In a novel maneuver for a disruption operation against cyber attackers, industry and law enforcement teamed up to conduct a court takedown of two widely-used criminal tools at once rather than individually, Microsoft said Tuesday.
The takedown simultaneously went after Amadey, a botnet that can serve as a malware delivery system, and StealC, an infostealer. Cybercriminals often use them in conjunction and they rely on the same infrastructure, Microsoft said.
βWhen multiple parts of an operation are disrupted together, attacks are harder to launch, scale, and recover from,β said Steven Masada, assistant general counsel for Microsoftβs Digital Crimes Unit. βThe result: fewer disrupted services, fewer opportunities for cybercriminals to profit, and more friction when they try to rebuild. Itβs no longer enough to go after threats one by one. We need to interrupt how the attacks are put together.β
Microsoft had been tracking Amadey with ESET, BitSight, Lumen and Mitsui Bussan Secure Directions. Meanwhile, Europol had been investigating StealC alongside law enforcement partners including Germanyβs Federal Criminal Police Office and the Dutch and Danish National Police as well as IBM X-Force and Proofpoint.
They then joined forces and turned to the Racketeer Influenced and Corrupt Organizations (RICO) Act, used to help authorities go after organized crime, to disrupt more than 200 command-and-control servers. Microsoft said it gained insights from its artificial intelligence product Copilot that βallowed the legal team to treat both malware families as part of a single criminal conspiracy.β
Microsoft regularly leads court-authorized disruption operations, but the industry and law enforcement partnerships combined with AI to expand data collection and identify connections beyond what one company could normally do, it said.
Amadey and StealC were linked to more than 140,000 infected computers around the globe in the first week of May alone, the company said. StealC has ranked among the top infostealers for years since its emergence in 2023 and sells in underground forums as a malware-as-a-service. Itβs typically used by Russia-linked groups.
Amadey dates back to 2018, and is also commonly employed by Russian groups, including in attacks on Ukraine.
Their interaction shows the assembly line-like structure of modern cybercrime, Microsoft said. Even if the cybercriminals behind both tools never coordinate, their tools are designed to work together, it said.
βStealC is an infostealer that collects sensitive data from browsers, cryptocurrency wallets, messaging applications, email clients, and gaming platforms,β the company wrote in a separate blog post. βIt is a malware-as-a-service (MaaS) offering that threat actors use to generate customized payloads and manage stolen data through a centralized web panel. Meanwhile, Amadey is a MaaS loader that threat actors use to deliver StealC and other malware. Modular, pay-as-you-go models like StealC and Amadey allow threat actors to use a single initial infection to quickly escalate into multiple other threats.β
Microsoft touted its latest action against malware infrastructure as a new approach aimed at the full cybercrime "supply chain." Europol said more than 300 servers were targeted.
Authorities on Thursday disrupted a botnet, a malware framework and seized infrastructure that Evil Corp and other cybercrime groups used to steal data and break into various networks.
The globally coordinated effort targeted SocGholish, multi-stage malware that has compromised websites, redirected users to traffic distribution systems (TDS) and slipped malware into their networks since 2017.
βThe malware establishes an initial foothold into victim computers, collectively known as a botnet, and is then used by threat actors for further targeting with ransomware campaigns and espionage,β the FBIβs cyber division said in a statement.Β
Cybersecurity firms, researchers and officials from the United States, Canada, Germany, the Netherlands and Europol took down 106 servers and remediated nearly 15,000 sites that were infected with the malware. Officials also disabled the botnet and notified victims.
Sites infected with SocGholish, which are primarily hosted on WordPress, were widespread and provided everyday services including restaurants and auto repair shops, according to the Dutch National Police.Β
The botnet, also known as βFakeUpdates,β is linked to the Russian cybercrime group Evil Corp. It also provided initial access to other ransomware variants, including DoppelPaymer, WastedLoocker, Hades Ransomware, LockBit, RansomHub and others, according to Infoblox, which participated in the takedown.Β
Proofpoint, which also participated in the disruption, described Evil Corp as one of the most prominent cybercrime groups in operation and the βgrandfatherβ of a threat type that compromises websites and uses TDS to redirect users to malware.
Following the takedown, the FBI issued a public service announcement warning about cybercriminals using TDS to break into victim networks for ransomware or other financial scams.Β
Cybercriminals redirect traffic from sites to bypass firewalls, obscure their activity, identify potential victims and send them to phishing pages to steal credentials, initiate financial scams, access networks, deliver other malware, and sell access to other cybercriminals, officials said.
The law enforcement action was part of Operation Endgame, a multinational effort targeting cybercrime since 2024, and more narrowly for the FBI part of Operation Riptide, an ongoing campaign targeting cybercriminals and the infrastructure and financial networks they use to commit fraud.
The U.S. Department of Health and Human Services (HHS), Office for Civil Rights (OCR) today announced a settlement with Spencer Gifts LLC Flexible Beneο¬ts and Welfare Beneο¬t Plans (the Plan), the employer-sponsored group health plan of Spencer Gifts LLC, a national retail company, over potential violations of the Health Insurance Portability and Accountability Act of...
In February 2025, after the Medusa ransomware gang claimed responsibility for an attack on the UK healthcare provider HCRG Care Group, HCRG confirmed it had been breached but would only say it was investigating. While they remained silent, SuspectFile obtained and reported on data provided to them by Medusa. SuspectFilesβs reporting made it clear that...
Rapid7 researchers have identified a sophisticated malware campaign attributed to the threat actor "Dropping Elephant," characterized by the use of a China-themed decoy document to deliver a heavily reworked, in-memory remote access trojan (RAT). This campaign demonstrates advanced evasion techniques, including DLL side-loading with a legitimate Microsoft binary (Fondue.exe) and the use of "Donut" shellcode to map the RAT directly into memory, effectively bypassing traditional disk-based security controls.
The revamped RAT significantly complicates detection by using control-flow flattening, runtime API reconstruction, and hardened C2 communications. Despite these modifications, Rapid7's deep analysis confirms this activity is a direct evolution of Dropping Elephant's tradecraft, based on shared beaconing patterns, screenshot logic, and command-handler structures. This discovery underscores the importance of proactive threat hunting and memory-level visibility in detecting modern, low-footprint implants.
Rapid7 is actively monitoring the infrastructure and tradecraft associated with this actor so we can provide comprehensive protection and intelligence to our customers.
Defenders should not rely on the IOCs alone. The most durable detection opportunities in this campaign are the behaviors: a shortcut file spawning PowerShell, files staged in C:\Users\Public\, a scheduled task named GoogleErrorReport executing every minute, and Fondue.exe loading APPWIZ.cpl from C:\Users\Public\ rather than a legitimate Windows directory.
Because the final RAT is loaded directly into memory through Donut, defenders should also review whether their endpoint tooling can detect memory-resident payloads and security-control patching within a process, including AMSI, WLDP, and ETW tampering.
Overview
During a proactive threat hunt, Rapid7 identified a malicious Windows shortcut that matched activity previously associated with Dropping Elephant. The shortcut used a China energy-sector contract lure and led to a payload chain that shared the familyβs delivery patterns but ended in a substantially reworked RAT.
The decoy document was a contract completion and acceptance notice for the GRES-3 project and referenced delivery of industrial seawater circulation pump systems. Because the final payload differed significantly from known samples, Rapid7 analyzed the chain from the initial shortcut through the final in-memory RAT.
Luckily, during the analysis, the staging server was active which allowed us to download all attack artifacts. The recovered files use Fondue.exe, a legitimate Microsoft binary, to side-load a malicious loader. The loader decrypts an AES-wrapped payload stored on disk. The decrypted payload contains a Donut shellcode loader that embeds the final RAT and uses Chaskey block cipher as part of its payload protection scheme. Donut then decrypts the final 32-bit native RAT, maps it, and executes it in memory.
We found that the final RAT differs significantly from older Dropping Elephant RAT samples. The malware uses control-flow flattening, runtime API reconstruction, and static CRT linking to complicate analysis. It also hardens C2 communications through HTTPS transport, Salsa20-protected C2 fields, and additional environment checks. Despite these changes, code-level comparison still identifies shared lineage with a Dropping Elephant RAT reference sample through command-handler structure, screenshot capture logic, WININET request flow, beaconing patterns, and repeated buffer constants.
Technical analysis and observed attacker behavior
Figure 1: Full delivery chain from LNK to in-memory RAT
β
Stage 1: GRES3001.lnk
The attack starts when a user executes GRES3001.lnk, a malicious Windows shortcut disguised as a PDF. When opened, the shortcut spawns an obfuscated PowerShell downloader using conhost.exe. The PowerShell uses basic string-splitting obfuscation (e.g., iw''r, g''c''i, r''e''n, c''p''i, and &(g''cm sch*)) to evade keyword detection.
The downloader connects to the staging server chinagreenenergy[.]organd retrieves the decoy GRES3001.pdf along with additional malware files. It immediately opens the China energy-sector lure document to distract the victim while staging the remaining payloads in the background.
Figure 3: GRES-3 contract completion decoy document used as victim lure
β
Stage 2: Payload staging
Several payload files are downloaded with junk extensions such as .ezxzez, .cypyly, and .dzlzlz, then renamed by stripping filler characters to reconstruct Fondue.exe, APPWIZ.cpl, msvcp140.dll, and vcruntime140.dll in C:\Users\Public\. The encrypted payload editor.dat is written to the C:\Windows\Tasks\ folder.
After staging the files, the script creates a scheduled task named GoogleErrorReport, configured to run Fondue.exe every minute. It then deletes the original shortcut, leaving the scheduled task to trigger the next execution stage through the Fondue.exe side-loading chain.
Figure 4: Scheduled task creation command using gcm sch* obfuscation
Stage 3: DLL side-loading
The Fondue.exe loads the malicious APPWIZ.cpl staged alongside it in the C:\Users\Public\ directory. The side-loaded APPWIZ.cpl exports RunFODW, the function expected by Fondue.exe. RunFODW serves as the loader entry point and continues the payload chain by reading and decrypting editor.dat.
Stage 4: Encrypted payload and Donut loader
APPWIZ.cpl sha256: 914da75a4ad6d70db856a2bc318d8828f28894622f017ee78d470b4794faafa6, original name for the metadata is bluetooth_callback.dll.
Figure 5: APPWIZ.cpl PE metadata showing original filename bluetooth_callback.dll
β
It reads editor.dat, Base64-decodes it, and decrypts the result with AES-256-CBC via Windows CNG (bcrypt.dll). The 32-byte key and 16-byte IV are assembled on the stack from immediate mov operands:
The loader maps the shellcode into an RWX memory region using VirtualAlloc followed by memcpy call. Then it transfers execution indirectly by passing the shellcode address as the callback argument to EnumUILanguagesW.
Figure 6: EnumUILanguagesW callback proxy transferring execution to Donut shellcode
β
The decrypted output is a Donut shellcode blob, not the final RAT. Donut uses Chaskey-CTR to protect the embedded PE, maps it in memory, resolves imports, applies relocations, and transfers execution without writing the RAT to disk. Before running the payload, Donut patches AMSI, WLDP, and ETW inside the current process, reducing in-memory scanning, code-integrity checks, and event telemetry for the unpacked RAT.
The final payload is a native 32-bit C++ implant SHA 7099c33933716c00c1f4bdb0281c230b981c76b23d7d1c83abc6f58968267d54. It runs entirely in memory after the Donut stage maps it. At startup, the RAT first calls FreeConsole() to detach from any console so nothing shows up on screen. After that, it resolves its required APIs dynamically through a LoadLibrary / GetProcAddress loop. After API resolution, the RAT stages its crypto and builds C2 hostname, gcl-power[.]org. The cipher is Salsa20, and the key material is hardcoded. It is a 32-byte key tn9905083tfbsxqrxs7qe4ryw1nif8h1 with 8-byte nonce lPvymwIk. Next, it calls sub_40F4A0 subroutine which walks the running process list and checks each entry against a built-in list of debuggers, sandbox tools, and VM artifacts. During debugging, we observed the process scan, however, the implant continued normally, without killing security processes.
Both the process scan and public-IP geolocation check executed during dynamic testing without triggering self-termination. The RAT still reported the full process list in the mkeoldkf beacon field, exposing debuggers, sandbox tools, and other analysis artifacts to the operator.
After process scan, the malware creates a mutex βkshdkfhskdfjkhsdkfhsjkdfhkjβ to prevent reinfection and reduce duplicate-process noise.Β
Finally, the RAT fingerprints the host, derives its bot ID, and enters sub_415750(), where it begins polling for commands from the C2 server. Unfortunately, during the analysis the C2 was already down.
Host fingerprinting
Before beaconing, the RAT collects seven fields describing the victim host and packs them into the registration POST body:
Field
Meaning
umnome
Username
pmjodf
Computer name
idkdfjej
Bot ID / cid
vrjdmej
OS version
ndlpeip
Public IP and country
cokenme
Country
mkeoldkf
Full running-process list
Table 2: RAT registration beacon fields and their meaning
During fingerprinting, the RAT makes a one-time call to api.ipify.org to learn the host's own public IP, then passes that IP to ip2c.org to resolve the country. The user-agent used in the recon phase is Mozilla/5.0 (Windows NT 10.0; Win64; x64)AppleWebKit/537.36 (KHTML, like Gecko) Chrome/123.0.0.0 Safari/537.36.The bot ID is not hardcoded. It is derived at runtime from the host and submitted in the idkdfjej field. Each field is independently wrapped as base64url(Salsa20(base64url(value))).
Command and control
The RAT periodically sends HTTPS POST requests to the C2 server on port 443 (INTERNET_FLAG_SECURE). It uses a 23-character token, RRn926EmIRfm9IlJyP1yVO2 for C2 traffic to gcl-power[.]org. Each beacon loop iteration follows the same pattern:
POSTs dine=<cid> to the command-poll endpoint /prjozifvkpkfhkr/gedhagammgjvvva/;
blocks on InternetReadFile while waiting for a task;
treats MMMMM==YYYYY as the idle sentinel, sleeps for approximately three seconds, and re-polls;
C2 tasks are wrapped inΒ <>()*delimiters. The RAT strips these characters and decodes the payload back to the original command using base64url(Salsa20(base64url(value))) again.
Figure 7: RAT beacon loop showing connectivity check, command poll, and idle sentinel handling
β
Each cycle, the RAT first confirms the host is actually online by quietly pinging google.com, yahoo.com, and cloudflare.com. Only if that succeeds does it beacon to its C2. When all's well it checks in every 10 seconds and if a check-in fails it retries every 2 seconds, until it recovers.
Operator capabilities
During our analysis we confirmed 5 command handlers.
Token
Capability
Behavior
fl
Directory listing
Recursively enumerates files
dw
Download and execute
Fetches a file, writes it to disk, and runs it
sc
Screenshot
Captures the virtual screen with BitBlt, encodes it with WIC, and exfiltrates it to a dedicated endpoint. This behavior is command-gated, not periodic.
cmx
Shell execution
Runs cmd.exe /c chcp 65001 | <cmd> and captures stdout
uf
File upload
Exfiltrates a specified file
Table 3: Confirmed RAT command handlers with dispatch tokens and behavior
The RAT identifies tasks by looking for command tokens in the C2 response. Each token is followed by the delimiter ==zz==oo==pp==. For example, fl==zz==oo==pp== tells the RAT to run the file-listing handler.
Anti-analysisΒ
The RAT uses several anti-analysis techniques, including control-flow flattening, opaque predicates, dynamic API resolution, stack-built strings, static CRT linking, process blacklist checks, CPUID hypervisor checks, VM artifact checks, and public-IP geolocation checks.
Figure 8: Control-flow flattening dispatcher skeleton in decompiler output
β
During dynamic testing, the process scan and public-IP geolocation checks are executed without triggering self-termination. The RAT built its registration beacon with the full process list in the mkeoldkf field and attempted to send it to gcl-power[.]org. The connection returned HTTP 522, so the beacon did not reach the origin server during testing. Based on this run, we can confirm the environment checks and reporting behavior. Unfortunately, we cannot determine whether the operator would have killed the session, continued tasking, or taken another action after receiving the process list. The full list of processes and security tools cancould be found in the IOCs section below.
AttributionΒ
To test whether the RAT delivered by Donut was related to Dropping Elephant, we compared it with a known family sample documented by Arctic Wolf in July 2025: SHA-256 8b6acc087e403b913254dd7d99f09136dc54fa45cf3029a8566151120d34d1c2. That report provides the family context for the reference sample.
BinDiff produced low signal, with 8.6% overall similarity. We do not treat this as evidence against shared lineage. The new sample uses control-flow flattening, which changes the control-flow graph structure that BinDiff depends on. Therefore we also compared the samples with Diaphora, using pseudocode and AST-level features less affected by control-flow flattening.
Diaphora identified four function-level overlaps that pointed to a shared code usage.
Functionality
Shared traits
Command execution
Similar allocation, encoding, formatting, and POST structure; repeated use of the 0x2710 buffer constant
Screenshot handling
Same GDI screenshot pattern, including GetSystemMetrics values 78 and 79 and BitBlt with 0xCC0020; the newer sample uses WIC instead of GDI+ for encoding
C2 connection
Same WININET request flow: open, connect, open request, send request, read response; the newer sample moves from HTTP to HTTPS with INTERNET_FLAG_SECURE
Shell execution
Shared hidden-window execution and cmd.exe /c chcp 65001 output-capture pattern
Table 4: Code-level overlaps between editor.extracted.exe and old_rat.exe identified by Diaphora
The LNK lure and delivery chain also resemble prior Dropping Elephant reporting, including PowerShell staging, legitimate binary abuse, scheduled task persistence, extension manipulation during downloads, and DLL side-loading. These overlaps supported the initial hypothesis, but the payload comparison provides the primary evidence for the lineage assessment.
Mitigation guidance
MITRE ATT&CK techniques
Tactic
Technique
Observable
Initial Access
Phishing: Spearphishing Attachment [T1566.001]
Malicious GRES3001.lnk used as the initial lure artifact; no email artifact recovered
Execution
User Execution: Malicious File [T1204.002]
User opens GRES3001.lnk
Execution
Command and Scripting Interpreter: PowerShell [T1059.001]
LNK launches conhost.exe, which starts the PowerShell downloader
Execution
Command and Scripting Interpreter: Windows Command Shell [T1059.003]
RAT cmx handler runs cmd.exe /c chcp 65001 | <cmd>
Persistence
Scheduled Task/Job: Scheduled Task [T1053.005]
GoogleErrorReport runs C:\Users\Public\Fondue.exe every minute
The campaign analyzed in this blog demonstrates continued Dropping Elephant operational investment and tooling development. The actor reused recognizable delivery patterns, including a China-themed lure, PowerShell-based staging, scheduled task persistence, shortcut-based execution, and DLL side-loading through a trusted Microsoft binary. At the same time, it evolved the final payload into a more evasive, memory-resident implant.
The final RAT represents a notable evolution from previously documented Dropping Elephant tooling. It executes entirely in memory, patches AMSI, WLDP, and ETW before running, and incorporates additional obfuscation and anti-analysis techniques that make detection and analysis more difficult.
For defenders, the practical takeaway is that Dropping Elephantβs tooling may be changing faster than its operational approach. Hashes, filenames, and infrastructure are likely to change across campaigns, but the path into execution still creates opportunities to detect and disrupt the activity before the final implant runs.
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Google threat hunters spotted yet another Chinese state-sponsored espionage group that for years had burrowed into systems belonging to government and private organizations to steal data across academia, medicine, military, cybersecurity and foreign policy.Β
Google Threat Intelligence Group discovered the previously unknown threat group UNC6508, which targeted organizations in the United States and Canada, in late 2025 but traced its earliest known compromise back to September 2023.Β
The revelation mirrors an alarming pattern of Chinese espionage groups dropping backdoors into critical infrastructure to pre-position for potential sabotage, intercept research and steal data with national security implications. These groups working at the behest of Chinaβs government, including UNC6508, operated in stealth for years before authorities or researchers discovered their activity.
βWe donβt know the full extent or impact of the campaign,β Patrick Whitsell, senior security engineer at GTIG, told CyberScoop. Researchers said the threat group intruded a medical research university in September 2023, stole credentials and communications, and remained active on the institutionβs systems through November 2025 when it was discovered.
Google said it confirmed multiple victims compromised with INFINITERED, a custom backdoor the threat group deployed on targeted networks to steal administrative credentials after it exploited externally facing REDCap (Research Electronic Data Capture) servers.
Researchers still donβt know how UNC6508 gained initial access to the REDCap servers. Google said the survey and database software, which was created at Vanderbilt University and issued multiple patches for critical remote-code execution vulnerabilities throughout 2023, is widely used across the medical research community.Β
βGiven the breadth of the threat actorβs intelligence collection criteria and their ability to remain undetected within compromised networks for more than a year, we assess the known victims likely represent only a fraction of a larger campaign,β Whitsell said. βWe also assess that this highly capable threat actor will remain active and continue to be a threat to the defense, technology and medical industries for the foreseeable future.β
Google said the campaign targeted clinical providers, academic medical centers and U.S. military health institutions, demonstrating advanced capabilities from a threat group that doesnβt currently overlap with any other publicly known groups.
The threat group abused domain compliance rules to steal data, a technique that doesnβt rely on malware or living-off-the-land tools, and routed traffic through U.S.-based IPs to blend in with legitimate traffic, researchers said.
βWe have some evidence to suggest this is a large threat group with multiple sub-teams, but this is not confirmed,β Whitsell said.
Like other previously identified China state-sponsored espionage groups, UNC6508 remains active.
Google said it disrupted some of UNC6508βs known infrastructure by disabling an Gmail account it used to exfiltrate data, notified the affected organizations and helped remediate compromises before it published research on UNC6508βs activities.
Whitsell said several unconfirmed instances of compromise remain under investigation.
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