ATM makers warn of ‘jackpotting’ hacks on U.S. machines

: A man types on a computer keyboard in front of the displayed cyber code in this illustration picture taken on March 1, 2017.

By Jim Finkle

(Reuters) – Diebold Nixdorf Inc and NCR Corp, two of the world’s largest ATM makers, have warned that cyber criminals are targeting U.S. cash machines with tools that force them to spit out cash in hacking schemes known as “jackpotting.”

The two ATM makers did not identify any victims or say how much money had been lost. Jackpotting has been rising worldwide in recent years, though it is unclear how much cash has been stolen because victims and police often do not disclose details.

The attacks were reported earlier on Saturday by the security news website Krebs on Security, which said they had begun last year in Mexico.

The companies confirmed to Reuters on Saturday they had sent out the alerts to clients.

NCR said in a Friday alert that the cases were the first confirmed “jackpotting” losses in the United States. It said its equipment had not been targeted in the recent attacks, but that it was still a concern for the entire ATM industry.

“This should be treated by all ATM deployers as a call to action to take appropriate steps to protect their ATMs against these forms of attack,” the alert said.

Diebold Nixdorf said in a separate Friday alert that U.S. authorities had warned the company that hackers were targeting one of its ATM models, known as Opteva, which went out of production several years ago.

A confidential U.S. Secret Service alert sent to banks said the hackers targeted stand-alone ATMs typically located in pharmacies, big box retailers and drive-thru ATMs, Krebs on Security reported.

Diebold Nixdorf’s alert described steps that criminals had used to compromise ATMs. They include gaining physical access, replacing the hard drive and using an industrial endoscope to depress an internal button required to reset the device.

Reuters was unable to obtain a copy of the Secret Service report and an agency representative declined comment. Officials with the Federal Bureau of Investigation could not immediately be reached.

Russian cyber security firm Group IB has reported that cyber criminals remotely attacked cash machines in more than a dozen countries across Europe in 2016. Similar attacks were also reported that year in Thailand and Taiwan.

(Reporting by Jim Finkle in Toronto; Additional reporting by Dustin Volz in Washington; Editing by Susan Thomas)

Putin says U.S. hacking scandal not in Russia’s interests

Russian President Vladimir Putin delivers a speech during the annual VTB Capital "Russia Calling!" Investment Forum in Moscow, Russia,

MOSCOW (Reuters) – The scandal that erupted in the United States over allegations Russia hacked Democratic Party emails has not been in Moscow’s interests and both sides in the U.S. election campaign are just using Russia to score points, Vladimir Putin said on Wednesday.

The U.S. government on Friday formally accused Russia for the first time of a campaign of cyber attacks against Democratic Party organizations ahead of the Nov. 8 presidential election.

And the White House said on Tuesday it would consider a variety of responses to the alleged hacks.

“They started this hysteria, saying that this (hacking) is in Russia’s interests. But this has nothing to do with Russia’s interests,” President Putin told a business forum in Moscow.

Putin said the accusations were a ploy to divert U.S. voters’ attention at a time when public opinion was being manipulated.

“Everyone is talking about ‘who did it’ (the hacking),” said Putin. “But is it that important? The most important thing is what is inside this information.”

The Kremlin said earlier on Wednesday it took a negative view of White House statements about a planned “proportional” response to the alleged cyber attacks.

Putin complained that all sides in the U.S. presidential race were misusing rhetoric about Russia for their own ends, but said Moscow would work with whoever won the election “if, of course, the new U.S. leader wishes to work with our country”.

“About a decade ago, they wouldn’t mention Russia at all, because it was not even worth talking about, such a third-rate regional power and not interesting at all. Now Russia is problem number one in the entire election campaign,” said Putin.

“All they do is keep talking about us. Of course it’s pleasant for us, but only partly because all participants are misusing anti-Russian rhetoric and poisoning our bilateral relations.”

(Reporting by Katya Golubkova and Alexander Winning; Writing by Christian Lowe; Editing by Andrew Osborn)