Okta says breach evidence posted by Lapsus$ hackers linked to January 'security incident'

Okta says that a rapid investigation into the sharing of screenshots appearing to show a data breach has revealed they relate to a "contained" security incident that took place in January 2022. 

Okta, an enterprise identity and access management firm, launched an inquiry after the LAPSUS$ hacking group posted screenshots on Telegram that the hackers claimed were taken after obtaining access to "Okta.com Superuser/Admin and various other systems."

The images were shared over Telegram and various social media networks this week. 

"For a service that powers authentication systems to many of the largest corporations (and FEDRAMP approved) I think these security measures are pretty poor[...]," LAPSUS$ said. "Before people start asking, we did not access/steal any databases from Okta -- our focus was only on Okta customers."

In an emailed statement on Tuesday, Okta said the screenshots shared online "appear to be connected to a security event in late January."

Okta said:

"In late January 2022, Okta detected an attempt to compromise the account of a third-party customer support engineer working for one of our subprocessors. The matter was investigated and contained by the subprocessor. We believe the screenshots shared online are connected to this January event."

"Based on our investigation to date, there is no evidence of ongoing malicious activity beyond the activity detected in January," Okta added. 

In a tweet, Cloudflare CEO Matthew Prince added to the discussion, commenting:

"We are aware that Okta may have been compromised. There is no evidence that Cloudflare has been compromised. Okta is merely an identity provider for Cloudflare. Thankfully, we have multiple layers of security beyond Okta, and would never consider them to be a standalone option."

Lapsus$ is a hacking group that has quickly raised itself through the ranks by allegedly breaking into the systems of high-profile companies, one after the other, in order to steal information and threaten to leak it online unless blackmail payments are made.

Recent breaches connected to the group include those experienced by Samsung, Nvidia, and Ubisoft. 

On Sunday, a screenshot was shared that suggested an alleged Microsoft breach may have taken place, potentially via an Azure DevOps account, although the post has since been deleted. Microsoft is investigating.

Based in San Francisco, Okta is a publicly-traded company with thousands of customers, including numerous technology vendors. The company accounts for FedEx, Moody's, T-Mobile, JetBlue, and ITV among its clients. 

"Lapsus$ is known for extortion, threatening the release of sensitive information, if demands by its victims are not made," commented Ekram Ahmed, spokesperson at Check Point. "The group has boasted breaking into Nvidia, Samsung, Ubisoft and others. How the group managed to breach these targets has never fully been clear to the public. If true, the breach at Okta may explain how Lapsus$ has been able to achieve its recent string [of] successes."

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