Quotable

1. Quotable “Maybe we should have given him a bicycle.” --Ed Darden, of Atlanta, who gave his son Frank, 16 a computer for Christmas. Frank [Legion of Doom] later was arrested for hacking into a phone system, threatening service through out the Southeast. http://neil.franklin.ch/Jokes_and_Fun/Computer_Quotes

2. Information Systems Security MIS 320 Kraig Pencil Summer 2013

3. IS Security in the HeadlinesBusiness Week

4. Overview • Introduction • Crimes • Players • Ways to cause trouble • Ways to enhance security

5. A. IS Security - Introduction • Networked age  Good news/bad news • Good news  Easy, fast information sharing (supports linkages!!!) • Bad news  Easier for bad guys to get to your data • IS break-ins are common … and expensive • 2006 survey for Computer Security Institute/FBI (www.gocsi.com) • 616 respondents • Virtually all reported some form of attack(s) • 52% of organizations reported “unauthorized use” of IS in past year • Perpetrators of incidents: • Crackers, disgruntled employees, competitors, foreign governments

6. CERT: Reported IS Vulnerabilities

7. Internet Crime Complaint Center (IC3) 2009 Report http://www.ic3.gov/media/annualreport/2009_IC3Report.pdf • Department of Justice up 22% • Median dollar loss on complaints: $575 • Total dollar loss: $559,700,000. • Many crime categories, including: auction fraud, non-delivery of merchangdise, credit card fraud, computer intrusions, spam, child pornography

8. A. IS Security - Introduction • Published reports • Tip of the iceberg • Most break-ins are unreported to law enforcement … or undetected • Companies are afraid that customers – and potential intruders – know about problems • CSI/FBI survey – 30% did not report their intrusions. Of these: • 48% are concerned with negative publicity • 36% are concerned that competitors will take advantage

9. B. IS Security – Cyber Crimes 1. What types of activities do the bad guys do? • Viruses/worms (65% of survey group reported this problem) • e.g. “Macro” viruses (e.g., Love Bug), Worms (e.g., Slammer) • Laptop/mobile theft (47%) • Steal information, Gain access to other systems • Unauthorized access: Hacking and physical access (32%) • Change documents and files • Steal $, modify credit ratings • e.g., Citibank robbery -- $11 million • Steal information (e.g., classified info, info for identity theft) • Denial of service attacks (25%) • Phishing • e.g., An “official” company e-mail used to gather personal information, passwords, SSN, etc.

10. Macro Virus Example: The Love Bug

11. Warnings at the Workplace - Worms and Viruses http://computer.howstuffworks.com/worst-computer-viruses.htm

12. Theft of unauthorized information: Identity Theft? Average identity theft victim  Spends 600 hrs and $16,000 to recover (www.idtheftcenter.org)

13. Denial of Service Attack A hacker’s virus installs a program on many computers. On command, they become zombies They all ping* the “target” again and again – The overload crowds out legitimate page requests, creating a Denial of Service to customers. Target: EPen.com Buenos días Grrrrr! Yo! Bon jour Gut’n Tag Konnichiwa

14. Denial of Service Attack A hacker’s virus installs a program on many computers. On command, they become zombies They all ping* the “target” again and again – The overload crowds out legitimate page requests, creating a Denial of Service to customers. Target: EPen.com Buenos días Grrrrr! Yo! Bon jour Gut’n Tag Konnichiwa

15. Denial of Service Attack Cloud Computing to the rescue??? Cloud services are usually “scalable”  providers can instantly add more servers to handle the increased greetings from the zombie computers. http://www.smartertechnology.com/c/a/Smarter-Strategies/3-Reasons-Clouds-Prevent-CyberAttacks/?kc=EWKNLSTE12232010BESTOF4 Target: EPen.com Buenos días Grrrrr! Yo! Bon jour Gut’n Tag Konnichiwa

16. Phishing Example

17. Phishing Example 2

18. Insiders • You have to trust someone, but … • Insiders account for much of “lost” data • “stolen credentials have become the most common way attackers gain access to enterprises. But the credentials were rarely stolen using sophisticated methods. Instead, malicious insiders were involved in 48% of cases -- a 26% increase vs. last year -- and in some cases, freely revealed their administrative passwords, enabling attackers easy access to sensitive data” (SearchSecurity.com: http://searchsecurity.techtarget.com/news/article/0,289142,sid14_gci1517422,00.html)

19. C. IS Security – The Players Hackers: people who break into computers and computer networks • White-hat hackers … hobbyists who follow “hacker code”; curious, not malicious … or professional consultants who find security holesin the client’s own systems: perform penetration tests and vulnerability assessments • Black-hat hackers // Crackers • Cyber vandals; cause trouble for fun • Commit premeditated cyber crime, steal information, $$, etc.

20. C. IS Security – The Players Hackers: people who break into computers and computer networks • Hacktivist – Politically or socially motivated hacker • Site defacing • Denial-of-Service (DoS) attack • Cyberterrorist – deliberate, large-scale disruption of computer networks Hacker Conventions • DEF CON • World’s Largest • Black Hat Hacker Films • Wargames • Takedown

21. Well-known Cyber Crooks* • Kevin Mitnick – superstar of hacking • Active 1980 – 1995 • Never profited or caused damage • 5 years in prison (8 months in solitary confinement) • “Social engineering” specialist: “no patch for stupidy” • Now a well-paid security consultant, speaker, writer Kevin Mitnick * http://www.itsecurity.com/features/top-10-famous-hackers-042407/

22. Well-known Cyber Crooks* • Vladimir Levin – Russian • Transferred $10.7 million from Citibank accounts • Captured in London, transferred to US, convicted/sentenced to 3 years • Citibank managed to recover 95% of the funds • Adrian Lamo 2002-2004 • Victims: Yahoo!, Citigroup, Cingular, NY Times • “Homeless hacker” was also helpful. Unauthorized penetration testing. Voluntarily informed some victims of their security weaknesses. • Arrested/Convicted/Ordered to pay $65,000 to NY Times •  Robert Alan Soloway – the “Spam King” • 2008 47 months in federal prison, and $700,000 restitution • $7.8 million civil judgment awarded to Microsoft. • Others: Stephen Wozniak (blue boxes), Tim Berners-Lee (Oxford) Adrian Lamo * http://www.itsecurity.com/features/top-10-famous-hackers-042407/

23. D. Examples of hacker tools/techniques • Password cracker programs • Example approaches: Use “reverse encryption”, Look for “dictionary” words & common names • Sniffers • “Eavesdropping” program/device • Use to capture usernames and passwords for people doing remote computer logins • Place program on node of Internet and “sniff” for usernames and passwords • Social engineering • Hacker poses as a “good guy” and asks unsuspecting people for information • Often done via phone • E.g., “What kind of computer system are you using?”

24. A Hacker Tool: “Password cracker” available on the Internet

25. E. IS Security – Ways to address/combat security risks • Password management • Do not use dictionary words • Create new combinations of letters and digits • Combine letters, numbers, special characters, and both upper and lower casee.g., gaRDen+493 • Use mnemonic tricks to remember odd combinations letters of words in an expression • e.g., tbontbtitq (or even better: 2b*o02b*t1tq) “To be or not to be, that is the question” • Change passwords frequently

26. E. IS Security – Ways to address/combat security risks 2. Use firewalls • HW/SW that acts a buffer between a network and the rest of the World • Can keep out … unauthorized traffic • Can keep in … corporate secrets 3. Encryption • Scramble a message/data so that others can not understand it 4. Advisory organizations • Post warnings and “patches” for reported security problems • e.g., Computer Emergency Response Team (CERT) Image source: http://computer.howstuffworks.com/firewall.htm

27. Vulnerability Alert from CERT

28. E. IS Security – Ways to address/combat security risks 5. Security software • Antivirus software • Intrusion detection software

29. E. IS Security – Ways to address/combat security risks 6. Hire a good hacker • Break into your system and/or provide advice • Help you identify security holes U.S. HIRED HACKER TO DETECT DIGITAL SPYING BY EMPLOYEES • WASHINGTON, D.C. – In the cyber age, there are few things so damaging as a determined insider with the right passwords. • The Defense Department hired a former hacker to lead a research program to detect digital spying by employees. PeiterZatko is in charge of Cyber Insider Threat program at the Defense Advanced Research Projects Agency, or DARPA. “I’ve played both offense and defense.” • His program is years away from any deployable solutions. In the meantime, the WikiLeaks releases show that the Pentagon failed to take basic steps to protect sensitive information, such as detecting and preventing unauthorized downloads. • MCCLATCHY • November 30, 2010 • Redacted by Kraig Pencil

30. E. IS Security – Ways to address/combat security risks 6. Hire a good hacker Kevin Mitnick – a busted hacker … Emerges from prison and begins career as an IS Security consultant, writes a book

31. A Parting Thought … The most likely way for the world to be destroyed, most experts agree, is by accident. That’s where we come in; we’re computer professionals. We cause accidents. - Nathaniel Borenstein, co-creator of MIME