Clorox Suffers Major Data Breach Linked to IT Service Provider Negligence
In a significant cybersecurity incident, The Clorox Company reported devastating breaches in 2023 that highlight severe vulnerabilities in IT service management. The breach resulted in an estimated financial impact of $380 million, undermining the company’s data integrity and network security.
The threat actor’s approach was alarmingly simple, relying on social engineering rather than sophisticated hacking techniques. By contacting the IT service desk and impersonating a legitimate employee, the attacker requested, without any identity verification, crucial access resets including password and multifactor authentication resets for Okta and Microsoft tools. This ease of access allowed them to infiltrate Clorox’s network by exploiting the trust placed in the outsourced IT service provider, Cognizant.
Cognizant, responsible for Clorox’s service desk operations, failed to adhere to basic security protocols, thereby enabling the cybercriminal to gain unauthorized access. According to Clorox’s legal statements, Cognizant’s actions were marked by negligence and a lack of adequate training for its personnel. The lawsuit claims, “Cognizant was not duped by any elaborate ploy… [they] handed the credentials right over,” underscoring a stark lack of diligence in handling sensitive access requests.
Historically, from 2013 to 2023, Cognizant was tasked with managing password resets and other access requests, effectively acting as the frontline defense against unauthorized access. This routine responsibility now appears to have been managed with inadequate safeguards, leading to catastrophic vulnerabilities. The firm’s failure to implement robust identity verification processes is a stark reminder of the importance of establishing rigorous security protocols.
The tactics utilized in this breach align with several categories in the MITRE ATT&CK framework. The initial access to Clorox’s network suggests the use of social engineering, where the adversary manipulated human trust rather than exploiting technical vulnerabilities. Following this, the attacker employed techniques that reflect privilege escalation and lateral movement, ultimately gaining higher access privileges through impersonation.
This incident serves as a critical case for business owners to reassess their cybersecurity posture, especially when outsourcing critical IT functions. It emphasizes the necessity for stringent oversight and security training within third-party service providers, highlighting that even established companies can fall prey to basic breaches of trust. As the cyber landscape evolves, organizations must prioritize comprehensive risk management strategies to prevent similar incidents that could lead to substantial financial and reputational damage.
