Wednesday, June 3, 2015




Complete DHS Report for June 3, 2015

Daily Report

Top Stories

 · Officials reported June 1 that First Tennessee Bank agreed in April to pay $212.5 million to resolve lending violations relating to U.S. Federal Housing Administration (FHA)-insured home loans issued from 2006 – 2008. – Reuters See item 9 below in the Financial Services Sector

 · An underground transformer explosion outside a New Jersey Post Office sparked an electrical fire which prompted the temporary evacuation of several buildings and the relocation of postal service until June 3. – WABC 7 New York

14. June 1, WABC 7 New York– (New Jersey) Transformer explodes, sparks fire at New Brunswick Post Office. An underground transformer explosion outside the New Brunswick Post Office June 1 sparked an electrical fire which prompted the temporary evacuation of several buildings and relocated postal service for the New Brunswick Post Office until June 3. Source: http://7online.com/news/transformer-explodes-sparks-fire-at-new-brunswick-post-office/760311/

 · Two Federal and county courthouses, a juvenile detention center, and all surrounding roads in Idaho, were evacuated June 1 following a bomb threat. – KPVI 6 Pocatello

24. June 1, KPVI 6 Pocatello– (Idaho) Local bomb threat forced officials to evacuate two courthouses. Two Federal and Bannock County Courthouses, a juvenile detention center, and all surrounding roads in Pocatello, were evacuated June 1 following a bomb threat that was called in by a local payphone to the KPVI News 6 offices. The Federal courthouse and surrounding roads reopened to the public shortly after being cleared, while the Bannock County Courthouse reopened June 2. Source: http://www.kpvi.com/content/news/local/story/Local-Bomb-Threat-Forced-Officials-to-Evacuate/RUHLSGyOF0aRMnv4wU2t5w.cspx

 · Researchers at Trend Micro found that the number of infections caused by the Dyre banking trojan increased by 125 percent in the first quarter of 2015 and that cybercriminals increasingly targeted Europe and North America over the last 3 months. – Softpedia See item 28 below in the Information Technology Sector

Financial Services Sector

6. June 1, Associated Press – (Colorado; Oregon; Oklahoma) Southern Oregon developer indicted in alleged Oklahoma bank fraud scheme. The former president of First State Bank of Altus and a business partner were indicted on bank fraud and other charges June 1 for allegedly committing 3 fraud schemes totaling over $22.5 million in loans issued without proper approval and to companies affiliated with the former president. Source: http://www.oregonlive.com/money/index.ssf/2015/06/oregonian_indicted_in_alleged.html

7. June 1, Chicago Sun-Times – (Illinois) ‘Black Cap Bandit’ suspect arrested, charged. The FBI arrested the suspect known as the “Black Cap Bandit,” who is believed to be responsible for robbing banks in Chicago, Oak Lawn, Burbank, and Calumet City from September – December 2014. The man was arrested by State authorities May 22 on unrelated charges. Source: http://chicago.suntimes.com/crime/7/71/653286/bank-robber-dubbed-black-cap-bandit-arrested-charged

8. June 1, Reuters – (National) Merrill Lynch pays $11 mln to settle short sale violations. U.S. regulators announced June 1 that Bank of America’s Merill Lynch agreed to pay $11 million and admitted that they had violated “Regulation SHO” Federal short sale rules by using inaccurate data for short sale orders. The company also agreed to retain an independent compliance consultant as part of the settlement. Source: http://www.reuters.com/article/2015/06/01/sec-bank-of-america-shortselling-idUSL1N0YN23H20150601

9. June 1, Reuters – (Tennessee) Tennessee bank to pay $212.5 mln in FHA-insured mortgage lending case. U.S. Department of Justice officials reported June 1 that First Tennessee Bank agreed in April to pay $212.5 million to resolve claims of mortgage lending violations relating to U.S. Federal Housing Administration (FHA)-insured home loans issued from 2006 – 2008, in which the bank allegedly failed to report deficient mortgages to the FHA and caused them to insure hundreds of loans ineligible for insurance, resulting in substantial losses. Source: http://www.reuters.com/article/2015/06/01/usa-bank-firsttennessee-idUSL1N0YN2IW20150601

For another story, see item 28 below in the Information Technology Sector

Information Technology Sector

27. June 2, Securityweek – (International) Exploit for recently patched Flash flaw added to Magnitude, Neutrino, Nuclear Pack. Security researchers from Kafeine discovered that the Magnitude, Neutrino, and Nuclear Pack exploit kits (EKs) are leveraging a recently published Adobe Flash Player memory corruption vulnerability to deliver variants of the Andromeda malware and CryptoWall ransomware. Source: http://www.securityweek.com/exploit-recently-patched-flash-flaw-added-magnitude-neutrino-nuclear-pack

28. June 2, Softpedia – (International) Dyre banking trojan aims at Europe and North America, infections double up. Security researchers at Trend Micro reported that the number of infections caused by the Dyre banking trojan increased by 125 percent in the first quarter of 2015, up from a previous increase of 4,000 in the previous quarter, and that cybercriminals increasingly targeted Europe and North America over the last 3 months. Researchers also reported that the Upatre downloader used to inject Dyre had gained capabilities that allow it to bypass detection from firewalls and other network-related products. Source: http://news.softpedia.com/news/Dyre-Banking-Trojan-Aims-at-Europe-and-North-America-Infections-Double-Up-483080.shtml

Communications Sector

29. June 2, USA Today – (National) Comcast Internet outage hits West Coast. Comcast engineers restored service to customers in multiple cities in California, Oregon and Washington, June 2, after experiencing a widespread Internet outage overnight. Source: http://www.usatoday.com/story/tech/2015/06/02/comcast-internet-outage-san-francisco-seattle-portland/28345433/

30. June 1, Jackson County Floridian – (Florida) 900 phone customers lose service in Grand Ridge, Bascom. Roughly 900 CenturyLink telephone customers in Grand Ridge and the Bascom lost service for approximately 10 hours June 1 while crews investigated the cause of the outage and repaired it. The outage also impacted 911 services. Source: http://www.jcfloridan.com/news/local/article_37d18de2-088d-11e5-917e-8ff68d6355d4.html