When The Hack of a Business Partner is Just as Bad as the Compromise of Your Own Systems.
April 1, 2022
Digital4nx was recently retained in a post-incident response investigation of a highly targeted spear phishing email attack. Based upon the available evidence and confirming with LifeScienceCo (“LSC”), the attack began on or around January 25, 2022. The victims targeted were between the LSC’s Assistant Controller and the accounting supervisor of their Client.
The attack succeeded in having Client divert an approximate $730,000 payment of legitimate invoices to a fraudulent bank account. The attacker appeared to have used a common BEC – Business Email Compromise techniques possibly executing a carefully planned man-in-the-middle (MITM) attack.
The attackers use of the lookalike domains technique, present a severe threat. Not only to the originally attacked organization but also to the third-parties with whom they communicated using the lookalike domain. Typically, the attack scheme works by sending phishing emails to high profile individuals in the target organization to gain control of the account and carry out extensive reconnaissance to understand the nature of business and the key roles inside the company.
As in this case, the attacker sent one mail each from the spoofed domains to the counterparty, thus inserting itself into the conversation and deceiving the recipient into thinking that the source of the email is legitimate.
The attacker sent one mail each from the spoofed domains to the counterparty, thus inserting itself into the conversation and deceiving the recipient into thinking that the source of the email is legitimate.
In essence, the attacker poked each victim in the chest a little…knowing the attempted scam was being executed.
The emails that we examined point to the fact that the attacker behind the domains were in possession of information regarding possible financial transactions between our Client and Their Client. The examination of our LSC’s servers and involved computer did not reveal any compromises, malware, or intrusions. Additionally, there was nothing to suggest that data was exfiltrated from LSC’s network.
The attack began communicating with their client several days before engaging with LSC, and the fact that LSC did not share any banking information lead us to conclude that it is more likely than not, that LSC’s Client’s network systems were compromised and caused LSC’s Client to wire money to the intruders’ account.
In this case, Not only did LSC incur costs to provide the posture that Digital4nx, conducted an independent investigation and provided an opinion to support LCS in their claims against their Client who not only has still not paid our Client the $700K, but their Client was negligent and out $1.4M.
Employee misconduct presents significant risks to organizations, impacting both technical operations and legal standing. For attorneys representing employers in employee misconduct legal matters, understanding these risks and the methods to mitigate them is crucial. This article delves into the various forms of misconduct, the technical and legal implications, and the strategies lawyers can employ to protect their clients. By examining both the technical aspects from a computer forensics perspective and the legal ramifications, we aim to provide a comprehensive guide to navigating these complex issues effectively.
In today’s rapidly evolving digital landscape, legal professionals are increasingly confronted with cases involving digital evidence. Whether it’s email correspondence, social media interactions, or even complex cybersecurity breaches, the intricacies of gathering and interpreting this data can be overwhelming. Knowing when to bring in a digital forensics consultant, like those at Digital4nx Group, is crucial for navigating these challenges effectively. The Complexity of Digital Evidence Digital evidence is unlike any other form of evidence. It requires specialized knowledge to gather, preserve, and interpret without compromising its integrity. A seemingly minor mistake in handling digital data can lead to inadmissibility in court or missed opportunities for critical insights. Legal professionals must be aware of how to manage this type of evidence, but knowing when to call in a digital forensics expert can make all the difference in a case's outcome. Don’t Go It Alone Legal professionals are skilled in the law, but handling the complexities of digital forensics often falls outside their expertise. When evidence involves emails, cloud data, or encrypted devices, it’s best not to go it alone. Missteps can lead to missed information or even legal challenges regarding the authenticity of the evidence. Digital forensics consultants, like those at Digital4nx Group, are trained to navigate these technical details, ensuring that the evidence is gathered and handled in a forensically sound manner. Evolving Judicial Perspectives on Digital Evidence As technology advances, so too do the judicial perspectives on how digital evidence should be presented and interpreted. Courts are becoming increasingly stringent on the proper collection and preservation of digital data. Digital forensics experts are well-versed in these evolving standards and can ensure that evidence is not only collected properly but also presented in a manner that holds up under legal scrutiny. Stay Informed and Equipped The digital landscape is continually shifting, with new types of evidence emerging as technology progresses. It’s imperative for legal professionals to stay informed and equipped to handle this evolving terrain. Partnering with a digital forensics consultant ensures you have the expertise needed to manage even the most complex digital evidence, from identification and preservation to analysis and testimony in court. When it comes to digital evidence, the stakes are high. Calling in an expert not only saves time and resources but also ensures that the evidence is handled with the care and precision required by today’s courts. Follow and Like Our Social Media Accounts Stay connected with Digital4nx Group for expert insights, tips, and the latest trends in digital forensics. Follow us on our social media accounts to stay informed and ready to handle the complexities of digital evidence with confidence!
Digital forensics plays a pivotal role in modern legal practices, particularly in cases of employee misconduct. For attorneys and their clients, understanding the technical considerations and methodologies of digital forensics can significantly impact the outcome of such cases. Digital4nx Group specializes in leveraging digital forensic techniques to uncover crucial electronic evidence, ensuring its integrity and admissibility in legal proceedings. Ensuring the Integrity and Admissibility of Evidence One of the primary concerns in digital forensics is maintaining the integrity and admissibility of the collected evidence. Digital4nx Group employs stringent protocols to preserve the chain of custody, ensuring that the evidence remains untampered and reliable. Every step, from the initial collection of data to its presentation in court, is meticulously documented. This process includes hashing data files to create unique identifiers that verify their authenticity and using write blockers to prevent any alteration during the acquisition phase. These technical measures are critical for attorneys to demonstrate that the evidence presented is both credible and admissible. Courts require a clear and unbroken chain of custody and proof that the data has not been altered since its collection. By adhering to these standards, Digital4nx Group helps attorneys build strong, defensible cases. Comprehensive Data Collection The scope of digital forensics in employee misconduct cases is vast, encompassing various types of electronic data. Digital4nx Group's forensic experts are adept at collecting data from a multitude of sources, including: Hard Drives and USB Devices: These physical storage mediums often contain critical information, such as documents, spreadsheets, and downloaded files that can provide insight into employee activities. Internet Browsing History: Tracking the websites an employee has visited can reveal inappropriate use of company resources, attempts to access confidential information, or engagement with competitors. Emails and Text Messages: Communications can serve as key evidence in misconduct cases. Forensic analysis can recover deleted messages, trace email exchanges, and identify unauthorized information dissemination. Social Media Activity: Posts and interactions on social media platforms can corroborate other evidence or provide additional context to an employee’s actions. By thoroughly examining these data sources, Digital4nx Group ensures that no stone is left unturned, providing a comprehensive view of the employee’s digital footprint. Technical Considerations in Digital Forensic Investigations Several technical considerations are crucial during digital forensic investigations to ensure the quality and reliability of the evidence: Data Preservation: Using forensic imaging techniques, Digital4nx Group creates exact copies of the digital data, preserving the original evidence in its untouched state. Metadata Analysis: Metadata provides valuable information about the creation, modification, and access history of files. This can help establish timelines and user activity related to the misconduct. File Recovery: Even if files have been deleted, digital forensic tools can often recover them. This includes examining slack space, unallocated space, and other areas of storage where remnants of deleted files may reside. Network Forensics: Analyzing network traffic can uncover unauthorized access or data exfiltration. Logs from network devices like routers and firewalls are scrutinized to trace the movement of data. These technical aspects are integral to building a case that is both comprehensive and compelling, ensuring that attorneys have robust evidence to support their arguments. Final Thoughts In cases of employee misconduct, the role of digital forensics is indispensable. Digital4nx Group provides attorneys and their clients with detailed, reliable, and legally sound digital evidence. By focusing on the integrity and admissibility of evidence and leveraging advanced forensic techniques, we ensure that the truth is uncovered and justice is served. For more insights and updates on digital forensics, follow and like our social media accounts. Stay informed about the latest trends and developments in digital investigations to better protect your business and legal interests.
In today's interconnected world, insider threats have become a significant concern for businesses of all sizes. With the recent Federal Trade Commission (FTC) changes abolishing non-compete agreements, the risk of insider threats is increasing. Coupled with the rise of remote work, understanding and mitigating these risks has never been more critical. At Digital4nx Group, we believe that digital forensic investigations are an essential tool for addressing these challenges efficiently and affordably. Understanding Insider Threats Insider threats come from within the organization and can be incredibly damaging. They often involve the misappropriation of intellectual property (IP) and theft of sensitive data. These threats are not just hypothetical; they are real and present dangers that can cripple a business. The move towards remote work has only exacerbated this issue, as employees access company data from various locations and devices, increasing the risk of data breaches and unauthorized data transfers. The Role of Digital Forensics Digital forensics is not just about solving digital crimes. It plays a crucial role in addressing a wide array of security incidents, both digital and physical. Here’s why digital forensics is indispensable: Data Theft and Network Breaches: Digital forensics helps determine how a breach occurred and identifies the perpetrators. By analyzing logs and digital evidence, forensics experts can trace the breach back to its source, providing critical insights for preventing future incidents. Online Fraud and Identity Theft: In cases of fraud and identity theft, digital forensics uncovers the extent of the breach and its impact on both organizations and their customers. This information is vital for remediation and legal action. Violent Crimes: Digital forensics is not limited to cybercrimes. It also aids in solving physical crimes by analyzing data from mobile phones, vehicles, and other devices near the crime scene. White Collar Crimes: Corporate fraud, embezzlement, and extortion are complex crimes that leave digital traces. Digital forensics gathers evidence to identify and prosecute the offenders, ensuring justice and financial recovery. The Importance of Digital Forensics Digital forensics is critically important because: Comprehensive Evidence Collection: All connected devices generate massive amounts of data, which can be logged and analyzed to uncover vital information. This includes everything from personal computers to traffic lights. Incident Response: In the context of an organization, digital forensics is essential for incident response. It helps detect breaches, identify the root cause and threat actors, eradicate the threat, and provide evidence for legal teams and law enforcement authorities. Data Protection: By centrally managing logs and other digital evidence, organizations can ensure they retain this data for long periods and protect it from tampering, malicious access, or accidental loss. Trends in User Behavior User behavior analytics (UBA) is a growing field within digital forensics. By examining patterns and anomalies in how users interact with systems, UBA tells a compelling story. It helps identify unusual activities that might indicate an insider threat, such as unauthorized data access or transfer. This proactive approach allows businesses to address potential threats before they escalate into full-blown crises. Affordable and Efficient Solutions At Digital4nx Group, we understand that many businesses worry about the cost and complexity of digital forensic investigations. Our services are designed to be both effective and affordable, ensuring that organizations of all sizes can protect themselves against insider threats. We use advanced tools and methodologies to provide comprehensive forensic analysis without breaking the bank. Contact Us Don't wait until it's too late. Protect your business from insider threats with the power of digital forensics. Contact Digital4nx Group today to learn how our expert team can help you safeguard your most valuable assets.
In today's digital age, where much of our personal and professional lives are conducted online, the strength and uniqueness of our passwords are more critical than ever. Understanding the vital role that passwords play in protecting our digital identities cannot be overstated. The following discussion will explore the importance of strong, unique passwords and demonstrate how they can safeguard your sensitive information against unauthorized access and cyber threats. The Risks of Weak Passwords Increased Vulnerability to Cyber Attacks A weak password is like a flimsy lock on the front door of your home—it’s an invitation to intruders. Cybercriminals employ various methods, such as brute-force attacks, where they try countless combinations of characters to crack passwords. The simpler and more common your password, the easier it is for these attacks to succeed. When passwords like “password” or “123456” are still in use, they pose a significant risk not only to the security of the individual account but also to any other information linked to that account. Exposure of Sensitive Personal Information Compromised passwords can lead to unauthorized access to your personal and financial information. This exposure can result in identity theft, financial loss, and significant personal disruption. In cases where one reused password can unlock multiple accounts, the damage can be extensive, affecting not just one aspect of your life but many. Long-term Repercussions The consequences of compromised passwords extend beyond immediate loss. Recovering from cyber attacks can be a lengthy, stressful, and costly process. It can damage your reputation, lead to significant personal setbacks, or even affect your creditworthiness and financial stability. Creating Strong and Secure Passwords Embrace Complexity To shield your accounts from cyber threats, it is crucial to create passwords that incorporate a mix of uppercase and lowercase letters, numbers, and symbols. The presence of these elements drastically increases the complexity and strength of your password, making it much harder for hackers to breach. Length Matters Opt for passwords that are at least eight characters long, though longer is better. Lengthier passwords exponentially increase the time required for a brute-force attack to succeed, often deterring hackers from attempting to crack them. Utilize Two-Factor Authentication (2FA) Whenever possible, enable 2FA on your accounts. This additional layer of security requires not only your password but also something only you have access to, such as a mobile device for a code delivery or a fingerprint. This makes unauthorized access significantly more difficult. Keep It Unique Use different passwords for different accounts. This strategy ensures that even if one password is compromised, other accounts remain secure. Employ a password manager to keep track of your various passwords securely. Regularly Update Your Passwords Changing your passwords periodically is essential to maintaining account security. Avoid using variations of the same password or recycling old passwords. Each update should involve a completely new password to minimize the risk of breaches. Take Action to Secure Your Digital Life Understanding and implementing the practice of using strong, unique passwords is crucial for protecting your digital identity. It’s a straightforward yet powerful way to enhance your online security posture. Remember, the strength of your password can be the barrier that keeps cyber threats at bay. Follow Us for More Security Tips For more insights on protecting your personal information and enhancing your digital security, make sure to follow and like our social media accounts. Stay informed and safeguard your digital presence with our helpful updates and tips. By making these practices a regular part of your digital life, you contribute significantly to your own safety and the security of your sensitive information. Remember, in the realm of cyber security, being proactive is always better than being reactive.
In today's interconnected digital world, safeguarding your company's digital assets and information is more critical than ever. With cyber threats evolving and becoming increasingly sophisticated, it's essential to have robust cybersecurity measures in place. At Digital4nx Group, we understand the importance of protecting your organization from cyber threats, which is why we've compiled this practical guide to help you navigate the complex landscape of cybersecurity. Policies and Procedures: Establishing comprehensive cybersecurity policies and procedures is the foundation of any effective cybersecurity strategy. These policies should outline the rules and guidelines for protecting sensitive information, defining roles and responsibilities, and establishing protocols for incident response and recovery. Regularly review and update these policies to adapt to new threats and technologies. Defining Passwords: Passwords are often the first line of defense against unauthorized access to your systems and data. Encourage employees to create strong, unique passwords and implement multi-factor authentication whenever possible. Additionally, consider implementing a password management solution to securely store and manage passwords across your organization. Updates and Patches: Regularly updating software and applying security patches is essential for addressing known vulnerabilities and reducing the risk of exploitation by cybercriminals. Establish a process for monitoring and applying updates promptly to all systems and devices, including computers, servers, and network infrastructure. Implementation of Internal Controls for Financial Transactions: Financial transactions are a prime target for cybercriminals seeking to steal sensitive information or commit fraud. Implement internal controls, such as segregation of duties and transaction monitoring, to detect and prevent unauthorized or fraudulent activities. Educate employees on the importance of verifying the authenticity of financial requests and conducting regular audits to ensure compliance with internal controls. Education and Employee Awareness: Employees are often the weakest link in cybersecurity, making education and awareness training essential components of any cybersecurity program. Provide regular training sessions to educate employees about common cyber threats, such as phishing attacks and social engineering, and teach them how to recognize and respond to potential threats. Encourage a culture of cybersecurity awareness and empower employees to play an active role in protecting the organization's digital assets. At Digital4nx Group, we're committed to helping organizations enhance their cybersecurity posture and protect their digital assets from evolving cyber threats. If you have any questions or would like to learn more about our cybersecurity services, please don't hesitate to reach out. And be sure to check back to our blog next month for more valuable tips and insights on cybersecurity. Remember, when it comes to cybersecurity, vigilance and proactive measures are key to staying one step ahead of cybercriminals. Stay safe, stay secure, and protect what matters most to your organization.
Cyber Security Review has informed Digital4nx Group, Ltd., after their extensive evaluation by their team, that Digital4nx Group is featured as one of the “Top 10 Security Advisory Service Companies 2023”. In addition to the award, Enterprise Security featured Digital4nx Group and their founder Rob Kleeger in their publication online .
Rob Kleeger speaks to Small business leaders.
Enterprise Security has informed Digital4nx Group, Ltd., after their extensive evaluation by their team, that Digital4nx Group was going to be featured as one of the “Top 10 Digital Forensics Service Companies 2022”. In addition to the award, Enterprise Security featured Digital4nx Group and their founder Rob Kleeger in their publication in print and online .
I am sure that most people today are simply tired with the consistent news about hacking the election, a financial services firm who has been compromised, or worse your PII (Personally Identifiable Information) and PHI (Protected Health information) is being sold on the Dark Web. A majority of computer users suffer from “security fatigue” — a weariness of or reluctance to engage with Cyber Security — that leads them into risky behavior online, according to a new study by scientists from NIST (The National Institute for Standards and Technology). In short, they found that users’ weariness led to feelings of “resignation, loss of control, fatalism, risk minimization, and decision avoidance, all characteristics of security fatigue.” In turn, that made them prone to “avoiding decisions, choosing the easiest option among alternatives, making decisions influenced by immediate motivations, behaving impulsively, and failing to follow security rules” both at work and in their personal online activities including banking and shopping. The report’s authors write, “Users are tired of being overwhelmed by the need to be constantly on alert, tired of all the measures they are asked to adopt to keep themselves safe, and tired of trying to understand the ins and outs of online security. All of this leads to security fatigue, which causes a sense of resignation and a loss of control.” These findings have direct implications for businesses that are legally required to protect personal and financial data, including retailers, financial and healthcare businesses, law and other professional marketing services. Cybercrime activities like phishing, spear phishing, business email compromise and social engineering all rely on innocent but unwary employees being led to do the cyber criminal’s dirty work. IF THE US GOVERNMENT, FORTUNE 500 COMPANIES, HIGH TECH FIRMS, FINANCIAL INSTITUTIONS, HEALTH CARE ORGANIZATIONS AND UNIVERSITIES WITH ALL OF THEIR RESOURCES WERE UNABLE TO STOP THE ATTACKS… WHAT POSSIBLE CHANCE CAN A SMALL/MEDIUM BUSINESS HAVE? The answer is: more than you would think. Digital4nx Group, Ltd. recognizes that the greatest vulnerability in most organizations comes from their own people. We have been providing fixed fee “ethical hacking” Security assessments, which we define as, a service where we attack your network and computer systems using real-world tools and techniques in order to find security weaknesses. The goal of an ethical hack security exercise is not to reveal deficiencies in the performance of your IT team, but rather to support them. We often find that IT teams are pressured to make things easy-to-use and functional, maintain software updates and patches, and keep the users up and running. Our ethical hacking assessment aids the IT team, giving them a road-map for making their networks much more secure, identify the sensitive information which the organization maintains, and improve the best reasonable security measures for that organization. Having an independent team of experts audit your security is a valuable tool that is guaranteed to uncover vulnerabilities and greatly increase your level of security. Even small businesses can interrupt this chain of events at several points, making it much more difficult for a cybercriminals to gain a foothold. We commonly find that we gain some of the initial access to a companies systems by tricking users into providing their passwords. Once we have those passwords, we can leverage them to gain additional access to other systems. The below techniques are simple and inexpensive: Make sure everyone in your company understands phishing schemes and how to recognize them. A phishing scam is an attempt to trick someone into providing username and password information to a hacker. Spearphishing is a phishing attack customized to a particular individual. Do not allow people to have administrative privileges on their computers. This prevents them (or viruses acting under their credentials) from installing hacking tools on a computer. Change passwords regularly and use different passwords for different accounts. In other words, the password to your work computer should be different from the one you use on, say, your Yahoo account. Password manager software (such as LastPass, KeePass, Dashlane,…) makes it easy to track and change passwords. Ensure your computers install security updates from Microsoft, Apple, and Adobe automatically. Install antivirus software on your computers Install a firewall if you don’t have one, and review your firewall to tighten it up as much as possible. A firewall is a device that stands between your network and the rest of the world, blocking unauthorized access. Configure spam filters to be as restrictive as possible and use Sender Policy Framework (SPF) records to reduce the likelihood of phishing messages. Confirm backups run regularly and periodically test those backups.