How Did Hackers Breach Microsoft’s Security, Create Millions of Fake Accounts?

This file photo from April 12, 2016, shows the Microsoft logo in Issy-les-Moulineaux, outside Paris, France. (AP Photo/Michel Euler, File)
This file photo from April 12, 2016, shows the Microsoft logo in Issy-les-Moulineaux, outside Paris, France. (AP Photo/Michel Euler, File)
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How Did Hackers Breach Microsoft’s Security, Create Millions of Fake Accounts?

This file photo from April 12, 2016, shows the Microsoft logo in Issy-les-Moulineaux, outside Paris, France. (AP Photo/Michel Euler, File)
This file photo from April 12, 2016, shows the Microsoft logo in Issy-les-Moulineaux, outside Paris, France. (AP Photo/Michel Euler, File)

The trustworthiness of the online authentication systems used to verify whether the user is human is currently under scrutiny. Microsoft recently uncovered a group of cyber criminals in a major development that exposed the widely-used authentication technique known as “Captcha”.

Microsoft uncovered a group of hackers, "Storm-1152", that sold 750 million fake Microsoft accounts that enable cyber criminals to execute their online attacks.

- The beginning

Storm-1152 is a group of cyber hackers that operates from Vietnam. It managed to overcome all the authentication terms required to create a Microsoft account.

The group initially targets the Captcha technique, a widely-used window that requests a user to type a series of letters or numbers, or click on parts of a picture depicting buses of stairs, to verify that they are human, not robots.

But this authentication method is becoming less efficient, as Storm-1152 found a way to deceive it and create millions of fake accounts.

The hackers used “machine learning” to train their special hacking tool on clicking in the right place on the verification pictures, explained François Deruty, expert at a cybersecurity firm, Sekoia.

Then, the Storm-1152 hackers sold these fake accounts on a website for actors planning attacks, such as phishing emails and ransomware, according to Deruty.

- Famous group

The Vietnamese group is well-known. While other countries like China, Iran, Russia and North Korea make headlines in most cybersecurity attacks news, Vietnam, like India and Türkiye, has many hacking groups that make progress every year, added Deruty.

Microsoft has blocked a part of its websites on the US territories following a federal ruling that approved the closure of the servers that the group breached. “They definitely have other websites somewhere else and an international collaboration is needed to shut them down,” the expert noted.

Defenses against techniques used by cybercriminals

There are novel techniques such as the multifactor authentication, which uses codes sent via SMSs for example, but it’s a matter of time before the hackers figure out its vulnerabilities.

Other methods include security keys provided by banks for better security, but expanding these novel methods require more time and money, while Microsoft still keeps the old versions of its different programs.



Justice at Stake as Generative AI Enters the Courtroom

Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP
Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP
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Justice at Stake as Generative AI Enters the Courtroom

Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP
Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP

Generative artificial intelligence (GenAI) is making its way into courts despite early stumbles, raising questions about how it will influence the legal system and justice itself.

Judges use the technology for research, lawyers utilize it for appeals and parties involved in cases have relied on GenAI to help express themselves in court.

"It's probably used more than people expect," said Daniel Linna, a professor at the Northwestern Pritzker School of Law, about GenAI in the US legal system.

"Judges don't necessarily raise their hand and talk about this to a whole room of judges, but I have people who come to me afterward and say they are experimenting with it”.

In one prominent instance, GenAI enabled murder victim Chris Pelkey to address an Arizona courtroom -- in the form of a video avatar -- at the sentencing of the man convicted of shooting him dead in 2021 during a clash between motorists.

"I believe in forgiveness," said a digital proxy of Pelkey created by his sister, Stacey Wales.

The judge voiced appreciation for the avatar, saying it seemed authentic.

"I knew it would be powerful," Wales told , "that that it would humanize Chris in the eyes of the judge."

The AI testimony, a first of its kind, ended the sentencing hearing at which Wales and other members of the slain man's family spoke about the impact of the loss.

Since the hearing, examples of GenAI being used in US legal cases have multiplied.

"It is a helpful tool and it is time-saving, as long as the accuracy is confirmed," said attorney Stephen Schwartz, who practices in the northeastern state of Maine.

"Overall, it's a positive development in jurisprudence."

Schwartz described using ChatGPT as well as GenAI legal assistants, such as LexisNexis Protege and CoCounsel from Thomson Reuters, for researching case law and other tasks.

"You can't completely rely on it," Schwartz cautioned, recommending that cases proffered by GenAI be read to ensure accuracy.

"We are all aware of a horror story where AI comes up with mixed-up case things."

The technology has been the culprit behind false legal citations, far-fetched case precedents, and flat-out fabrications.

In early May, a federal judge in Los Angeles imposed $31,100 in fines and damages on two law firms for an error-riddled petition drafted with the help of GenAI, blasting it as a "collective debacle."

The tech is also being relied on by some who skip lawyers and represent themselves in court, often causing legal errors.

And as GenAI makes it easier and cheaper to draft legal complaints, courts already overburdened by caseloads could see them climb higher, said Shay Cleary of the National Center for State Courts.

"Courts need to be prepared to handle that," Cleary said.

Transformation

Law professor Linna sees the potential for GenAI to be part of the solution though, giving more people the ability to seek justice in courts made more efficient.

"We have a huge number of people who don't have access to legal services," Linna said.

"These tools can be transformative; of course we need to be thoughtful about how we integrate them."

Federal judges in the US capitol have written decisions noting their use of ChatGPT in laying out their opinions.

"Judges need to be technologically up-to-date and trained in AI," Linna said.

GenAI assistants already have the potential to influence the outcome of cases the same way a human law clerk might, reasoned the professor.

Facts or case law pointed out by GenAI might sway a judge's decision, and could be different than what a legal clerk would have come up with.

But if GenAI lives up to its potential and excels at finding the best information for judges to consider, that could make for well-grounded rulings less likely to be overturned on appeal, according to Linna.