Event

Event Status: RESOLVED and REMEDIATIONS IN PLACE

To Whom it May Concern,

We completed a full review of a recent email security event affecting two of our users’ mailboxes within our Microsoft 365 environment. This was not a password breach and did not involve unauthorized logins. Instead, the activity came from a third-party email automation tool that gained access through an OAuth permission request, possibly as part of a phishing attack.

Findings

  • A third-party app (SecureMailMerge) obtained delegated mailbox access.
  • No user in our organization recalls intentionally approving it, which aligns with current phishing trends where attackers request app permissions instead of passwords.
  • There were no suspicious login attempts, no foreign IP connections, and no forwarding rules.

Remediation

  • Removed the unauthorized application and revoked all permissions
  • Forced MFA re-enrollment for all accounts
  • Signed out all active sessions across all devices
  • Disabled legacy authentication protocols (IMAP, POP, SMTP Auth)
  • Verified no forwarding or server-level mail rules existed
  • Verified no local email client rules 
  • Disabled additional OAuth applications until validated
  • All potential persistence routes have been eliminated.

Current Status

  • No evidence of email forwarding or data extraction
  • No active app-based access remains
  • Tenant is stable and protected with MFA and app consent restrictions
  • Continuous monitoring for non-interactive API access is now in place

Conclusion

This was not a credential or system breach, but a permission-based access event. It is now resolved, and enhanced security measures have been taken to prevent recurrence.