Chinese Spies Used Forged Validation Tokens To Access Government Emails

Chinese hackers have gained access to email accounts at over two dozen organisations, including some US government agencies, in an apparent spying campaign aimed at acquiring sensitive information. 

Microsoft say that a Chinese cyber espionage group called Storm-0558, have used forged authentication tokens to hack into government email accounts and so far it is said that the breach had so far only affected unclassified systems.

Microsoft says it has completed mitigation measures for all customers and added substantial automated detections for known indicators of compromise associated with this attack to harden defenses and customer environments. “Storm-0558 primarily targets government agencies in Western Europe and focuses on espionage, data theft, and credential access. Based on customer reported information on June 16, 2023, Microsoft began an investigation into anomalous mail activity,” Microsoft said in a statement.

The hackers got into to about 25 organisations, including government agencies and consumer accounts associated with the hacking method. The vulnerability that made the attack possible was reportedly discovered by the US government, specifically the US State Department.

The threat actor exploited a token validation issue in Outlook Web Access and Outlook.com, using a Microsoft account consumer signing key to forge the tokens. Microsoft took steps to mitigate the attack, and impacted customers have been notified. The Storm-0558 group primarily targets government agencies in Western Europe for cyber espionage and data theft.

In a separate incident, Microsoft identified a Russian threat actor known as Storm-0978 which exploited a zero-day vulnerability to target defense and government entities in Europe and North America.

Microsoft took steps to mitigate the attack, including blocking the usage of tokens signed with the compromised key and replacing the key itself. Impacted customers have been notified and provided with information needed for incident response.

Chinese hackers have also tried to steal sensitive data from dozens of manufacturing and technology firms in the US, Europe and Asia, in findings that casts light on China's use of hacking to promote its economic growth.

The US government has tightened cyber security rules for vendors whose software and hardware it uses. Government officials want to know whether the rules were not followed or need to be adjusted. 

Microsoft:   OodaloopCNN:     Security Week CyberNews:    WashPo:   Asahi:   Crast:    Image: mleckert82 

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