Analysis by: Byron Jon Gelera

 PLATFORM:

Windows

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

  • Threat Type: Trojan

  • Destructiveness: No

  • Encrypted: Yes

  • In the wild: Yes

  OVERVIEW

Infection Channel: Downloaded from the Internet, Dropped by other malware

This Trojan arrives on a system as a file dropped by other malware or as a file downloaded unknowingly by users when visiting malicious sites.

It deletes registry entries, causing some applications and programs to not function properly.

It does not have any propagation routine.

It does not have any backdoor routine.

It executes downloaded files whose malicious routines are exhibited by the affected system. As of this writing, the said sites are inaccessible.

  TECHNICAL DETAILS

File Size: 105,982,166 bytes
File Type: EXE
Memory Resident: No
Initial Samples Received Date: 24 Jan 2017
Payload: Downloads files, Connects to URLs/IPs

Arrival Details

This Trojan arrives on a system as a file dropped by other malware or as a file downloaded unknowingly by users when visiting malicious sites.

Installation

This Trojan drops and executes the following files:

  • %User Temp%\win{random}.bat <-- Used to delete itself, deleted afterwards

(Note: %User Temp% is the user's temporary folder, where it usually is C:\Documents and Settings\{user name}\Local Settings\Temp on Windows 2000, Windows Server 2003, and Windows XP (32- and 64-bit); C:\Users\{user name}\AppData\Local\Temp on Windows Vista (32- and 64-bit), Windows 7 (32- and 64-bit), Windows 8 (32- and 64-bit), Windows 8.1 (32- and 64-bit), Windows Server 2008, and Windows Server 2012.)

It adds the following processes:

  • iexplore.exe

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

  • Global\15444

It injects codes into the following process(es):

  • created "iexplore.exe"

Other System Modifications

This Trojan deletes the following registry entries:

HKEY_CURRENT_USER\SOFTWARE\Microsoft\
Windows\CurrentVersion\Run
sunUpdate = "{Current Value}"

HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\
Windows\CurrentVersion\Run
sunUpdate = "{Current Value}"

Propagation

This Trojan does not have any propagation routine.

Backdoor Routine

This Trojan does not have any backdoor routine.

Download Routine

This Trojan accesses the following websites to download files:

  • http://{BLOCKED}an.jp/_module/menu/menug/index.php
  • http://www.{BLOCKED}p.co.jp/includes/firebug/index.php
  • http://www.{BLOCKED}p.co.jp/phpmyadmin/themes/pmahomme/sprites.html

It saves the files it downloads using the following names:

  • %User Temp%\kvndm.tmp
  • %User Temp%\tmp{random}.tmp <-- Decrypted copy of downloaded file if an executable binary

(Note: %User Temp% is the user's temporary folder, where it usually is C:\Documents and Settings\{user name}\Local Settings\Temp on Windows 2000, Windows Server 2003, and Windows XP (32- and 64-bit); C:\Users\{user name}\AppData\Local\Temp on Windows Vista (32- and 64-bit), Windows 7 (32- and 64-bit), Windows 8 (32- and 64-bit), Windows 8.1 (32- and 64-bit), Windows Server 2008, and Windows Server 2012.)

It executes downloaded files :

  • %User Temp%\tmp{random}.tmp

(Note: %User Temp% is the user's temporary folder, where it usually is C:\Documents and Settings\{user name}\Local Settings\Temp on Windows 2000, Windows Server 2003, and Windows XP (32- and 64-bit); C:\Users\{user name}\AppData\Local\Temp on Windows Vista (32- and 64-bit), Windows 7 (32- and 64-bit), Windows 8 (32- and 64-bit), Windows 8.1 (32- and 64-bit), Windows Server 2008, and Windows Server 2012.)

whose malicious routines are exhibited by the affected system.

As of this writing, the said sites are inaccessible.

Other Details

This Trojan does the following:

  • If the downloaded file was not executable, it will execute the following command:
    powershell -encodedcommand "{Data based from the downloaded file}"
  • The malware has an activity time between 8AM to 6PM.

  SOLUTION

Minimum Scan Engine: 9.800
FIRST VSAPI PATTERN FILE: 13.120.04
FIRST VSAPI PATTERN DATE: 27 Dec 2016
VSAPI OPR PATTERN File: 13.121.00
VSAPI OPR PATTERN Date: 28 Dec 2016

Step 1

Before doing any scans, Windows XP, Windows Vista, and Windows 7 users must disable System Restore to allow full scanning of their computers.

Step 2

Note that not all files, folders, and registry keys and entries are installed on your computer during this malware's/spyware's/grayware's execution. This may be due to incomplete installation or other operating system conditions. If you do not find the same files/folders/registry information, please proceed to the next step.

Step 3

Restart in Safe Mode

[ Learn More ]

Step 4

Search and delete this file

[ Learn More ]
There may be some files that are hidden. Please make sure you check the Search Hidden Files and Folders checkbox in the "More advanced options" option to include all hidden files and folders in the search result.  
  • %User Temp%\kvndm.tmp
  • %User Temp%\tmp{random}.tmp
  • %User Temp%\win{random}.bat

Step 5

Restart in normal mode and scan your computer with your Trend Micro product for files detected as TROJ_KVNDM.D. 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.

Step 6

Restore this deleted registry key/value from backup

*Note: Only Microsoft-related keys/values will be restored. If the malware/grayware also deleted registry keys/values related to programs that are not from Microsoft, please reinstall those programs on your computer.

  • In HKEY_CURRENT_USER\SOFTWARE\Microsoft\Windows\CurrentVersion\Run
    • sunUpdate = "{Current Value}"
  • In HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Run
    • sunUpdate = "{Current Value}"


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