Used this chart was from IT Rising’s 2007 report on the computer virus epidemic:

To create this crappier but English version of the chart:

 Legs and foot video from Zhang’s site (NO, I am not going to link where I found it!)

So going to regret this post, I’m sure.  Don’t even want to see the search hits that bring people to it.

The Public Security Bureau of Binzhou City, Shandong recently broke a case
involving use of the internet to disseminate obscene material; the chief suspect named Zhange was arrested.

Beginning in January, the bureau began receiving numerous reports about a pornography website. After receiving the reports, the bureau immediately opened an online investigation and found that the suspect Zhang had opened the “Foot Fetish Stocking Club” (that is as close as I can get for this translation). It was believed that the club was used as bait for prostitution. The website held over 20,000 obscene pictures.

On 20 Feb, suspect Zhang was arrested while in the act of disseminating pornographic information. Zhang confessed that he and others had used hacker methods to break into the Binzhou district ELEMENTARY SCHOOL server to setup the porn site.

Really can’t take any more of this post.

For those of you who have not been following the story of Chinese hacker Xiao Chen go here and here.

In an interview with the Shanghai Morning Post, Xiao Chen (萧晨) expressed anger over CNN’s distortion of the facts in reporting his group hacked into the Pentagon and was subsequently paid by the Chinese government. In a telephonic interview with the Morning Post, Xiao Chen said he had just shut down the Hacker World webiste.

This website has been a dream of mine for many years, so many years of painstaking care and now nothing.

Xiao Chen told the reporter he had set up the website three or four years ago as a platform for like-minded friends to study and research network security.

I have never used hacker technology to attack others.  You can look at
the rules on our home page that say don’t attack other people’s networks.

Xiao Chen claims that on February 17th, he received an e-mail from Wu Xiaolong (吴小龙) in Hong Kong requesting an interview. On 27 February, the CNN crew arrived and from the onset, all the questions were about hacking into US military websites and downloading sensitive information. Xiao Chen claims they denied any knowledge of this and that the CNN report was completely fabricated.

According to Xiao Chen, when the CNN reporters saw that there was no evidence, they asked him if he could get some sensitive information and it didn’t even matter if it wasn’t theirs. He also states that during his interview with CNN, the reporters never even asked about being paid by the government.

About his future plans, Xiao Chen said he hoped to be able to get funding to continue his website but in case that wasn’t possible, he might consider legal actions against CNN.

Oh, Xiao Chen’s rules about not hacking into other people’s systems posted on his home page:

Sure, it does say that…but then it goes on to say but if you must do it….to avoid legal difficulty…

He also should have paid more attention to his own posting, especially rule number 8:

8.  Do not discuss anything about your hacking activities on the telephone

My guess is that Beijing found out about his little interview with CNN and now Xiao Chen is in full backpedal mode. You can bet money he told CNN he hacked into the Pentagon but is really regretting that decision about now. Do I think he really hacked into the Pentagon? No. But, that would not stop him from selling the story to CNN.

Also, all that stuff about being a security site…yeah, right! The guy has been selling all manner of malware and is anything but a security website. He was busted by Beijing and now wants it to all go away, good luck with that!

Oh, you now need a password to get to hack4.com…wonder why?

The kid is just barely seven years old and already goes by the name “Cowboy.” Christ.  Here are the stats on this rising child genious from Guangxi, China:

1.  At the age of three, he was able to install both Windows 98 and Windows XP
2.  At the age of four, he was learning DOS commands, installing drivers and downloading computer games
3.  At the age of five, he was learning to install computer hardware
4.  At the age of six, he started college-level classes in Visual Basic 6.0
5.  At the age of seven, he crashed the entire New York City power grid

Okay, that last one I made up but you know it is only a matter of time. Got to watch my kid perform in a play about farm animals that took the class one week to learn…we are in so much trouble!

From the Dark Visitor dated 2006:

Sectors where the financial interest of the (Red Hacker) alliance and the security interests of the state coincide could present even greater difficulties for outside industries to protect their trade secrets and keep them confidential. Take for example China’s rising energy needs and its worldwide search for energy resources. There are tremendous pressures exerted on the state to sustain the country’s economic momentum moving forward and to do that they must ensure a consistent and steady supply of fuel. The competition to secure finite resources such as oil and natural gas can be quite competitive and the methods to attain them could move far beyond those of traditional market mechanisms. Chinese hackers, working for personal gain, could find a lucrative market in the sale of information related to the petroleum industry and the state may be more inclined to turn a blind eye to the practice if it facilitated expansion of Chinese industrial interests.

Well, our Australian friends are starting to see this happen right now.

Chinese authorities are believed to be seeking information on subjects such as military secrets and the prices Australian companies will seek for resources such as coal and iron ore.

This will not be an isolated incident. Cyber protection of national energy resources needs to take a much higher priority. Look at the long-term needs of the country attacking and the list of targeted information becomes much clearer.

This is the hack of the Fangzheng broadband company (http://www.bnchina.com) that took place a little less than two years ago on 27 Feb 06. The hacker left behind his QQ number 32068601 and his Internet name of “Blowing Wind, Falling Night” (风吹夜落). The translation of the name may not be accurate. The hacker also left behind a message mocking the Fangzheng broadband company and ridiculing the proficiency of the staff.

Checking the user information on the QQ number revealed that the hacker
was a male surnamed Mao from Beijing.  Mao graduated from college as an engineer and his homepage was http://www.winmao.com.

Sina.com made attempts to contact both the hacker and the company but
could reach neither prior to publication.

The article continues but I really just wanted to show the cool picture he left behind.

木马

The Chinese hacker’s preferred weapon of choice is the Trojan. The love for this method started with Cult of the Dead Cow’s Back Orifice. Then the Chinese started inventing their own Trojans like Glacier and Grey Pigeon. Now you can’t go to a Chinese hacker website without seeing the newest, latest and greatest Trojan for sale.

Finjan Security has a nice article on network sites exploiting their use. For more fun, it also has a Chinese government website involved in the organization. Cool diagram I don’t understand either…here.

NEW CHRISTMAS ATTACK with tens of thousands of domain names mostly registered in China.

Does this mean I was right…sadly, no! But, I am feeling strangely happy about the whole prediction thing.

Just read it. 

        March of 2000 witnessed the breakup of the Green Army, the organization that started the Chinese Red Hacker movement. In July, cooperation between controlling parties deteriorated and their commercial enterprise ended up in court with both parties suing. The legal battle also saw mutual hacking attacks against one another. In August, the legal case was decided in favor of the Beijing Green Alliance and Shen Jiye. The Shanghai Green Alliance, led by founder Goodwill, owed the Beijing faction 300,000 Yuan (approximately US $36,720) and was forced to turn over the domain isbase.com. Regarding the cause of the break-up, there are two versions of the story.

        The first version is that Beijing Green Alliance was well along in commercialization and did not want to turn back to freelance hacking that was advocated by members of the Green Army of the Shanghai Green Alliance. Apparently, Goodwill wanted to be the first non-profit network security organization in China but others (probably Shen Jiye), saw it as a commercial venture. Eventually, the profit motive won out. Continue Reading »