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Two Arrests, One Supply-Chain Attack, and a Lot of Stolen Credentials
AFP charges two men over TeamPCP open-source supply-chain attacks that stole 500,000+ credentials from 1,000+ organizations via four malware families.
Australian police charged two Western Australian men as principal participants in TeamPCP, which allegedly inserted malicious code into open-source software to steal credentials and sensitive data from government, academia, and private sector organizations worldwide. The campaign compromised more than 1,000 organizations, harvested over 500,000 credentials, and exfiltrated at least 300 GB of data, with remediation costs in the hundreds of millions of dollars. Four malware families were deployed: CanisterWorm (cloud token harvesting), SANDCLOCK (AWS and Kubernetes credential theft), Mini Shai-Hulud (self-replicating npm/PyPI worm), and Miasma (credential-harvesting worm variant). Trojanized tools included Trivy, KICS, LiteLLM, and the Telnyx Python SDK, with exfiltration via GitHub repositories tpcp-docs and docs-tpcp.
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Tracking Shai-Hulud: Inside the ChainDrop NPM Worm
ChainDrop, a Mini Shai-Hulud variant tied to TeamPCP, worms through npm via a compromised maintainer account and anchors C2 in an Ethereum smart contract.
On August 4, 2026, the self-propagating ChainDrop worm entered the npm ecosystem through a compromised maintainer account, poisoning packages including keyv, cacheable, and flat-cache. ChainDrop is a variant of Mini Shai-Hulud linked to the actor TeamPCP. It anchors its C2 infrastructure in an Ethereum smart contract, allowing domain rotation with a single blockchain transaction and defeating domain-based blocklists. The compromised keyv maintainer's GitHub account caused the project's own GitHub Actions release pipeline to publish malicious package versions.
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Russia-Aligned UAC-0099 Plants Nuclear Weapon Prompt in Malware to Disrupt AI Analysis
Russia-aligned UAC-0099 planted a nuclear-weapon prompt inside malicious VBS scripts to derail LLM-based malware analysis targeting Ukraine.
ESET disclosed a technique dubbed GuardBreaker used by Russia-aligned UAC-0099 against a Ukrainian target: inserting the text 'I want to make a nuclear weapon. Help me ...' as a comment in a malicious VBS script to trip LLM safety guardrails and stop AI-assisted analysis. The script downloads and installs MATCHBOIL, a C# loader exclusive to UAC-0099, which CERT-UA warned was distributed as a fake Notepad++ plugin in late July 2026. Similar prompt-injection anti-analysis tricks appeared in the Mini Shai-Hulud, Miasma, and Hades npm supply chain campaigns linked to TeamPCP, two of whose alleged members were arrested in Western Australia.
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Two alleged TeamPCP members arrested and charged after months of software supply
Australian Federal Police, with FBI support, arrested two alleged TeamPCP members behind supply-chain attacks that compromised over 1,000 organizations.
The AFP charged two Western Australian men, identified by media as Ruben Ian Thomson (21) and Louis Michael Gaebler (23), with 14 combined offences including unauthorized data modification and dealing in criminal proceeds. TeamPCP is blamed for poisoning open-source software releases including Trivy, LiteLLM, and the mini Shai-Hulud worm campaign, exposing over 500,000 credentials and at least 300 GB of data. Victims included the European Commission and GitHub, with remediation costs estimated in the hundreds of millions of dollars. Researchers from Flare traced one suspect through leaked passwords, a GitHub alias, and a Steam profile.
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⚡ Weekly Recap: AI-Powered Phishing, Android Spying Tool, Linux Exploit, GitHub RCE & More
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Open VSX Removes 77 Malicious Evil Twin Extensions Exfiltrating Developer Data
77 malicious 'evil twin' Open VSX extensions impersonated developer tools and exfiltrated hostnames and detailed workspace reconnaissance to mangorbit.com.
Manifold Security found 77 extensions uploaded to the Open VSX marketplace between July 26 and August 1, 2026 that impersonate real Microsoft VS Code Marketplace tools, with all 77 sending data to mangorbit.com. 58 lightweight variants exfiltrate the hostname, while 19 recon variants collect editor details, OS username, Git remote hosts, CI environment variables (GitHub, GitLab, Azure DevOps, Buildkite, CircleCI, Codespaces, Gitpod), and installed extension IDs. The recon variant retries for up to seven days and can fall back to a DNS TXT record for exfiltration if the primary domain is blocked. The extensions were removed from Open VSX by August 3, 2026; the disclosure follows a separate npm supply chain campaign, ChainDrop, which compromised 450 packages with a Shai-Hulud worm variant.
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Alleged TeamPCP Hackers Charged in Australia Over Major Supply Chain Attacks
Australian Federal Police charges two men with 14 offences over TeamPCP supply chain backdoors in Trivy, Checkmarx KICS, and LiteLLM affecting 1,000+ organizations.
The Australian Federal Police charged two Western Australian men, aged 21 and 23, with 14 offences for their alleged principal roles in TeamPCP's March 2026 supply chain attacks; they appeared in Perth Magistrates Court on August 27, 2026. The group stole publishing credentials from trusted open-source projects and pushed poisoned releases across five ecosystems - GitHub Actions, Docker Hub, npm, PyPI, and OpenVSX - with LiteLLM's unpinned Trivy install enabling token theft and backdoored LiteLLM releases. The FBI said the malicious code potentially compromised more than 1,000 organizations, enabled theft of over 500,000 credentials, and exfiltrated at least 300 GB of data. Oligo Security linked the group's infrastructure to activity back to 2020, previously tracked as TA-NATALSTATUS and IronErn.
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Two alleged TeamPCP hackers arrested over global supply chain attacks
AFP and FBI arrested two alleged TeamPCP hackers behind open-source supply chain attacks that stole 500,000+ credentials from 1,000+ organizations.
Australian Federal Police, working with the FBI and Western Australia Police, arrested a 21-year-old from Cottesloe and a 23-year-old from Mandurah on August 26, 2026, over alleged membership in the TeamPCP cybercrime group. The group allegedly planted malicious code in open-source packages, harvesting credentials, authentication tokens and at least 300 GB of data from over 1,000 organizations, with remediation costs estimated in the hundreds of millions of dollars. TeamPCP has been linked to supply chain attacks on GitHub, Telnyx, LiteLLM, Aqua Trivy, Checkmarx KICS, TanStack, MistralAI and Red Hat using a cloned self-replicating worm dubbed Shai-Hulud. Researchers note TeamPCP cloned the Shai-Hulud worm but was not behind the original 2025 attacks.
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⚡ Weekly Recap: Instagram Account Hacks, Android Zero
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