Analysis by: Erika Bianca Mendoza

 PLATFORM:

Windows 2000, Windows XP, Windows Server 2003

 OVERALL RISK RATING:
 DAMAGE POTENTIAL:
 DISTRIBUTION POTENTIAL:
 REPORTED INFECTION:

  • Threat Type: Worm

  • Destructiveness: No

  • Encrypted: Yes

  • In the wild: Yes

  OVERVIEW

Infection Channel: Propagates via instant messaging applications, Propagates via flashdrives

This worm attempts to access a certain URL where its copy is hosted. It then copies this file as {random}.exe in removable drives.

It may also receive a command from a remote server to initiate propagation via instant messaging applications. It does this by checking if any of the running processes contains certain strings. It sends a link where the malware is hosted to all the user's contacts.

It also terminates and deletes security-related services by executing commands.

This worm arrives via removable drives. It may be downloaded by other malware/grayware/spyware from remote sites. 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 connects to certain URLs. It may do this to remotely inform a malicious user of its installation. It may also do this to download possibly malicious files onto the computer, which puts the computer at a greater risk of infection by other threats. As of this writing, the said sites are inaccessible.

It terminates itself if it detects it is being run in a virtual environment.

  TECHNICAL DETAILS

File Size: 233,472 bytes
File Type: EXE
File Compression: ExeCryptor
Memory Resident: Yes
Initial Samples Received Date: 16 Aug 2011
Payload: Connects to URLs/IPs, Steals information, Terminates processes, Compromises system security, Bypasses Windows Firewall

Arrival Details

This worm arrives via removable drives.

It may be downloaded by other malware/grayware/spyware from remote sites.

It may be unknowingly downloaded by a user while visiting malicious websites.

Installation

This worm drops the following copies of itself into the affected system:

  • %Application Data%\Google\Update\GoogleUpdate.exe
  • %User Profile%\Cache\igfxscr86.exe
  • %System%\igfxscr86.exe

(Note: %Application Data% is the current user's Application Data folder, which is usually C:\Windows\Profiles\{user name}\Application Data on Windows 98 and ME, C:\WINNT\Profiles\{user name}\Application Data on Windows NT, and C:\Documents and Settings\{user name}\Local Settings\Application Data on Windows 2000, XP, and Server 2003.. %User Profile% is the current user's profile folder, which is usually C:\Windows\Profiles\{user name} on Windows 98 and ME, C:\WINNT\Profiles\{user name} on Windows NT, and C:\Documents and Settings\{user name} on Windows 2000, XP, and Server 2003.. %System% is the Windows system folder, which is usually C:\Windows\System on Windows 98 and ME, C:\WINNT\System32 on Windows NT and 2000, or C:\Windows\System32 on Windows XP and Server 2003.)

It creates the following folders:

  • {removable drive}\.trash

It adds the following mutexes to ensure that only one of its copies runs at any one time:

  • S3xY!

It is injected into the following processes running in memory:

  • explorer.exe

It terminates itself if it finds the following processes in the affected system's memory:

  • port
  • vbox
  • vmsrvc
  • vmware
  • tcpview
  • wireshark.exe
  • regshot.exe
  • procmon.exe
  • filemon.exe
  • regmon.exe
  • procdump.exe
  • cports.exe
  • procexp.exe
  • squid.exe
  • dumpcap.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\CurrentVersion\Run
Intel Service Driver = "{malware path and file name}"

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Windows\CurrentVersion\Run
Google Update = "{malware path and file name}"

Other System Modifications

This worm adds the following registry entries as part of its installation routine:

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Security Center
AntiVirusOverride = "1"

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Security Center
AntiVirusDisableNotify = "1"

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Security Center
FirewallOverride = "1"

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Security Center
FirewallDisableNotify = "1"

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Windows NT\CurrentVersion\AppCompatFlags\
Layers
{malware path and file name} = "DisableNXShowUI"

HKEY_LOCAL_MACHINE\SOFTWARE\Policies\
Microsoft\MRT
DontReportInfectionInformation = "1"

HKEY_LOCAL_MACHINE\SOFTWARE\Policies\
Microsoft\Windows NT\SystemRestore
DisableConfig = "1"

It creates the following registry entry(ies) to bypass Windows Firewall:

HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\
Services\SharedAccess\Parameters\
FirewallPolicy\DomainProfile\AuthorizedApplications\
List
{malware path and file name} = "{malware path and file name}:*:Enabled:VLAN"

It deletes the following registry keys:

HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\
Control\SafeBoot\Minimal

HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\
Control\SafeBoot\Network

Propagation

This worm 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]
open={malware path and filename}
icon=%windir%\system32\SHELL32.dll,4
action=Open the folder to view files using Explorer
shell\open=Open
shell\open\command={malware path and filename}
shell\open\default=1
shell\explore=Explore
shell\explore\command={malware path and filename}
shell\search=Search...
shell\search\command={malware path and filename}
useautoplay=1

It sends copies of itself to target recipients using the following instant-messaging (IM) applications:

  • Skype
  • AIM
  • ICQ
  • Yahoo Messenger
  • Google Talk
  • MSN Messenger
  • Paltalk
  • XFire

Backdoor Routine

This worm connects to any of the following IRC server(s):

  • {BLOCKED}4.{BLOCKED}awanta.su

It joins any of the following IRC channel(s):

  • #t8nted

Process Termination

This worm terminates the following processes if found running in the affected system's memory:

  • drive32.exe
  • msvmiode.exe
  • teatimer.exe
  • mrt.exe
  • mrtstub.exe
  • tcpview.exe
  • hijackthis.exe
  • msmpeng.exe
  • msascui.exe
  • mpcmdrun.exe
  • usbguard.exe
  • billy.exe
  • nvsvc32.exettqrm.exe
  • rvhost.exe
  • xplorer.exe

Download Routine

This worm connects to the following malicious URLs:

  • http://{BLOCKED}5.1{BLOCKED}7.213.67/net/debug1.txt

As of this writing, the said sites are inaccessible.

Other Details

This worm terminates itself if it detects it is being run in a virtual environment.

NOTES:

It attempts to access the following URL where its copy is hosted:

  • http://{BLOCKED}c.ubersexy.su/net/vc1.exe

It then copies this file as {random}.exe in removable drives:

  • {removable drive}\.trash\{random}.exe

It may also receive a command from a remote server to initiate propagation via instant messaging applications. It does this by checking if any of the running processes contains the strings below:

  • skype
  • aim
  • icq.exe
  • yahoomessenger
  • ymsgr_tray.exe
  • googletalk
  • msnmsgr
  • msmsgs
  • paltalk.exe
  • xfire.exe

It sends a link where the malware is hosted to all the user's contacts.

It does not continue execution if any of the following is true:

  • Any of the window names below exists:
    • The Wireshark Network Analyzer
    • Microsoft Network Monitor 3.5
    • SmartSniff
    • CurrPorts
    • TCPViewClass
    • Process Monitor - Sysinternals: www.sysinternals.com
    • Regshot 1.8.2
    • PROCEXPL
  • Any of the programs below are installed:
    • WinPCAP
    • WireShark
    • Ethereal
    • Microsoft Network Monitor 3

It terminates and deletes security-related services by executing the commands below:

  • CMD /C net stop {service}
  • CMD /C sc stop {service}
  • CMD /C sc config {service} start= disabled
  • CMD /C sc delete {service}

The following services are affected:

  • CSIScanner
  • K7RTScan
  • K7TSMngr
  • avast! Antivirus
  • AntiVirService
  • PASRV
  • VSSERV
  • avg8wd
  • avg9wd
  • NOD32krn
  • ekrn
  • McShield
  • OutpostFirewall
  • TmPfw
  • KPF4
  • SmcService
  • Symantec Antivirus
  • Norton Antivirus Server
  • cmdAgent
  • vsmon
  • SbPF.Launcher
  • SPF4
  • acssrv
  • SAVService
  • SAVAdminService
  • Sophos AutoUpdate Service
  • Sophos Client Firewall
  • Sophos Client Firewall Manager

  SOLUTION

Minimum Scan Engine: 8.900
FIRST VSAPI PATTERN FILE: 8.359.80
FIRST VSAPI PATTERN DATE: 16 Aug 2011

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

Identify and delete files detected as WORM_KOLAB.INC using the Recovery Console

[ Learn More ]

Step 3

Delete this registry value

[ Learn More ]

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\CurrentVersion\Run
    • Intel Service Driver = {malware path and file name}
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Run
    • Google Update = {malware path and file name}
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Security Center
    • AntiVirusOverride = 1
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Security Center
    • AntiVirusDisableNotify = 1
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Security Center
    • FirewallOverride = 1
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Security Center
    • FirewallDisableNotify = 1
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows NT\CurrentVersion\AppCompatFlags\Layers
    • {malware path and file name} = DisableNXShowUI
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Policies\Microsoft\MRT
    • DontReportInfectionInformation = 1
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Policies\Microsoft\Windows NT\SystemRestore
    • DisableConfig = 1
  • In HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Services\SharedAccess\
    Parameters\FirewallPolicy\DomainProfile\AuthorizedApplications\List
    • {malware path and file name} = {malware path and file name}:*:Enabled:VLAN

Step 4

Search and delete this folder

[ Learn More ]
Please make sure you check the Search Hidden Files and Folders checkbox in the More advanced options option to include all hidden folders in the search result.
  • {removable drive}\.trash

Step 5

Search and delete AUTORUN.INF files created by WORM_KOLAB.INC that contain these strings

[ Learn More ]


[AutoRun]
open={malware path and file name}
icon=%windir%\system32\SHELL32.dll,4
action=Open the folder to view files using Explorer
shell\open=Open
shell\open\command={malware path and file name}
shell\open\default=1
shell\explore=Explore
shell\explore\command={malware path and file name}
shell\search=Search...
shell\search\command={malware path and file name}
useautoplay=1

Step 6

Restoring Deleted Registry Keys

  1. Still in Registry Editor, in the left panel, double-click the following:
    HKEY_LOCAL_MACHINE>SYSTEM>CurrentControlSet>
    Control>SafeBoot>Minimal
  2. Right-click on the key and choose New>Key. Change the value of the new key to:
    {4D36E967-E325-11CE-BFC1-08002BE10318}
  3. Right-click on the value name and choose Modify. Change the value data of this entry to:
    DiskDrive
  4. In the left panel, double-click the following:
    HKEY_LOCAL_MACHINE>SYSTEM>CurrentControlSet>
    Control>SafeBoot>Network
  5. Right-click on the key and choose New>Key. Change the value of the new key to:
    {4D36E967-E325-11CE-BFC1-08002BE10318}
  6. Right-click on the value name and choose Modify. Change the value data of this entry to:
    DiskDrive
  7. Close Registry Editor.

Step 7

Scan your computer with your Trend Micro product to delete files detected as WORM_KOLAB.INC. 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.

NOTES:

RECOMMENDATIONS

This malware is detected and removed by the latest Trend Micro anti-malware engine and pattern. Always keep pattern files and engines up-to-date. To know more about updating your Trend Micro product's pattern, please refer to the following Trend Micro support page:


Note: The steps apply for specific products indicated in the page.

To actively detect and protect your machine, enable real-time scanning of your Trend Micro anti-malware product. Refer to the following Trend Micro support page to know more about enabling real-time scanning in your Trend Micro product:

To enable Firewall to protect against threats: How do I enable or disable the Personal Firewall of Trend Micro Internet Security?

  • Be aware of social engineering attacks.
  • Avoid accessing the listed malicious URLs to prevent possible re-infection.
  • Monitor network connections for any suspicious connection or connectivity.
  • Regularly update list of untrusted websites.
  • Block malware related websites.
  • Disable AutoPlay to avoid automatic execution of executable files in removable/network drives.
  • Disconnect drives when not needed. If write access is not required, enable read-only mode only.


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