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Analysis Summary
The DragonRank hacking group, a Chinese-speaking threat actor, has been running a widespread campaign targeting Microsoft Internet Information Services (IIS) servers to deploy the BadIIS malware. This malware is used for search engine optimization (SEO) fraud and malicious content injection, impacting over 35 IIS servers across industries such as government, technology, telecommunications, and academia. BadIIS operates in two primary modes.
First, SEO Fraud Mode, which alters HTTP headers to manipulate search engine rankings by redirecting traffic from search engine crawlers to fraudulent sites,

and Injector Mode, which injects obfuscated JavaScript into server responses, leading users to phishing or malware-hosting pages. These tactics enable attackers to boost the ranking of malicious sites while exploiting the credibility of legitimate web servers.

The attack chain begins with the exploitation of vulnerabilities in web applications like WordPress and phpMyAdmin, allowing DragonRank to deploy web shells such as ASPXSpy. These shells serve as entry points for installing BadIIS alongside other malware like PlugX (a remote access trojan). The attackers further use credential-harvesting tools like Mimikatz and PrintNotifyPotato for lateral movement within networks. The campaign has primarily targeted countries in Asia, including India, Thailand, and Vietnam, but its impact extends to Brazil and South Korea, with attackers leveraging compromised servers in one region to attack users worldwide. The financial motivation behind the campaign is evident in the use of illegal gambling site redirects and black hat SEO techniques that manipulate search engine algorithms for monetary gain.
To mitigate the threat posed by BadIIS, organizations using IIS servers should adopt robust security measures. These include regular patching to fix vulnerabilities, strong access controls with multi-factor authentication (MFA), and continuous monitoring of IIS logs for suspicious activity. Additionally, firewalls should be deployed to regulate network traffic, and IIS servers should be securely configured by disabling unnecessary features. The DragonRank campaign highlights the increasing sophistication of financially motivated cyber threats and underscores the critical need for organizations to secure their web infrastructure proactively to prevent reputational, legal, and financial damage.
Impact
- Data Manipulation
- Unauthorized Access
- Sensitive Data Theft
Remediation
- Keep IIS servers, applications (e.g., WordPress, phpMyAdmin), and plugins updated with the latest security patches.
- Implement multi-factor authentication (MFA) and enforce strong, unique passwords for administrative accounts.
- Regularly analyze IIS logs for unusual activity, such as unexpected module installations or abnormal traffic patterns.
- Deploy firewalls and intrusion detection/prevention systems (IDS/IPS) to monitor and filter malicious traffic.
- Turn off unused IIS modules and services to reduce attack surfaces.
- Use Web Application Firewalls (WAFs) and implement secure coding practices to prevent web-based attacks.
- Regularly scan for hidden web shells, malware, and unauthorized modifications on the server.
- Limit remote access to the IIS server and use IP whitelisting for administrative controls.
- Maintain regular backups of critical data and have a well-documented incident response plan in case of a breach.