First reported on :

http://forums.whirlpool.net.au/

People posting to thread in this discussion forum were first reported being hit.
Virus Name :
Rickroll fanbois
Function :
Rickrolling the song : “Never Gonna Give You Up.” – Astley’s (1987)
Displays the message : “ikee is never going to give you up,”
Displays the picture : Astley’s wallpaper

Point out’s :
The attack is a wakeup call for anyone who takes the time to jailbreak an iPhone. While the hack greatly expands the capabilities of the Apple smartphone, it can also make it more vulnerable. Programs such as OpenSSH, which can only be installed after iPhones have undergone the procedure, can be extremely useful, but if owners haven’t bothered to change their root password, the programs also represent a gaping hole waiting to be exploited.

A view of Jailbroken iPhone

Future Scope:
Since the writer released source code for four separate variants, it wouldn’t be surprising for copycats in other regions to appropriate the attack code and potentially imbue it with more malicious payloads.
The Source Code is available in : http://code.google.com/p/ikee-virus/source/browse/#svn/trunk
Hit Range : In and around Australia
Hacker Speak up : “I was quite amazed by the number of people who didn’t RTFM and change their default passwords,” the unidentified worm writer said. “I admit I probably pissed of [sic] a few people, but it was all in good fun (well ok for me anyway).”

Precaution Measures:
Changing the iPhone’s root password