Mitigating Email Account Compromise

Background

In early 2023, a specialty pharmaceutical company focusing on innovative solutions for nutritional deficiencies experienced a significant security breach. Attackers infiltrated an employee's email account, leading to a substantial financial loss for one of the company's clients.

The Problem

After compromising the email account, the attackers impersonated the employee and communicated with a client regarding a pending payment. They directed the client to a fraudulent website that displayed counterfeit payment instructions. Trusting the legitimacy of the communication, the client transferred €150,000 to a bank account in Portugal, registered under a fictitious name.

The funds were subsequently dispersed across multiple international accounts, complicating recovery efforts.

Market Context

Operating in the pharmaceutical industry, the company collaborates with various stakeholders, including clients, resellers, researchers, and suppliers. The integrity and security of communications are paramount, as sensitive information and substantial financial transactions are routinely exchanged. A breach of this nature not only endangers client relationships but also threatens the company's reputation for reliability and trustworthiness.

Risks to the Company

• Financial Losses: Beyond the immediate monetary loss suffered by the client, the company faces potential costs related to legal actions, compensation claims, and increased insurance premiums.
• Reputational Damage: Such incidents can erode trust among clients and partners, leading to strained relationships and potential loss of business opportunities.
• Operational Disruptions: Addressing the breach requires significant resources, including time and personnel, to investigate the incident, implement corrective measures, and manage communications with affected parties.

The Solution

To proactively prevent similar incidents, the company implemented DomSect, a comprehensive domain monitoring and protection service. DomSect offered the following advantages:

• Continuous Surveillance: Real-time monitoring of domain registrations and activities to detect fraudulent websites impersonating the company's brand.
• Immediate Alerts: Prompt notifications upon identification of suspicious domains, enabling swift action to mitigate potential threats.
• Rapid Takedown Assistance: Collaboration with domain registrars and hosting providers to expedite the removal of malicious websites, reducing the window of opportunity for attackers.