Ransomware-Samas files were used to infect the organization’s networks.

LINKS TO OTHER TYPES OF MALWARE
Systems infected with ransomware are also often infected with other malware.
In the case of CryptoLocker, a user typically becomes infected by opening a
malicious attachment from an email. This malicious attachment contains Upatre,
a downloader, which infects the user with GameOver Zeus. GameOver Zeus is a
variant of the Zeus Trojan that steals banking information and is also used to
steal other types of data. Once a system is infected with GameOver Zeus,
Upatre will also download CryptoLocker. Finally, CryptoLocker encrypts files
on the infected system, and requests that a ransom be paid.

The close ties between ransomware and other types of malware were demonstrated
through the recent botnet disruption operation against GameOver Zeus, which
also proved effective against CryptoLocker. In June 2014, an international law
enforcement operation successfully weakened the infrastructure of both
GameOver Zeus and CryptoLocker.

Impact
Ransomware not only targets home users; businesses can also become infected
with ransomware, leading to negative consequences, including

temporary or permanent loss of sensitive or proprietary information,
disruption to regular operations,
financial losses incurred to restore systems and files, and
potential harm to an organization’s reputation.
Paying the ransom does not guarantee the encrypted files will be released; it
only guarantees that the malicious actors receive the victim’s money, and in
some cases, their banking information. In addition, decrypting files does not
mean the malware infection itself has been removed.

Solution
Infections can be devastating to an individual or organization, and recovery
can be a difficult process that may require the services of a reputable data
recovery specialist.

US-CERT recommends that users and administrators take the following preventive
measures to protect their computer networks from ransomware infection:

Employ a data backup and recovery plan for all critical information. Perform
and test regular backups to limit the impact of data or system loss and to
expedite the recovery process. Ideally, this data should be kept on a separate
device, and backups should be stored offline.
Use application whitelisting to help prevent malicious software and unapproved
programs from running. Application whitelisting is one of the best security
strategies as it allows only specified programs to run, while blocking all
others, including malicious software.
Keep your operating system and software up-to-date with the latest patches.
Vulnerable applications and operating systems are the target of most attacks.
Ensuring these are patched with the latest updates greatly reduces the number
of exploitable entry points available to an attacker.
Maintain up-to-date anti-virus software, and scan all software downloaded from
the internet prior to executing.
Restrict users’ ability (permissions) to install and run unwanted software
applications, and apply the principle of “Least Privilege” to all systems and
services. Restricting these privileges may prevent malware from running or
limit its capability to spread through the network.
Avoid enabling macros from email attachments. If a user opens the attachment
and enables macros, embedded code will execute the malware on the machine. For
enterprises or organizations, it may be best to block email messages with
attachments from suspicious sources. For information on safely handling email
attachments, see Recognizing and Avoiding Email Scams. Follow safe practices
when browsing the Web. See Good Security Habits and Safeguarding Your Data for
additional details.
Do not follow unsolicited Web links in emails. Refer to the US-CERT Security
Tip on Avoiding Social Engineering and Phishing Attacks for more information.
Individuals or organizations are discouraged from paying the ransom, as this
does not guarantee files will be released. Report instances of fraud to the
FBI at the Internet Crime Complaint Center.

References
Kaspersky Lab, Kaspersky Lab detects mobile Trojan Svpeng: Financial malware
with ransomware capabilities now targeting U.S.
Sophos / Naked Security, What’s next for ransomware? CryptoWall picks up where
CryptoLocker left off
Symantec, CryptoDefence, the CryptoLocker Imitator, Makes Over $34,000 in One
Month
Symantec, Cryptolocker: A Thriving Menace
Symantec, Cryptolocker Q&A: Menace of the Year
Symantec, International Takedown Wounds Gameover Zeus Cybercrime Network
Sophos / Naked Security, “Locky” ransomware – what you need to know
McAfee Labs Threat Advisory: Ransomware-Locky. March 9, 2016
SamSam: The Doctor Will See You, After He Pays The Ransom
Revision History
March 31, 2016: Initial Publication

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