English hospitals say hit by suspected national cyber attack

FILE PHOTO: A National Health Service (NHS) sign is seen in the grounds of St Thomas' Hospital, in front of the Houses of Parliament in London June 7, 2011. REUTERS/Toby Melville/File Photo

By Costas Pitas and Alistair Smout

LONDON (Reuters) – Hospitals across England were being forced to divert emergency cases on Friday after suffering a suspected national cyber attack.

Among them was the Barts Health group which manages major central London hospitals including The Royal London and St Bartholomew’s.

“We are experiencing a major IT disruption and there are delays at all of our hospitals,” it said.

“We have activated our major incident plan to make sure we can maintain the safety and welfare of patients. Ambulances are being diverted to neighboring hospitals.”

Patients requiring emergency treatment across England were diverted away from the hospitals affected and the public was advised to only seek medical care for acute medical conditions.

Reuters was unable to independently verify whether the hospitals were the subject of a concerted cyber attack ahead of the June 8 election.

Britain’s National Crime Agency said it was aware of the reports of a cyber attack but made no further comment.

The National Health Service (NHS) said it was responding to the incidents.

“We are aware of a cyber security incident and we are working on a response,” said a spokesman for NHS Digital, a division of the NHS which handles information technology issues.

There was no immediate comment from the Health Ministry.

Earlier on Friday, Spain’s government warned that a large number of companies had been attacked by cyber criminals who infected computers with malicious software known as “ransomware” that locks up computers and demands ransoms to restore access.

(Additional reporting by Kate Holton, Andy Bruce, Michael Holden and David Milliken; Writing by Guy Faulconbridge; editing by Stephen Addison)

German cyber agency chides Yahoo for not helping hacking probe

A photo illustration shows a Yahoo logo on a smartphone in front of a displayed cyber code and keyboard on December 15, 2016. REUTERS/Dado Ruvic/Illustration

By Andrea Shalal

BERLIN (Reuters) – Germany’s federal cyber agency said on Thursday that Yahoo Inc <YHOO.O> had not cooperated with its investigation into a series of hacks that compromised more than one billion of the U.S. company’s email users between 2013 and 2016.

Yahoo’s Dublin-based Europe, Middle East and Africa unit “refused to give the BSI any information and referred all questions to the Irish Data Protection Commission, without, however, giving it the authority to provide information to the BSI,” Germany’s BSI computer security agency said.

A BSI spokesman said it decided to go public after Yahoo repeatedly failed to respond to efforts to look into the data breaches and garner lessons to prevent similar lapses. BSI also urged internationally active Internet service providers to work more closely with it when German customers were affected by cyber attacks and other computer security issues.

Yahoo did not respond to requests for comment, while Ireland’s data protection agency was not immediately available.

The BSI’s statement comes at a time of heightened German government concerns about Russian meddling in national elections in September, after cyber attacks on the French and U.S. presidential elections which have been linked to Russia.

The U.S. Justice Department in March charged two Russian intelligence agents and two hackers with masterminding the 2014 theft of 500 million Yahoo accounts, marking the first time the U.S. government had criminally charged Russian spies for cyber offences., while U.S. officials have charged Russian intelligence agents with involvement in at least one of the hacks that affected Yahoo.

Moscow has denied any involvement in hacking.

The BSI said it did not yet have any concrete information about the data breaches because of Yahoo’s lack of cooperation.

“Users should therefore be very careful about which services they want to use in the future and to whom they entrust their data,” BSI President Arne Schoenbohm said in a statement.

The BSI chief reiterated his recommendation that German consumers consider switching to other email service providers, adding that certifications such as those offered with C5-class cloud service security were valuable for customers.

C5 is a German government scheme to encourage cloud-based internet service providers to attest they use various safeguards against cyber attacks.

Late last year Yahoo, which has agreed to be acquired by U.S. telecoms giant Verizon <VZ.N> and is set to be merged with AOL to form a new business known as Oath, revealed a data breach dating back to 2013 of one billion user accounts.

The various disclosures led Verizon to cut the amount it was willing to pay for Yahoo by $350 million on its previously agreed $4.83 billion deal. Yahoo has said it expects the merger into Verizon to close in June.

BSI said an additional 32 million Yahoo users were affected by cyber breaches in 2015 and 2016. A spokesman for the agency said he was unaware of any additional breaches in 2017.

(Additional reporting by Eric Auchard in Frankfurt; editing by Alexander Smith)

Germany challenges Russia over alleged cyberattacks

Hans-Georg Maassen, Germany's head of the German Federal Office for the Protection of the Constitution (Bundesamt fuer Verfassungsschutz) addresses a news conference in Berlin, Germany, in this file photo dated June 28, 2016. REUTERS/Fabrizio Bensch

By Andrea Shalal

BERLIN (Reuters) – The head of Germany’s domestic intelligence agency accused Russian rivals of gathering large amounts of political data in cyber attacks and said it was up to the Kremlin to decide whether it wanted to put it to use ahead of Germany’s September elections.

Moscow denies it has in any way been involved in cyber attacks on the German political establishment.

Hans-Georg Maassen, president of the BfV agency, said “large amounts of data” were seized during a May 2015 cyber attack on the Bundestag, or lower house of parliament, which has previously been blamed on APT28, a Russian hacking group.

Maassen, speaking with reporters after a cyber conference in Potsdam, repeated his warning from last December in which he said Russia was increasing cyber attacks, propaganda and other efforts to destabilize German society.

Some cyber experts have drawn clear links between APT28 and the GRU Russian military intelligence organization.

Maassen said there had been subsequent attacks after the 2015 Bundestag hack that were directed at lawmakers, the Christian Democratic Union (CDU) of Chancellor Angela Merkel, and other party-affiliated institutions, but it was unclear if they had resulted in the loss of data.

Germany’s top cyber official last week confirmed attacks on two foundations affiliated with Germany’s ruling coalition parties that were first identified by security firm Trend Micro.

“We recognize this as a campaign being directed from Russia. Our counterpart is trying to generate information that can be used for disinformation or for influencing operations,” he said. “Whether they do it or not is a political decision … that I assume will be made in the Kremlin.”

Maassen said it appeared that Moscow had acted in a similar manner in the United States, making a “political decision” to use information gathered through cyber attacks to try to influence the U.S. presidential election.

Maassen told reporters that Germany was working hard to strengthen its cyber defenses, but also needed the legal framework for offensive operations.

Berlin was studying what legal changes were needed to allow authorities to purge stolen data from third-party servers, and to potentially destroy servers used to carry out cyber attacks.

“We believe it is necessary that we are in a position to be able to wipe out these servers if the providers and the owners of the servers are not ready to ensure that they are not used to carry out attacks,” Maassen said.

He said intelligence agencies knew which servers were used by various hacker groups, including APT10, APT28 and APT29.

The German government also remained deeply concerned about the possibility that German voters could be manipulated by fake news items, like the bogus January 2016 story about the rape of a 13-year Russian-German girl by migrants that sparked demonstrations by over 12,000 members of that community.

He said another attempt was made in January shortly after the Social Democrats named former European Parliament President Martin Schulz as their chancellor candidate, with a Russian website carrying a blatantly false story about Schulz’s father having run a Nazi concentration camp.

However that story did not receive as much attention.

Officials also remained concerned that real information seized during cyber attacks could be used to discredit politicians or affect the election, he said.

(Reporting by Andrea Shalal; Editing by Madeline Chambers)

GE fixing bug in software after warning about power grid hacks

FILE PHOTO: The logo of a General Electric (GE) facility is seen behind tree branches in Medford, Massachusetts, U.S., April 20, 2017. REUTERS/Brian Snyder/File Photo

By Jim Finkle

(Reuters) – General Electric Co <GE.N> said on Wednesday it is fixing a bug in software used to control the flow of electricity in a utility’s power systems after researchers found that hackers could shut down parts of an electric grid.

The vulnerability could enable attackers to gain remote control of GE protection relays, enabling them to “disconnect sectors of the power grid at will,” according to an abstract posted late last week on the Black Hat security conference website.

Protection relays are circuit breakers that utilities program to open and halt power transmission when dangerous conditions surface.

Interest in grid security has intensified amid the increased use of cyber weapons by nation states, including two high-profile cyber attacks in Ukraine that authorities in Kiev have blamed on Russia.

Three New York University security experts are scheduled to discuss the issue at the Las Vegas Black Hat hacking conference in July. They could not be reached immediately for comment.

GE is not aware of any cases in which hackers exploited the bug to cause power outages, said GE spokeswoman Annette Busateri. The bug only involves older GE protection relays introduced in the 1990s “before current industry expectations for security,” she said.

“We have been in the process of issuing notifications and providing product upgrades to our affected customer base on available firmware updates to address this issue,” she said.

GE has issued patches for five of six models affected by the vulnerability and will soon release a patch for the sixth model, Busateri said.

Michael Assante, former chief security officer with the North American Electric Reliability Corp, which regulates the North American grid, said the product was still widely deployed because the industry runs systems for decades before upgrading to new technologies.

“This is certainly a significant issue,” he said.

Hackers caused power to go out in 2015 and 2016 attacks in Ukraine by using other techniques to force breakers to open, Assante said.

(Reporting by Jim Finkle in Toronto; Editing by Chizu Nomiyama and Jeffrey Benkoe)

Cyber attack hits 1,200 InterContinental hotels in United States

The Logo of a Holiday Inn Hotel is pictured in Paris, France, August 8, 2016. REUTERS/Jacky Naegelen

By Alastair Sharp

TORONTO (Reuters) – Global hotel chain InterContinental Hotels Group Plc <IHG.L> said 1,200 of its franchised hotels in the United States, including Holiday Inn and Crowne Plaza, were victims of a three-month cyber attack that sought to steal customer payment card data.

The company declined to say how many payment cards were stolen in the attack, the latest in a hacking spree on prominent hospitality companies including Hyatt Hotels Corp <H.N>, Hilton, and Starwood Hotels, now owned by Marriott International Inc <MAR.O>.

The breach lasted from September 29 to December 29, InterContinental spokesman Neil Hirsch said on Wednesday. He declined to say if losses were covered by insurance or what financial impact the hacking might have on the hotels that were compromised, which also included Hotel Indigo, Candlewood Suites and Staybridge Suites properties.

The malware searched for track data stored on magnetic stripes, which includes name, card number, expiration date and internal verification code, the company said.

Hotel operators have become popular targets because they are easier to breach than other businesses that store credit card numbers as they have limited knowledge in defending themselves against hackers, said Itay Glick, chief executive of Israeli cyber-security company Votiro. “They don’t have massive data centers like banks which have very secure systems to protect themselves,” said Glick.

InterContinental declined to say how many franchised properties it has in the United States, which is part of its business unit in the Americas with 3,633 such properties.

In February, InterContinental said it had been victim of a cyber attack, but at that time said that only 12 of its 286 managed properties in the Americas were infected with malware.

China draft cyber law mandates security assessment for outbound data

BEIJING (Reuters) – China’s top cyber authority on Tuesday released a draft law that would require firms exporting data to undergo an annual security assessment, in the latest of several recent safeguards against threats such as hacking and terrorism.

Any business transferring data of over 1000 gigabytes or affecting over 500,000 users will be assessed on its security measures and on the potential of the data to harm national interests, showed the draft from the Cyberspace Administration of China (CAC).

The law would ban the export of any economic, technological or scientific data whose transfer would pose a threat to security or public interests. It would also require firms to obtain the consent of users before transmitting data abroad.

The proposed law, which focuses on personal information security, comes just a day after state media reported government rewards of $1,500 to $73,000 for citizens who report suspected spies.

It is also an extension of legislation passed in November formalizing a range of controls over firms that handle data in industries the government deems critical to national interests.

Business groups have criticized the November law, which is effective from June, calling rules “vague” and claiming they unfairly target foreign companies with stringent requirements.

Chinese officials denied that the November law targets foreign firms.

Under the rules released on Tuesday, sensitive geographic data such as information on marine environments would also be subject to scrutiny. Destination countries and the likelihood of oversees tampering would also be factored in to any assessments.

The draft is open for public comment until May 11.

(Reporting by Cate Cadell; Editing by Christopher Cushing)

U.S. trade group hacked with Chinese software ahead of Xi summit

FILE PHOTO: A man types on a computer keyboard in front of the displayed cyber code in this illustration picture taken on March 1, 2017.REUTERS/Kacper Pempel/Illustration/File Photo

By Joseph Menn

SAN FRANCISCO (Reuters) – A sophisticated hacking group that pursues Chinese government interests broke into the website of a private U.S. trade group ahead of Thursday’s summit between U.S. President Donald Trump and Chinese President Xi Jinping, according to researchers.

The hackers left a malicious link on web pages where members of the National Foreign Trade Council (NFTC) register for upcoming meetings, according to researchers at Fidelis Cybersecurity and a person familiar with the trade group.

The nonprofit NFTC is a prominent advocate on international trade policy, with corporate members including Wal-Mart Stores Inc <WMT.N>, Johnson & Johnson <JNJ.N>, Amazon.com Inc <AMZN.O>, Ford Motor Co <F.N> and Microsoft Corp <MSFT.O>.

The malicious link deployed a spying tool called Scanbox, which would have recorded the type and versions of software running on the computers of those exposed to it, said Fidelis researcher John Bambenek. Such reconnaissance is typically followed by new attacks using known flaws in the detected software, especially older versions.

Scanbox has only been used by groups associated with the Chinese government, Fidelis said, and was recently seen on a political site aimed at Uyghurs, an ethnic minority under close government scrutiny in China.

The breach was detected about five weeks ago by a NFTC director who is a customer of Fidelis, the security company said. Both the Federal Bureau of Investigation and the NFTC were notified and the malicious link removed, and Fidelis said it had no evidence of NFTC members being infected.

The FBI and the NFTC declined to comment. A spokesman for the Chinese foreign ministry did not respond to a request for comment.

Bambenek said he believed the attack was classic espionage related to international trade talks, rather than a violation of a 2015 agreement between former U.S. President Barack Obama and Xi to end spying for commercial motives.

The summit starting on Thursday is the first meeting between Xi and Trump, who blamed China on the campaign trail for the loss of many U.S. jobs and vowed to confront the country’s leaders on the matters of trade and currency manipulation.

“I think it’s traditional espionage that happens ahead of any summit,” said Bambenek. “They would like to know what we, the Americans, really care about and use that for leverage.”

Other security firms agreed that wholesale theft of U.S. intellectual property has not returned.

Instead, FireEye Inc <FEYE.O> and BAE Systems Plc <BAES.L> said that the hacking group identified by Fidelis, called APT10, has recently attacked government and commercial targets in Europe.

FireEye researcher John Hultquist said heavy industries in Nordic countries have been hacked more often as Beijing switches priorities.

“They are certainly taking those resources and pushing them to other places where they can still get away with this behavior,” Hultquist said.

(Reporting by Joseph Menn in San Francisco; Addtional reporting by Dustin Volz in Washington; Editing by Bill Rigby)

UK and Swedish watchdogs warn of international cyber attack

A magnifying glass is held in front of a computer screen in this picture illustration taken in Berlin May 21, 2013. REUTERS/Pawel Kopczynski

STOCKHOLM (Reuters) – A large-scale cyber attack from a group targeting organizations in Japan, the United States, Sweden and many other European countries through IT services providers has been uncovered, the Swedish computer security watchdog said on Wednesday.

The cyber attack, uncovered through a collaboration by Britain’s National Cyber Security Centre, PwC and cyber security firm BAE Systems, targeted managed service providers to gain access to their customers’ internal networks since at least May 2016 and potentially as early as 2014.

The exact scale of the attack, named Cloud Hopper from an organization called APT10, is not known but is believed to involve huge amounts of data, Sweden’s Civil Contingencies Agency said in a statement. The agency did not say whether the cyber attacks were still happening.

“The high level of digitalization in Sweden, along with the amount of services outsourced to managed service providers, means that there is great risk that several Swedish organizations are affected by the attacks,” the watchdog said.

The agency said those behind the attacks had used significant resources to identify their targets and sent sophisticated phishing e-mails to infect computers.

It also said Swedish IP addresses had been used to coordinate the incursions and retrieve stolen data and that APT10 specifically targeted IT, communications, healthcare, energy and research sectors.

(Reporting by Johan Ahlander; Editing by Niklas Pollard and Stephen Powell)

McDonald’s Canada says 95,000 affected in careers website hack

A Canadian flag waves beside McDonalds fast food restaurant in Toronto, May 1, 2014. REUTERS/Mark Blinch

(Reuters) – McDonald’s Corp’s <MCD.N> Canadian unit said on Friday personal information of about 95,000 restaurant job applicants was compromised in a cyber attack on its careers website.

The information included names, addresses, email addresses, phone numbers and employment backgrounds of candidates who applied online for jobs at McDonald’s Canada restaurants between March 2014 and March 2017.

The careers website was shut down after McDonald’s learned of the attack, and will remain closed until an ongoing investigation is complete, the unit said.

The company said it currently had no evidence that the information taken had been misused.

McDonald’s Canada said its job application forms do not ask for sensitive personal information such as social insurance numbers, banking or health information.

McDonald’s said earlier this month its official Twitter handle was compromised after a tweet sent from the account slammed U.S. President Donald Trump.

(Reporting by Vishaka George and Anya George Tharakan in Bengaluru; Editing by Sai Sachin Ravikumar)

German military to unveil new cyber command as threats grow

BERLIN (Reuters) – Germany’s military will launch a cyber command next week as part of an effort to beef up online defenses at a time when German spy agencies are warning of increasing cyber attacks by Russia.

The German military remains a high-value target for hackers, with some 284,000 complex and professional would-be attacks registered in the first nine weeks of 2017, a ministry spokesman said. No damage had been reported thus far, he added.

Cyber attacks on militaries are rising worldwide, with many now creating separate commands to tackle the issue.

NATO, which says it has seen a five-fold increase in suspicious events on its networks in the past three years, agreed last June to designate cyber as an official operational domain of warfare, along with air, land and sea.

The new German command will based in Bonn with an initial staff of 260, growing to around 13,500 in July when the military’s current strategic reconnaissance command and centers for operational communication and geo-information are folded in.

By 2021, the command is due to have a total of 14,500 positions, including 1,500 civilian jobs.

“The expansion of cyber capabilities is an essential contribution to the government’s overall security posture, and offers additional opportunities for preventing conflicts and dealing with crises to include hybrid threats,” the ministry spokesman said.

Defence Minister Ursula von der Leyen will name Lieutenant General Ludwig Leinhos to head the new Cyber and Information Space Command – the sixth major wing of the military in addition to the navy, army, air force, medical service and joint forces.

Chancellor Angela Merkel this month said protecting German infrastructure from potential cyber attacks was a top priority.

In December, Germany’s domestic and foreign intelligence agencies cited increasing Russian cyber attacks against political parties, as well as propaganda and disinformation campaigns aimed at destabilizing German society.

Russia denies engaging in such attacks.

(Reporting by Andrea Shalal; editing by Mark Heinrich)