ScarCruft’s Operation HanKook Phantom: Targeting South Korean Academics with RokRAT Malware

In a recent cybersecurity development, researchers have identified a sophisticated phishing campaign orchestrated by the North Korean state-sponsored group known as ScarCruft, also referred to as APT37. This operation, dubbed Operation HanKook Phantom by Seqrite Labs, specifically targets individuals associated with South Korea’s National Intelligence Research Association. The primary victims include academics, former government officials, and researchers, indicating a focused attempt to infiltrate sectors involved in national intelligence and security.

Attack Methodology

The attack initiates with a spear-phishing email that presents itself as the National Intelligence Research Society Newsletter—Issue 52. This newsletter is a legitimate publication by a South Korean research group that delves into topics such as national intelligence, labor relations, security, and energy issues. The email contains a ZIP archive attachment, which, upon extraction, reveals a Windows shortcut (LNK) file disguised as a PDF document.

When the recipient opens this deceptive LNK file, it simultaneously displays the genuine newsletter as a decoy while covertly deploying RokRAT malware onto the victim’s system. RokRAT is a well-documented remote access trojan (RAT) associated with APT37. Its capabilities are extensive, including:

– System Information Collection: Gathering detailed data about the infected system.

– Command Execution: Running arbitrary commands received from the attackers.

– File System Enumeration: Listing and accessing files and directories.

– Screenshot Capture: Taking snapshots of the user’s screen.

– Payload Deployment: Downloading and executing additional malicious software.

The exfiltrated data is transmitted through legitimate cloud services such as Dropbox, Google Cloud, pCloud, and Yandex Cloud, a tactic designed to blend malicious traffic with normal network activity, thereby evading detection.

Secondary Campaign and Advanced Techniques

Seqrite Labs also uncovered a secondary campaign employing a similar modus operandi. In this instance, the LNK file acts as a conduit for a PowerShell script. This script performs multiple functions:

1. Decoy Document Display: Opens a Microsoft Word document to distract the user.

2. Batch Script Execution: Runs an obfuscated Windows batch script responsible for deploying a dropper.

3. Malware Deployment: The dropper installs a next-stage payload designed to steal sensitive information from the compromised system.

Notably, this malware disguises its network traffic as a Chrome file upload, further enhancing its stealth capabilities.

The lure document in this campaign is a statement issued by Kim Yo Jong, Deputy Director of the Publicity and Information Department of the Workers’ Party of Korea, dated July 28. The statement rejects Seoul’s efforts at reconciliation, adding a layer of political context to the attack.

Implications and Recommendations

The analysis of these campaigns underscores ScarCruft’s continued use of highly tailored spear-phishing attacks. Their techniques include:

– Malicious LNK Loaders: Utilizing shortcut files to initiate the infection chain.

– Fileless PowerShell Execution: Running scripts directly in memory to avoid leaving traces on the disk.

– Covert Exfiltration Mechanisms: Using legitimate cloud services to exfiltrate data, making detection more challenging.

These strategies highlight the group’s objective of intelligence gathering and long-term espionage, particularly targeting South Korean government sectors, research institutions, and academics.

Given the sophistication of these attacks, it is imperative for organizations and individuals in the targeted sectors to adopt robust cybersecurity measures:

– Email Vigilance: Exercise caution with unsolicited emails, especially those containing attachments or links.

– Regular Software Updates: Ensure that all software, including operating systems and applications, are up-to-date to mitigate vulnerabilities.

– Advanced Threat Detection: Implement security solutions capable of detecting and responding to advanced persistent threats (APTs).

– User Education: Conduct regular training sessions to educate users about the latest phishing tactics and social engineering techniques.

Broader Context

This development comes in the wake of other significant cybersecurity events. For instance, cybersecurity company QiAnXin recently detailed attacks by the infamous Lazarus Group, another North Korean state-sponsored entity. These attacks employed ClickFix-style tactics to deceive job seekers into downloading supposed NVIDIA-related updates, leading to the deployment of various malware strains.

Additionally, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has imposed new sanctions against individuals and entities involved in North Korea’s remote information technology worker scheme. This scheme is designed to generate illicit revenue for the regime’s weapons of mass destruction and ballistic missile programs.

These incidents collectively highlight the persistent and evolving cyber threats posed by North Korean state-sponsored groups. They emphasize the need for continuous vigilance, advanced security measures, and international cooperation to counteract these sophisticated cyber espionage activities.