35 North Korean cyberattacks in 17 countries

Posted on August 19, 2019October 17, 2019 by Denise Simon

According to a South Korean politician, last fall North Korean hackers gained access to South Korea’s Defense Integrated Data Center and stole 235 gigabytes of classified military plans. More here.

UNITED NATIONS (AP) — U.N. experts say they are investigating at least 35 instances in 17 countries of North Koreans using cyberattacks to illegally raise money for weapons of mass destruction programs — and they are calling for sanctions against ships providing gasoline and diesel to the country.

Last week, The Associated Press quoted a summary of a report from the experts which said that North Korea illegally acquired as much as $2 billion from its increasingly sophisticated cyber activities against financial institutions and cryptocurrency exchanges.

The lengthier version of the report, recently seen by the AP, reveals that neighboring South Korea was hardest-hit, the victim of 10 North Korean cyberattacks, followed by India with three attacks, and Bangladesh and Chile with two each.

Thirteen countries suffered one attack — Costa Rica, Gambia, Guatemala, Kuwait, Liberia, Malaysia, Malta, Nigeria, Poland, Slovenia, South Africa, Tunisia and Vietnam, it said.

The experts said they are investigating the reported attacks as attempted violations of U.N. sanctions, which the panel monitors.

The report cites three main ways that North Korean cyber hackers operate:

—Attacks through the Society for Worldwide Interbank Financial Telecommunication or SWIFT system used to transfer money between banks, “with bank employee computers and infrastructure accessed to send fraudulent messages and destroy evidence.”

—Theft of cryptocurrency “through attacks on both exchanges and users.”

— And “mining of cryptocurrency as a source of funds for a professional branch of the military.”

The experts stressed that implementing these increasingly sophisticated attacks “is low risk and high yield,” often requiring just a laptop computer and access to the internet.

The report to the Security Council gives details on some of the North Korean cyberattacks as well as the country’s successful efforts to evade sanctions on coal exports in addition to imports of refined petroleum products and luxury items including Mercedes Benz S-600 cars.

One Mercedes Maybach S-Class limousine and other S-600s, as well as a Toyota Land Cruiser, were transferred from North Korea to Vietnam for last February’s summit between the country’s leader Kim Jong Un and U.S. President Donald Trump, the experts said, adding that Vietnam said it asked for but was never provided a list of vehicles being brought into the country.

The panel also said it obtained information that the Taesong Department Store in Pyongyang, which reopened in April and is selling luxury goods, is part of the Taesong Group which includes two entities under U.N. sanctions and was previously linked to procurement for North Korea’s ballistic missile programs.

The panel recommended sanctions against six North Korean vessels for evading sanctions and illegally carrying out ship-to-ship transfers of refined petroleum products.

Under U.N. sanctions, North Korea is limited to importing 500,000 barrels of such products annually including gasoline and diesel. The U.S. and 25 other countries said North Korea exceeded the limit in the first four months of 2019.

The panel also recommended sanctions against the captain, owner, and parent company of the North Korean-flagged Wise Honest, which was detained by Indonesia in April 2018 with an illegal shipment of coal.

As for North Korea’s military cooperation with other countries, the experts said Iran rejected an unnamed country’s allegation that two North Korean entities under sanctions maintained offices in Iran — the Korea Mining Development Trading Corporation known as KOMID, which is the country’s primary arms dealer and main exporter of goods and equipment related to ballistic missiles and conventional weapons, and Saeng Pil Company.

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The experts said they have requested information from Rwanda on a report that North Koreans are conducting special forces training at a military camp in Gabiro. And they said they are also waiting for a response from Uganda “to multiple inquires” about reports indicating specialized training is being conducted in the country, and KOMID and North Korean workers maintain a presence.

As examples of North Korean cyberattacks, the panel said hackers in one unnamed country accessed the infrastructure managing its entire ATM system and installed malware modifying the way transactions are processed. As a result, it forced 10,000 cash distributions to individuals working for or on behalf of North Korea “across more than 20 countries in five hours.”

In Chile, the experts said, North Korean hackers demonstrated “increasing sophistication in social engineering,” by using LinkedIn to offer a job to an employee of the Chilean interbank network Redbanc, which connects the ATMs of all the country’s banks.

According to a report from one unnamed country cited by the experts, stolen funds following one cryptocurrency attack in 2018 “were transferred through at least 5,000 separate transactions and further routed to multiple countries before eventual conversion” to currency that a government has declared legal money, “making it highly difficult to track the funds.”

In South Korea, the experts said, North Korean cyber actors shifted focus in 2019 to targeting cryptocurrency exchanges, some repeatedly.

The panel said South Korea’s Bithumb, one of the largest cryptocurrency exchanges in the world, was reportedly attacked at least four times. It said the first two attacks in February 2017 and July 2017 each resulted in losses of approximately $7 million, while a June 2018 attack led to a $31 million loss and a March 2019 attack to a $20 million loss.

The panel said it also investigated instances of “cryptojacking” in which malware is used to infect a computer to illicitly use its resources to generate cryptocurrency. It said one report analyzed a piece of malware designed to mine the cryptocurrency Monero “and send any mined currency to servers located at Kim Il Sung University in Pyongyang.”

American Cities Hit by Ransomware

Posted on August 19, 2019August 19, 2019 by Denise Simon

AUSTIN – The Department of Information Resources (DIR) is leading the response to a coordinated ransomware attack that has impacted at least twenty local government entities across Texas

AUSTIN – The Department of Information Resources (DIR) is leading the response to a coordinated ransomware attack that has impacted at least twenty local government entities across Texas.

The Texas Division of Emergency Management is assisting by coordinating state agency support through the Texas State Operations Center.

Currently, DIR, the Texas Military Department, and the Texas A&M University System’s Cyberresponse and Security Operations Center teams are deploying resources to the most critically impacted jurisdictions. Further resources will be deployed as they are requested.

Local jurisdictions who have been impacted should contact their local TDEM Disaster District Coordinator. DIR is fully committed to respond swiftly to this event and provide the necessary resources to bring these entities back online.

***

Users are then extorted for cash in order to regain access to their systems, and they are nearly always asked to pay in Bitcoin, a blockchain currency that is virtually untraceable, allowing hackers to pull off these complex operations from a single room halfway around the world.

It is unknown how much the hackers were demanding from Texas officials, which systems are currently offline and whether the impacted cities are expected to pay the ransom.

*** More than 20 Texas cities and towns have been taken ... photo

The attack took place on Friday morning, August 16, US time, when several smaller local Texas governments reported problems with accessing their data to the Texas Department of Information Resources (DIR).

DIR officials did not publish a list of impacted local governments. On Friday, the agency couldn’t provide an exact number of impacted entities, but a day later, DIR said the number is 23.

“It appears all entities that were actually or potentially impacted have been identified and notified,” DIR said. “Responders are actively working with these entities to bring their systems back online.”

The organization has been coordinating recovery efforts together with more than ten other Texas and US government agencies, such as the Texas Division of Emergency Management, the FBI, the DHS, the Texas Department of Public Safety, and others.

“At this time, the evidence gathered indicates the attacks came from one single threat actor,” DIR officials said on Saturday.

.JSE ransomware

ZDNet has learned from a local source that the ransomware that infected the networks of the 23 local Texas governments encrypts files and then adds the .JSE extension at the end.

This ransomware strain does not have its own name, being generally called the .jse ransomware –although some antivirus vendors detect it as Nemucod, under the name of the trojan that drops it on infected hosts.

First signs of this .jse ransomware have been spotted as early as August 2018, but activity has continued and has been reported as recently as this month. The ransomware is a strange one as it does not leave a ransom note behind, confusing victims who most of the time don’t know what happened.

In recent months, US cities have been a prime target for ransomware gangs, with infections reported all over the US.

In July, the governor of Louisiana declared a state emergency after a similar coordinated ransomware attack hit several school districts.

Birthright Citizenship is NOT in the Constitution

Posted on August 12, 2019August 12, 2019 by Denise Simon

This topic has long been debated with no resolution including at the Supreme Court level. Much has been written about what ‘birthright’ is including in the New York Times as recently as in 2015.
The simply requirement is subject to the jurisdiction of the United States, not subject to a foreign power. A birth must be to parents who were legally domiciled to the United States as citizens themselves. There is no such thing legally as an anchor baby. There must be a provable bind to the United States.
President Trump has ordered a team to investigate the definition of the 14th Amendment leading to his possible signature of an Executive Order which would lead government agencies to act in accordance with the clarification and regulations around the Citizenship Clause.

During the years of Ellis Islands, immigrants had to have money, the proven ability to earn a salary and not be an economic burden to the United States. 12 million people passed through Ellis Island and had for the time, a rigorous process to comply for entry. They included medical exams, have existing family members in the United States for connections and a safety net and prove existing financial means. There was quite a list of questions for the immigrants including those regarding a criminal record, being institutionalized for insanity and having some prior knowledge of the United States including facts of the Constitution, naming the 13 colonies and if they were an anarchist. There were in many cases immediate deportations for failures of passing fundamental stipulations.

High praise should be given to the Trump administration for tackling the issue of birthright citizenship for clarification because the abuse of the system has been out of control, exploiting the anchor baby model.

Take notice that even ABC news as recently as March of this year, 2019 addressed the issue of pregnant Russian women flocking to Miami to given birth just to gain citizenship under the anchor baby policy which is not nor has even been policy or legal. There are brokers around the world that facilitate these American births where the cost can range from $20,000 to $50,000. This includes travel, accommodations and the hospital expenses. This is otherwise known as ‘birth tourists’. But hey, Russia is not the only country. Nigeria, Mexico and China are included. We cant know the full number of those participating in birth tourism but each year it is estimated to range in the 30-50,000 of women that make the trip. Not to be overlooked is the healthcare in itself, clearly better here than in their home country. Consider that a particular area of Miami, known as Sunny Isles Beach is teeming with Russians and has the nickname of little Moscow.

So, next how about California?

So as recently as 2018, the FBI had to perform a set of raids on maternity hotels and apartment complexes in an estimated 20 locations in and around Los Angeles. Ah, it seems these pregnant Chinese women had more expensive brokers as they paid in the range of $40-$80,000 for their travel, accommodations and hospital stay. Operations in Los Angeles obviously had quite the operation stateside as some of these locations witnessed trucks and fork lifts delivering pallets of diapers and other infant needs like formula.

California Apartments Raided in Federal Investigation of ...

This all amounts to abuse of U.S. citizenship.

Further:

The Trump administration on Monday issued a long-awaited rule strengthening the ability of federal officials to deny green cards to immigrants deemed likely to rely on government aid.

Officials described the so-called “public charge” rule as a way to ensure those granted permanent residency are self-sufficient — and protect taxpayers in the process.

“It will also have the long-term benefit of protecting taxpayers by ensuring people who are immigrating to this country don’t become public burdens, that they can stand on their own two feet, as immigrants in years past have done,” he said. “It’s not only a recipe for their success, but for America’s success growing out of our immigration system.”

The updated rule will better define, and expand, the factors that can be considered to deny an applicant on these grounds.

While the “public charge” inadmissibility standard has long been part of U.S. immigration law, the term has not been formally defined in statute. The new rule, which will go into effect on October 15, will define “public charge” as an immigrant who receives one or more designated public benefits for more than 12 months within a 36-month period.

USDA Hires 'Integrity Officer' to Fight Fraud in Food ...

Those benefits include Supplemental Security Income (SSI), Temporary Assistance for Needy Families (TANF), as well as most forms of Medicaid and the Supplemental Nutrition Assistance Program (SNAP) — commonly known as food stamps. The rule expands the number of benefits that can be considered from interim guidance issued in 1999.

Those factors will be considered along with standard considerations such as age, health, financial assets and education. While Cuccinelli’s USCIS is the lead agency, similar filters will be used at the State Department (for those applying for visas from abroad) and Border Patrol.

Maybe true clarity for the sake of law and order is becoming a reality with regard to immigration and the Constitution.

Hey Bernie and Kamala, Government Can’t Run Medicare

Posted on August 8, 2019August 8, 2019 by Denise Simon

Legitimately that is. The crimes and fraud within the system are so bad already that the FBI is and has been overwhelmed with cases.

Image result for Medicare Fraud Strike Force (MFSF)
Heck, just last month, the FBI announced the results of Operation Brace Yourself. 24 people were arrested due to Medicare fraud billing amounting to over $1 billion. Get that? One case, over a billion dollars. A medical equipment company out of the Philippines recruited people, there were kickbacks, money-laundering, yachts, luxury real estate deals all inside of at least 100 equipment companies. This FBI investigation involved 20 field offices, agency partners, the IRS, the IRS, Health and Human Services, the Department of Veteran Affairs and even Secret Service.

But wait, that was just one case.

How about a few more?

District of Columbia Physician Indicted for Alleged Role in $12.7 Million Health Care Fraud Scheme
A physician with a practice in the District of Columbia was charged in an indictment unsealed today for his role in an alleged $12.7 million health care fraud scheme to submit fraudulent claims to Medicare for complicated medical procedures he never provided.

Telemarketer And His Companies Agree To Pay $2.5 Million To Settle Allegations That They Operated Telemedicine Schemes Involving Illegal Kickbacks And Unnecessary Prescriptions
United States Attorney Maria Chapa Lopez and U.S. Attorney J. Douglas Overbey for the Eastern District of Tennessee announce that Scott Roix, together with several entities through which he ran his telemarketing business, including HealthRight, LLC; Health Savings Solutions, LLC; Vici Marketing, LLC; and Vici Marketing Group, LLC (hereinafter collectively referred to as “marketing companies”), have agreed to pay $2.5 million to resolve allegations that Roix and these marketing companies violated the False Claims Act by causing the submission of false claims to federal healthcare programs in connection with telemedicine health care fraud schemes.

Patient Recruiter Found Guilty in $1.3 Million Medicare Kickback Scheme
A federal jury in Detroit, Michigan found a patient recruiter guilty today for his role in a scheme involving approximately $1.3 million in fraudulent Medicare claims for home health care that were procured through the payment of kickbacks.

Medical Business Owner Sentenced to More Than 10 Years in Federal Prison for Medicare Fraud
AUGUSTA, GA: The owner of a Thomson, Ga., medical equipment company was sentenced to more than 10 years in federal prison Tuesday, July 30, for a wide-ranging Medicare fraud scheme.

Millcreek Community Hospital Will Pay $2,451,000 to Settle Claims for Medically Unnecessary Inpatient Rehabilitation Services
PITTSBURGH – Millcreek Community Hospital, located in Erie, Pennsylvania, has agreed to pay $2,451,000 to resolve claims that the hospital violated the False Claims Act by billing Medicare and Medicaid for medically unnecessary inpatient rehabilitation services, Scott W. Brady announced today.

32 Arrested Major Drug Bust San Francisco

Posted on August 8, 2019August 8, 2019 by Denise Simon

Attention to AOC, Booker, Castro, Biden, O’Rourke and the rest…remember when President Trump said they dont send us their best? Check it, mostly Hondurans.
Hey Pelosi, hey Feinstein, what say you? Maybe someone can alert Shepard Smith too.

Fentanyl…..

U.S. Attorney David Anderson announces a new federal crime-fighting initiative in San Francisco on Wednesday, Aug. 7, 2019. Seventeen federal law enforcement agencies will team up for a yearlong crackdown on a notorious area of San Francisco where open drug use has been tolerated for years. (AP Photo/Samantha Maldonado) photo

The alleged leaders of the two organizations were Andy Reanos-Moreno and Eduardo Alfonso Viera-Chirinos, according to federal criminal complaints filed on Aug. 1 and July 29 and made public Wednesday.

Nielsen said the two cases were the first time in his law enforcement experience that he had seen the model of the leaders of a drug ring renting housing to the drug sellers.

The residences included apartments and houses in Oakland, Hayward and elsewhere and as many as five dealers, sometimes with partners and children, lived in each unit, according to the complaints.

In part: (AP) — The first step in a sweeping crackdown on crime ranging from drugs to sex trafficking in a notorious San Francisco neighborhood yielded 32 arrests of mostly Honduran nationals tied to two international operations that poured heroin and cocaine into the community, U.S. prosecutors announced Wednesday.

In his first news conference since being appointed by President Donald Trump in January, U.S. Attorney David Anderson said he could no longer stand by as tourists, government workers and residents wade through a daily slog of crime. He said an enforcement initiative by more than 15 federal agencies would not affect “innocent” homeless people or drug users but would tackle high-level drug dealing, fraud, identity theft and firearms.

“My belief is that the Tenderloin, in fairness, deserves the rule of law every bit as much as other fine neighborhoods in San Francisco,” he said. “This is not an immigration initiative. This is not a deportation initiative. This is a public safety initiative.”

Still, San Francisco is a city that strongly opposes federal immigration sweeps, and immigration agents are among those joining the FBI, the Drug Enforcement Administration, U.S. Marshals Service and others in the effort. San Francisco was a sanctuary city before the rest of California largely pledged not to work with federal authorities on deporting people in the country illegally.

Chris Nielsen, special agent in charge of the Drug Enforcement Administration in San Francisco, said an investigation launched in late 2017 uncovered two independent operations stretching from Mexico to Seattle in which mostly Honduran nationals living on the eastern side of the San Francisco Bay Area commuted daily to the Tenderloin to sell drugs.

He said the “commuter drug dealers” acted like “independent contractors,” selling drugs in exchange for housing.

“Each morning, drugs were dropped off with dealers in the East Bay and then commuted into the city to sell to people from all over the area,” he said.

The federal crackdown, however, was criticized by San Francisco’s Coalition on Homelessness, whose officials say the Trump administration is targeting immigrants and the poor. “We are deeply concerned that low level offenders, drug users and individuals who do not have homes and are therefore more likely to come in contact with law enforcement will be disparately impacted,” said Sam Lew, the coalition’s policy director.

Others say the neighborhood desperately needs help. Andrea Fogelbach opened her “Slingshot Cafe” coffee shop two months ago in the neighborhood, where discarded needles litter the streets and people sleep in tents or out in the open.

“It’s pretty bad. They’re just shooting up right in front of you,” she said. “I’m afraid for my dog stepping on needles most of the time. If I had children, I don’t think I could live here.”

The organized nature of drug peddling in the Tenderloin was cited in an April city report, which stated that more than half of nearly 900 people booked into jail or cited for incidents tied to drug sales in 2017-18 were cited or arrested by police in the Tenderloin. It said a high percentage of drug sales involve organized crime and “sellers often give drugs to homeless people who are addicted in exchange” for holding the drugs.

The U.S. attorney’s office said it is devoting 15 prosecutors to the crackdown for at least a year.