Microsoft Incident Response outlines how fake employees gained access to corporate resources and the security measures the team used to detect and neutralize the threat. The analysis provides practical guidance for organizations facing similar cyber risks.

Imposter for Hire: How Fake Employees Breach Security

Author: Microsoft Incident Response

Fake employees are an emerging threat in cybersecurity, as highlighted in a recent case where cybercriminals posed as legitimate remote hires to infiltrate corporate systems. These operatives bypassed HR onboarding checks, used PiKVM devices to remotely control workstations, and exfiltrated sensitive data for state-sponsored programs.

How the Attack Unfolded

  • Four user accounts were abused to connect PiKVM devices to employer-issued workstations for full remote access.
  • Attackers bypassed access controls and extracted critical data using these hardware-based channels, evading traditional endpoint detection measures.
  • The threat was traced to the North Korean remote IT group Jasper Sleet with help from Microsoft Threat Intelligence.

Microsoft Incident Response Actions

  • Detection and Response Team (DART) used advanced forensic and analytic tools (Cosmic, Arctic, Fennec) to investigate Azure and Active Directory activity.
  • Telemetry from Microsoft Entra ID and Microsoft Defender solutions helped trace and contain the intrusion.
  • The team suspended thousands of related accounts and restored affected devices from clean backups.
  • Microsoft Purview Compliance Manager and Defender for Endpoint tools were used to audit logs, detect lateral movement, and prevent further exploitation.

Defensive Measures for Organizations

  • Integrate strong SOC practices with insider risk management strategies.
  • Use Microsoft 365 Defender and Unified Audit Log for improved visibility.
  • Enforce strict vetting in hiring and apply least privilege principles to reduce risk exposure.
  • Deploy Microsoft Purview Data Loss Prevention and Insider Risk Management to monitor and prevent insider threats.
  • Ban unapproved IT tools like PiKVM devices and leverage Threat Analytics dashboards for real-time insights.

About the Cyberattack Series

Microsoft’s Cyberattack Series provides deep dives into notable cyber incidents, detailing attack vectors, investigative steps, and remediation strategies. DART brings together specialized researchers and analysts to help customers handle global security issues.

Further Information

Key Takeaways

  • Fake candidates pose major risks to enterprises, as Gartner predicts 25% of profiles could be fraudulent by 2028.
  • Real-world attacks can exploit HR and IT onboarding weaknesses, requiring integrated detection, forensic investigation, and swift incident response.
  • Microsoft tools like Defender, Entra ID, and Purview offer robust capabilities for organizations to defend against emerging threats.

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