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Japan Blames Lazarus for PyPi Supply Chain Attack

 

Japanese cybersecurity officials issued a warning that North Korea's infamous Lazarus Group hacking group recently launched a supply chain attack on the PyPI software repository for Python apps. 

Threat actors disseminated contaminated packages with names like "pycryptoenv" and "pycryptoconf" that are comparable to the real "pycrypto" encryption tools for Python. Developers who are duped into installing the malicious packages onto their Windows workstations are infected with a severe Trojan called "Comebacker.” 

"The malicious Python packages confirmed this time have been downloaded approximately 300 to 1,200 times," Japan CERT noted in a warning issued late last month. "Attackers may be targeting users' typos to have the malware downloaded.” 

Comebacker is a general-purpose Trojan that can be used to deliver ransomware, steal passwords, and infiltrate the development pipeline, according to analyst and senior director at Gartner Dale Gardner. 

The trojan has been used in multiple attacks linked to North Korea, including one against a npm software development repository. 

Impacting Asian Developers

Since PyPI is a centralised service with a global reach, developers worldwide should be aware of the most recent Lazarus Group campaign. 

"This attack isn't something that would affect only developers in Japan and nearby regions," Gardner explains. "It's something for which developers everywhere should be on guard." 

Several experts believe non-native English speakers may be more vulnerable to the Lazarus Group's most recent attack. Due to communication issues and limited access to security information, the attack "may disproportionately impact developers in Asia," stated Taimur Ijlal, a tech specialist and information security leader at Netify. 

According to Academic Influence's research director, Jed Macosko, app development groups in East Asia "tend to be more tightly integrated than in other parts of the world due to shared technologies, platforms, and linguistic commonalities." He believes intruders may be looking to take advantage of regional ties and "trusted relationships." 

Small and startup software businesses in Asia often have lower security budgets than their Western counterparts, according to Macosko. "This means weaker processes, tools, and incident response capabilities — making infiltration and persistence more attainable goals for sophisticated threat actors.” 

Cyber Defence

Protecting application developers from software supply chain threats is "difficult and generally requires a number of strategies and tactics," Gartner's Gardner explained. 

Developers should use extra caution and care while downloading open source dependencies. Given the amount of open source used today and the pressures of fast-paced development environments, it's easy for even a well-trained and vigilant developer to make a mistake, Gardner added. 

Gardner recommends using software composition analysis (SCA) tools to evaluate dependencies and detect fakes or legitimate packages that have been compromised. He also suggests "proactively testing packages for the presence of malicious code" and validating packages using package managers to minimise risk.

Security Issue in Banking Applications?

Recently, we tested a mobile application of a BFSI platform, which allowed the organization's employees to view and interact with new customer leads. 

The mobile app had a password-based authentication system, with the username being the mobile number of the user. We identified a major weakness in this mobile app. The app allows a user to reset the password if they can prove themselves via an OTP. When the 'forgot password' button is pressed, the user is sent to a page where they are prompted to enter an OTP. The OTP is sent to the phone number, and if the wrong OTP is entered, the server responds with `{"OTP":"Failure"}`. While this seems to have been implemented properly, we tried to change the server response by conducting an MITM. We changed the response from the server to `{"OTP":"Success"}`. This redirection led us to the password change screen, where we were prompted to enter a new password. 

Initially, we believed this was only a visual bug and that the password reset would fail. However, we soon discovered that the password reset page itself does not check the OTP, and there is no session to track the successful OTP. This means any attacker can take the password change request, replace the phone number, and change the password of any other user (phone number). In simple terms, the OTP verification and the password reset page are not connected. The password reset API call did not have any verification or authentication to ensure only the correct user can change the password. 

This reveals how BFSI developers, when asked to build an app, often create the requested features without considering any security architecture. These apps are usually rushed, and only the positive/happy paths are checked. Security testing and architecture are often considered only as an afterthought. Unless BFSI incorporates security architecture into the development stage itself, such vulnerabilities will continue to emerge.  

By
Suriya Prakash
Head DARWIS 
CySecurity Corp

Epic Games Wins: Historic Decision Against Google in App Store Antitrust Case

The conflict between tech behemoths Google and Apple and Fortnite creator Epic Games is a ground-breaking antitrust lawsuit that has rocked the app ecosystem. An important turning point in the dispute occurred when a jury decided to support the gaming behemoth over Google after Epic Games had initially challenged the app store duopoly.

The core of the dispute lies in the exorbitant fees imposed by Google and Apple on app developers for in-app purchases. Epic Games argued that these fees, which can go as high as 30%, amount to monopolistic practices, stifling competition and innovation in the digital marketplace. The trial has illuminated the murky waters of app store policies, prompting a reevaluation of the power dynamics between tech behemoths and app developers.

One of the key turning points in the trial was the revelation of internal emails from Google, exposing discussions about the company's fear of losing app developers to rival platforms. These emails provided a rare glimpse into the inner workings of tech giants and fueled Epic Games' claims of anticompetitive behavior.

The verdict marks a significant blow to Google, with the jury finding in favor of Epic Games. The decision has broader implications for the tech industry, raising questions about the monopolistic practices of other app store operators. While Apple has not yet faced a verdict in its case with Epic Games, the outcome against Google sets a precedent that could reverberate across the entire digital ecosystem.

Legal experts speculate that the financial repercussions for Google could be substantial, potentially costing the company billions. The implications extend beyond financial penalties; the trial has ignited a conversation about the need for regulatory intervention to ensure a fair and competitive digital marketplace.

Industry observers and app developers are closely monitoring the fallout from this trial, anticipating potential changes in app store policies and fee structures. The ruling against Google serves as a wake-up call for tech giants, prompting a reassessment of their dominance in the digital economy.

As the legal battle between Epic Games and Google unfolds, the final outcome remains years away. However, this trial has undeniably set in motion a reexamination of the app store landscape, sparking debates about antitrust regulations and the balance of power in the ever-evolving world of digital commerce.

Tim Sweeney, CEO of Epic Games, stated "this is a monumental step in the ongoing fight for fair competition in digital markets and for the basic rights of developers and creators." In the coming years, the legal structure controlling internet firms and app store regulations will probably be shaped by the fallout from this trial.

Google Introduces Badges to Identify Which VPN App has Passed a Security Audit


Google has recently confirmed that they will be introducing an Independent Security Review badge to identify Android VPN apps that have undergone an independent security assessment, taking into account the concerns of users regarding Android cybersecurity. 

The App Defense Alliance was launched last year, in collaboration between Google, ESET, Lookout, and Zimperium in order to tackle Play Store’s malware issues. The Alliance further launched the Mobile Application Security Assessment (MASA) audit. In order to inform customers that the applications they are installing on their phones have been created in accordance with industry mobile security and privacy minimal best practices, software developers can use this method to get their apps independently verified against a global security standard. 

The objective behind the review badge is that if app developers follow this method in order to mitigate any security flaw, it will make it more challenging for hackers to compromise users' devices and, as a result, the quality of apps across the ecosystem will improve.

Applications that have received this badge have successfully undergone a MASA audit. Moreover, in order to maintain the badge every year, app developers will have to go through an additional independent assessment.

Nataliya Stanetsky of the Android Security and Privacy Team states in a Google Security Blog post this week that, “While certification to baseline security standards does not imply that a product is free of vulnerabilities, the badge associated with these validated apps helps users see at-a-glance that a developer has prioritized security and privacy practices and committed to user safety.”

Now, when a user turns to Play Store in search for the best VPN, they will certainly see a banner at the top, leading then to the DATA Safety Section, for them to have a better understanding of the new badges. On clicking on the option ‘learn more,’ the user will further be directed to the App Validation Directory, "a centralized place to view all VPN apps that have been independently security reviewed."

"We've launched this banner beginning with VPN apps due to the sensitive and significant amount of user data these apps handle," Stanetsky explained.

"VPN providers such as NordVPN, Google One, ExpressVPN, and others have already undergone independent security testing and publicly declared the badge showing their good standing with the MASA program," she added. 

These Security Review badges is an effort by Google to make the Data Safety Section a one-stop shop for information on Play Store cybersecurity procedures. Additionally, you may get information on the kind of data that apps are gathering about you, why they are collecting it, and whether or not they are sharing it with outside parties.