Incident: Unauthorized Access to Sensitive Data at Sequoia One Cloud System

Published Date: 2022-12-08

Postmortem Analysis
Timeline 1. The software failure incident at Sequoia occurred between September 22 and October 6, 2022 [136911]. Therefore, the software failure incident happened in September-October 2022.
System 1. Cloud storage repository [136911]
Responsible Organization 1. Unauthorized party accessed the cloud storage system containing personal information [136911].
Impacted Organization 1. Sequoia One customers [136911]
Software Causes 1. Unauthorized access to a cloud storage repository containing sensitive data [136911]
Non-software Causes 1. Unauthorized access to a cloud storage repository containing sensitive data [136911] 2. Lack of adequate security measures to prevent unauthorized access [136911]
Impacts 1. Unauthorized access to a cloud storage repository containing sensitive personal data related to Sequoia One customers [136911]. 2. Exposure of personal information such as names, addresses, dates of birth, Social Security numbers, work email addresses, wage data, member IDs, Covid-19 test results, and vaccine cards [136911]. 3. Notification to both corporate customers and individuals affected by the breach [136911]. 4. Offer of three years of free Experian identity protection services to victims [136911]. 5. Concerns raised about the long-term security of personal data even after the monitoring period ends [136911].
Preventions 1. Implementing stricter access controls and monitoring mechanisms on the cloud storage repository could have prevented unauthorized access [136911]. 2. Regular security audits and penetration testing could have identified vulnerabilities in the system before a breach occurred [136911]. 3. Encrypting sensitive data stored in the cloud storage system could have added an extra layer of protection against unauthorized access [136911]. 4. Providing comprehensive cybersecurity training to employees to prevent phishing attacks or other social engineering tactics that could lead to unauthorized access [136911].
Fixes 1. Implementing stricter access controls and monitoring mechanisms for cloud storage repositories to prevent unauthorized access [136911]. 2. Conducting regular security audits and assessments to identify and address vulnerabilities in the software system [136911]. 3. Enhancing data encryption protocols to protect sensitive information stored in the cloud system [136911]. 4. Providing ongoing cybersecurity training and awareness programs for employees to prevent data breaches and unauthorized access [136911].
References 1. Sequoia company disclosures to customers [136911] 2. Statements from Kristin Schaeffer, vice president of public relations at AMF Media Group on behalf of Sequoia [136911] 3. Comments from open source security researcher Jonathan Leitschuh [136911]

Software Taxonomy of Faults

Category Option Rationale
Recurring unknown (a) The software failure incident related to unauthorized access to sensitive data stored in a cloud storage system at Sequoia is specific to the organization itself. There is no mention in the article of a similar incident happening before within Sequoia or with its products and services. (b) There is no information in the article about a similar incident happening at other organizations or with their products and services.
Phase (Design/Operation) design, operation (a) The software failure incident in the article is related to the design phase. The unauthorized access to sensitive data stored in a cloud storage repository was a result of a breach in the system's security, indicating a failure in the design or implementation of security measures to protect the data [136911]. (b) The software failure incident in the article is also related to the operation phase. The breach occurred between September 22 and October 6, indicating that the unauthorized access and potential data exposure were a result of operational vulnerabilities or misuse of the system during that time period [136911].
Boundary (Internal/External) within_system, outside_system (a) within_system: The software failure incident at Sequoia was due to unauthorized access to a cloud storage repository that contained sensitive and personal data of the company's customers. The breach occurred within Sequoia's own cloud system, indicating a failure originating from within the system itself [136911]. (b) outside_system: The unauthorized access to the cloud storage system, leading to the software failure incident, was caused by an external unauthorized party gaining access to the system. This external factor, the unauthorized party, originated from outside the system, contributing to the failure [136911].
Nature (Human/Non-human) non-human_actions, human_actions (a) The software failure incident in this case occurred due to non-human actions, specifically unauthorized access to a cloud storage repository that contained sensitive personal data related to Sequoia One customers. The breach was detected between September 22 and October 6, and the unauthorized party accessed the cloud storage system in a "read only" manner, with no evidence of data misuse or distribution at the time of detection [136911]. (b) Human actions also played a role in this incident as the company, Sequoia, had to take immediate actions once they became aware of the situation. They initiated a response plan, conducted a forensic review with the help of outside counsel, and communicated with both corporate customers and individual people affected by the breach. Additionally, the company is offering three years of free Experian identity protection services to the victims of the breach [136911].
Dimension (Hardware/Software) software (a) The software failure incident reported in Article 136911 was not attributed to hardware issues. The incident involved unauthorized access to a cloud storage repository containing sensitive data related to Sequoia One customers. The breach occurred between September 22 and October 6, with the unauthorized party accessing a cloud storage system that contained personal information. The forensic review conducted by Dell Secureworks did not find evidence of compromised hardware such as computers or servers in Sequoia's infrastructure [136911]. (b) The software failure incident in Article 136911 was primarily attributed to software-related factors. The breach involved unauthorized access to a cloud storage system, indicating a vulnerability in the software security measures. The incident highlighted the importance of securing software systems to prevent unauthorized access and data breaches [136911].
Objective (Malicious/Non-malicious) malicious (a) The software failure incident reported in Article 136911 was malicious in nature. The incident involved unauthorized access to a cloud storage repository containing sensitive personal data of Sequoia One customers. The unauthorized party accessed the cloud storage system between September 22 and October 6, 2022, and potentially obtained a wide range of personal information, including Social Security numbers, work email addresses, wage data, member IDs, Covid-19 test results, and vaccine cards. The breach was described as "unauthorized access of information in a cloud storage system" and the company emphasized that the access was 'read only,' with no evidence of data manipulation. The incident triggered a response plan, forensic review, and the offering of free identity protection services to affected individuals [136911].
Intent (Poor/Accidental Decisions) unknown The software failure incident reported in Article 136911 does not directly point to a specific intent behind the incident. The incident described in the article is related to unauthorized access to a cloud storage repository containing sensitive data of Sequoia One customers. The focus is on the breach itself and the actions taken by the company to address the situation, rather than attributing the incident to poor decisions or accidental decisions. Therefore, the intent behind the software failure incident is unknown based on the information provided in the article.
Capability (Incompetence/Accidental) accidental (a) The software failure incident in this case does not seem to be related to development incompetence. The incident was primarily a result of unauthorized access to a cloud storage system containing sensitive data, rather than a failure in the development process or lack of professional competence by the development organization [136911]. (b) The software failure incident appears to be accidental in nature. The breach occurred due to unauthorized access to a cloud storage system, indicating that the incident was not intentional but rather a result of external unauthorized parties gaining access to the system accidentally [136911].
Duration temporary The software failure incident reported in Article 136911 was temporary. The incident involved unauthorized access to a cloud storage repository containing sensitive data related to Sequoia One customers. The breach occurred between September 22 and October 6, 2022. The company took immediate actions, including initiating a forensic review by Dell Secureworks, which found no evidence of misuse or distribution of data. Additionally, there was no evidence of ongoing unauthorized access to the company's systems. The access was described as 'read only,' and no changes were made to client data by the unauthorized party. This indicates that the incident was temporary and did not result in permanent damage or changes to the system [136911].
Behaviour other (a) crash: The software failure incident in the article does not involve a crash where the system loses state and does not perform any of its intended functions [136911]. (b) omission: The incident does not involve a failure due to the system omitting to perform its intended functions at an instance(s) [136911]. (c) timing: The incident does not involve a failure due to the system performing its intended functions correctly, but too late or too early [136911]. (d) value: The incident does not involve a failure due to the system performing its intended functions incorrectly [136911]. (e) byzantine: The incident does not involve a failure due to the system behaving erroneously with inconsistent responses and interactions [136911]. (f) other: The software failure incident in the article is related to unauthorized access to a cloud storage repository containing sensitive personal data, leading to a data breach. The incident involves a security breach rather than a specific software behavior failure [136911].

IoT System Layer

Layer Option Rationale
Perception None None
Communication None None
Application None None

Other Details

Category Option Rationale
Consequence property, theoretical_consequence (d) property: People's material goods, money, or data was impacted due to the software failure The software failure incident at Sequoia resulted in unauthorized access to a cloud storage repository containing sensitive personal data of the company's customers, including names, addresses, Social Security numbers, wage data, and other personal information [136911]. This breach led to potential exposure of individuals' personal data, which could have significant consequences for the affected individuals in terms of privacy and security of their information.
Domain finance The software failure incident reported in Article 136911 is related to the finance industry. The incident involved a breach at Sequoia, a human resources, payroll, and benefits management company that provides outsourced HR and payroll services to more than 500 venture-backed companies, particularly startups in the US [136911]. The breached cloud storage system contained sensitive personal data such as Social Security numbers, wage data, and other personal information related to the company's Sequoia One customers [136911]. The incident led to unauthorized access to this data between September 22 and October 6, 2022, prompting the company to offer three years of free Experian identity protection services to the affected individuals [136911].

Sources

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