An NSA contractor brought home highly classified documents that detailed how the U.S. penetrates foreign computer networks and defends against cyberattacks. The contractor used Kaspersky antivirus on his home computer, which hackers working for the Russian government exploited to steal the documents, the WSJ reported on Thursday (the link could be paywalled; alternative source), citing multiple people with knowledge of the matter. From the report: The hackers appear to have targeted the contractor after identifying the files through the contractor’s use of a popular antivirus software made by Russia-based Kaspersky Lab, these people said. The theft, which hasn’t been disclosed, is considered by experts to be one of the most significant security breaches in recent years. It offers a rare glimpse into how the intelligence community thinks Russian intelligence exploits a widely available commercial software product to spy on the U.S. The incident occurred in 2015 but wasn’t discovered until spring of last year, said the people familiar with the matter. Having such information could give the Russian government information on how to protect its own networks, making it more difficult for the NSA to conduct its work. It also could give the Russians methods to infiltrate the networks of the U.S. and other nations, these people said. Ahead of the publication of WSJ report, Kaspersky founder Eugene Kaspersky tweeted, “New conspiracy theory, anon sources media story coming. Note we make no apologies for being aggressive in the battle against cyberthreats.” Read more of this story at Slashdot.
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Russian Hackers Exploited Kaspersky Antivirus To Steal NSA Data on US Cyber Defense: WSJ
JustAnotherOldGuy writes: A key weakness in malicious software is the “Command and Control” (C&C) system — a central server that the malware-infected systems contact to receive updates and instructions, and to send stolen data. Anti-malware researchers like to reverse engineer malicious code, discover the C&C server’s address, and then shut it down. Turla is an “advanced persistent threat” hacking group based in Russia with a long history of attacking states in ways that advance Russian state interests. A new analysis by Eset shows that Turla is solving its C&C problems by using Britney Spears’ Instagram account as a cut-out for its C&C servers. Turla moves the C&C server around, then hides the current address of the server in encrypted comments left on Britney Spears’s image posts. The compromised systems check in with Spears’ Instagram whenever they need to know where the C&C server is currently residing. Read more of this story at Slashdot. 
President Trump on Thursday signed a long-delayed executive order on cybersecurity that “makes clear that agency heads will be held accountable for protecting their networks, and calls on government and industry to reduce the threat from automated attacks on the internet, ” reports The Washington Post. From the report: Picking up on themes advanced by the Obama administration, Trump’s order also requires agency heads to use Commerce Department guidelines to manage risk to their systems. It commissions reports to assess the country’s ability to withstand an attack on the electric grid and to spell out the strategic options for deterring adversaries in cyberspace. [Thomas Bossert, Trump’s homeland security adviser] said the order was not, however, prompted by Russia’s targeting of electoral systems last year. In fact, the order is silent on addressing the security of electoral systems or cyber-enabled operations to influence elections, which became a significant area of concern during last year’s presidential campaign. The Department of Homeland Security in January declared election systems “critical infrastructure.” The executive order also does not address offensive cyber operations, which are generally classified. This is an area in which the Trump administration is expected to be more forward-leaning than its predecessor. Nor does it spell out what type of cyberattack would constitute an “act of war” or what response the attack would invite. “We’re not going to draw a red line, ” Bossert said, adding that the White House does not “want to telegraph our punches.” The order places the defense secretary and the head of the intelligence community in charge of protecting “national security” systems that operate classified and military networks. But the secretary of homeland security will continue to be at the center of the national plan for protecting critical infrastructure, such as the electric grid and financial sector. Read more of this story at Slashdot.