Analysis by: Roland Marco Dela Paz
ALIASES:

Kaspersky : Trojan.Win32.FakeAV.dogv; Sophos : Mal/FakeAV-LS

 PLATFORM:

Windows 2000, XP, Server 2003

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

  • Threat Type: Trojan

  • Destructiveness: No

  • Encrypted: Yes

  • In the wild: Yes

  OVERVIEW

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.

  TECHNICAL DETAILS

File Size: Varies
File Type: EXE
Memory Resident: Yes
Initial Samples Received Date: 15 Jun 2011

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 the following files:

  • %Desktop%\{Operating System} Restore.lnk - shortcut file
  • %Start Menu%\Programs\{Operating System} Restore\Uninstall {Operating System} Restore.lnk - shortcut file
  • %Start Menu%\Programs\{Operating System} Restore\{Operating System} Restore.lnk - shortcut file
  • %System Root%\Documents and Settings\All Users\Application Data\{random} - encrypted component

(Note: %Desktop% is the current user's desktop, which is usually C:\Windows\Profiles\{user name}\Desktop on Windows 98 and ME, C:\WINNT\Profiles\{user name}\Desktop on Windows NT, and C:\Documents and Settings\{User Name}\Desktop on Windows 2000, XP, and Server 2003.. %Start Menu% is the current user's Start Menu folder, which is usually C:\Windows\Profiles\{user name}\Start Menu on Windows 98 and ME, C:\WINNT\Profiles\{user name}\Start Menu on Windows NT and C:\Windows\Start Menu or C:\Documents and Settings\{User name}\Start Menu on Windows 2000, XP, and Server 2003.. %System Root% is the root folder, which is usually C:\. It is also where the operating system is located.)

It drops the following component file(s):

  • %System Root%\Documents and Settings\All Users\Application Data\{numbers}.exe - also detected as TROJ_FAKEALE.KE

(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:

  • %Start Menu%\Programs\{Operating System} Restore

(Note: %Start Menu% is the current user's Start Menu folder, which is usually C:\Windows\Profiles\{user name}\Start Menu on Windows 98 and ME, C:\WINNT\Profiles\{user name}\Start Menu on Windows NT and C:\Windows\Start Menu or C:\Documents and Settings\{User name}\Start Menu on Windows 2000, XP, and Server 2003.)

Other System Modifications

This Trojan adds the following registry entries:

HKEY_CURRENT_USER\Software\Microsoft\
Internet Explorer\Main
Use FormSuggest = Yes

HKEY_CURRENT_USER\Software\Microsoft\
Windows\CurrentVersion\Internet Settings
WarnOnZoneCrossing = 0

HKEY_CURRENT_USER\Software\Microsoft\
Windows\CurrentVersion\Internet Settings
WarnonBadCertRecving = 0

HKEY_CURRENT_USER\Software\Microsoft\
Windows\CurrentVersion\Internet Settings
CertificateRevocation = 0

NOTES:
Upon execution, it reports system infection to the following site:

  • http://{BLOCKED}am.org/404.php?

It displays fake alerts that warn users of disk errors. It also displays fake hard drive scanning results of the affected system. It then asks for users to purchase it once scanning is completed. If users decide to purchase the rogue product, users are directed to the following website asking for sensitive information, such as credit card numbers:

  • http://{BLOCKED}am.org/customers/buy.php?

It may also connect to the following site to download additional components:

  • http://{BLOCKED}audience.org

  SOLUTION

Minimum Scan Engine: 8.900
FIRST VSAPI PATTERN FILE: 08.224.12
FIRST VSAPI PATTERN DATE: 15 Jun 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

Restart in Safe Mode

[ Learn More ]

Step 3

Search and delete these folders

[ 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.  %Start Menu%\Programs\{Operating System} Restore

Step 4

Search and delete this file

[ Learn More ]
There may be some component 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.
%Desktop%\{Operating System} Restore.lnk - shortcut file
%System Root%\Documents and Settings\All Users\Application Data\{random} - encrypted component

Step 5

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_CURRENT_USER\Software\Microsoft\Internet Explorer\Main
    • Use FormSuggest = Yes
  • In HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Internet Settings
    • WarnOnZoneCrossing = 0
  • In HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Internet Settings
    • WarnonBadCertRecving = 0
  • In HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Internet Settings
    • CertificateRevocation = 0

Step 6

Scan your computer with your Trend Micro product to delete files detected as TROJ_FAKEALE.KE. 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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