Cyber Incidents
WHAT cyber-attacks have already occurred?
PORT SECURITY
Dirty Bomb Protection: (AAPA - Maritime Exec.)
- mechanism to prevent cyber terrorism and the trafficking of nuclear materials
- International Atomic Energy Agency (IAEA): 2,700 cases of illicit trafficking of nuclear materials since Dec. 31, 2014
- Dave Espie, Maryland Port Administration Security Director testimony: smuggling is increasing, need to protect against nuclear smuggling
- using human, cyber and technical assets
PIRACY
Enrico Ievoli (2011) (Piracy evolving)
- Carrying caustic soda from Persian Gulf to Med
- Italian mafia commissioned pirates: premeditated, knew itinerary, cargo, crew, location, no armed guards
- Online information
Pirates Hack Shipping Company (2016)
• Global shipping company hacked by pirates for several months
• Pirates would board a vessel, locate by bar code specific sought-after crates containing valuables, steal that crate (and that crate alone), and depart without incident
• Specific, targeted attacks
EMAIL CYBER-SCAMS
•Bunkering Sector:
• Highly susceptible
• Bunkering community targeted frequently - often industry insiders (over-reliant on email communications)
• Impersonate seller, send emails requesting payment be made to a different account = funds sent into scammer's account
- • World Fuel Services, 2014
- • $18 million loss
Nautilus Minerals
• December 2014, engaged in a deal to order a sea floor mining vessel in China on the back of a long-term charter
• Pre-paid $10 million of the $18 million charterer's guarantee to Dubai-based Marine Assets Corporations ("MAC")
• Unknowingly paid $10 million into the account of a cybercriminal
Limassol-Based Shipping Company (2015)
• August 2015, received an email purportedly from their fuel supplier in Africa, requesting money owed be paid to a different account than usual
• Shipping company complied, paid roughly $644,000
FRAUD - later received email from fuel company asking for
payment
Charterer's Email Account Hacked (2016)
• Funds to pay agent went to Nigerian bank account
• Vessel was detained on the basis that Charterer's agents did not receive funds for port clearance
Broker's Email Account Hacked (2016)
• Hacker's accessed a broker's email system
• Sent email to shipping company requesting payment to a different bank account
• Shipping company did not verify, and complied
• RESULT: loss of $500,000 (forced to pay twice)
PHISHING / SPEAR-PHISHING CAMPAIGNS
- China's People's Liberation Army targeting marine shipping providers
- Spoof emails target companies to secure
access to confidential data
2014 Report Issued by the US Senate's Armed Services Committee
- 50 successful intrusions on US Transportation Command contractors (Transcom) (12 month period)
- Transcom was only aware of 2 of the 20 successful intrusions that qualify as "advanced persistent threats"
- All of which were attributed to China and targeted at airlines
or shipping companies
Oil rig stability/security - Houston, 2013
- Malicious software unintentionally downloaded by offshore oil workers:
• Malware brought aboard by laptops and USB drives infected on land
• Infected files downloaded from online sources through satellite (pornography, music piracy) - Incapacitated computer networks on rigs and platforms;
Potential catastrophe: well blowout, explosion, oil spill
- financial damage
- environmental damage
- loss of human life
