FakeAlert-JT

-- Update October 22, 2009 --
The risk assessment of this threat has been updated to Low-Profiled due to media attention at:
http://www.theregister.co.uk/2009/10/21/kanye_west_scareware

--

This is a detection for a trojan that displays misleading fake alerts to entice the user into buying a product to "repair spyware or malware problems". This trojan may masquerade its malicious behavior, and victims are likely to have installed it thinking it is an innocent screensaver program.

When executed, the following registry entries are created:

• HKEY_USERS\.DEFAULT\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_USERS\S-1-5-18\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_USERS\S-1-5-19\Software\Classes\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_USERS\S-1-5-19_Classes\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_USERS\S-1-5-20\Software\Classes\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_USERS\S-1-5-21-854245398-796845957-1417001333-500_Classes\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_CURRENT_USER\Software\Classes\Software\Microsoft\Internet Explorer\SearchScopes
• HKEY_CLASSES_ROOT\CLSID\{3F2BBC05-40DF-11D2-9455-00104BC936FF}

The following data/value pair is added for running itself:

• HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Run "Smart Virus Eliminator"
  Data: "C:\Documents and Settings\All Users\Application Data\bd3bf\SM7a4.exe" /s /d

The following files are added:

• %SysRoot%\Documents and Settings\[Current User]\Local Settings\Temp\asp2009.exe
• %SysRoot%\Documents and Settings\[Current User]\Local Settings\Temp\SMVE.ico
• %SysRoot%\Documents and Settings\Current User]\Local Settings\Temp\SMVESys\vd952342.bd
• %SysRoot%\Documents and Settings\[Current User]\Start Menu\Smart Virus Eliminator.lnk
• %SysRoot%\Documents and Settings\[Current User]Start Menu\Programs\Smart Virus Eliminator.lnk
• %SysRoot%\Documents and Settings\All Users\Application Data\bd3bf\SM7a4.exe
• %SysRoot%\Documents and Settings\All Users\Application Data\SMVESys\smve.cfg
• %SysRoot%\Documents and Settings\[Current User]\Desktop\Smart Virus Eliminator.lnk

These files are detected as FakeAlert-WPS.

Connections may also be made with the following domains:

• freeav[removed].com
• prest[removed].cn
• gurus[removed].com

The malware will run a fake scan of the host, and intermittantely pop up fake infection warnings. These warnings may appear like the below images:

A fake update warning:

A false warning for remote data leaking:

A false bot infection:

A false Trojan infection:

• Presence of the aforementioned files and registry entries.
• Unexpected network connections to the aforementioned domains.

Trojans do not self-replicate. They spread manually, often under the premise that the executable is something beneficial. Trojans may also be received as a result of poor security practices, or un-patched machines and vulnerable systems. Distribution channels include IRC, peer-to-peer networks, email, newsgroups postings, etc

All Users:
Use current engine and DAT files for detection and removal.

Modifications made to the system Registry and/or INI files for the purposes of hooking system startup, will be successfully removed if cleaning with the recommended engine and DAT combination (or higher).

But in some particular cases, the following steps need to be taken.

Please go to the Microsoft Recovery Console and restore a clean MBR.

On Windows XP:

• Insert the Windows XP CD into the CD-ROM drive and restart the computer.
• When the "Welcome to Setup" screen appears, press R to start the Recovery Console.
• Select the Windows installation that is compromised and provide the administrator password.
• Issue 'fixmbr' command to restore the Master Boot Record
• Follow onscreen instructions.
• Reset and remove the CD from CD-ROM drive.

On Windows Vista and 7:

• Insert the Windows CD into the CD-ROM drive and restart the computer.
• Click on "Repair Your Computer".
• When the System Recovery Options dialog comes up, choose the Command Prompt.
• Issue 'bootrec /fixmbr' command to restore the Master Boot Record.
• Follow onscreen instructions.
• Reset and remove the CD from CD-ROM drive.