The FBI and U.S. Secret Service have joined the government of Lexington, Kentucky, in investigating the business email compromise attack against the city government that resulted in the theft of $4 million in federal housing assistance funds, reports The Record, a news site by cybersecurity firm Recorded Future.
An investigation into how the city's internal wire transfer processes were compromised by threat actors is underway but no government employees are currently suspected to be involved with the attack, according to Lexington Mayor Linda Gorton. Sophisticated threat actors were first identified on Aug. 25 to have intercepted emails between Lexington and a local community council, with city officials later determining that the city has already transferred nearly $4 million to the bank accounts of the attackers.
Accounts involved in the attack have already been frozen in the evening of the attack's discovery, said Lexington Commissioner of Finance Erin Hensley. Attackers behind the BEC intrusion remain unidentified.
Sixty thousand emails from U.S. State Department accounts were noted by a staffer working for Sen. Eric Schmitt, R-Mo., to have been exfiltrated by Chinese threat actors during the widespread compromise of Microsoft email accounts that commenced in May, according to Reuters.
Threat actors have leveraged the ZeroFont phishing attack technique, which initially involved the insertion of hidden characters or words in emails to evade security detection systems, to modify message previews as shown on Microsoft Outlook and other email clients, BleepingComputer reports.
BleepingComputer reports that individuals who have filed claims against bankrupt cryptocurrency lender Celsius have been subjected to phishing attacks involving the impersonation of the lender's claims agent, Stretto.
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