Russian National Pleads Guilty to Citadel Development
Posted by: Timothy Weaver on 03/22/2017 08:14 AM
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A Russian national, Mark Vartanyan, who has been going by the hacker name of “Kolypto,” has pleaded guilty to one count of computer fraud.
Vartanyan was the creator and distributor of the Citadel malware. He was arrested in Norway in Dec. 2016 and was extradited to the U.S.
Citadel is the famous information stealing malware that was designed with keylogging capabilities to steal banking information. It is also known for infecting five million people in 90 countries. The botnet that was created was responsible for over half a billion dollars in financial fraud.
Citadel was offered for sale in 2011 via invite-only, Russian underground forums where it was used to exploit the networks of major financial and government institutions. Hackers who used the malware eventually managed to infect an estimated 11 million computers worldwide.
An announcement from the Dept. of Justice last week stated: "Vartanyan allegedly uploaded numerous electronic files that consisted of Citadel malware, components, updates and patches, as well as customer information, all with the intent of improving Citadel’s illicit functionality.”
Vartanyan is facing a prison term of 10 years and a fine of $250,000.
“This defendant’s alleged role in developing and improving “Citadel” for its use by cybercriminals caused a vast amount of financial harm to individuals and institutions around the world. His appearance in federal court today shows that cybercriminals cannot hide in the shadows of the Internet. We will identify them and bring them to justice wherever they operate,” U.S. Attorney Horn said.
Source: Security Week
Vartanyan was the creator and distributor of the Citadel malware. He was arrested in Norway in Dec. 2016 and was extradited to the U.S.Citadel is the famous information stealing malware that was designed with keylogging capabilities to steal banking information. It is also known for infecting five million people in 90 countries. The botnet that was created was responsible for over half a billion dollars in financial fraud.
Citadel was offered for sale in 2011 via invite-only, Russian underground forums where it was used to exploit the networks of major financial and government institutions. Hackers who used the malware eventually managed to infect an estimated 11 million computers worldwide.
An announcement from the Dept. of Justice last week stated: "Vartanyan allegedly uploaded numerous electronic files that consisted of Citadel malware, components, updates and patches, as well as customer information, all with the intent of improving Citadel’s illicit functionality.”
Vartanyan is facing a prison term of 10 years and a fine of $250,000.
“This defendant’s alleged role in developing and improving “Citadel” for its use by cybercriminals caused a vast amount of financial harm to individuals and institutions around the world. His appearance in federal court today shows that cybercriminals cannot hide in the shadows of the Internet. We will identify them and bring them to justice wherever they operate,” U.S. Attorney Horn said.
Source: Security Week
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