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                             NEWSLETTER NUMBER 10
      **********************************************************************
      Another festive, info-glutted, tongue-in-cheek training manual
      provided solely for the entertainment of the virus programmer,
      security specialist, casual bystander or PC hobbyist interested in 
      the particulars - technical or otherwise - of cybernetic data 
      replication and/or mutilation.
                     EDITED BY URNST KOUCH, early December 1992
      **********************************************************************



      TOP QUOTE: "From Hell's heart, I stab at thee!"
                         --Captain Ahab in Melville's "Moby Dick"
                         (or Khan, from a Star Trek movie, if you're
                         a Philistine)

 
       IN THIS ISSUE: A virus ate my lunch money: South American
       drug lord served by computer mishap . . . A virus ate my
       lunch money, part II: Crypt newsletter and the PROTO-T 
       hoax revisited, Jeezus H. Christ . . . Consumer report: 
       Trend Micro Devices' PC-Rx anti-virus software . . . 
       GOBBLER II test drive . . . AMBULANCE CAR virus . . . 
       The first annual Crypt Virus/Anti-virus Awards . . . In the 
       READING ROOM:  Bruce Sterling's "The Hacker Crackdown" . . . 
       Pallbearer's AT THE MOVIES:  raiding BlockBuster Video over 
       "Sneakers", the movie . . . Thom Media cracks jokes . . .
       URNST'S SCAREWARE TOOLS . . . stupid humor and more . . .
 
 
 
       ****************************************************************
       A VIRUS ATE MY LUNCH MONEY:  COLOMBIAN POLITICIANS AND PABLO
       ESCOBAR SERVED BY "Ghost of La Catedral" VIRUS
       ****************************************************************

       Reuters news service reports that on Nov. 13, Colombian officials
       announced from Bogota that a computer virus had
       nuked a report containing critical comments on government
       ministers involved in the muffed prison transfer of drug lord
       Pablo Escobar. Escobar and a number of accomplices escaped
       during the June transfer and a national scandal erupted, resulting
       in a formal investigation of government officials involved in
       orchestrating the event. The virus allegedly eliminated the 
       investigation's conclusions mere hours before they were to be 
       publicly presented. The virus was called "Ghost of La 

                                     Page 1



       Catedral," in reference to the prison from which Escobar escaped.

       Reuters was one of the first international news agencies to
       hype the threat of Michelangelo virus.

       *****************************************************************
       A VIRUS ATE MY LUNCH MONEY, PART II: CRYPT NEWSLETTER AND THE
       PROTO-T HOAX REVISITED
       *****************************************************************

       In an odd case of art imitating life and life coming back to 
       bite it in the caboose, the "PROTO-T" virus from Crypt Newsletter
       #9 has taken on a strange will of its own. 
       
       Alert Crypt readers will remember the editor ridiculing
       bogus FidoNet alerts warning of the threat posed by a new
       virus, PROTO-T, which could hide in COM port buffers, video 
       memory, etc. Further, readers with reading comprehension well 
       above the level of cabbage should recall the generic, memory
       resident infector supplied with Newsletter #9. This virus, 
       clearly labeled as a program NAMED "in honor" of "the anonymous 
       electronic quacks" who LAUNCHED the PROTO-T HOAX in no way
       constituted prima facie evidence that PROTO-T, as described
       on the networks and elsewhere, existed.

       Nevertheless, many readers missed this fine distinction, prefering
       to believe that the Crypt newsletter had, indeed, supplied them
       with a pure sample of the REAL THING: PROTO-T in all its horror.
       Readers and virus collectors surfaced on the WWIVnet, and even
       on PRODIGY, in the next few days, INSISTING that PROTO-T was real 
       and that they had the source code and DEBUG scripts, supplied by 
       the newsletter, to prove it. Some even went as far to execute 
       PROTO-T on their machines, but more on that later.

       Well, PROTO-T most certainly DIDN'T exist prior to our covering
       the hoax. There was no evidence that any viral or Trojan code 
       was in the hack PKZip 3.0., the alleged "carrier" of PROTO-T. 
       The claims that PROTO-T could hide in a COM port buffer were
       patent bullshit. (Not our bullshit mind you, but still bullshit.)
       However, for all intents and purposes, PROTO-T now exists
       even though OUR "symbolic gesture" is nothing close to the shambling 
       monster confabulated by the original hoaxsters. 
       
       In short, IT WAS SUPPOSED TO BE A JOKE.

       So, now you have PROTO-T and you don't recall its features 
       because you were so excited you messed yourself and forgot 
       to read issue #9 closely. Listen up, then! PROTO-T, the demo virus 
       supplied by Crypt newsletter, is a simple, memory 
       resident .COM infector which hooks interrupt 21 and monitors 
       the DOS "execute" function, contaminating files just before they 
       run.  It reduces the apparent amount of memory by approximately 
       1 kilobyte, a phenomenon which can be observed by recording the 
       amount of available memory from a MEM /C command before and after 
       the virus is installed on a machine.  PROTO-T is not stealthy; it
       is not encrypted. It will not trash your drive although 
       IT WILL irreversibly infect programs, making them difficult
       to use. The virus contains the ASCII string, "This program

                                     Page 2



       is sick. [PROTO-T by Dumbco, INC.]"

       Now, if you temporarily lost your sanity and ran PROTO-T
       before reading the documentation, here is a clip-list of 
       "Common PROTO-T trouble-shooting questions and answers."
                           
                          -=Cut here and save=-
       --------------------------------------------------------------
          URNST'S QUICK TIPS ON REMOVING PROTO-T FROM A CARELESSLY
                              INFECTED IBM PC
       ______________________________________________________________

       Q. I stupidly ran PROTO-T and promptly forgot about it. How
       do I find the virus on my system?
       A. If you have NORTON UTILITIES or any reasonable facsimile,
       use its text searching capability to look for strings like
       "PROTO-T" or "Dumbco, INC." Delete the files that turn up,
       they contain the virus.

       Q. My computer makes a strange quacking noise on boot, then
       the drive light comes on, stays on and the machine appears
       to hang. What's up?
       A. PROTO-T has infected your COMMAND.COM and it's after 4:00
       in the afternoon.  Either wait until morning, or boot with 
       a CLEAN diskette from the A: drive and delete the infected
       command processor. Restore the deleted processor from your
       DOS backup disk.

       Q. Ever since I foolishly ran PROTO-T without knowing what
       I was doing, my machine is plagued by intermittent quacking 
       noises, hangs and unexpected, furious activity on the C:
       drive.  Now my hair is turning prematurely gray. What can 
       I do?
       A. A number of your programs have been contaminated with
       PROTO-T. Either delete all the files found in question
       #1, or use this "trial and error" method: Boot from a
       clean DOS diskette and set your system's time to 4:00 pm. 
       Begin executing all the .COM programs on your disk. Those
       that make the PC quack, hang or indulge in furious disk
       activity are infected with PROTO-T. Delete them and restore
       from your original backup or distribution disks. Presently,
       PROTO-T cannot be removed from infected files. These
       programs are ruined unless you wish to keep your system clock
       reset to BEFORE 4:00 pm, permanently. Alternatively, you
       can wait until an antivirus developer equips its software
       to "clean" PROTO-T.

       Q. I used a hex editor to rip the ASCII string out of 
       PROTO-T because I wanted to "rename" it as mine and upload
       it to a virus exchange BBS for credit. Then I foolishly lost
       my usually sound judgment and allowed the virus to escape on 
       my system. Is there any hope? 
       A. Use the method described above to find the PROTO-T
       infected files, then delete them.

       Q. I used a hex editor to, well, you know - AND my machine is
       an XT with NO internal clock. I lost my head and allowed
       the virus to escape on my system. Am I screwed?

                                     Page 3



       A. Could be.

       Q. I don't have a "clean" DOS boot disk and I don't keep
       back-ups. I infected my system with PROTO-T anyway, because
       I'm so far off my rocker my parents don't even trust me
       with a box of pumpkin-colored plastic leaf bags. How do I 
       recover?  
       A. Why are you fooling around with viruses? Seek psychological
       counseling, you have a profound death wish. Dealing with
       death wishes is beyond the scope of the Crypt Newsletter.
       ***************************************************************
 
                                   -*-

       ***************************************************************
       WESTERN DIGITAL ANNOUNCES HARDWARE & SOFTWARE-BASED ANTI-
       VIRUS MEASURES INCLUDED IN ITS CLASS OF 386/486 MICROPROCESSORS. 
       YOGI BERRA COMMENTS, "I'LL BELIEVE IT WHEN I BELIEVE IT!"
       ***************************************************************

       "Without some form of generic virus detection methodolgy, the 
       industry cannot hope to keep up with the growing epidemic of
       more than 1000 known virus strains, much less the dozens of
       unidentified and mutated strains that are introduced into the
       community each month," said Charles Haggerty, Western Digital's
       president.

       Western Digital's generic anti-virus technology will be served
       through a combination of proprietary control logic
       and associated software shipped with the company's WD8755
       system logic controllers. Initial customers will
       be the company's PC manufacturing clients. The anti-virus 
       measures are designed to cover IDE-type hard files equipped with 
       DOS or Windows.

       Impenetrable jargon supplied by press release.
       
       As to the effectivess of "generic" virus detection, see report
       on PC-Rx's "rules-based" generic protection later in this issue.
       
       ****************************************************************
                                    
                                    -*-
       ****************************************************************                   
       MO' NEWS, BY WAY OF Compute Magazine, December 1992 -
       REMOTE POSSIBILITY OF VIRUS WRITING BEING DECLARED OUTLAWRY
       REARS ITS HEAD . . . AGAIN
       ****************************************************************
       
       In a short story called "Controlling The Infectious:",
       the December issue of COMPUTE magazine reported that the
       International Computer Security Association (ICSA), a 
       Washington-based spin-off group of the Carlisle, PA-based National 
       Computer Security Association, is attempting to call for legislation 
       which would felonize virus authors, their software and publications.

       To quote briefly from that piece: 
       

                                     Page 4



       "Last July, a hacker calling himself Nowhere Man released version
       1.00 of Virus Construction [sic] Laboratory, a slick, professional 
       product intended to write a variety of viruses that resist 
       debuggers and can contain up to 10 of 24 programmed effects such 
       as clear the screen, cold reboot, corrupt file(s), lock up the 
       computer, drop to ROM basic, trash a disk, and warm reboot. 
       According to the [ICSA], most of the viruses are undetectable 
       by today's anti-virus products. Creating a new virus takes just 
       a few minutes with a virus construction kit. David Stang, Director 
       of Research at the ICSA, says such products are destined to make 
       today's virus problems look like 'the good ol' days.'"

       Because of this, the ICSA is moving to strengthen current computer
       crime law with regards to virus writing and/or enabling.
       
       It seems clear that "publicly," software like the VCL 1.0 
       (and its Holiday Season-timed update, VCL 2.0), Phalcon/SKISM's 
       [viral] code generators, the publication of Mark 
       Ludwig's "Little Black Books of Computer Viruses" (Volume 2 
       tentatively scheduled for release early in 1993) and "Computer 
       Virus Developments Quarterly," underground publications like 40HEX, 
       Dark Angel's Phunky/Crunchy/Crispy Virus Writing Guides and the 
       Crypt Newsletter (not to mention the dozens of "research" viruses
       which just 'happen' to end up in the wild - man, this is running
       on ;-]) have alarmed segments of the anti-virus 
       community enough so that they feel there is a need for new
       law. At present, existing law DOES NOT dub the 
       publication or writing of hazardous, replicative code a crime.

       Alert Crypt newsletter readers may recall a similar move 
       proposed by U.S. Senator Patrick Leahy. Although Crypt newsletter
       no longer retains the particulars, Leahy's legislation would
       have provided legal ground for the prosecution of programmers
       whose creations directly damaged public computer systems regardless 
       of who planted or spread the code. This legislation failed. 
       
       Anyone who follows mainstream computer news is also aware of how 
       "threat descriptions" of software like VCL 1.0 are played up in 
       the world of gleaming white-shirt/corporate-toady computer 
       publications. For example, the Mutation Engine was blown out of 
       proportion in places like Newsweek, mainly because its technology 
       writers seem to lack even the most basic understanding of computer 
       programming.
       
       Privately, anyone who frequents the networks knows that the 
       same anti-virus community commentators supplying the "expert" 
       opinion for such high-impact stories openly downplay the 
       complexity and practicality of software like VCL 1.0 in copious, 
       fleering public e-mail transmissions. 
       
       There is a lesson to be learned from this in public 
       relations and political persuasion 101 which should not be lost on 
       any card-carrying members of "the computer underground." The editors 
       leave it to you to dope out the nut of it, or continue following 
       the Crypt Newsletter for timely news coverage.

       FYI: The ICSA was created at around the time of the Michelangelo
       "hype," February thru early March, 1992.

                                     Page 5



       ******************************************************************       
       
       ****************************************************************
       GOBBLER II - COMRAC's FREEWARE ANTI-VIRUS SCANNER: A SHORT
       REPORT
       ****************************************************************

       GOBBLER II, an anti-virus scanning suite provided by a Dutch
       programmer, aims at the ground somewhere between Skulason's
       F-PROT and Thunderbyte's TBScan.  Its creator brags that it
       is blazingly fast and, indeed, this is so. (Stupid technical
       stats: Like TBScan, GOBBLER covers a 30 Meg hard file full of 
       executables in approximately 30 seconds on a 80286 PC.)

       The scanner is menu-driven and allows the user to customize
       his alarm messages and switch between idiot-proof scanning
       and scanning augmented by some "heuristic" features.

       As a "heuristic" scanner, GOBBLER II fails. If used, the
       "heuristic" mode flags every file with internal overlays, meaning 
       it will raise a false alarm for almost every complex program on 
       your machine. This is a useless, laughable feature. GOBBLER II
       users will wish to always rely on its idiot-proof signature 
       scanning.

       GOBBLER II is effective at detecting Mutation Engine-based viruses,
       screening every one (GROOVE, POGUE, CRYPTLAB, MtE SPAWN, and 
       ENCROACHER) we threw at it and any reasonable number of variants 
       generated by these viruses. In its documentation, GOBBLER II claims 
       disinfection for all Mutation Engine virus-contaminated programs. 
       In practice, GOBBLER II failed in attempts to clean CRYPTLAB 
       and ENCROACHER from infected files.

       Like any signature-based scanner, GOBBLER II ran up a checkered
       report card against "common" file and boot viruses. It detected
       STONED, MICHELANGELO, RED CROSS and JERUSALEM variants with ease
       and performed accurately against JOSHI, DEN ZUK, ITALIAN, PRINT
       SCREEN, ALAMEDA, BRAIN and AZUSA contaminated diskettes.
       
       It completely missed an oddball like the South African VOID POEM
       and a number of LITTLE BROTHER variants, although its virus-list
       indicated recognition of the latter.
       
       It was not effective against any VCL 1.0 or Phalcon/SKISM Mass
       Produced Code (PS-MPC) generator samples, understandable in
       light of the fact that the program hasn't been updated since
       July (a bad sign) when both virus tools were still relatively new. 
       
       In any case, the discerning reader should recognize that most 
       scanners vary widely in their performance, depending upon the 
       virus collections tested, particular strains chosen for scan testing,
       how often they're updated and a host of other factors which 
       average users won't give a rat's ass about. GOBBLER II is no 
       exception. Does GOBBLER II detect your garden-variety, COMMON
       infectors reliably? We think so.

       COMRAC's program comes with a memory installable utility which 
       intercepts virus-contaminated files by signature. It takes

                                     Page 6



       up a mere 6k in RAM due to clever disk-swapping. The utility,
       known as CATCHER, easily caught Mutation Engine-based
       viruses, supplying cryptic "access denied" messages with
       a ray-gun warning noise. 

       GOBBLER II has no useful on-line virus database and it
       does not operate under NDOS or 4DOS, although this isn't
       mentioned in the measly documentation. 

       GOBBLER II appears to be a product still in beta-testing, subject
       to those limitations and the question of whether it will
       receive continued support. Under these conditions, it is free. 
       As such, it is good value - still far superior to freeware 
       scanners supplied by SYMANTEC and CENTRAL POINT SOFTWARE, offering 
       better detection, ease of use and some features - limited 
       disinfection and memory resident barriers to virus infection - 
       not offered by larger retail companies.

       This is more proof that only fools patronize Symantec and 
       Central Point Software. 
       
       To sum up, those extremely strapped for cash, unable to find 
       F-PROT (or wishing to augment that program) AND plagued 
       by guilty conscience when using unregistered shareware could 
       benefit from GOBBLER II.
       
       
       ------------------------------------------------------------------
       HUMOR BREAK: THREAT OR MENACE?

       There's a really cool virus out there. It's called the Secretary 1.0.
       What it does is stick a 5.25" disk into a 3.5" drive and ruin the
       floppy heads. 
                                  --Thom Media, Phalcon/SKISM
                                  Communications, Nov. 1992
       
       ------------------------------------------------------------------
       
       ******************************************************************
       TREND MICRO DEVICE's PC-Rx & "RULES-BASED" GENERIC VIRUS
       PROTECTION: EH, MAYBE.
       ******************************************************************

       The basis for Steve Chang's PC-Rx v. 2.0 is its "rules-based"
       generic virus detection utility, a buzz term that far too many
       corporate retailers abuse in an attempt to fluster consumers. 
       How good is this stuff? Is it worth your cash money? Let's take a 
       look and see.

       Trend's PC-Rx comes with its own dumb "install" program which
       can coach even the mentally enfeebled through rudimentary 
       disinfection of his system, configuration of the software and
       creation of "rescue" images which allow PC-Rx to retrieve
       the master boot record and partitions of the hard file should
       they be lightly damaged by a virus. Good features!

       The central part of PC-Rx is the PCRXVT utility which
       is inserted into the AUTOEXEC.BAT and uses a set of

                                     Page 7



       "rules" to monitor the machine's performance. This translates
       to activity equated with viruses, i.e., writes/changes
       to the boot record, creation of new memory control blocks
       (a feature found in many memory resident viruses), file
       opens which remove and restore attributes and date/time
       stamps and calls to interrupts 13 and 25/26. 

       Because PCRXVT makes no attempt to scan for virus signatures,
       it is smaller than most competitor programs and does not
       sigificantly slow a machine down during standard computing.
       It also does not generate many false alarms. From this stand-point,
       it is elegant and user-friendly.

       However, PCRXVT will only detect "average" viruses reliably.
       For example, PROTO-T, which creates a new memory control block -
       average memory resident virus behavior, is immediately captured 
       by PCRXVT. However, VOTE (L. BROTHER) - a companion infector 
       which becomes resident by copying itself to a rarely used portion 
       of memory, is not. Viruses like VOTE, and there are a number, can 
       operate with impunity on machines protected in this manner. PCRXVT 
       also does not pay attention to programs which redirect segments of 
       the interrupt vector table, a feature present in other programs 
       of this variety.

       PCRXVT WILL reliably detect most direct-action viruses. It will
       NOT trap much of their destructive behavior, however. This is a 
       glaring fault. For example, any direct action virus which deletes, 
       renames or otherwise corrupts other executables not directly 
       involved in its chain of infection is not trapped. What this means 
       is that if a virus does any of these things BEFORE it infects 
       another file, the computer is left wide open to attack by PC-Rx. 
       And it is this hole which demonstrates the trade-off anti-virus 
       developers must make between utility and full protection. Make 
       your program air tight and it will drive users nuts with alarms 
       during every day tasks. Make it more "user-friendly" and it 
       becomes prey to the new class of viruses created by the Virus 
       Creation Laboratory and similar tools. 
       
       PC-Rx is also vulnerable to "companion" infections.             
       While this may seem trivial to some because "companion"
       viruses do not directly alter their infection targets, consider
       that the "companion" virus DOES take low-level control of the
       machine every time it executes. Would you want a software that
       lets a virus take control just because it's not directly
       manipulating a target? Yeah, sure, and you enjoy hitting myself
       on the head with a hammer because it feels so good when you
       stop, too.

       The upshot? Novice users or other computerists using isolated
       systems or PC's in low-threat environments (i.e., household
       computers where family members aren't engaged in obsessive/
       compulsive software piracy) may wish to inspect Trend Micro 
       Devices' PC-Rx. Others will pass.

       (PCRx retails for approximately $70 cash money and includes 
       a brute-force virus signature scanner in addition to resident
       virus barriers.)
       ******************************************************************

                                     Page 8





       ******************************************************************

         PALLBEARER'S KONSUMER KORNER - A CRYPT EVENING AT THE MOVIES!!!

         >>>>>----------------->>>>> SNEAKERS <<<<<---------------<<<<<

       ******************************************************************

       After hearing all the hype about a "Movie about the Computer
       Underground," I, the mighty PALLBEARER, couldn't resist an
       opportunity to check it out.  As a result, I went
       to see "SNEAKERS" in one of those $1 movie theaters (because I am
       too cheap to see anything when it first comes out).  
       
       On the way there, was I excited!  I couldn't wait - a movie 
       about a couple of cyberpunks evading the Secret Service, rooms full 
       of boxes of every color of the rainbow, viral programming, and the 
       like!  So I sat down with a big tub of popcorn and counted the 
       seconds until they stopped playing the elevator music and started 
       with an hour's worth of trailers.  I fidgeted through those, my 
       excitement growing . . . and, finally, "Sneakers" started!  Two guys, 
       obviously the fathers of hacking as we know it today, in a computer 
       lab hacking people's bank accounts . . . I said to myself, "OK, 
       it'll get better, don't pop a nut."
     
       But no! Later, we see one of these hackers as he really is - a 
       very old and leathery looking Robert Redford! No, haha, just 
       joking. Actually, we think he is a common criminal, but then we 
       realize that he is employed to break into corporations.  Exactly 
       how exciting is that???  Interesting if that's your line of 
       work, but definitely not something to make a movie of.  
       Thankfully, there was one moment here that kept my eyes glued 
       to the screen: the NSA appeared with dossiers on the main characters.  
       We see that the hackers must be prominent in cyberspace, since why 
       else would the NSA know of them and their aliases?  Anyhow, the
       "hackers" are commissioned by the NSA to steal a universal decryptor 
       from a famous mathematician. They do it to keep their leader 
       from a trip to the Federal lumber yard in Taladega, GA, when the 
       NSA threatens to turn over his rap sheet to the FBI. Extortion by 
       the NSA as a motivational tool - what a good plan! (Obviously, the 
       screen writer never familiarized himself with Jim Bamford's "The
       Puzzle Palace." Yes, I know, too many three syllable words.) The 
       plot goes downhill from there. And I shall not bother telling you 
       the rest.
     
       "Sneakers" was also chock-full of technically inaccurate and/or
       impossible computer feats.  Many of the monitors shown were
       nothing more than DEBUG screens or .GIFs.  Almost everything
       was done under MS-Windows (I will get back to this later). And
       Dan Aykroyd was greasy and swollen beyond good sense.

       Overall, there were two MAJOR technical faux pas that
       annoyed me so much I shrieked aloud, startling the moviegoers 
       in front of me. The first was "enhancement of computer images" 
       where a picture was imported into a computer (possible, especially 
       with a "computer camera" in the best multimedia systems), zoomed 

                                     Page 9



       in on (you know what a .GIF looks like when you zoom in 50 or 100 
       times - just big blocks of color), and then magically focused in on 
       the image with a turn of a dial.  Now, this may be possible with a 
       old mainframe or supercomputer, but instantly, on a PC, under 
       MS-Windows?  Hahahahaha. (I told you I would get back to Windows.)  
       
       My other beef concerns a room in the NSA that housed what looked 
       to be a Cray-MP. 

       Well, the Cray's monitor was turned on, and what was it running?  You
       got it!  WINDOWS!  A Cray-MP running WINDOWS.  In the words of
       Wayne, "T'shya.  Right.  As if."  I'm sorry, but there's a better 
       chance of ME joining INC and calling myself PaLLBeaReR than there 
       is of a Cray-MP running Windows.
       
       As you may have guessed, I don't quite suggest that you run
       out and see this movie.  Actually, the further away from it you
       stay, the better.  I assume that it fascinates those who know nothing
       of computers (the producers and "technical advisers" belong in this 
       group), but I was unimpressed.  After all the hype (and I did hear 
       a lot about it from computer illiterates), I have decided to dub 
       SNEAKERS "The PROTO-T of the Big Screen."  On a scale of 1 to 10, 
       where 10 is a pile of gold bullion 6 feet high and 1 is a carbuncle
       on the back of your neck, I give "Sneakers" a -2.

       Look for my next KONSUMER KORNER whenever I feel like writing
       it!

                                             Pallbearer [CryPt]

       >>> I now return you to your regularly scheduled newsletter.<<<  
       *****************************************************************




 ***************************************************************************
   IN THE READING ROOM: BRUCE STERLING's "THE HACKER CRACKDOWN: LAW AND
   DISORDER ON THE ELECTRONIC FRONTIER" (BANTAM HARDCOVER, $23.00)
 ***************************************************************************

    
           ". . . we are in a war and we are losing - badly."
                               -Invalid Media, from log-in message on
                                Unphamiliar Territory BBS, in the wake of 
                                a series of Phalcon/SKISM busts at 
                                PumpCon '92


      Still scraping yourself off the floor at the news of Secret 
      Service harrassment of readers of 2600 Magazine in northern
      Virginia? Find yourself rifling through local bulletin boards for 
      the latest issue of Computer Underground Digest, terrified about 
      what you might read next?
      
      Then "The Hacker Crackdown" couldn't arrive in your library
      at a better time. 
                       

                                     Page 10



      Bruce Sterling has spun together the warp and the woof of the
      computer underground better than anyone to date, transforming
      the infinite roar of the network and the deeds of some of its more 
      famous citizens into a tale even the terminally (heh) computer-phobic 
      can grasp. "The Hacker Crackdown" is about action and spasm in 
      "cyberspace," a zone where there's no master plan but plenty of 
      cause and effect.

      The book begins in 1990. The telco's are reeling from a series of 
      embarrassing technical setbacks. And John Q. Public has gotten 
      the idea that it's his civic duty to rip off the nearest faceless 
      bureaucracy. The phone companies are big, easy targets. Or so "they," 
      faceless leaders at Bell South and a variety of nationwide law 
      enforcement offices, think. 
      
      You see, corporate embarrassment creates a crying need for 
      scapegoats, criminals to seize and punish in a cathartic ritual of 
      purifying judicial flame. Hence, "hackers" - young, fast and 
      scientific scofflaws with no decent respect for propriety 
      and '50's America - will do. Only it's not so cut and dried in
      real life. The laws were (and are) squishy and ill-defined, the 
      enforcers unsure and careless, the chosen victims unpredictable.

      Nevertheless, under the scrutiny of the Feds, "cyberpunks" went down
      like 10-pins in 1990, according to "The Hacker Crackdown." It
      was only when Knight Lightning, the editor of PHRACK magazine, 
      was dragged into court and wouldn't roll over, that the Feds' ball 
      of wax began to melt.  For those who don't recall, PHRACK published an
      internal Bell South memo - "the Document" Sterling calls it - 
      dubbed proprietary and secret by its makers. Law enforcement 
      officials bought this claim.

      In fact, the document was a manual so caked with
      jargon and stupefyingly dull telco-speak that it was
      of use only if one was interested in learning the language of
      Bell South as if it were a foreign country. It didn't help that Bell
      also sold the substance of it for $20 to any takers, effectively
      wrecking claims that it contained any secret or particularly damaging 
      information. PHRACK's defense threw this into the faces of
      its enemies and the prosecution collapsed. Justice, in this case, 
      prevailed.

      Or did it? "Hackers" and their computers are still being hauled 
      away on a monthly basis. And jaundiced observers might be 
      justified in saying that on the electronic frontier, this is the way 
      things will be from now on. 
      
      However, "The Hacker Crackdown" shies away from making 
      stupid predictions about the future of cyberspace, prefering  
      to point the way into the ambiguous dark, describing all the 
      archetypes found the length of the matrix. 
      
      You know these characters well - the popinjay phone phreaks and
      fraud artists; the obsessive/compulsive software pirates, the 
      "wacko" underground journalists, the few computer savvy 
      Feds (some not so different than their chosen enemies) 
      and the ocean of establishment citizens in which they all swim; a 
      group still as uncomprehending about the the computers in their 

                                     Page 11



      lives as ambulatory bags of dirt.

      Yup, refuse to part with your holiday season gift money for 
      Bruce Sterling's "The Hacker Crackdown" at your peril. The 
      Crypt Newsletter gives it a solid thumbs up!
      -------------------------------------------------------------
      RELATED NEWS: AUTHORITIES CHARGE MICHIGAN LEGION OF DOOM
      WANNABE, "NATION OF THIEVES" LEADER WITH FRAUD 
      -------------------------------------------------------------
      Michael Shutes, a 24-year old Farmington Hills, Mich. man, who says 
      he started the underground group known as the "Nation of Thieves" 
      has rolled over on colleagues and pleaded guilty to a fraud charge,
      according to a United Press International (UPI) news story
      published at the end of November. 
      
      The prosecution of Shutes is part an on-going investigation
      into the "Nation of Thieves," a group which emulated the reputation
      of the Legion of Doom and, according to authorities, misused
      credit card numbers and phone access codes nationwide. 
  
      Assistant Washtenaw County Prosecutor Kirk Tabbey, who 
      coordinates the Michigan Computer Crime Task Force, told United
      Press International that Shutes squealed on his peers, resulting 
      in pending charges against two associates and the continued
      investigation of six other "hackers." 
      
      UPI reported that local police were tipped off about the
      "Nation of Thieves" in February when a Utah retailer asked 
      them to investigate nearly $4,000 in fraudulent charges for 
      computer equipment shipped to an apartment complex in Michigan. 
      Ten thousand dollars of computer equipment was confiscated
      from Shutes. 
      
      ******************************************************************

      SAVING THE BEST FOR LAST: THE CRYPT NEWSLETTER'S VIRUS/ANTI-VIRUS
      AWARDS

      ******************************************************************

      And now [drum roll, puh-leez], our subjective choices in a number
      of categories of interest to the virus/anti-virus community.
      Award winners were picked, loosely based on amount of bribe money,
      profile in mainstream and underground media outlets, performance
      and personality. Without further ado:

      MOST VALUABLE PLAYER: NOWHERE MAN. Illinois' favorite-son
      virus author sprang from obscurity in 1992 with the historic
      Virus Creation Laboratory 1.0, a tool which puts the ability
      to create dangerous code into the hands of meddling schnooks
      everywhere. Taking the idea of mass-produced user-customized
      viruses from the one-virus German Virus Construction Set,
      Nowhere Man fashioned a garish and glitzy menu-driven program
      which created a cottage industry of its own: weirdly written
      press releases and baleful warnings from computer security
      professionals, rival products from other virus-enabling groups
      and way too much fan mail on the nets for any sane person to
      handle. In a stroke, the VCL 1.0 illustrated the obsolescence

                                     Page 12



      of scanning technology without idiot mathematical formulae
      or long and windy discussions in VIRUS L-Digest. And the software 
      was free! If anyone tells you that Nowhere Man didn't have lasting
      impact on the industry in 1992, they're just jealous.

      MOST INTERESTING VIRUS: MICHELANGELO. Hands down winner! No other
      virus ever created the stink this one-sector boot-block infector
      generated in the first three months of 1992. And because of it,
      none will probably ever gain such distinction again. Add
      John McAfee; gullible, image-hungry journalists and a public 
      as dense as lead ingots and that's a recipe for success, er, 
      fame, er, infame, er . . . something.

      BEST ANTI-VIRUS SOFTWARE: SKULASON'S F-PROT. Nothing comes close
      to its ease of use, reliability, durability and price. Single-
      handedly "invented" heuristic scanning. Even its detractors tend 
      to model their software after it. Since it's free for home use, 
      perhaps it is time to examine what the civilians are breathing 
      and drinking in Iceland.

      BEST COMPREHENSIVE RETAIL ANTI-VIRUS SOFTWARE: SOLOMON's ANTI-VIRUS
      TOOLKIT. Close to F-PROT in performance, but it'll cost ya. In
      addition, the company tosses in integrity checking, a few hard disk
      utilities and other bells and whistles that fans of shrink-wrap
      deem necessary. We still think it's over-priced, but what do we
      know?

      NATIONAL DUMMKOPF: MICHAEL CALLAHAN, editor of SHAREWARE Magazine.
      Callahan spent two issues interviewing John McAfee in the late
      summer and still managed to come away thinking that viruses can 
      damage hard disks irreparably. And just think, Callahan writes 
      computer books for the masses for a living. Certainly, we're 
      all doomed.

      BEST PUBLICATION: For reason's outlined in this issue, Bruce
      Sterling's "The Hacker Crackdown: Law and Disorder on the
      Electronic Frontier." Honorable mention to Dark Angel for
      his "Phunky/Crispy/SomethingorOther Viral Writing Guides" 
      (samizdat) and Mark Ludwig for "The Little Book of Computer
      Viruses" (American Eagle Publishing, Tucson, AZ).

      WORST PUBLICATION: VIRUS L-Digest - the definitive forum 
      for stream-of-consciousness, hair-splitting, turgid 
      arguments between obscure, fossilized academics. Hey, you think 
      not? I was reading back issues of Virus-L and in February 
      there was some nut going on ad nauseum about viruses viably 
      infecting text files.

      BEST PEN PAL: SARA GORDON, 'nuff said.

      WORST ANTI-VIRUS SOFTWARE: Far too many to choose from.

      BBS's TO VISIT AND STAY AWHILE: THE HELL PIT 
      (Sysops Kato and Hades), RIPCO ][, AIS (Sysop Kim Clancy), 
      UNPHAMILIAR TERRITORY (Sysop Invalid Media), THE VIRUS (Sysop
      Aristotle), CYBERNETIC VIOLENCE (Sysops Pure Energy and
      Rock Steady).
      

                                     Page 13



      MISSING IN ACTION: GARY WATSON.
      *****************************************************************

      BITS AND PIECES I: FRANS HAGELAARS STEPS DOWN AS FIDONET VIRUS
      ECHO MODERATOR, NAMES EDWIN CLETON AS REPLACEMENT. CLETON 
      VOWS STRICT ADHERENCE TO RULES, OR IT'S THE HIGHWAY FOR ALL
      THOSE CRUMMY, GRAND-STANDING FIDO-FLAMERS. AS FIRST ACT, CLETON
      SHUSHES A USER FOR EXTRACTING A COUPLE LINES FROM THE VSUM
      DATABASE WITHOUT NEGOTIATING A LICENSING AGREEMENT WITH PATRICIA
      HOFFMAN. 'THAT'LL SHOW 'EM I MEAN BUSINESS,' HE SEZ.
      *****************************************************************

      BITS AND PIECES II:

      We grabbed this advert of interest off the wires. Now, mebbe      
      we'll be able to bring you a product run through for the next
      issue.
                                    -*-
      AVLab v1.0, the antiviral researcher's toolkit from Cairo Research 
      Labs, is now available!

      * Extensive Virus Signature Database System capable of handling
      multiple databases
      * Ability to search across the signature database
      * Generate custom virus signature datafiles from your database
      * Ability to read VIRSCAN.DAT style signature files and add them
      to the database!
      * Create detailed reports to the screen, printer, or a file
      * Implement a very detailed virus scanner testbed!
      * Much more!

       AVLAB or AVLAB*.*  from:   Under the Nile! 9600v.32   1:3613/12
       120K in size               Backwoods BBS   9600USR-DS 1:3613/10
      -------------------------------------------------------------------
      Scott Burkett & Christopher Brown,
      Cairo Research Labs
                                    -*-
       ------------------------------------------------------------------
       BITS & PIECES III:

       Steve Rosenthal, a Macintosh product reviewer published by Prodigy
       spent a recent weekly column shilling for Symantec's SAM. 
       Rosenthal openly griped about the current state-of-
       affairs which has set up a market where large retail 
       software developers charge $60-$100 for anti-virus measures
       which can be had for free or almost so as shareware. His
       case in point was Symantec's SAM versus "Disinfectant", a
       freeware program developed by a Northwestern University 
       researcher.  In the article, Rosenthal added he was miffed
       that software developers could profit from the computer virus
       phenomenon, although he saw no evidence that any programmers of 
       such things had ever written viruses. An interesting, naive 
       oversight: In the IBM world, names like Ralph Burger and Mark 
       Washburn - with viruses named after both - immediately come to 
       mind.
       -------------------------------------------------------------------
       
       

                                     Page 14



       URNST'S SCAREWARE TOOLS: CLASSIC VIRUS DEMOS ADD LIFE TO ANY PARTY
       ******************************************************************

       Part of this issue's software packet are DEBUG scripts which will
       allow you to create demonstrations of the "classic" (sort of like
       "classic" rock, y'know, from David Stang's 'good 'ol days')
       viruses: PingPong, Den Zuko, Jerusalem and Cascade.

       We call them "scareware" because they've been optimized for 
       convincing "real-life" testing or demonstration. Unlike many
       virus demo programs which are either scanning viral fragments
       or cumbersome command-line driven tools which loudly advertise
       their presence on any system, Urnst's Scareware Tools are
       completely silent. All are invoked simply by typing the name
       of the program. In addition, they do not scan. Although not 
       infectious, all the programs will install themselves into memory 
       and continue generating specific symptoms until a warm reboot is
       initiated.

       These programs are not self-aware. That is, they will not complain
       and refuse to function if modified, like many performance crippled 
       virus-dummy simulator/generators. This has advantages and drawbacks, 
       depending upon what use one decides to make of Urnst's Scareware 
       Tools.

       The features of Urnst's Scareware Tools are as follows:

                 *DENSCARE.COM - upon invocation, DenZukoScare (tm)
                 immediately displays the popular DEN ZUK virus 
                 graphic effect and exits.

                 *JERSCARE.COM - upon invocation, JerusalemScare
                 (tm) becomes resident. After a short period of
                 time - about a minute on most systems - Jerusa-
                 lemScare will effect the characteristic Jerusalem
                 virus system slowdown and scrolling black window
                 display on the left side of the monitor.

                 *PPSCARE.COM - upon invocation, PingPongScare (tm)
                 will become resident and clutter the screen with
                 the characteristic "bouncing ball" of the PingPong
                 boot block infector.  Computing can continue while
                 PingPongScare is in effect. [Warning: The Surgeon
                 General has determined that daily computing while
                 PingPongScare (tm) is in effect can result in eye
                 strain and, possibly, headaches.]

                 *CASCARE.COM - upon invocation, CascadeScare (tm)
                 will become resident. After a brief pause, the
                 characteristic rat-a-tat sound of the Cascade
                 virus and its nifty falling letters effect will
                 be seen. This will continue intermittently, for as
                 long as CascadeScare is resident. If the computer is
                 in graphics mode, only the rat-a-tat sound effect
                 will be noticed.

       Besides demonstration, there are many other uses for Urnst's 
       Scareware Tools. Some examples: April Fool's jokes, parlor 

                                     Page 15



       trickery, devilment of bosses & administrators, entertainment, 
       aahhhh, you get the idea.

       An URNST tip! Tie DenZukoScare (tm) into your AUTOEXEC.BAT. 
       Then everyday, as you start computing you'll be greeted by the 
       cheerful DEN ZUKO display. Kooky!
       ******************************************************************
       AMBULANCE CAR VIRUS [STRAIN B]
       ******************************************************************
       Supplied in this issue of the letter as a DEBUG script and
       recompilable disassembly, AMBULANCE CAR is a simple, path-searching
       direct-action infector with a gaudy display. By paying close
       attention to the technical notes in the virus's disassembly, you
       should be able to run it on your system enough times to see
       its trademark "ambulance" effect.

       My tip of the hat to an early issue of 40Hex which included this
       interesting virus as a DEBUG script, too. (I think).
       
       *******************************************************************
       ADDITIONAL KUDOS: THANKS AND A TIP O' THE HAT TO CRYPT READER
       CAPTAIN AEROSMITH WHO PROVIDED THE GOBBLER II AND PCRx SOFTWARE
       FOR TEST-DRIVES.
       *******************************************************************
       
       
       MAKING USE OF THE CRYPT NEWSLETTER SOFTWARE:

             To produce the software included in this issue, place
             the included MAKE.BAT file, the MS-DOS program
             DEBUG.EXE and the included *.SCR files in the
             current directory. (Or ensure that DEBUG is in the
             system path.)

             Type "MAKE" and DEBUG will assemble the SCRiptfiles into
             working copies of URNST's SCAREWARE TOOLS and
             AMBULANCE CAR virus. Alternatively, you can do it 
             manually by assembling Ambulance from the supplied
             source listing. To do that, you'll need the TASM
             assembler and its associated linker.

             Remember, software included in the Crypt newsletter can
             fold, spindle and mutilate the precious valuables on
             any IBM-compatible PC. In the hands of incompetents,
             this is very likely, in fact.

    **********************************************************************
    This issue of the Crypt Newsletter should contain the 
    following files:

             CRPTLT.R10 - this electronic document
             JERSCARE.SCR - scriptfile for JerusalemScare (tm)
             PPSCARE.SCR - scriptfile for PingPongScare (tm)
             DENSCARE.SCR - scriptfile for DenZukoScare (tm)
             CASCARE.SCR - scriptfile for CascadeScare (tm)
             AMBUL.SCR - scriptfile for AMBULANCE CAR virus
             AMBUL.ASM - TASM source listing for AMBULANCE CAR virus
             MAKE.BAT - Makefile which, when used with the MS-DOS

                                     Page 16



             program DEBUG.EXE, will produce working copies of
             Urnst's Scareware Tools and Ambulance Car virus from the
             included scriptfiles.

    You can pick up the Crypt Newsletter at these fine BBS's, along with
    many other nifty, unique things.


    DARK COFFIN               1-215-966-3576     Comment: Crypt Corporate
    THE HELL PIT                  1-708-459-7267 
    DRAGON'S DEN                  1-215-882-1415
    FATHER & SON                  1-215-439-1509
    RIPCO ][                      1-312-528-5020
    AIS                           1-304-420-6083
    CYBERNETIC VIOLENCE           1-514-425-4540 
    THE VIRUS                     1-804-599-4152
    NUCLEAR WINTER                1-215-882-9122 
    UNPHAMILIAR TERRITORY         1-602-PRI-VATE
    THE OTHER SIDE                1-512-618-0154
    MICRO INFORMATION SYSTEMS SERVICES       1-805-251-0564

    If you have contributions, mail or just wish to be listed as above,
    contact Urnst Kouch at Dark Coffin BBS, the FidoNet Virus
    echo or VxNet matrix.
   
    And we'll see YOU around New Year or thereabouts!
                                    -*-
































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