Re: Circle Bank plays with two-factor authentication

2006-10-01 Thread Richard Stiennon


Have you seen the technique used at http://www.griddatasecurity.com 
?  Sounds a lot like your original idea.


Screen shot here:  http://blogs.zdnet.com/threatchaos/?p=374

-Richard Stiennon

At 02:40 PM 9/28/2006, Leichter, Jerry wrote:

| Circle Bank is using a coordinate matrix to let
| users pick three letters according to a grid, to be
| entered together with their username and password.
|
| The matrix is sent by email, with the user's account
| sign on ID in plaintext.
|
| Worse, the matrix is pretty useless for the majority of users,
| with less usability than anything else I saw in a long time.
| This is what the email says:
|
|   The following is your Two Factor code for Online Banking for
|   username (sign on ID changed here for privacy reasons).  You will be
|   required to enter the grid values associated with the three
|   Two Factor boxes presented with each sign-on to Online Banking.
|   Please save and store this Matrix in a safe yet accessible place.
|   The required entries will be different each time you sign-on.
|
|
| Two Factor Matrix
|
| ABCDEFGH
| ________
|
| 108421175
|
| 274992420
|
| 336069906
|
| 464514684
|
| 517686592
| ...
Wow.  A variation of an idea I suggested back in the '70's  The
problem then was with telephone calling cards.  As those of us old
enough will remember, at one time you didn't have a cell phone with you
at all times (or at any times).  You had to use these things called pay
phones.  Long distance calls were expensive, and you had to dump a whole
bunch of change in to make them work.  Very annoying.  So you got a
calling card, which often charged to your home phone number.  Calling
cards had a fixed PIN on them.  Shoulder surfers would hang around
heavily used phones - commuter train stations were a good spot - watch
as you entered your account number/PIN, memorize it on the spot and then
sell it.  These could move remarkably quickly - my wife's PIN was stolen
this way, and in use within seconds after she hung up.  Over the next
hour or so, until the fraud people picked it up, it was used to make
several hundred dollars worth of calls from several locations in New
York.

Anyhow ... my suggestion was that a similar table be printed on the back
of the card.  (I would have put a multi-digit number at each
intersection point and only ask for one value.  All told, I'm not sure
which approach is better - but with good printing technology you can use
much smaller fonts than when you rely on people printing things out
themselves.)  I also suggested that the numbers be printed in a color -
light blue, red against a grey background - that would make it hard to
photocopy.

No one ever did anything like this with phone cards.  Interesting to see
the idea re-invented for a different purpose.  (Hmm, if I'd patented it,
the patent would be running out soon, even assuming I went for the
renewal.)  Now if only they hadn't done the actual implementation so
stupidly

-- Jerry



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Richard Stiennon
The blog: http://www.threatchaos.com 



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Re: encrypted tapes

2005-06-09 Thread Richard Stiennon
I spent several years as such a security auditor for PwC.  While yes, they 
do hire a bunch of kids out of MBA school they also have extremely 
experienced senior managers supervising them.We always delved into 
business processes as well as using off the shelf tools. Invariably I 
would find major flaws in the way security was implemented at utilities, 
railroads, major banks, and computer manufacturers.


At Gartner I always advised my clients that if the purpose of the audit was 
to find a bunch of stuff and fix it then you should select a local boutique 
firm  who will do a faster, more in-depth assessment and give you 
actionable items to address at a very reasonable cost. If your purpose in 
doing a security audit is to convince the board of directors that you need 
to invest more in security then go with a big audit firm because their 
opinion holds much more weight.


Stiennon
blog:  www.threatchaos.com

At 10:14 AM 6/8/2005, Perry E. Metzger wrote:


[EMAIL PROTECTED] writes:
 One thing that irritates me is that most security audits (that verify
 compliance with regulations) are done by accountants.  No disrespect for
 accountants here, they are smart people, but most of them lack the
 security knowledge needed to really help with the security posture of a
 company, and often they don't work with a security expert.  I saw allot of
 requirements by security auditors that looked pretty silly.
 I believe a mix of accountants with security experts should be used for
 security audits

It is worse than that. At least one large accounting company sends new
recruits to a boot camp where they learn how to conduct security
audits by rote. They then send these brand new 23 year old security
auditors out to conduct security audits, with minimal supervision
from a partner or two. The audits are inevitably of the lowest
possible quality -- they run automated security scanners no better
than open source ones you could download on your own, and they run
through checklists.  If an automated tool doesn't say there is a
problem, or if you obey the mindless checklist items, you pass.

Of course, for all the good such an audit does, you would as well
roll dice and claim that the output was somehow correlated with the
quality of your security infrastructure. Such an audit is totally
worthless except as a bureaucratic dodge. We hired a world class
accounting company to check our security! the executives can cry, so
these security problems aren't our fault! (Would that fiduciary
responsibility was not so often equated with make sure there is
enough window dressing that we can't be blamed.)

By the way, selling such audits is extremely profitable, given the
discrepancy between the pay for the kids doing the audits and the
price the customer is charged. What is pathetic is not that companies
would try to foist such worthless services upon their customers, but
that their customers would willingly buy.

Incidently, my understanding is that at least some accounting
companies use similar techniques for doing audits of the bookkeeping
practices at their customers, which makes them at least somewhat
consistent, if nearly useless to relying parties. When you hear things
to the effect that accounting audits can only detect unintended bad
process and not deliberate malfeasance, that's part of the reason why.

Perry



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Re: Opinion on Israeli espionage plot

2005-06-06 Thread Richard Stiennon


While I completely agree that the TH case in Israel must represent the tip 
of the iceberg and for sure there will be similar cases in Europe and the 
US (have already been).  But it is pretty useless to blow this particular 
horn.I am sure many Israeli firms are scanning their machines to look 
for the presence of Trojans, but apparently the impact in the US has been 
close to zero.Not until security incidents actually occur do most 
companies respond.  So just wait


-Stiennon
 www.threatchaos.com



At 03:58 AM 6/4/2005, Hagai Bar-El wrote:

List,

In the following link is an opinion about the espionage act discovered in 
Israel a week ago.
In short: This case is probably one of dozens, but the only one that was 
discovered probably due to three non-typical mistakes that were done.


http://www.hbarel.com/Blog/entry0004.html

Hagai.

---
Hagai Bar-El - Information Security Analyst
T/F: 972-8-9354152 Web: www.hbarel.com


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Richard Stiennon
The blog: http://www.threatchaos.com 




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