News Ransomware Trojan Discovered

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Forerunner
Cryzip Trojan encrypts files on an infected computer and then demands $300 in ransom for a decryption password.

The Trojan uses a commercial zip library to store the victim's documents inside a password-protected zip file and then leaves a step-by-step instructions on how to pay the ransom to retrieve the files.

This type of attack is classified as "Ransomware," and is not entirely new. It points to an increasing level of sophistication among online thieves who use social engineering tactics to trick victims into installing malware.

How it spreads :

It is not yet clear how the Trojan is being distributed, but security researchers say it was part of a small e-mail spam run that successfully evaded anti-virus scanners by staying below the radar.

How it works :

The LURHQ Threat Intelligence Group, based in Chicago, was able to crack the encryption code used in the Cryzip Trojan and determine how the files are encrypted and the payment mechanism that has been set up to collect the $300 ransom.

Cryzip searches an infected hard drive for a wide range of widely used file types, including Word, Excel, PDF and JPG images.

Once commandeered, the files are zipped and overwritten the text: "Erased by Zippo! GO OUT!!!"

The Trojan then deletes all the files, leaving only the encrypted file with the original file name, followed by the "_CRYPT.ZIP" extension.

A new directory named "AUTO_ZIP_REPORT.TXT" is created with specific instructions on how to use the E-Gold online currency and payment system to send ransom payments.

The instructions, which are marked by misspellings and poor grammar, contain the following text: "Your computer catched our software while browsing illigal porn pages, all your documents, text files, databases was archived with long enought password. You can not guess the password for your archived files - password lenght is more then 10 symbols that makes all password recovery programs fail to bruteforce it (guess password by trying all possible combinations)."

Warning note left by the trojan

The owner of the infected machine is warned not to search for the program that encrypted the data, claiming that it simply doesn't exist on the hard drive.

"If you really care about documents and information in encrypted files you can pay using electonic currency $300," the note says. "Reporting to police about a case will not help you, they do not know password. Reporting somewhere about our E-Gold account will not help you to restore files. This is your only way to get yours files back."

The Trojan author uses scores of E-Gold accounts simultaneously to get around potential shutdowns, according to LURHQ, which published the complete list of E-Gold accounts in the advisory.

End user :

"Infection reports are not widespread, so it is not believed this is a mass threat by any means," LURHQ said. However, the company said social engineering malware is typically more successful when it is delivered in low volume to get around anti-virus detections.
 
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