WORM_PALEVO.DK
Symantec: Trojan.Ascesso ; Microsoft: TrojanDropper:Win32/Agent.FO ; Kaspersky: P2P-Worm.Win32.Palevo.zjw
Windows 2000, Windows XP, Windows Server 2003

Threat Type: Worm
Destructiveness: No
Encrypted: Yes
In the wild: Yes
OVERVIEW
Propagates via removable drives, Propagates via peer-to-peer networks
It drops copies of itself into folders used for certain peer-to-peer applications.
This worm arrives by connecting affected removable drives to a system. It may be dropped by other malware. It may be unknowingly downloaded by a user while visiting malicious websites.
It drops an AUTORUN.INF file to automatically execute the copies it drops when a user accesses the drives of an affected system.
It opens a random port to allow a remote user to connect to the affected system. Once a successful connection is established, the remote user executes commands on the affected system. It executes commands from a remote malicious user, effectively compromising the affected system. It connects to a website to send and receive information.
It gathers certain information on the affected computer.
TECHNICAL DETAILS
257,536 bytes
PE
Yes
14 Jan 2011
Compromises system security
Arrival Details
This worm arrives by connecting affected removable drives to a system.
It may be dropped by other malware.
It may be unknowingly downloaded by a user while visiting malicious websites.
Installation
This worm drops the following non-malicious files:
- %System Root%\RECYCLER\s-1-5-21-{random number}\Desktop.ini
(Note: %System Root% is the root folder, which is usually C:\. It is also where the operating system is located.)
It drops the following copies of itself into the affected system:
- %System Root%\RECYCLER\s-1-5-21-{random number}\msmxeng.exe.exe
(Note: %System Root% is the root folder, which is usually C:\. It is also where the operating system is located.)
It creates the following folders:
- %System Root%\RECYCLER
- %System Root%\RECYCLER\s-1-5-21-{random number}
- {removable drive}:\var
(Note: %System Root% is the root folder, which is usually C:\. It is also where the operating system is located.)
It injects threads into the following normal process(es):
- EXPLORER.EXE
Autostart Technique
This worm adds the following registry entries to enable its automatic execution at every system startup:
HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Windows NT\CurrentVersion\Winlogon
Taskman = %System Root%\RECYCLER\s-1-5-21-{random number}\msmxeng.exe.exe
Propagation
This worm creates the following folders in all removable drives:
- var
It drops an AUTORUN.INF file to automatically execute the copies it drops when a user accesses the drives of an affected system.
The said .INF file contains the following strings:
[autorun
;{garbage}
open=var/var32.exe
;{garbage}
icon=SHELL32.dll,4
;{garbage}
acTIon=Open folderáto view files usingáWindowsáExplorer
;{garbage}
shElL\oPEn\commaNd=var\\\\\\var32.exe
;{garbage}
SheLl\\\\exPLore\\\\\comMand=var/////////var32.exe
;{garbage}
useautoplay=1
;{garbage}
Backdoor Routine
This worm opens a random port to allow a remote user to connect to the affected system. Once a successful connection is established, the remote user executes commands on the affected system.
It executes the following commands from a remote malicious user:
- Perform DDoS attacks
- Download and execute files from a remote server
- Spread via shared folders and P2P networks
- Spread via MSN network
- Perform port scans
It connects to the following websites to send and receive information:
- {BLOCKED}lmind.cn
- {BLOCKED}racypetition.com
- {BLOCKED}eslounge.com
Information Theft
This worm gathers the following information on the affected computer:
- Mozilla Firefox account information
- Protected Storage credentials
Other Details
This worm does the following:
- It drops copies of itself into folders used for the following peer-to-peer applications:
- Ares Galaxy
- BearShare
- DC++
- eMule
- eMule Plus
- iMesh
- Shareaza
- Kazaa
- Limewire
SOLUTION
8.900
7.768.06
14 Jan 2011
1/14/2011 12:00:00 AM
Step 1
For Windows XP and Windows Server 2003 users, before doing any scans, please make sure you disable System Restore to allow full scanning of your computer.
Step 2
Restart in Safe Mode
Step 3
Delete this registry value
Important: Editing the Windows Registry incorrectly can lead to irreversible system malfunction. Please do this step only if you know how or you can ask assistance from your system administrator. Else, check this Microsoft article first before modifying your computer's registry.
- In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows NT\CurrentVersion\Winlogon
- Taskman = %System Root%\RECYCLER\s-1-5-21-{Random Number}\MsMxEng.exe
- Taskman = %System Root%\RECYCLER\s-1-5-21-{Random Number}\MsMxEng.exe
Step 4
Search and delete this folder
- %System Root%\RECYCLER
- {Removable Drive}:\var
Step 5
Search and delete AUTORUN.INF files created by WORM_PALEVO.DK that contain these strings
Step 6
Scan your computer with your Trend Micro product to delete files detected as WORM_PALEVO.DK. If the detected files have already been cleaned, deleted, or quarantined by your Trend Micro product, no further step is required. You may opt to simply delete the quarantined files. Please check this Knowledge Base page for more information.
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