5 May 2025

Cyber Horror Stories: Part 1 – The Data Breach That Changed Everything

Cyber Horror Stories: Part 1 – The Data Breach That Changed Everything
Business Focus Podcast

Cyber Horror Stories – Part 1: The Data Breach That Changed Everything

Welcome to Cyber Horror Stories, a mini-series featuring real incidents, real consequences, and the very real lessons learned from three chilling (and true) cyber security incidents. Joining host Brendan Ritchie is Matt O’Kane, Director at Notion Digital Forensics. When it comes to cyber security… Matt’s seen the worst of the worst. And he’s also the kind of guy who doesn’t just clean up the messes. He helps companies learn from them.

In this episode, Brendan speaks with Matt about a real-world cyber incident and data breach that triggered lasting change within a franchise — not just in systems and processes, but in culture.

Key themes: – How the data breach unfolded — and what was at stake – The shift towards a culture of data safety – Why cyber security education and awareness now matter more than ever

Episode Highlights & Key Takeaways

  • How the data breach unfolded — and what was at stake
  • The shift towards a culture of data safety
  • Why cyber security education and awareness now matter more than ever

 

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Meet Matt O’Kane – Cyber Resilience and Digital Forensics Specialist

Matt’s not just another cybersecurity consultant. With a foundation in computer programming and deep expertise in digital forensics, incident response, and cyber resilience, he’s the first call when something’s gone terribly wrong.

“My specialty is cyber resilience. That’s planning for when things go wrong — and helping companies bounce back quickly.”

Matt’s role is to uncover the who, what, when, where and how. He and his team use forensic investigation methods to answer key questions:

  • Did a staff member steal customer data?
  • Was critical financial information accessed or leaked?
  • How bad is the damage — and how can we get the business back up and running fast?

The Incident: A Breach From Within

An Australian professional services company was growing quickly. They had just over 100 employees and a thriving customer base. Their IT was managed by an external MSP. Things were humming along — until one weekend changed everything.

A frustrated internal IT staff member, who still had high-level system access, logged in remotely and started deleting files. Not just any files — crucial ones. Client records. Payroll data. Internal documentation. One by one, he wiped them clean.

It wasn’t some elaborate hack. It was a trusted insider, quietly erasing the company’s digital backbone.

By the time Monday morning rolled around, the damage was done.

What Went Wrong?

While this sounds like an extreme example, it’s far more common than most businesses realise. It wasn’t a technical failure — it was a human one, compounded by:

  • Poor offboarding procedures
  • Lack of monitoring on privileged access
  • Inadequate alerting on remote logins
  • No real incident response plan

This was a preventable breach. But it highlights something critical — most breaches don’t look like Hollywood hacker scenes. They look like trusted staff making dangerous decisions without oversight.

The Fallout

The immediate impacts were severe:

  • Business operations ground to a halt
  • Clients were left in the dark
  • Payroll couldn’t be processed
  • Staff morale took a hit
  • Reputational damage raised questions about leadership and security maturity

And all of this could have been avoided with better processes in place.

The Recovery: Step by Step

Matt’s team was called in by the MSP. From there, a structured, internationally recognised incident response process kicked off.

Step 1: Containment

The first priority was stopping further access. This meant:

  • Resetting all admin credentials
  • Disabling remote access
  • Locking down affected systems
  • Preserving logs for investigation
Step 2: Investigation

Using digital forensics, the team:

  • Identified the source and method of the breach
  • Mapped out affected systems and files
  • Determined what data was lost and if anything had been copied or exfiltrated
Step 3: Recovery

Luckily, offsite backups existed. Although they weren’t tested regularly, the team was able to restore roughly 90 percent of the deleted data. It was close — but a full recovery was possible thanks to this single fortunate detail.

Step 4: Communication

Leadership took swift action:

  • Internal teams were briefed
  • Affected clients were contacted with full transparency
  • A post-incident review was completed

This wasn’t just about getting systems back online — it was about rebuilding trust from the inside out.

Lessons Learned (The Hard Way)

Every business should pay close attention to what this situation revealed.

1. Insider Threats Are Often Overlooked

Businesses tend to focus on external attackers. But insider threats — particularly from people with legitimate access — are just as dangerous, if not more so.

2. Offboarding Needs to Be Immediate and Thorough

When someone leaves or moves roles, their access must be revoked immediately. It’s not just good practice — it’s essential.

3. Backups Are Pointless If They’re Not Tested

Backups that aren’t regularly tested are nothing more than expensive wishful thinking. You need to be sure they’ll work under pressure.

4. Least Privilege Should Be the Norm

No one should have more access than they need. Full admin rights should be rare and monitored.

5. You Need a Cyber Incident Response Plan

Hope is not a strategy. Having a clear, tested plan can be the difference between a minor disruption and a total disaster.

How Australian Businesses Can Prepare Now

For Australian businesses — especially those with between 50 and 200 staff — growing pains often mean the existing IT provider or internal support no longer cuts it. Here’s what you should prioritise.

Get a Cyber Health Check

Start by assessing your current state:

  • Who has access to what?
  • Are backups working?
  • Is your firewall configured correctly?
  • Are there basic security policies in place?

Review Your Incident Response Plan

If you don’t have one, create one. If you do, test it regularly and make sure key people know their roles.

Train Your People

People are your first line of defence — and your biggest vulnerability. Run training sessions at least quarterly. Make them engaging, relevant, and based on real scenarios.

Choose the Right Technology Partner

Look for an MSP or security provider that:

  • Offers 24/7 threat monitoring
  • Supports Essential Eight compliance
  • Has experience with real-world incident response
  • Can scale with your business

Why This Matters

It’s tempting to believe “we’re too small to be a target” or “we’ve got antivirus — we’ll be fine.” But cyber incidents aren’t just happening to global giants anymore.

Mid-sized businesses in Sydney, Melbourne, Brisbane, and across Australia are increasingly becoming prime targets — or worse, the victims of internal incidents they never saw coming.

The businesses that survive are the ones that plan ahead.

“It’s not about if something goes wrong. It’s about how ready you are when it does.” – Matt O’Kane

Coming Up Next: Ransomware in the Real World

In Part 2 of Cyber Horror Stories, we’ll dive into a real-life ransomware attack that shut down operations for 10 days — and the surprising approach that helped the company come back stronger than ever.

Need Help Right Now?

If your business is growing and your cybersecurity hasn’t caught up, we can help.

Our Cyber Health Check is designed for Australian organisations who want to:

  • Strengthen internal processes
  • Improve access controls
  • Reduce risk
  • And recover quickly when things go wrong

We support companies in:
Sydney | Melbourne | Brisbane | Perth | Adelaide

 

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