Breach at California State Controller's Office

Breach at California State Controller's Office

The California State Controller’s Office (SCO) has suffered a data breach after falling victim to a phishing attack.





Threat actors were able to access email and files after a member of the staff clicked on a malicious link and unwittingly shared their credentials. 





In a data breach notice published March 20, the SCO said: “An employee of the California State Controller’s Office (SCO) Unclaimed Property Division clicked on a link in an email they received and then entered their user ID and password as prompted, unknowingly providing an unauthorized user with access to their email account.”





The SCO said that it had “reason to believe” that personal identifying information contained in unclaimed property holder reports was accessible to whoever compromised the employee’s email account.





An investigation into the incident revealed that the unauthorized user had access to the employee’s email account from 1:42pm on March 18 to 3:19pm on March 19. During this brief window of opportunity, the unauthorized user sent potentially malicious emails to some of the SCO employee’s contacts.





“A notice was emailed to all contacts who were sent an email from the unauthorized user, advising them to delete the email and not click on any links therein,” said the SCO.  





James McQuiggan, security awareness advocate at KnowBe4, commented: “This event supports the issue that all organizations need to educate and phish their employees regularly to ensure they are aware of and know how to spot and report socially engineered emails.”





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