CS Module 2 Notes
CS Module 2 Notes
Module 2
Cybercrime and Cyber law
Classification of cyber crimes, Common cyber crimes- cyber crime targeting computers and mobiles,
cyber crime against women and children, financial frauds, social engineering attacks, malware and
ransomware attacks, zero day and zero click attacks, Cybercriminals modus-operandi, Reporting of
cyber crimes, Remedial and mitigation measures, Legal perspective of cyber crime, IT Act 2000 and
its amendments, Cyber crime and offences, Organizations dealing with Cybercrime and Cyber
security in India, Case studies.
(i) Credit Card Fraud : As the name suggests, this is a fraud that happens by the use of a
credit card. This generally happens if someone gets to know the card number or the card gets stolen.
(ii) Intellectual Property crimes : These include Software piracy, Copyright infringement,
Trademarks violations, Theft of computer source code.
(iii) Internet time theft : This happens by the usage of the Internet hours by an
unauthorized person which is actually paid by another person.
(ii) Denial Of Service : When Internet server is flooded with continuous bogus requests so
as to denying legitimate users to use the server or to crash the server.
Ans:
Cybercrime targeting computers and mobile devices is a growing concern in today's digital
world.
These crimes encompass a wide range of illegal activities conducted using technology, often
with the goal of financial gain, data theft, or causing harm to individuals, organizations, or
governments.
Here are some common types of cybercrimes that target computers and mobiles:
1. Malware Attacks: Malicious software (malware) is designed to infect computers and
mobile devices. This includes viruses, worms, Trojans, ransomware, spyware, and adware.
Malware can steal data, damage systems, or hold data hostage for a ransom.
2. Phishing: Phishing attacks involve tricking individuals into revealing sensitive information
like passwords, credit card numbers, or personal details by posing as a legitimate entity
through email, text messages, or fake websites.
3. Identity Theft: Cybercriminals can steal personal information, such as Social Security
numbers and financial data, to commit fraud, open accounts in victims' names, or access
their financial resources.
4. Online Scams: Various online scams target individuals, such as advance-fee fraud, lottery
scams, and romance scams. These scams deceive people into sending money or personal
information to fraudsters.
5. DDoS Attacks: Distributed Denial of Service (DDoS) attacks overwhelm a target's computer
or network with traffic, making it unavailable to users. These attacks are often used to
disrupt services or extort money.
6. Data Breaches: Cybercriminals infiltrate organizations to steal sensitive data like customer
information, trade secrets, or financial records. These breaches can result in significant
financial losses and reputational damage.
7. Cyberbullying: Cyberbullying involves the use of technology to harass, threaten, or
intimidate individuals. It can take place through social media, messaging apps, or email.
8. Mobile Device Theft and Hacking: Criminals can steal mobile devices for resale or hack
into them to access personal data, financial information, or install malware.
9. Cyber Extortion: Criminals may threaten to release sensitive or embarrassing
information unless a victim pays a ransom. This can involve sextortion (threatening
to expose explicit content) or other forms of extortion.
10. Insider Threats: Employees or individuals with insider access to computer systems
and data may misuse their privileges to steal or manipulate information.
11. Cryptojacking: Cybercriminals use a victim's computer or mobile device to mine
cryptocurrency without their consent, which can slow down the device and increase
energy consumption.
To protect against cybercrime targeting computers and mobiles, individuals and
organizations should implement robust cybersecurity measures, regularly update software,
use strong passwords, be cautious when clicking on links or downloading files, and stay
informed about the latest cyber threats and best practices.
3. Online Grooming: Predators may use online platforms to groom children for sexual
exploitation. They build trust with the child and gradually manipulate them into
sharing personal information or engaging in inappropriate activities.
4. Child Pornography: The distribution, possession, or creation of child pornography is
illegal and exploits children. Criminals often use the internet to share such material.
5. Online Trafficking: Human traffickers may use the internet to lure and exploit
women and children, including for purposes of forced labor or sexual exploitation.
Online platforms can be used to recruit victims.
6. Cyberstalking: This involves persistent and unwanted online attention, often leading
to fear or emotional distress. Women and children can be targeted by cyberstalkers
who may threaten or harass them through digital means.
7. Financial Fraud: Women can also be victims of financial fraud, including online
scams targeting personal finances or online dating scams where perpetrators exploit
emotional connections for financial gain.
8. Privacy Violations: Privacy breaches can occur when personal information or
photographs are shared without consent, affecting both women and children. This
can lead to identity theft or other forms of cybercrime.
To combat cybercrimes against women and children, various organizations and
governments have implemented laws and initiatives aimed at raising awareness, providing
support to victims, and prosecuting offenders.
Financial frauds
Financial frauds can have devastating consequences for individuals and the economy as a
whole. While digital payments have made life convenient and easy In India, they have also
made us prone to all kinds of financial frauds.
Ponzi Schemes: A Mirage of False Promises
• Ponzi schemes lure investors with promises of unusually high returns in a short period.
The fraudsters use funds from new investors to pay off earlier investors, creating a
false illusion of profitability.
• One infamous example is the Saradha chit fund scam, where millions of investors lost
their hard-earned money. The group, consisting of over 200 private companies, falsely
portrayed its collective investment schemes as chit funds.
• With an estimated collection of ₹200 to 300 billion (US$4–6 billion), the scheme
managed to attract deposits from more than 1.7 million individuals before its eventual
downfall.
Identity fraud
• Identity fraud is common on Internet. Criminals have a few options when it comes to
stealing your sensitive information.
• They might target you with a phishing attack where they email, call, or text pretending
to be from your bank. Or, they could target you with a cyber attack to get you to
install malware on your devices that steals your logins and passwords.
• How do you know you're being targeted?
− Unfamiliar transactions on your credit card.
− Strange charges on your bank statements.
− New credit cards or loans in your name.
− Missing or error-filled tax returns.
− Calls from debt collectors about purchases you didn’t make.
− A drop in credit score.
− Bounced checks.
Fraudulent charities
• Scammers use philanthropy as fraud, too. Charity fraud entails creating a fake charity
and collecting “donations” that disappear along with the thief
• How does charity fraud happen?
− Scammers create fake charities — like military veteran charities — that sound like
ones you know and trust. These scams are especially common during natural
disasters or international news events.
• What are the warning signs?
− Claiming that you’re a previous donor when you know you’ve never sent them
money.
− Only accepting donations through cash, cryptocurrency, gift cards, or wire
transfers
Credit card fraud
• There are several ways that criminals can steal your credit card information. They could
steal your physical card, trick you into entering information on a phishing website or
email, buy your details on the Dark Web, or use any number of other credit card scams.
• Hackers can also create a clone of your physical card using just your credit card numbers.
• What are the warning signs?
− Suspicious transactions on your credit card or bank statement.
− Small unfamiliar charges on your account. (Fraudsters use a scam called carding to
validate your credit card before making large purchases.)
− Fraud alerts from your bank, credit card issuer, or credit monitoring service.
Stock Market Manipulation
• Stock market manipulation includes activities like price rigging, spreading false
information, insider trading, and pump-and-dump schemes. Fraudsters manipulate stock
prices, deceiving investors and causing significant financial losses.
• The Satyam Computer Services scandal is a prime example, where the company’s
promoters manipulated financial statements to inflate stock prices.
Bank Frauds
• Bank frauds encompass various fraudulent activities, including loan frauds, cheque
frauds, forged documents, and unauthorized transactions. These frauds result in
substantial financial losses for banks and individuals.
• One notable case is the Nirav Modi-PNB scam, where fraudulent Letters of
Undertaking were issued, causing a massive loss to Punjab National Bank.
How to protect yourself against financial frauds
1. Protect your personal information
2. Monitor financial activities
3. Be cautious online
4. Use strong passwords and enable two-factor authentication
5. Stay informed about scams
6. Keep your devices secure
7. Exercise caution with public Wi-Fi
8. Verify before sharing information
Social Engineering Attacks
Social Engineering
It is the “technique to influence” & “persuasion to deceive” people to obtain the
information.
It exploits the fact that people are the weak link in security.
Social engineers build the trust with the victim/person to gain the unauthorized
information/access
Their goal is to fool someone into providing valuable information.
Example: The attacker (social engineer) calling a user & pretending to be a tech support
person & ask questions about the confidential files, passwords, etc.
Ransomware Attack
A ransomware attack is a malware that encrypts personal information and documents
while demanding a ransom amount to decrypt them.
Once the files are encrypted or locked behind a password, a text file is available to the
victim, explaining how to make the ransom payment and unlock the files for it.
How Does a Ransomware Attack Work?
The spread of ransomware mostly starts with phishing attacks. A ransomware attack gains
access to a victim's device through infected emails, messages, and malicious sites
and encrypts the data in that device.
The ransomware uses simple asymmetric encryption algorithms, blocks a user's files, and
makes them difficult to decrypt without knowing the key.
Another way to breach a system with ransomware is by using the Remote Desktop
Protocol or RDP access. It can access remotely a computer using this protocol, allowing a
hacker to install malicious software on the system with the owner, unaware of these
developments.
Ransomware adds instruction files describing the pay-for-decryption process, then uses
those files to present a ransom note to the user.
Ransomware usually terminates and destroys itself by leaving only the payment
instruction files.
Types of Ransomware
1. Locker ransomware
It is a type of malware that blocks standard computer functions from being accessed
until the payment to the hackers is not complete.
It shows a lock screen that doesn't allow the victim to use the computer for primary
purposes.
2. Crypto ransomware
This ransomware encrypts the local files and documents on the computers.
Once the files are encrypted, finding the decryption key is impossible unless
the ransomware variant is old and the keys are already available on the
internet.
3. Scareware
It is a fake software that claims to have detected a virus or other issue on your
computer and directs you to pay to resolve the problem.
Some scareware locks the computer, while others flood the screen with pop-up
alerts without damaging files.
How to Prevent Ransomware Attacks?
One must always have backups of their data. Cloud storage for backup is easy,
but a physical backup in a hard drive is always recommended.
Keeping the system updated with the latest security patches is always a good
idea.
Apart from system updates, one must always have reputed antivirus software
installed.
If a system is infected with ransomware already, there is a website,
'nomoreransom.org.' It has a collection of decryption tools for most well-
known ransomware packages.
Zero click
zero-click attacks require no action from the victim – meaning that even the most
advanced users can fall prey to serious cyber hacks and spyware tools.
also called interaction-less or fully remote attacks.
spying software relies on convincing the targeted person to click on a compromised link or
file to install itself on their phone, tablet, or computer.
However, with a zero-click attack, the software can be installed on a device without the
victim clicking on any link. As a result, zero-click malware or no-click malware is much
more dangerous.
The target of a zero-click attack can be anything from a smartphone to a desktop
computer and even an IoT device
Remedial Measures:
1. Incident Response: In the event of a cyber crime, organizations should have an incident
response plan in place to quickly identify, contain, and mitigate the impact of the attack. This
includes isolating affected systems, restoring backups, and applying patches or security
updates.
2. Forensic Investigation: Engaging professional forensic investigators can help identify the
source and extent of the cyber crime, gather evidence, and aid in legal proceedings.
3. Data Recovery: If data is compromised or encrypted due to a cyber attack, organizations
should have backups in place to restore affected systems and minimize data loss.
Mitigation Measures:
1. Strong Security Practices: Implement robust security measures, such as firewalls,
antivirus software, and intrusion detection and prevention systems, to protect against
cyber threats.
2. Regular Updates and Patching: Keep software, operating systems, and firmware up to
date with the latest security patches to mitigate vulnerabilities that cyber criminals may
exploit.
3. Employee Education: Provide cybersecurity awareness and training programs to
employees to educate them about common cyber threats, phishing techniques, and safe
online practices.
4. Multi-factor Authentication (MFA): Implement MFA wherever possible to add an
extra layer of security, making it harder for cyber criminals to gain unauthorized
access to accounts or systems.
5. Data Encryption: Encrypt sensitive data, both in transit and at rest, to ensure that even if it is
intercepted or stolen, it remains unreadable and unusable for unauthorized individuals.
6. Regular Security Audits: Conduct regular security audits and vulnerability assessments to
identify and address any weaknesses or potential entry points for cyber criminals.
In India, several organizations are involved in dealing with cybercrime and cybersecurity at
various levels, including law enforcement, regulatory bodies, and agencies focused on
awareness and prevention.
Some prominent ones include:
1. National Cyber Security Coordinator (NCSC): The NCSC operates under the Prime
Minister's Office and is responsible for coordinating all cybersecurity initiatives in
the country.
2. Computer Emergency Response Team-India (CERT-In): CERT-In is the national
nodal agency under the Ministry of Electronics and Information Technology that
deals with cybersecurity incidents, response, and related issues.
3. National Critical Information Infrastructure Protection Centre (NCIIPC): NCIIPC is
responsible for protecting critical information infrastructure in the country and
formulating policies and guidelines for securing these assets.
4. State Police Cyber Cells: Many states have established specialized cyber cells
within their police departments to investigate and handle cybercrimes at the state
level.
5. National Investigation Agency (NIA): NIA deals with investigating and prosecuting
offenses affecting the sovereignty, security, and integrity of India, including
cybercrimes with national implications.
6. Cyber Appellate Tribunal (CAT): It hears appeals against any order passed by
CERT- In or the Adjudicating Officer under the Information Technology Act, 2000.
7. Banks and Financial Institutions: Regulatory bodies like the Reserve Bank of India
(RBI) and Securities and Exchange Board of India (SEBI) have guidelines and teams
dedicated to cybersecurity in the financial sector.
8. Private Cybersecurity Firms: Several private cybersecurity companies operate in
India, offering services ranging from consulting and risk assessment to incident
response and security solutions.
These organizations collaborate to address cyber threats, enforce cybersecurity laws
and regulations, provide guidelines and advisories, conduct awareness programs, and
investigate cybercrimes. They play a crucial role in safeguarding digital infrastructure
and combating cyber threats in India.