Tuesday 9 April 2013

Phoenix Exploit Kit Author Arrested

The creator of a popular crimeware package known as the Phoenix Exploit Kit was arrested in his native Russia for distributing malicious software and for illegally possessing multiple firearms, according to underground forum posts from the malware author himself.
The last version of the Phoenix Exploit Kit. Source: Xylibox.com
The Phoenix Exploit Kit is a commercial crimeware tool that until fairly recently was sold by its maker in the underground for a base price of $2,200. It is designed to booby-trap hacked and malicious Web sites so that they foist drive-by downloads on visitors.
Like other exploit packs, Phoenix probes the visitor’s browser for the presence of outdated and insecure versions of browser plugins like Java, and Adobe Flash and Reader. If the visitor is unlucky enough to have fallen behind in applying updates, the exploit kit will silently install malware of the attacker’s choosing on the victim’s PC (Phoenix targets only Microsoft Windows computers).
The author of Phoenix — a hacker who uses the nickname AlexUdakov on several forums — does not appear to have been overly concerned about covering his tracks or hiding his identity. And as we’ll see in a moment, his online persona has been all-too-willing to discuss his current legal situation with former clients and fellow underground denizens.
Exploit.in forum member AlexUdakov selling his Phoenix Exploit Kit.

The Phoenix Exploit Kit author explained that he was arrested by FSB officers for distributing malware and the illegal possession of firearms, including two AKS-74U assault rifles, a Glock, a TT (Russian-made pistol), and a PM (also known as a Makarov). AlexUdakov said he lives in a flat with his wife and child. The main portion of his post reads, in part:
“On _th of May FSB operative performed a controlled purchase, the money was transferred through WebMoney.
1_ th of July FSB operatives arrested me and conducted searches at the residence, registered address, in the cars that I was using. All computers and storage devices were taken except for… a Wi-Fi router.
During the search at the place of residence thy have also taken 2 automatic machine guns AKS74U, Glock, TT handgun, PM Handgun, ammo.  I have no criminal record and gave a confession, was released on my own recognizance. I am indicted on 3 charges – conspiracy to distribute malicious software (article 273 of Russian Penal Code), unlawful production of firearms, ammo an explosives (article 223), unlawful possession of weapons, ammo and explosives (article 222)…..
…Then there were few months of waiting, and the computer forensic examination took place which attempted to declare the exploit pack to be malware. The examination took place in _Labs, the same place that gave preliminary opinion, which in turn became the basis for opening a criminal case. The examination determined the software (exploit pack) to be malware.”

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