Elc 200 Day 22 Agenda

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ELC 200 Day 22


  • Assignment 7 Corrected but not all the grades are posted
    • All A’s, B’s and a couple C’s and 1 MIA
    • assignment7.doc
  • Assignment 8 Posted
    • Due Monday, April 21 @ 3:35 Pm
  • ECommerce Initiative Frameworks
    • Guidelines
    • Due MAY 7 @ 10 AM
  • Finish discussion on eSecurity and the USA Patriot Act

End of days? (subject to change)

  • April 14
    • Finish Chap 13 eSecurity and the USA Patriot Act
    • Assignment 8 Posted
  • April 17 & 21
    • Chap 14 Encryption
    • Assignment 8 Due April 21
  • April 24 & 28
    • Chap 15 getting the money
    • Optional Assignment 9
      • Due May 1
  • May 1
    • Quiz 4
    • Chapters 12  16
    • 20 M/C and 4 short essay
  • May 7 @ 10 AM
    • eCommerce frameworks due
    • Student presentations
      • 5 Mins!
  • E-Security and the USA Patriot Act

The Security Assessment Life Cycle

Designing for Security

  • Design process begins with a chief security officer
  • Five major steps
    • Assessing the security needs of the firm
    • Establishing a good policy
    • Fulfilling Web security needs
    • Structuring the security environment
    • Monitoring the system

The Security System Design Process

Designing the Security Environment

  • The design begins with the sequence and parameters in the security network based on the security policy and requirements of the e-commerce system
  • How much security depends on how much risk the company is willing to take, the security policy it is willing to adopt, and the present state of security practices
  • A security perimeter generally includes firewalls, authentication, virtual private networks (VPNs), and intrusion detection devices
  • The first line of defense is the firewall
  • Another technology protecting the perimeter is authentication

Security in the Middle Ages

Monitoring the Security System

  • Separation of responsibilities
  • Security system must be monitored via feedback mechanisms to ensure that the entire system is working properly
  • Monitoring
    • Capture processing details for evidence
    • Verify that e-commerce is operating within the security policy
    • Verify that attacks have been unsuccessful

How Much Risk Can You Afford?

  • How secure are we? How much will it cost to secure our system?
  • Estimate the pain threshold your company and the attacker are willing to tolerate
  • Goal of security strategies, methods, and procedures is to raise the threshold of pain an attacker must endure to access and cause damage to a system
  • What is the level of protection required against the risks the merchant is willing to assume?

Kinds of Threats or Crimes

  • Those that are physically related
    • Steal & damage information on a computer
  • Those that are order related
    • Misused credit cards
    • Insider tampering
  • Those that are electronically related
    • Manipulate or steal data “in-flight”
    • A sniffer is a person or a program that uses the Internet to record information that transmits through a router from its source to its destination

Snoop and Sniff

Client/Server Security Threats

  • Client attacks
  • How are the attacks done?
    • Physical attacks
    • Viruses
    • Computer-to-computer attacks
  • Server security threats
    • Denial of service (DOS) is an attack by a third party that prevents authorized users from accessing the infrastructure
    • Distributed denial of service attacks


  • http://www.cs3-inc.com/pk_whatisddos.html

Hacker Strategies

  • Social engineering
  • Shoulder surfing
  • Dumpster diving
  • Whacking (wireless hacking)

Hacker Prevention

  • Perform an online security checkup or install a firewall on your computer workstation
  • Intrusion detection is sensing when a system is being used without authorization
  • Hire a hacker who works at foiling the efforts of the troublemakers while not hacking
  • Conduct cyber-forensic investigations and hire cyber-investigators to set up alarms and traps to watch and catch intruders and criminals within the networks

The Players: Hackers, Crackers, and Other Attackers

  • Hackers
    • Original hackers created the Unix operating system and helped build the Internet, Usenet, and World Wide Web; and, used their skills to test the strength and integrity of computer systems
    • Over time, the term hacker came to be applied to rogue programmers who illegally break into computers and networks
    • Hacker underground
      • http://www.defcon.org/
      • http://www.blackhat.com/
      • http://www.2600.com/

The Players: Hackers, Crackers, and Other Attackers (cont.)

  • Uber Haxor
    • Wizard Internet Hackers
    • Highly capable attackers
    • Responsible for writing most of the attacker tools
  • Crackers
    • People who engage in unlawful or damaging hacking short for “criminal hackers”
  • Other attackers
    • “Script kiddies” are ego-driven, unskilled crackers who use information and software (scripts) that they download from the Internet to inflict damage on targeted sites
    • Scorned by both the Law enforcement and Hackers communities

Script Kiddies

  • script kiddies: pl.n.
    • 1. [very common] The lowest form of cracker; script kiddies do mischief with scripts and rootkits written by others, often without understanding the exploit they are using. Used of people with limited technical expertise using easy-to-operate, pre-configured, and/or automated tools to conduct disruptive activities against networked systems. Since most of these tools are fairly well-known by the security community, the adverse impact of such actions is usually minimal.
    • 2. People who cannot program, but who create tacky HTML pages by copying JavaScript routines from other tacky HTML pages. More generally, a script kiddie writes (or more likely cuts and pastes) code without either having or desiring to have a mental model of what the code does; someone who thinks of code as magical incantations and asks only “what do I need to type to make this happen?”
  • Source: http://www.catb.org/jargon/html/S/script-kiddies.html
  • More info: http://www.tamingthebeast.net/articles/scriptkiddies.htm

How Hackers Hack

  • Many Techniques
    • Social Engineering
      • Get someone to give you their password
    • Cracking
      • Guessing passwords
      • A six letter password (no caps)
        • > 300 million possibilities
      • Merriam-Webster's citation files, which were begun in the 1880s, now contain 15.7 million examples of words used in context and cover all aspects of the English vocabulary.
        • http://www.m-w.com/help/faq/words_in.htm
    • Buffer Overflows
      • Getting code to run on other PCs
        • Load a Trojan or BackDoor
    • Snoop and Sniff
      • Steal data
    • Denial of Service (DOS)
      • Crash or cripple a Computer from another computer
    • Distributed Denial of Service (DDOS)
      • Crash or cripple a Computer from multiple distributed computers

Maine’s Anti-Hacker laws

  • §432. Criminal invasion of computer privacy      1. A person is guilty of criminal invasion of computer privacy if the person intentionally accesses any computer resource knowing that the person is not authorized to do so. [1989, c. 620 (new).]      2. Criminal invasion of computer privacy is a Class D crime. [1989, c. 620 (new).]
  • §433. Aggravated criminal invasion of computer privacy
    • 1. A person is guilty of aggravated criminal invasion of computer privacy if the person:    A. Intentionally makes an unauthorized copy of any computer program, computer software or computer information, knowing that the person is not authorized to do so;  [1989, c. 620 (new).]   B. Intentionally or knowingly damages any computer resource of another person, having no reasonable ground to believe that the person has the right to do so; or  [1989, c. 620 (new).]   C. Intentionally or knowingly introduces or allows the introduction of a computer virus into any computer resource, having no reasonable ground to believe that the person has the right to do so.  [1989, c. 620 (new).][1989, c. 620 (new).]     
    • 2. Aggravated criminal invasion of computer privacy is a Class C crime. [1989, c. 620 (new).]

The National Strategy to Secure Cyberspace

  • Create a cyberspace surety response system
  • Establish a threat and vulnerability reduction program
  • Improve security training and awareness
  • Secure the government’s own systems
  • Work internationally to solve security issues (U.S. Department of Homeland Security)
  • http://www.whitehouse.gov/pcipb/
  • http://www.dhs.gov/xprevprot/programs/editorial_0329.shtm

CYBER Warfare

  • Russia – Estonia Cyber war
  • Taught at US Military academies
    • http://www.dean.usma.edu/Teams/CyberDefense/Default.cfm
    • bh-fed-03-dodge.pdf
    • iwar_wise.pdf
  • http://www.usma.org/fd2008/ragsdale.htm

The Virus: Computer Enemy Number One

  • Most serious attack on a client computer or a server in an Internet environment is the virus
  • A virus is a malicious code that replicates itself and can be used to disrupt the information infrastructure
  • Viruses commonly compromise system integrity, circumvent security capabilities, and cause adverse operation by taking advantage of the information system of the network

Types of Viruses

  • File virus is one that attacks executable files
  • Boot virus attacks the boot sectors of the hard drive and diskettes
  • Macro virus exploits the macro commands in software applications such as Microsoft Word

Levels of Virus Damage

Steps for Antivirus Strategy

  • Establish a set of simple enforceable rules for others to follow
  • Educate and train users on how to check for viruses on a disk
  • Inform users of the existing and potential threats to the company’s systems and the sensitivity of information they contain
  • Periodically update the latest antivirus software

Getting Rid of Viruses

  • Get a good Virus Projection Software
    • Free (not Recommended)
      • Anti-Vir
      • Avast
      • AVG
    • Not Free
      • Norton AntiVirus
      • MacAfee
    • Free for UMFK students and staff
      • http://www.umfk.maine.edu/it/antivirus/
  • Update definition files often


  • Software that sits on your computer
    • Monitors everything that you do and sends out reports to Marketing agencies
    • Usually ties to a POP-UP server
  • Top Spyware
    • I-Look Up
    • CoolWebSearch
    • N-CASE
    • GATOR
    • DoubleClick
  • If you have ever loaded up ICQ Loaded on your PC you have Spyware
  • If you have ever had KAZAA loaded on your PC you have Spyware
  • If you have loaded Quicken or TurboTax you have Spyware
    • C-Dilla
  • Spyware infestation. Taken by Brandon Waddell.

Spyware and Adware

  • Spyware is software the user unknowingly installs through an e-mail attachment or downloading an infected file that could be used for illicit reasons
  • Adware is software that sneaks into a user’s hard disk installed by Internet advertising companies to promote pop-up ads and release information for advertisers on the outside

Spyware Solutions

  • Enforce strict user Web policies on surfing and downloading activities
  • Install a desktop firewall on every laptop and desktop - http://www.zonelabs.com
  • Do not give users administrator privileges
  • Configure an e-mail gateway to block all executable e-mail attachments
  • Ensure desktop antivirus software signatures are up to date - http://www.grisoft.com

Spyware Solutions (Cont’d)

  • Use commercial antispyware software to detect and remove existing spyware program - http://www.spybot.com
    • Keeping Your PC Spyware Free.pdf
  • Enforce the usage of higher security settings in Internet browsers to prevent sites that cause spyware infection
  • Use pop-up blockers that lead to Web sites low trustworthiness
  • Educate your employees and staff about spyware threats be creating an active out-reach with groups and organizations, including the Consortium of Anti-Spyware Technology (COAST)

Compliance Legislation

  • The Gramm-Leach-Billey Act
    • Protects personal data
  • The VISA USA Cardholder Information Security Program
  • The Sarbanes-Oxley Act
    • Executives must vouch for effectiveness of controls
  • The Basel II Capital Accords
    • Internal accord specifying cash and risk reporting

Steps to Prevent E-Commerce Fraud

  • Be aware of corporate critical assets and who might be after the assets
  • Investigate common attacks and electronic-fraud schemes that could be used against the company’s critical assets
  • Install strong encryption such as public key infrastructure (PKI)
  • Develop a program for evidence collection (called forensics) via committed investigators

Steps to Prevent E-Commerce Fraud (Cont’d)

  • Ensure maintenance of strong and reliable transaction, network, and Internet service provider logs
  • Conduct penetration testing to judge the integrity of existing security
  • Investigate the availability of cyber-fraud insurance to provide coverage for potential losses

Security Protection and Recovery

  • Install proper firewall(s) to protect data
  • Ensure that your network is configured properly
  • Protect your most sensitive data through encryption
  • Maintain and update all antivirus programs on your PC or terminal
  • Restrict access to your files by “need to know’
  • Assign unique IDs to authorized personnel and track all IDs on a daily basis
  • Ensure that your system administrators have contemporary security skills
  • Enforce and update company information security policy and inform employees of any changes in policy

Firewalls and Security

  • Firewalls can be used to protect a corporation’s network in a number of ways
    • Protect against authenticated log-ins
    • Block all unsecured access to the internal network
    • Separate groups within an organization
  • Firewalls ensure
    • Data integrity
    • Authentication
    • Confidentiality

Firewall Design and Implementation Issues

  • Design Issues
    • Policy
    • Level of monitoring and control the organization wants
    • Financial and administrative
    • Whether the company wants internal firewalls installed
  • Firewall Design features
    • Security policy
    • Deny policy
    • Filtering ability
    • Scalability
    • Authentication
    • Recognizing dangerous services
    • Effective audit logs

Corporate Networks and Firewalls

How Firewalls Work

  • Firewall check Packets in and out of Networks
    • Decide which packets go through and which don’t
    • Work in both directions
    • Only one part of Security


  • Attack Prevention System
  • Corporate Network
  • Hardened
  • Client PC
  • Hardened Server
  • With Permissions
  • Internet
  • Attacker
  • Attack
  • Message
  • Attack
  • Message
  • Firewall
  • X
  • Stops Most
  • Attack Messages

How Personal Firewalls work

  • Software version of a standard Hardware firewall
  • Controls packets in and out of one PC in much the same way as a Hardware Firewall does

Cycle of Recovery from Attack

  • Attack detection and vulnerability assessment
  • Damage assessment <> evidence collection
  • Correction and recovery
  • Vigilance and corrective feedback

Biometric Security

  • Biometrics is the science and technology of quantifying and statistically scrutinizing biological data
  • Biometrics enhance authentication
  • Biometric devices ensure that the person who encrypts data is the only one who can decrypt and has access to the data
  • Applying biometric technology on a smart card also would increase the level of confidence in the security
  • When considering biometric technologies for future use, management does need to implement a cost-effective system appropriate for their particular circumstance

Types of Biometrics and Select Application Areas

Types of Biometrics and Select Application Areas (Cont’d)


  • http://www.state.gov/s/ct/rls/fs/37191.htm
  • Abu Nidal Organization (ANO)
  • Abu Sayyaf Group
  • Al-Aqsa Martyrs Brigade
  • Ansar al-Islam
  • Armed Islamic Group (GIA)
  • Asbat al-Ansar
  • Aum Shinrikyo
  • Basque Fatherland and Liberty (ETA)
  • Communist Party of the Philippines/New People's Army (CPP/NPA) 
  • Continuity Irish Republican Army 
  • Gama’a al-Islamiyya (Islamic Group)
  • HAMAS (Islamic Resistance Movement)
  • Harakat ul-Mujahidin (HUM)
  • Hizballah (Party of God)
  • Islamic Jihad Group
  • Islamic Movement of Uzbekistan (IMU)
  • Jaish-e-Mohammed (JEM) (Army of Mohammed)
  • Jemaah Islamiya organization (JI)
  • al-Jihad (Egyptian Islamic Jihad)
  • Kahane Chai (Kach)
  • Kongra-Gel (KGK, formerly Kurdistan Workers' Party, PKK, KADEK
  • Lashkar-e Tayyiba (LT) (Army of the Righteous)
  • Lashkar i Jhangvi
  • Liberation Tigers of Tamil Eelam (LTTE)
  • Libyan Islamic Fighting Group (LIFG)
  • Moroccan Islamic Combatant Group (GICM)
  • Mujahedin-e Khalq Organization (MEK)
  • National Liberation Army (ELN)
  • Palestine Liberation Front (PLF)
  • Palestinian Islamic Jihad (PIJ)
  • Popular Front for the Liberation of Palestine (PFLF) 
  • PFLP-General Command (PFLP-GC)
  • al-Qa’ida
  • Real IRA
  • Revolutionary Armed Forces of Colombia (FARC)
  • Revolutionary Nuclei (formerly ELA)
  • Revolutionary Organization 17 November
  • Revolutionary People’s Liberation Party/Front (DHKP/C) 
  • Salafist Group for Call and Combat (GSPC)
  • Shining Path (Sendero Luminoso, SL)
  • Tanzim Qa'idat al-Jihad fi Bilad al-Rafidayn (QJBR) (al-Qaida in Iraq) (formerly Jama'at al-Tawhid wa'al-Jihad, JTJ, al-Zarqawi Network)
  • United Self-Defense Forces of Colombia (AUC)
  • How Modern Terrorism Uses the Internet

National Strategy to Secure Cyberspace

  • The National Strategy to Secure Cyberspace articulates five national priorities including:
    • I. A National Cyberspace Security Response System;
    • II. A National Cyberspace Security Threat and Vulnerability Reduction Program;
    • III. A National Cyberspace Security Awareness and Training Program;
    • IV. Securing Governments’ Cyberspace;
    • V. National Security and International Cyberspace Security Cooperation.
    • cyberspace_strategy.pdf

USA Patriot Act

  • Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001
  • Enacted Oct, 2001 and was to last for 4 years
  • USA Patriot Act Improvement And Reauthorization Act Of 2005
    • Signed March 2006
  • ACLU repsonse
    • Expands terrorism laws to include “domestic terrorism” which could subject political organizations to surveillance, wiretapping, harassment, and criminal action for political advocacy.
    • Expands the ability of law enforcement to conduct secret searches, gives them wide powers of phone and Internet surveillance, and access to highly personal medical, financial, mental health, and student records with minimal judicial oversight.
    • Allows FBI Agents to investigate American citizens for criminal matters without probable cause of crime if they say it is for “intelligence purposes.”
    • Permits non-citizens to be jailed based on mere suspicion and to be denied re-admission to the US for engaging in free speech. Suspects convicted of no crime may be detained indefinitely in six month increments without meaningful judicial review.

Implications for Management

  • The Internet is becoming an increasingly filtered channel of communication
  • Information security continues to be deemphasized or ignored by management at all levels of the organization
  • Changes in the identification of threats, the growing advancement of technologies, and the identification of new threats continue to shift the organizational security focus
  • Any serious profile should begin with a valid security policy, which is then translated into an effective security plan with a focus on prevention, detection, and correction of threats

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