Iran-nexus APT “Dust Specter” hits Iraqi officials with AI-assisted malware and novel RATs


Zscaler ThreatLabz says a suspected Iran-nexus threat actor targeted Iraqi government officials in January 2026 by impersonating Iraq’s Ministry of Foreign Affairs and delivering two distinct malware chains. The researchers track the activity as Dust Specter and say the campaign introduced four previously undocumented tools: SPLITDROP, TWINTASK, TWINTALK, and GHOSTFORM.

The campaign matters because it mixes classic Windows tradecraft, like DLL side-loading and Registry Run keys, with signs of AI-assisted code development and careful command-and-control validation. ThreatLabz says the operators used randomized URI paths with checksum values, plus geofencing and User-Agent checks, to ensure the C2 only responded to real victims.

Zscaler also links the cluster to a ClickFix-style lure seen in July 2025, where a fake meeting invite page pushed victims to run a PowerShell command that downloaded malware and created scheduled execution.

Google Form Lure (Source – Zscaler)

What happened in Iraq

ThreatLabz reports two delivery chains aimed at Iraqi officials:

  • Attack Chain 1: A password-protected RAR archive led to SPLITDROP, then to a DLL side-loading sequence involving TWINTASK and TWINTALK.
  • Attack Chain 2: A separate path delivered GHOSTFORM, which displayed a fake Arabic Google Form lure while the malware ran in the background.

Zscaler says compromised Iraq government-related infrastructure hosted malicious payloads used in the campaign, which raises the stakes for defenders who rely on domain allowlists for trust decisions.

Quick facts

ItemDetails
TargetingIraqi government officials
ImpersonationIraq’s Ministry of Foreign Affairs
Timeframe observedJanuary 2026
ToolsSPLITDROP, TWINTASK, TWINTALK, GHOSTFORM
Key techniquesDLL side-loading, PowerShell execution, Registry Run keys, randomized C2 paths with checksums
AttributionMedium-to-high confidence Iran-nexus, per Zscaler ThreatLabz

How Attack Chain 1 works

ThreatLabz says Chain 1 started with a password-protected archive that dropped SPLITDROP, a .NET dropper disguised to look like a legitimate app. SPLITDROP decrypted an embedded payload and unpacked the next-stage components.

From there, the operators relied on DLL side-loading. They launched legitimate software placed next to attacker-controlled DLLs so Windows loaded the malicious library from the same folder. MITRE explains that adversaries abuse DLL loading behavior for persistence and defense evasion, including via side-loading and search order hijacking.

ThreatLabz says TWINTASK acted as a worker module that repeatedly polled a local text file and executed Base64-encoded PowerShell commands. TWINTALK handled C2 orchestration and beaconing, using randomized intervals and checksum-tagged URI paths to avoid simplistic pattern detection.

ClickFix Lure (Source – Zscaler)

ATT&CK mapping

BehaviorLikely ATT&CK technique
DLL side-loading / search order abuseHijack execution flow: DLL (T1574.001)
Startup persistence via Run keysRegistry Run keys / Startup folder (T1547.001)
PowerShell executionCommand and scripting interpreter: PowerShell (commonly mapped under T1059.001)

How Attack Chain 2 works

ThreatLabz describes GHOSTFORM as a RAT that opens a fake Arabic Google Form lure while it runs stealthily. The report highlights an unusual evasion idea: an almost invisible Windows form that delays execution while avoiding behavior that would stand out in basic UI monitoring.

Contents of the working directory after SPLITDROP extraction (Source – Zscaler)

Where the “AI-assisted malware” claim comes from

ThreatLabz says it found code-level fingerprints that suggest the actor used generative AI during malware development. It points to specific patterns, including unusual Unicode and emoji usage in source code and placeholder-like constants in logic functions. ThreatLabz frames this as evidence, not absolute proof, and it uses “medium-to-high confidence” language for the actor attribution.

What defenders should do now

  • Block or quarantine password-protected archives from untrusted senders, especially when they claim to contain “official” documents.
  • Tighten application controls to reduce DLL side-loading risk, especially for common userland apps that load local DLLs.
  • Monitor for new or altered Registry Run entries and unexpected autoruns for non-standard application directories.
  • Enable PowerShell Script Block Logging and centralize those logs, since this campaign used PowerShell-based tasking. Microsoft says Script Block Logging records “the content of all scriptblocks” PowerShell processes once enabled.
  • Alert on outbound HTTPS traffic that uses randomized URI paths and repeated short beacon intervals, especially when paired with uncommon JWT-style authorization headers, which ThreatLabz noted in this operation.

Detection and hunting checklist

What to huntWhy it matters
Legitimate EXEs launching from user-writable folders with adjacent DLLsCommon DLL side-loading sign
Sudden creation of Run key entries for VLC-like or UI helper appsPersistence pattern in Chain 1
Repeated PowerShell execution with encoded contentMatches TWINTASK execution style
Consistent outbound calls with variable URI paths and checksum-like suffixesMatches TWINTALK validation approach
Fake survey or meeting lures leading to “run this command” instructionsClickFix pattern

FAQ

What is Dust Specter?

Zscaler ThreatLabz uses Dust Specter as an internal tracking name for a suspected Iran-nexus actor targeting Iraqi officials.

What malware did the campaign introduce?

ThreatLabz says it discovered SPLITDROP, TWINTASK, TWINTALK, and the GHOSTFORM RAT in this campaign.

How did the attackers persist on infected machines?

ThreatLabz says the campaign used Windows persistence mechanisms including Registry Run keys. MITRE documents Run keys as a common persistence method.

Why do defenders care about DLL side-loading here?

DLL side-loading lets attackers execute malicious code by piggybacking on trusted binaries. MITRE describes DLL abuse as a way to persist and evade defenses.

What is the fastest hardening step for PowerShell abuse?

Enable Script Block Logging and review the Operational event log centrally. Microsoft documents this setting and its logging behavior.

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