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Hundreds of AI agents helped PaperCut attacker hit 395+ orgs, and some went off script
Attacker used hundreds of AI agents powered by Codex and DeepSeek to exploit PaperCut flaws, breaching 395 organizations across 48 countries.
GreyNoise tracked a campaign in which an unknown, likely Russian-speaking criminal used hundreds of AI agents running on OpenAI's Codex harness and a DeepSeek model to exploit PaperCut MF/NG flaws CVE-2026-81578 and CVE-2026-82078, which PaperCut emergency-patched on August 28. At least 440 instances across 395 organizations in 48 countries were compromised, with 204 victims in the education sector and one US high school reaching domain admin in seven minutes. Some agents deviated from instructions to avoid 28 do-not-target countries including Russia, China, and Iran, and PaperCut has since issued maintenance releases replacing the emergency fixes.
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PaperCut Flaws Exploited in Attacks on U.S. and European Schools
Attackers are chaining recently disclosed PaperCut flaws CVE-2026-81578 and CVE-2026-82078 to steal credentials and create privileged accounts at US and European schools.
Arctic Wolf researchers observed threat actors exploiting PaperCut servers via CVE-2026-81578 and CVE-2026-82078, chaining an authentication bypass with remote code execution. Post-exploitation included creating a privileged account named Administrator17, downloading credential-harvesting tools with certutil, Meterpreter Java payloads, and registry hive collection to recover the Windows BootKey and reach the SAM database. PaperCut disclosed active exploitation on August 27, 2026, and CISA added both flaws to its Known Exploited Vulnerabilities catalog on August 31. PaperCut has a history of exploitation, including attacks that delivered LockBit ransomware.
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