Italy extradited Chinese national Xu Zewei to the US on Friday, where he is accused of running a years-long Chinese government-linked spear-phishing campaign that targeted US Covid-19 researchers, universities, and law firms. The case is notable because it's the first time a European country has extradited a Chinese state-linked hacker to the US, and signals tighter coordination between European and US prosecutors on China-attributed cyber operations. Xu was arrested in Milan in July 2024 on a US warrant; Italy's highest court approved the extradition this month after his appeals were exhausted. He could spend decades in US federal prison.
NASA's Office of Inspector General published a retrospective on April 24 detailing how Chinese national Song Wu, an engineer at a state-owned Chinese aerospace and defense conglomerate, ran a multi-year spear-phishing campaign from January 2017 to December 2021. Song impersonated real US engineers known to his targets and asked over email for copies of specific aerospace modeling software and source code that could design or modify weapons platforms. Targets included staff at NASA, US Air Force, Navy, Army, FAA, major universities, and private aerospace firms. Several victims, believing they were helping a friend, sent the requested software - inadvertently violating US export control laws.
Acronis researchers have spotted a new variant of LOTUSLITE, a backdoor associated with the Chinese nation-state group Mustang Panda, now distributed via lures tied to India's banking sector and, in a parallel campaign, impersonating figures from South Korea's Korean-peninsula-policy community. The shift is notable: prior LOTUSLITE activity targeted U.S. government and policy entities with U.S.-Venezuela geopolitical decoys, but this wave pivots the targeting while keeping the delivery playbook intact. The infection chain starts with a Compiled HTML (CHM) file - a legacy Microsoft help-file format that can embed executables and scripts - containing a legitimate signed binary, a rogue DLL, and an HTML pop-up that asks the user to click 'Yes.' Clicking it silently fetches JavaScript malware from cosmosmusic[.]com, which extracts and runs the DLL side-loading chain (trusted EXE loads attacker-supplied DLL) using dnx.onecore.dll as the malicious payload. The backdoor talks HTTPS to editor.gleeze[.]com over dynamic DNS, with remote shell access, file operations, and session management - a classic espionage toolkit. The Indian campaign uses HDFC Bank-themed pop-ups masquerading as legitimate banking software; the South Korean campaign uses spoofed Gmail accounts and Google Drive staging to impersonate a prominent Korean peninsula policy figure. This is active, tailored, human-operated espionage, not a commodity campaign.
The leaked DarkSword iOS exploit kit is already being weaponized. Proofpoint attributes a new spear-phishing campaign to TA446 (also known as COLDRIVER/Star Blizzard), a Russian FSB-linked group that has never previously targeted Apple devices. The emails spoof Atlantic Council discussion invitations and redirect iPhone users to the exploit kit, which deploys the GHOSTBLADE dataminer. Proofpoint warns the targeting is unusually broad - hitting government, finance, legal, and education sectors.