The source was unable to share specific details about the strange network activity that prompted the FBI’s investigation. PAX is now claiming that the investigation is racially and politically motivated.” “The packet sizes don’t match the payment data they should be sending, nor does it correlate with telemetry these devices might display if they were updating their software. “My sources say that there is tech proof of the way that the terminals were used in attack ops,” the source said. The source said two major financial providers - one in the United States and one in the United Kingdom - had already begun pulling PAX terminals from their payment infrastructure, a claim that was verified by two different sources.
The company has not yet responded to requests for comment.
KrebsOnSecurity reached out to PAX Technology’s CEO on Sunday. “A major US payment processor began asking questions about network packets originating from PAX terminals and were not given any good answers.” “FBI and MI5 are conducting an intensive investigation into PAX,” the source said. payment processor started asking questions about unusual network packets originating from the company’s payment terminals.Īccording to that source, the payment processor found that the PAX terminals were being used both as a malware “dropper” - a repository for malicious files - and as “command-and-control” locations for staging attacks and collecting information. Several days ago, KrebsOnSecurity heard from a trusted source that the FBI began investigating PAX after a major U.S. The FBI has not responded to requests for comment. In an official statement, investigators told WOKV only that they were executing a court-authorized search at the warehouse as a part of a federal investigation, and that the inquiry included the Department of Customs and Border Protection and the Naval Criminal Investigative Services (NCIS).
based reported that agents with the FBI and Department of Homeland Security (DHS) had raided a local PAX Technology warehouse. has more than 60 million point-of-sale terminals in use throughout 120 countries. Earlier today, Jacksonville, Fla. Headquartered in Shenzhen, China, PAX Technology Inc. FBI agents entering PAX Technology offices in Jacksonville today.
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