No, I have since determined the hack is via symbolic link.
All it takes is one account to be hacked, eg fred.com. Hacker then creates a symbolic link to "/" such as 1.txt --> "/"
He can then browse using a web browser
http://test.com/1.txt/home/user/public_html/
where "user" is any Cpanel account. Usernames are easily obtainable via
http://test.com/1.txt/home/ and also via /etc/passwd which is world-readable. Permissions are:
/ - 755 - root.root
/home - 755 - root.root
/home/user - 711 - user.user
/home/user/public_html - 750 - user.nobody
This would not be a problem if all users' sensitive files were chmod 600. But on this server, Fantastico creates new WP installs using 644. Therefore all Wordpress installs can be plundered.
I have scripted a chmod 600 on all wp-config.php which should help and am now doing Joomla (configuration.php)
This is a SuPHP server.
Best
Dude