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"Mail Server" Virus Warning-Truth! & Fiction!

Summary of the eRumor:  
A virus warning about an email that comes with a subject line of "Mail Server Report."  The message says that it is a bad virus.  The email is described as having a zip file attachment and says that you have sent out an email with a virus in it and that if you click the attachment, you can fix the problem.  Another version says that you will lose all the files on your PC and that the email is being sent by a hacker named "life owner."
The Truth: 
 
The "Mail Server Report" virus is real and began circulating in 2006.

Another version of the "Mail Server" virus warning began circulating in 2008, however, that is a hoax.

It all gets very confusing.

The original email that was sent in 2006 warned of a real virus, according virus protection sites such as Mcafee, Symantec, and F-Secure.  The email pretends to be warning you that it has been determined that emails containing a worm are being sent from your computer and that you should install the attachment to update your computer and, presumably, stop the virus from being sent.  The problem is that the attachment itself is a virus so if you are duped into opening it, it searches your computer for email addresses and sends itself to them.  F-Secure names the real virus as Warezov.  Other virus protection sites called it Stration.bb or W32/Stration-X.

A second version began circulating in 2008 this is a hoax.  It claims that if you receive an email with the words "Mail Server Report" and open it, you'll receive a message on your screen that says "It is too late now, your life is no longer beautiful" and that you'll "lose everything on your PC."  That actually borrows wording from yet another virus hoax called "Life is Beautiful."

Be sure you have good virus protection software and that your virus definitions are up to date.

Updated 4/2/08

A real example of the eRumor as it has appeared on the Internet:

Version #1

 Alert everyone you know through e-mail not to open an e-mail with "Mail Server Report" in subject line. I went to the link and it is saying this one is "True" - BEWARE. Urgent This is a Bad Virus Please don't open!

 This one checks out and is a bona fide real virus so hence the warning:

 Any email with "Mail Server Report" in the subject line is a new virus and should not be opened. It comes with an attachment in zip format.  Apparently there is a Zip file attached so be very leery of any thing with a zip file attached to it.

 The message tells you that a worm was detected in an e-mail that you sent out and asks you to open and install the attachment to 'fix' the problem. Only, the Zip File IS the problem! DO NOT DO IT! Delete the e-mail.

 This is a real threat.

Version #2

Anyone-using Internet mail such as Yahoo, Hotmail,
AOL and so on.

This information arrived this morning,
Direct from both Microsoft and Norton.

Please send it to everybody you know who has
access to the Internet.

You may receive an apparently harmless e-mail titled
'Mail Server Report'

If you open either file, a message will appear on your screen
saying:  'It is too late now, your life is no longer beautiful.'

Subsequently you will LOSE EVERYTHING IN YOUR PC,
And the person who sent it to you will gain access to your
name, e-mail and password.

This is a new virus which started to circulate on Saturday afternoon.
AOL has already confirmed the severity, and the anti virus software's are not capable of destroying it.

The virus has been created by a hacker who calls himself
'life owner'.

PLEASE SEND A COPY OF THIS E-MAIL
TO ALL YOUR FRIENDS, And ask them to
PASS IT ON IMMEDIATELY!

THIS HAS BEEN CONFIRMED BY SNOPES.

 

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