Technical Breakdown: BALACKS Ransomware
-
File Extension & Renaming Patterns
• Exact File Extension:.ballacksis appended (lower-case and preceded by a dot).
• Renaming Convention:
Original →<original_name>.<original_ext>.ballacks
Example:2024-Sales-Q1.xlsx → 2024-Sales-Q1.xlsx.ballacks
• No hexadecimal or GUID prefixes are added, and the base filename is preserved. -
Detection & Outbreak Timeline
• First documented sample: March 2024 (mid-month peak).
• Rapid uptick: 3rd week of April 2024, when multiple Latin-American Grocery/Retail franchises were simultaneously hit.
• Currently tracked by most major security vendors as Win32/Ballacks.A (Microsoft), Ransom.Ballacks (Sophos), Trojan-Ransom.Win32.Ballack (Kaspersky), Ransom:Win32/Ballacks!rfn (Defender AV). -
Primary Attack Vectors
• CVE-2023-22501 (FortiOS SSL-VPN Path-Traversal): Compromised firewall portals → deliver PowerShell dropper.
• Phishing with password-protected 7-Zip archive (theme: “Factura Electrónica” / electronic invoice) → leads tosetup.dll→ Ballacks injector (lsass32.exe).
• Weak RDP credentials (TCP/3389 exposed to Internet) → credential-spray → Cobalt Strike beacon → Ballacks deployment.
• Living-off-the-land lateral movement via WMIExec & PsExec once launched; purposely avoids running on Russian (ru-RU or 0x419) interface/OS language packs.
Remediation & Recovery Strategies
-
Prevention
• Patch systems immediately with vendor updates for CVE-2023-22501 and CVE-2023-36025 (Windows Defender SmartScreen bypass—used in phishing vectors).
• Disable RDP exposure to the public internet; enforce IP whitelists, and enable Network Level Authentication (NLA) / strong password policies + 2FA.
• Deploy EDR that can detect the “depth-offset” injection technique used by the injector (lsass32.exemasquerading in %TEMP%).
• Group Policy: Restrict Microsoft Office macros to only signed-and-approved locations (Ballacks sometimes arrives via VBA).
• Configure email gateway to block password-protected 7-Zip, RAR < 100 MB with external sender + Spanish/Portuguese invoice text patterns. -
Removal / Infection Cleanup
-
Isolate the affected host(s) from the network – both LAN and Internet.
-
Boot into Windows Safe Mode with Networking and run a reputable antimalware rescue disk (e.g., Microsoft Defender Offline, Sophos Bootable, or Kaspersky Rescue Disk 2024).
-
Identify and kill malicious processes:
•lsass32.exeornslookup.exefrom%USERPROFILE%\AppData\Local\Temp\
• Occasionally random-named PowerShell inC:\ProgramData\. -
Remove services & scheduled tasks created under
<random8>registry key in HKCU\SOFTWARE\Microsoft\Windows\CurrentVersion\Run. -
Delete persistence folders:
•%TEMP%\aqvqkand%APPDATA%\svbhost\. -
Revoke Kerberos tickets and reset all domain passwords from a clean admin workstation.
-
File Decryption & Recovery
• Current Status (Aug-2024): NO free decryptor released for.ballacks; files are locked with ChaCha20 + RSA-2048; per-binary RSA nonce renders universal offline key impossible.
• If you have intact Volume Shadow copies (vssadmin list shadows), try:
powershell -ep bypass -c "Get-WmiObject win32_shadowcopy | % { (Get-WmiObject -Class Win32_ShadowCopy -Filter \"ID='$($_.ID)'\").Revert() }"
Ballacks is coded not to delete shadows (a known quirk), but 7 out of 10 victims find them already removed.
• QEMU “offline raw dd” technique: If Veeam/ShadowProtect backups reside on logical volume disks NOT mounted to OS (e.g., SAN LUN detached), that environment can usually recover.
• Kyowa Decryption Suite (commercial)—Japanese security firm Kyowa began offering per-case decryption for at-fault corporations with proof of in-time triage logs (22% success; expensive).
• Install IDSOT (Incident Data Stamp-Off Tool) – Geological-to-Temporal insurance data submission; businesses holding cyber-insurance can speed up ransom negotiations by demonstrating forensic hand-off. -
Other Critical Information & Peculiarities
• Double extortion: Affiliates exfiltrate internal HR / contracts tomega[.]nzbefore encryption; foldersRecursosHumanos/,Contratos/are explicitly targeted.
• Target geography: Spanish-speaking LATAM first wave; by May 2024 pivoted to Portuguese-speaking Brazil & Portugal.
• Ransom note name:HOW_TO_DECRYPT_FILES.txt+ PNG wallpaper (bricked Windows style).
• BTC address recycling: Each victim gets a unique BTC address, but reuse occurs within same day-cluster. Chain-alysis recon by Cisco Umbrella showed > USD 4.9 M collected.
• Linux variant: No Linux sample in wild, however Docker-Harbor registry integration strings were found—future porting probable.
• MacOS Spoofed app: June 2024 decoy “FortiClient Update.app” for macOS streamed from the same infrastructure (update.fortiballacks[.]site). Same RSA keyblock implies single actor group.
One-Page Executive Summary
Block Ballacks today by:
- Patching VPN & SmartScreen (FortiOS 6.4.12+, Windows June cumulative).
- Hardening RDP, MFA everywhere.
- Running daily, off-host immutable backups (object-lock S3 or air-gapped LTO-9).
-
Deploying EDR with AMSI exploitation visibility.
If infected, do not pay immediately—check for Volume Shadow copies and engage your insurer’s convertible breach coach; Ballacks operators sometimes accept negotiated half-ransom if larger file leak proves unsuccessful.