LevelBlue Traces Multi-Vector Malware Campaign Using VBS, PowerShell and PNG-Embedded Loaders

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Summary

LevelBlue analysts traced a reusable malware delivery framework using obfuscated VBS, fileless PowerShell, PNG-embedded .NET loaders, and a separate fake-PDF shortcut chain. SentinelOne prevented execution of the initially detected VBS file.

Key points

  • SentinelOne detected and quarantined an obfuscated VBS file before its execution completed; analysts found no related activity in the environment’s historical telemetry.
  • The VBS decoded a Base64 PowerShell command that retrieved PNG files containing appended, Base64-encoded .NET assemblies loaded directly into memory.
  • The loader, identified as PhantomVAI, retrieved payloads including Remcos RAT and a UAC-bypass DLL; exposed directories on news4me[.]xyz hosted scripts and payloads associated with XWorm and other malware.
  • A separate delivery chain used a ZIP archive masquerading as a PDF but containing an Internet Shortcut, along with batch scripts and Cloudflare-backed hosting.
  • Sandbox analysis of the secondary chain observed Python payloads, memory injection, shellcode execution, and outbound network activity; VirusTotal classified artifacts as Python-based trojans in the Kramer family.
  • LevelBlue says it implemented custom detections for related VBS loaders, PNG-embedded payload staging, and associated infrastructure; it also recommends restricting risky scripts and monitoring in-memory execution.

Article Details

Attack Vectors
  • An obfuscated VBS launcher reconstructed and executed a Base64-encoded PowerShell command that retrieved a PNG containing an appended .NET loader.
  • The PhantomVAI loader decoded payloads and loaded assemblies in memory, delivering malware including Remcos RAT and XWorm variants.
  • A separate chain used a ZIP archive masquerading as a PDF and containing an Internet Shortcut that directed execution to attacker-controlled WebDAV infrastructure.
  • A batch script retrieved additional ZIP, BAT, and TXT payloads; sandbox analysis observed Python-based components with memory-injection and shellcode-execution behavior.
Defensive Notes
  • Restrict execution of high-risk script types such as VBS and BAT, particularly from user-writable directories.
  • Constrain PowerShell use and monitor in-memory execution techniques.
  • Block or tightly control WebDAV traffic to disrupt Internet Shortcut-based delivery.
  • Consider TLD-based filtering for .xyz domains where practical; the investigation also implemented detections for related VBS loaders, PNG-embedded payload staging, and associated infrastructure.

Indicators of compromise

TypeIndicatorContext
DOMAINadapter-chess-gently-residential[.]trycloudflare[.]comCloudflare-backed host serving a TXT file identified as executable batch logic.
DOMAINaye-knights-copyrights-nominations[.]trycloudflare[.]comCloudflare-backed host associated with a WebDAV-hosted script used in secondary-stage execution.
DOMAINbacteria-spent-endless-grammar[.]trycloudflare[.]comCloudflare-backed host used by the malicious Internet Shortcut for payload retrieval.
DOMAINcss-direct-excel-highlights[.]trycloudflare[.]comCloudflare-backed host used to serve payload files in the secondary infection chain.
DOMAINnews4me[.]xyzAttacker-controlled domain hosting open directories and malware delivery and staging files.
DOMAINshirts-june-gratis-repository[.]trycloudflare[.]comCloudflare-backed host serving secondary-stage ZIP and TXT payloads.
DOMAINtammhdka[.]cloudHost used to serve malicious BAT and ZIP payloads.
DOMAINtammhdka[.]proAlternate host for secondary-stage malicious ZIP and TXT payloads.
SHA108e3321955194964bd1e3784691e2d62055f6860Hash of 1UK-Vioooo.py, a Python payload dropped during the secondary infection chain.
SHA10e4dbc00d72f228afe9ee58499f70f3f9bbfcebeHash of a ZIP payload retrieved by the malicious batch script.
SHA11e0ab184a8941ab4d5e3552237061019a06b3ccaHash listed for coupon.vbs, one of the obfuscated loader scripts in the attacker’s infrastructure.
SHA1274ed28bd083feb5600297a1728a4063d6b415adHash of a Unicode-obfuscated VBS script identified as pulling down additional malware.
SHA1314b42be5ce942dd1c3d0bddb0cc6e0cdcb1acadHash of 44rrr.bat, identified as an obfuscated batch script that retrieved malicious archives.
SHA163a7cc185c023c2e52519df9aa530fb2c35a2d8fHash of 1aaaaannnov24.py, a Python payload dropped during the secondary infection chain.
SHA169fe62c8af8eefddf48eef454929c4fae7f2f2a6Hash of a decoded XWorm variant.
SHA1905578853c8880da35d97e599cb0168cf3bf74f8Hash listed for the 700ff.vbs script in the attacker’s loader infrastructure.
SHA1961c4c69cfaca6f085a67cd5ee3a4b7b5dc4422fHash of a decoded XWorm variant.
SHA198cdfb464d8a98e07479909dd1db04eec849e94eHash of the ZIP archive containing an Internet Shortcut masquerading as a PDF.
SHA1a4a3d9ac1df13736a29a615fc86b5f3835aba11dHash of the PNG containing the appended PhantomVAI .NET loader.
SHA1a55d61fb7fe814afeab4f4d7f42be4cf60609414Hash of UAC.dll, identified as a malicious DLL used for UAC bypass and privilege escalation.
SHA1c214e2cde87d614daceb2cdcbf4ff88fa24a1d43Hash of uac.png, which contained an appended UAC-bypass DLL.
SHA1eaedebdc23056fa4964a75d35bf20f9dd179a582Hash of the decoded ScorpioRAT malware.
SHA1ffe9a4a3daaa5773e324014d0282d4c6bbbc1da2Hash of johnremcos.txt, an attacker-hosted staging file containing an encoded Remcos RAT payload.
URLhxxp[:]//ia600606[.]us[.]archive[.]org/11/items/msi-pro-with-b-64_20251030/MSI_PRO_with_b64.pngSpecific PNG URL identified as hosting the PhantomVAI loader embedded in image data.
URLhxxps[:]//news4me[.]xyz/protector/johnremcos.txtAttacker-hosted text payload that was decoded to produce a Remcos RAT variant.
URLhxxps[:]//news4me[.]xyz/uac.pngAttacker-hosted PNG containing an embedded UAC-bypass DLL.

MITRE ATT&CK

T1027 · Obfuscated Files or InformationThe VBS launcher used heavy Unicode obfuscation and Base64-encoded content to conceal its functionality.T1036 · MasqueradingA ZIP containing an Internet Shortcut was presented as a PDF, and the shortcut itself was disguised as a PDF.T1053.005 · Scheduled TaskThe in-memory loader orchestrated persistence through scheduled tasks.T1055 · Process InjectionTelemetry associated with the Python components included memory injection and shellcode execution.T1059.001 · PowerShellThe VBS reconstructed and executed a Base64-encoded PowerShell command that retrieved remote content.T1059.003 · Windows Command ShellThe secondary infection chain executed batch scripts to retrieve and run additional payloads.T1059.005 · Visual BasicThe initial VBS file acted as an obfuscated launcher for the PowerShell loader.T1059.006 · PythonPython-based payloads were dropped during the secondary chain, with telemetry indicating their execution and follow-on activity.T1105 · Ingress Tool TransferThe scripts and loaders retrieved PNG, ZIP, BAT, and TXT payloads from attacker-controlled and Cloudflare-backed infrastructure.T1140 · Deobfuscate/Decode Files or InformationThe loaders reversed and Base64-decoded text payloads and decoded Base64 assemblies appended to PNG files.T1204 · User ExecutionThe fake-PDF Internet Shortcut and ZIP delivery path relied on user interaction to trigger further execution.T1548.002 · Bypass User Account ControlThe loader retrieved a DLL identified as a UAC-bypass component used to facilitate privilege escalation.T1620 · Reflective Code LoadingThe PhantomVAI .NET assembly was loaded directly into memory using Reflection.Assembly::Load.

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