On Wednesday, Microsoft released two new red teaming tools — Rampart and Clarity — meant to help developers design more secure agentic software and assist incident responders in the face of ongoing breaches.

Rampart is built on top of PyRIT, an existing open automation framework Microsoft developed for red teaming generative AI systems. But while PyRIT scans already-built systems for security flaws, Rampart is made to continuously test code for vulnerabilities during the development process, encoding both adversarial and benign testing scenarios into the software development pipeline to flag exploitable bugs and dependencies.

Microsoft said Rampart was built to focus on cross-prompt injection attacks, where “an agent retrieves or processes potentially poisoned content from documents, emails, tickets, and other data sources that manipulate behavior indirectly.” It also confirms fixes or exploits work as intended through multiple rounds of testing, as opposed to tools that perform “single shot validation.”

The second tool, Clarity, can be run as a desktop app, a web interface or directly embedded into a coding agent to provide real time security engineering guidance to developers at the outset of a project. It can categorize and track different business objectives related to the code and highlight downstream security implications along with more secure by design alternatives.

Ram Shankar Siva Kumar, who founded Microsoft’s AI red team in 2019, told CyberScoop that the company has seen internal security benefits from using the tools, but believesRampart and Clarity’s growth depends on contributions from other developers outside the Microsoft ecosystem.

In the fast-moving world of AI, where vibe coding, rogue AI agents and a steady churn of new model releases create fresh security implications nearly every week, Siva Kumar said it was important to begin building foundational, AI-centric security processes into the software development pipeline.

“When you hear a lot of talk about AI safety and security, it seems to be a lot of philosophical debates,” he said. “You’ll see frameworks, you’ll see white papers, and I think we’re really past that time, now. We really need to start thinking of AI safety as an engineering discipline and trying to bring security where the developers are.”

Rampart’s potential utility to defenders goes beyond just securing software development pipelines. It can also be used during an active incident response to speed up or automate red teaming for hot fixes, patching and remediation.

Microsoft has used Rampart when investigating reported vulnerabilities in their own products. Siva Kumar said the tool was able to help condense a week’s worth of manual work —  replicating the vulnerability, identifying different variants of the same bug, then patching and re-testing those variants to ensure they’re no longer exploitable — into hours.

Clarity, meanwhile, acts as a security adviser for software projects, prompting developers to consider potential risks in their design decisions and their downstream security consequences. With the rise of AI-generated code and agents, and execution becoming cheaper, this kind of proactive guidance is increasingly important.

“You’re going to be able to create apps, create MCP servers to pull things out from the internet,” said Siva Kumar. “The question is, ‘should you be doing it?’ And Clarity is a step in that direction. It is asking, ‘hey, should you be doing this in the first place?’”

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GitHub said late Tuesday that internal repositories were exfiltrated after an employee device was compromised through a poisoned Visual Studio Code extension, an incident that underscores the growing risks facing software development platforms and the ecosystems built around third-party developer tools.

The Microsoft-owned company said in posts on X that it detected and contained the compromise, removed the malicious extension version, isolated the affected endpoint and began an incident response investigation. The company’s current assessment is that the activity involved GitHub-internal repositories only.

GitHub also said a claim from TeamPCP, a hacking group behind attacks targeting software development packages, that 3,800 repositories were impacted was “directionally consistent” with its investigation so far. It said critical secrets were rotated Tuesday, with the highest-impact credentials prioritized first. The company said it continued to analyze logs, validate secret rotation and monitor for follow-on activity.

The company has not publicly named the extension involved or attributed the activity to a particular group. TeamPCP reportedly advertised the material for sale on a cybercrime forum and threatened to release it if no buyer emerged. 

Information surfaced Wednesday that the incident may be related to a separate issue with Nx Console, a Visual Studio Code tool that helps engineering teams organize large codebases, coordinate build pipelines and run tests efficiently. According to a security advisory posted on GitHub, one of the Nx Console maintainers was compromised in a prior security incident that leaked their GitHub credentials. An attack then used those credentials to push a malicious version of the extension to the VS Code Marketplace. Those credentials have since been temporarily revoked.

With millions of installs, Nx Console is a fixture of professional JavaScript development. It is exactly the kind of tool that sits deep inside a developer’s working environment, which would have direct access to source code, credentials and build systems.

NX CEO Jeff Cross posted on X Wednesday that his company has been working with Microsoft to determine the full scope of the incident.

“Initially, Microsoft indicated to us that there were 28 installs of the malicious version 18.95.0. Based on our own analytics for the compromised version, we currently believe the number of users who received the malicious package may be significantly higher; potentially over 6k installs,” the post reads.

“This is my top priority right now,” Cross continued. “Our team has been, and continues to be focused on understanding exactly what happened, helping affected users, hardening our systems and release processes, and being as transparent as possible throughout the investigation.”

The episode also follows a series of supply chain attacks involving npm, PyPI, Docker and other developer ecosystems. In those incidents, attackers have often targeted maintainers, packages or credentials rather than attacking end users directly. The multiple attacks show how fragile development environments have become as threat actors increasingly target them. A single compromised developer account, package, extension or build process can create access to many downstream systems.

GitHub has said it has no evidence that customer data stored outside the affected repositories was affected.

Visual Studio Code extensions are widely used by developers to add functions to Microsoft’s code editor, including support for programming languages, testing tools, cloud services and artificial intelligence assistants. Because these extensions often operate inside development environments, a malicious or compromised extension can be positioned close to source code, credentials and build systems.

“The thing people underestimate about VS Code extensions is that they have full access to everything on the developer’s machine,” Charlie Eriksen, a security researcher at Aikido Security, told CyberScoop. “EDR doesn’t cover this layer at all. What’s missing for most organisations is any kind of visibility into what’s actually running on developer machines and the ability to control it.”

Trojanized extensions have appeared in the VS Code Marketplace before. Security researchers have identified malicious extensions posing as legitimate development tools, including packages used to steal credentials, mine cryptocurrency or exfiltrate data. Some have accumulated large installation counts before removal, reflecting the difficulty of policing open plugin ecosystems at scale.

For GitHub, the breach comes amid broader scrutiny of the security of developer infrastructure. The platform sits at the center of software production for companies, governments, open-source maintainers and independent developers. Its internal systems and code are of obvious interest to attackers because GitHub’s services support code hosting, package distribution, automation and identity workflows across much of the software industry.

GitHub said it would publish a fuller report when the investigation is complete.

Update: May 20, 12:55 p.m.: This story has been updated with information about a related security incident with Nx Console.

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A South Florida man pleaded guilty to conspiring with multiple ransomware affiliates to commit attacks against and extort payments from the same U.S. companies he represented as a ransomware negotiator for DigitalMint in 2023, the Justice Department said Monday.

Angelo John Martino III shared confidential information about victim organizations’ internal negotiating positions and insurance policy limits he gained from his work as a ransomware negotiator to extract the maximum ransom payment for himself and other BlackCat affiliates, according to his plea agreement.

Five of Martino’s victims hired DigitalMint, which assigned the 41-year-old to conduct ransomware negotiations on their clients’ behalf — a rare position he exploited to play both sides. DigitalMint, which is not accused of any knowledge or involvement in the crimes, fired Martino the day after the Justice Department informed the company they were investigating him in April 2025. 

The five U.S.-based victims that hired DigitalMint and unwittingly tapped Martino to allegedly conduct ransomware negotiations with himself and his co-conspirators include a nonprofit and companies in the hospitality, financial services, retail and medical industries. All five of those victims paid a ransom.

Prosecutors previously said Martino helped accomplices extort a combined $75.3 million in ransom payments, including a nearly $26.8 million payment from the unnamed nonprofit, and a nearly $25.7 million payment from the unnamed financial services company. 

Martino also admitted to conspiring with Kevin Tyler Martin, another former ransomware negotiator at DigitalMint, and Ryan Clifford Goldberg, a former manager of incident response at Sygnia, to deploy BlackCat ransomware, also known as ALPHV, against five additional U.S. companies between April and November 2023. 

Goldberg and Martin pleaded guilty in December to participating in a series of ransomware attacks and are scheduled for sentencing April 30.

“Angelo Martino’s clients trusted him to respond to ransomware threats and help thwart and remedy them on behalf of victims,” A. Tysen Duva, assistant attorney general at the Justice Department’s Criminal Division, said in a statement. “Instead, he betrayed them and began launching ransomware attacks himself by assisting cybercriminals and harming victims, his own employer, and the cyber incident response industry itself.”

The case against Martino showcases an extreme, albeit rare, example of the dark underbelly of ransomware negotiation as a practice. The pitfalls of ransomware negotiation are excessive and these backchannel negotiations, which remain largely unscrutinized, can go awry for various reasons. 

Officials shared a series of chats Martino held with co-conspirators and his victims that exemplify the lengths he went to betray DigitalMint’s clients and empower his accomplices with crucial tips for a successful negotiation strategy.

DigitalMint did not respond to a request for comment on Martino’s guilty plea.

Negotiation chats exemplify Martino’s crimes

During an incident response with one of his victims, Martino told a BlackCat affiliate the company’s insurance carrier “was only approving small accounts,” according to his plea agreement. “Keep denying our offers and I will let you know once I find out the max the[y] want to pay,” he added.

“We don’t know how you came up with your demand but we are losing money operationally and all of our loans are going to turnover on us this year at double the interest rates,” Martino said in a negotiation chat visible to DigitalMint and the victim organization in the hospitality industry. “We are able to give you $1 million now, which is a very serious offer.”

Following Martino’s instructions, the BlackCat accomplice responded: “Well, you can keep that for the penalties and lawsuits which are coming your way in case we expose you. Time is ticking — we know how much you can pay. Contact your insurance. We know about them also. Stop wasting time.”

That victim company ultimately paid a ransom worth nearly $16.5 million at the time to receive a decryptor and the BlackCat affiliate’s commitment to not publish stolen data. The two other victims Martino represented via DigitalMint at the time paid $6.1 million and $213,000 ransoms for similar commitments.

“Ransomware victims turned to this defendant for help, and he sold them out from the inside,” Jason A. Reding Quiñones, U.S. attorney for the Southern District of Florida, said in a statement.

Martino received a portion of the ransomware payments for his involvement in the conspiracy.

Authorities have seized $10 million in assets and cryptocurrency wallets controlled by Martino. Law enforcement seized multiple vehicles, a food truck and a 29-foot luxury fishing boat that he obtained using proceeds from his crimes.

Officials also seized two properties owned by Martino in Nokomis, Florida, including a bayfront home with an estimated value of $1.68 million and a second single-family home with an estimated value of $396,000. 

Martino surrendered in March to the U.S. Marshals in Miami and was released on a $500,000 bond.

“The FBI works every day to dismantle the ransomware ecosystem,” Brett Leatherman, assistant director of the FBI’s Cyber Division, said in a statement. “That includes apprehending key facilitators like Angelo Martino, who abused the trust placed in him as a private sector negotiator by collaborating with ransomware criminals.”

ALPHV/BlackCat was a notorious ransomware and extortion group linked to a series of attacks on critical infrastructure providers. The ransomware variant first appeared in late 2021, and was later used in dozens of attacks on organizations in the health care sector.

The group behind the ransomware strain also claimed responsibility for the February 2024 attack on UnitedHealth Group subsidiary Change Healthcare, which paid a $22 million ransom and became the largest health care data breach on record, compromising data on about 190 million people.

Martino pleaded guilty to conspiracy to obstruct, delay or affect commerce or the movement of any article or commodity in commerce by extortion. He faces up to 20 years in federal prison and is scheduled for sentencing July 9.

You can read Martino’s plea agreement below.

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A 41-year-old South Florida man is accused of conducting at least 10 ransomware attacks and helping accomplices extort a combined $75.25 million in ransom payments while he was working as a ransomware negotiator for DigitalMint. 

Five of Angelo John Martino III’s alleged victims hired DigitalMint, which assigned Martino to conduct ransomware negotiations on their clients’ behalf — putting him in a position to play both sides, as the criminal responsible for the attack and the lead negotiator for his alleged victims, according to federal court records unsealed Wednesday.

Martino allegedly obtained an affiliate account on ALPHV, also known as BlackCat, and conspired with other former cybersecurity professionals to break into victims’ networks, steal and encrypt data, and extort companies for ransoms over a six-month period in 2023.

Martino was an unnamed co-conspirator in an indictment filed in November 2025 against Kevin Tyler Martin, another former ransomware negotiator at DigitalMint, and Ryan Clifford Goldberg, a former manager of incident response at Sygnia. Goldberg and Martin pleaded guilty in December to participating in a series of ransomware attacks and are scheduled for sentencing April 30.

Prosecutors accuse Martino of providing confidential information regarding ransomware negotiations to ALPHV co-conspirators to maximize the ransom payment. His attorney did not immediately respond to a request for comment.

The five U.S.-based victims that hired DigitalMint and unwittingly tapped Martino to allegedly conduct ransomware negotiations with himself and his co-conspirators include a nonprofit and companies in the hospitality, financial services, retail and medical industries. All five of those victims paid a ransom.

Goldberg and Martin were not specifically named as co-conspirators in those attacks. Prosecutors previously said they only successfully extorted a financial payment from one of their victims for nearly $1.3 million.

Cybersecurity firm that employed Martino responds

DigitalMint said they suspended Martino’s access to systems when the Justice Department notified the company they were investigating him on April 3 and fired him the next day. The company, which is not accused of any knowledge or involvement with the crimes, added it was not aware that Martino and Martin were already involved in ransomware-related schemes before they were hired. 

“We strongly condemn these former employees’ criminal behavior, which violated our values, ethical standards and the law,” DigitalMint CEO Jonathan Solomon said in a statement to CyberScoop.

“DigitalMint has fully cooperated with law enforcement from the outset and does not expect further charges,” Solomon added. “While no organization can completely eliminate insider risk, we take incidents like this extremely seriously and have strengthened safeguards and internal controls to further reduce the likelihood of similar conduct.”

DigitalMint did not directly answer questions about whether it refunded its clients who were allegedly victimized by Martino. “We are not able to discuss specific client relationships or fee arrangements due to confidentiality obligations,” a spokesperson said in a statement. “We remain committed to our clients and have addressed any commercial matters directly with those parties.”

The company also declined to describe the circumstances under which it was hired and assigned Martino to conduct ransomware negotiations on the attacks he allegedly committed. Yet, in a statement it noted: “The charging documents do not allege that Martino referred or brought these victims to DigitalMint.”

The case against Martino showcases an extreme, albeit rare, example of the dark underbelly of ransomware negotiation as a practice. The pitfalls of ransomware negotiation are excessive and these backchannel negotiations, which remain largely unscrutinized, can go awry for various reasons. 

Authorities seize about $12M in assets, set $500K bond

Martino is charged with conspiracy to interfere with commerce by extortion and faces up to 20 years in prison. He is scheduled to enter a plea March 19. 

Authorities seized nearly $9.2 million in five types of cryptocurrency from 21 wallets controlled by Martino. Other items seized from Martino include a 1999 Nissan Skyline, a 2024 Polaris RZR, a 2023 trailer and a 29-foot boat manufactured in 2023.

Officials also seized two properties owned by Martino in Nokomis, Florida, including a bayfront home with an estimated value of $1.68 million and a second single-family home with an estimated value of $396,000. The bayfront home was reported as the second-largest real estate transaction of the week when Martino and his wife purchased the home for $1.791 million in February 2024.

Martino surrendered to the U.S. Marshals in Miami Tuesday and was released on a $500,000 bond. He is restricted from traveling outside the Southern District of Florida and is prohibited from working in the cybersecurity industry.

ALPHV/BlackCat was a notorious ransomware and extortion group linked to a series of attacks on critical infrastructure providers. The ransomware variant first appeared in late 2021, and was later used in dozens of attacks on organizations in the health care sector.

The group behind the ransomware strain also claimed responsibility for the February 2024 attack on UnitedHealth Group subsidiary Change Healthcare, which paid a $22 million ransom and became the largest health care data breach on record, compromising data on about 190 million people.

Two of Martino’s alleged victims paid even higher ransoms in 2023, according to prosecutors, including a nearly $26.8 million payment from the unnamed nonprofit, and a nearly $25.7 million payment from the unnamed financial services company.

You can read the formal charge prosecutors filed against Martino below.

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