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Hackers, Crackers, and
Network Intruders
Sponser
www.harshpchacks.blogspot.com
By Harsh Sharma
Agenda
 Hackers and their vocabulary
 Threats and risks
 Types of hackers
 Gaining access
 Intrusion detection and prevention
 Legal and ethical issues
Hacker Terms
 Hacking - showing computer expertise
 Cracking - breaching security on software or systems
 Phreaking - cracking telecom networks
 Spoofing - faking the originating IP address in a datagram
 Denial of Service (DoS) - flooding a host with sufficient
network traffic so that it cant respond anymore
 Port Scanning - searching for vulnerabilities
Hacking through the ages
 1969 - Unix hacked together
 1971 - Cap n Crunch phone exploit discovered
 1988 - Morris Internet worm crashes 6,000 servers
 1994 - $10 million transferred from CitiBank accounts
 1995 - Kevin Mitnick sentenced to 5 years in jail
 2000 - Major websites succumb to DDoS
 2000 - 15,700 credit and debit card numbers stolen from Western Union (hacked
while web database was undergoing maintenance)
 2001 Code Red
 exploited bug in MS IIS to penetrate & spread
 probes random IPs for systems running IIS
 had trigger time for denial-of-service attack
 2nd
wave infected 360000 servers in 14 hours
 Code Red 2 - had backdoor installed to allow remote control
 Nimda -used multiple infection mechanisms email, shares, web client, IIS
 2002  Slammer Worm brings web to its knees by attacking MS SQL Server
The threats
 Denial of Service (Yahoo, eBay, CNN, MS)
 Defacing, Graffiti, Slander, Reputation
 Loss of data (destruction, theft)
 Divulging private information (AirMiles,
corporate espionage, personal financial)
 Loss of financial assets (CitiBank)
Types of hackers
 Professional hackers
 Black Hats  the Bad Guys
 White Hats  Professional Security Experts
 Script kiddies
 Mostly kids/students
 User tools created by black hats,
 To get free stuff
 Impress their peers
 Not get caught
 Underemployed Adult Hackers
 Former Script Kiddies
 Cant get employment in the field
 Want recognition in hacker community
 Big in eastern european countries
 Ideological Hackers
 hack as a mechanism to promote some political or ideological purpose
 Usually coincide with political events
Types of Hackers
 Criminal Hackers
 Real criminals, are in it for whatever they can get no matter who it
hurts
 Corporate Spies
 Are relatively rare
 Disgruntled Employees
 Most dangerous to an enterprise as they are insiders
 Since many companies subcontract their network services a
disgruntled vendor could be very dangerous to the host enterprise
Top intrusion justifications
 Im doing you a favor pointing out your vulnerabilities
 Im making a political statement
 Because I can
 Because Im paid to do it
Gaining access
 Front door
 Password guessing
 Password/key stealing
 Back doors
 Often left by original developers as debug and/or diagnostic tools
 Forgot to remove before release
 Trojan Horses
 Usually hidden inside of software that we download and install
from the net (remember nothing is free)
 Many install backdoors
 Software vulnerability exploitation
 Often advertised on the OEMs web site along with security
patches
 Fertile ground for script kiddies looking for something to do
Back doors & Trojans
 e.g. Whack-a-mole / NetBus
 Cable modems / DSL very vulnerable
 Protect with Virus Scanners, Port Scanners,
Personal Firewalls
Software vulnerability exploitation
 Buffer overruns
 HTML / CGI scripts
 Poor design of web applications
 Javascript hacks
 PHP/ASP/ColdFusion URL hacks
 Other holes / bugs in software and services
 Tools and scripts used to scan ports for vulnerabilities
Password guessing
 Default or null passwords
 Password same as user name (use finger)
 Password files, trusted servers
 Brute force
 make sure login attempts audited!
Password/key theft
 Dumpster diving
 Its amazing what people throw in the trash
 Personal information
 Passwords
 Good doughnuts
 Many enterprises now shred all white paper trash
 Inside jobs
 Disgruntled employees
 Terminated employees (about 50% of intrusions
resulting in significant loss)
Once inside, the hacker can...
 Modify logs
 To cover their tracks
 To mess with you
 Steal files
 Sometimes destroy after stealing
 A pro would steal and cover their tracks so to be undetected
 Modify files
 To let you know they were there
 To cause mischief
 Install back doors
 So they can get in again
 Attack other systems
Intrusion detection systems (IDS)
 A lot of research going on at universities
 Doug Somerville- EE Dept, Viktor Skorman  EE Dept
 Big money available due to 9/11 and Dept of Homeland
Security
 Vulnerability scanners
 pro-actively identifies risks
 User use pattern matching
 When pattern deviates from norm should be investigated
 Network-based IDS
 examine packets for suspicious activity
 can integrate with firewall
 require one dedicated IDS server per segment
Intrusion detection systems (IDS)
 Host-based IDS
 monitors logs, events, files, and packets sent to
the host
 installed on each host on network
 Honeypot
 decoy server
 collects evidence and alerts admin
Intrusion prevention
 Patches and upgrades (hardening)
 Disabling unnecessary software
 Firewalls and Intrusion Detection Systems
 Honeypots
 Recognizing and reacting to port scanning
Risk management
Probability
Impact
Ignore
(e.g. delude yourself)
Prevent
(e.g. firewalls, IDS,
patches)
Backup Plan
(e.g. redundancies)
Contain & Control
(e.g. port scan)
Legal and ethical questions
 Ethical hacking?
 How to react to mischief or nuisances?
 Is scanning for vulnerabilities legal?
 Some hackers are trying to use this as a business model
 Here are your vulnerabilities, let us help you
 Can private property laws be applied on the Internet?
Port scanner example
Computer Crimes
 Financial Fraud
 Credit Card Theft
 Identity Theft
 Computer specific crimes
 Denial-of-service
 Denial of access to information
 Viruses Melissa virus cost New Jersey man 20 months in jail
 Melissa caused in excess of $80 Million
 Intellectual Property Offenses
 Information theft
 Trafficking in pirated information
 Storing pirated information
 Compromising information
 Destroying information
 Content related Offenses
 Hate crimes
 Harrassment
 Cyber-stalking
 Child privacy
Federal Statutes
 Computer Fraud and Abuse Act of 1984
 Makes it a crime to knowingly access a federal computer
 Electronic Communications Privacy Act of 1986
 Updated the Federal Wiretap Act act to include electronically stored data
 U.S. Communications Assistance for Law Enforcement Act of 1996
 Ammended the Electronic Communications Act to require all
communications carriers to make wiretaps possible
 Economic and Protection of Proprietary Information Act of 1996
 Extends definition of privacy to include proprietary economic information
, theft would constitute corporate or industrial espionage
 Health Insurance Portability and Accountability Act of 1996
 Standards for the electronic transmission of healthcare information
 National Information Infrastructure Protection Act of 1996
 Amends Computer Fraud and Abuse Act to provide more protection to
computerized information and systems used in foreign and interstate
commerce or communications
 The Graham-Lynch-Bliley Act of 1999
 Limits instances of when financial institution can disclose nonpublic
information of a customer to a third party

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Introduction to hackers

  • 1. Hackers, Crackers, and Network Intruders Sponser www.harshpchacks.blogspot.com By Harsh Sharma
  • 2. Agenda Hackers and their vocabulary Threats and risks Types of hackers Gaining access Intrusion detection and prevention Legal and ethical issues
  • 3. Hacker Terms Hacking - showing computer expertise Cracking - breaching security on software or systems Phreaking - cracking telecom networks Spoofing - faking the originating IP address in a datagram Denial of Service (DoS) - flooding a host with sufficient network traffic so that it cant respond anymore Port Scanning - searching for vulnerabilities
  • 4. Hacking through the ages 1969 - Unix hacked together 1971 - Cap n Crunch phone exploit discovered 1988 - Morris Internet worm crashes 6,000 servers 1994 - $10 million transferred from CitiBank accounts 1995 - Kevin Mitnick sentenced to 5 years in jail 2000 - Major websites succumb to DDoS 2000 - 15,700 credit and debit card numbers stolen from Western Union (hacked while web database was undergoing maintenance) 2001 Code Red exploited bug in MS IIS to penetrate & spread probes random IPs for systems running IIS had trigger time for denial-of-service attack 2nd wave infected 360000 servers in 14 hours Code Red 2 - had backdoor installed to allow remote control Nimda -used multiple infection mechanisms email, shares, web client, IIS 2002 Slammer Worm brings web to its knees by attacking MS SQL Server
  • 5. The threats Denial of Service (Yahoo, eBay, CNN, MS) Defacing, Graffiti, Slander, Reputation Loss of data (destruction, theft) Divulging private information (AirMiles, corporate espionage, personal financial) Loss of financial assets (CitiBank)
  • 6. Types of hackers Professional hackers Black Hats the Bad Guys White Hats Professional Security Experts Script kiddies Mostly kids/students User tools created by black hats, To get free stuff Impress their peers Not get caught Underemployed Adult Hackers Former Script Kiddies Cant get employment in the field Want recognition in hacker community Big in eastern european countries Ideological Hackers hack as a mechanism to promote some political or ideological purpose Usually coincide with political events
  • 7. Types of Hackers Criminal Hackers Real criminals, are in it for whatever they can get no matter who it hurts Corporate Spies Are relatively rare Disgruntled Employees Most dangerous to an enterprise as they are insiders Since many companies subcontract their network services a disgruntled vendor could be very dangerous to the host enterprise
  • 8. Top intrusion justifications Im doing you a favor pointing out your vulnerabilities Im making a political statement Because I can Because Im paid to do it
  • 9. Gaining access Front door Password guessing Password/key stealing Back doors Often left by original developers as debug and/or diagnostic tools Forgot to remove before release Trojan Horses Usually hidden inside of software that we download and install from the net (remember nothing is free) Many install backdoors Software vulnerability exploitation Often advertised on the OEMs web site along with security patches Fertile ground for script kiddies looking for something to do
  • 10. Back doors & Trojans e.g. Whack-a-mole / NetBus Cable modems / DSL very vulnerable Protect with Virus Scanners, Port Scanners, Personal Firewalls
  • 11. Software vulnerability exploitation Buffer overruns HTML / CGI scripts Poor design of web applications Javascript hacks PHP/ASP/ColdFusion URL hacks Other holes / bugs in software and services Tools and scripts used to scan ports for vulnerabilities
  • 12. Password guessing Default or null passwords Password same as user name (use finger) Password files, trusted servers Brute force make sure login attempts audited!
  • 13. Password/key theft Dumpster diving Its amazing what people throw in the trash Personal information Passwords Good doughnuts Many enterprises now shred all white paper trash Inside jobs Disgruntled employees Terminated employees (about 50% of intrusions resulting in significant loss)
  • 14. Once inside, the hacker can... Modify logs To cover their tracks To mess with you Steal files Sometimes destroy after stealing A pro would steal and cover their tracks so to be undetected Modify files To let you know they were there To cause mischief Install back doors So they can get in again Attack other systems
  • 15. Intrusion detection systems (IDS) A lot of research going on at universities Doug Somerville- EE Dept, Viktor Skorman EE Dept Big money available due to 9/11 and Dept of Homeland Security Vulnerability scanners pro-actively identifies risks User use pattern matching When pattern deviates from norm should be investigated Network-based IDS examine packets for suspicious activity can integrate with firewall require one dedicated IDS server per segment
  • 16. Intrusion detection systems (IDS) Host-based IDS monitors logs, events, files, and packets sent to the host installed on each host on network Honeypot decoy server collects evidence and alerts admin
  • 17. Intrusion prevention Patches and upgrades (hardening) Disabling unnecessary software Firewalls and Intrusion Detection Systems Honeypots Recognizing and reacting to port scanning
  • 18. Risk management Probability Impact Ignore (e.g. delude yourself) Prevent (e.g. firewalls, IDS, patches) Backup Plan (e.g. redundancies) Contain & Control (e.g. port scan)
  • 19. Legal and ethical questions Ethical hacking? How to react to mischief or nuisances? Is scanning for vulnerabilities legal? Some hackers are trying to use this as a business model Here are your vulnerabilities, let us help you Can private property laws be applied on the Internet?
  • 21. Computer Crimes Financial Fraud Credit Card Theft Identity Theft Computer specific crimes Denial-of-service Denial of access to information Viruses Melissa virus cost New Jersey man 20 months in jail Melissa caused in excess of $80 Million Intellectual Property Offenses Information theft Trafficking in pirated information Storing pirated information Compromising information Destroying information Content related Offenses Hate crimes Harrassment Cyber-stalking Child privacy
  • 22. Federal Statutes Computer Fraud and Abuse Act of 1984 Makes it a crime to knowingly access a federal computer Electronic Communications Privacy Act of 1986 Updated the Federal Wiretap Act act to include electronically stored data U.S. Communications Assistance for Law Enforcement Act of 1996 Ammended the Electronic Communications Act to require all communications carriers to make wiretaps possible Economic and Protection of Proprietary Information Act of 1996 Extends definition of privacy to include proprietary economic information , theft would constitute corporate or industrial espionage Health Insurance Portability and Accountability Act of 1996 Standards for the electronic transmission of healthcare information National Information Infrastructure Protection Act of 1996 Amends Computer Fraud and Abuse Act to provide more protection to computerized information and systems used in foreign and interstate commerce or communications The Graham-Lynch-Bliley Act of 1999 Limits instances of when financial institution can disclose nonpublic information of a customer to a third party