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NOCTURNE SYSTEMS // NS-IAM-003

IDENTITY THREAT DETECTION & RESPONSE

Authentication Investigation · Conditional Access · Incident Response

IDENTITY SECURITY MICROSOFT ENTRA ID COMPLETED LAB

01 // EXECUTIVE SUMMARY

Project Overview

This project explores identity security investigation and response using controlled Microsoft Entra ID authentication events and account-containment actions.

I generated test authentication failures, analyzed the resulting logs, evaluated an MFA Conditional Access policy, and carried out a separate simulated account-compromise response drill.

02 // INVESTIGATION WORKFLOW

Detection, Analysis & Response

01 / Authentication Testing

Used a dedicated test employee account to generate controlled incorrect-password attempts followed by successful authentication.

02 / Sign-in Log Investigation

Examined Microsoft Entra ID sign-in events, including approximately four invalid-credential failures with error code 50126.

03 / Conditional Access Evaluation

Reviewed a report-only MFA policy assigned to all users and resources. The test sign-in evaluation returned User action required.

04 / Account Containment

Performed a separate simulated response drill by disabling the dedicated test account and revoking its authentication sessions.

05 / Recovery

Re-enabled the test account and confirmed its restored account state. Session revocation remained a separate containment action.

03 // AUTHENTICATION FINDINGS

Invalid Credential Events

The controlled test generated approximately four failed authentication log events associated with error 50126, followed by a successful sign-in using the correct password.

ERROR 50126 // Invalid username or password

In this exercise, the activity was authorized and expected. In a real investigation, similar patterns would require additional context such as device consistency, sign-in location, account behavior, and user verification.

04 // CONDITIONAL ACCESS

Report-only MFA Evaluation

The CA-004 policy targeted all users and all resources with a grant control requiring multifactor authentication.

Its state was Report-only, and the evaluated test sign-in showed User action required.

CA-004 // User action required

Because the policy was not enabled for enforcement, this result was a hypothetical policy evaluation, not proof that MFA was enforced during the test.

05 // INCIDENT RESPONSE DRILL

Account Containment & Recovery

As a separate simulated incident-response exercise, I disabled a dedicated test identity, revoked its sessions, and subsequently re-enabled the account.

Blocking sign-in prevents new authentication attempts. Session revocation invalidates supported refresh tokens and sessions, although already-issued access tokens may remain usable until expiration or other enforcement.

This drill did not respond to a confirmed compromise. It demonstrated administrative containment and account-state recovery within an authorized lab.

06 // EVIDENCE ARCHIVE

Full Technical Report

The complete report documents authentication evidence, Conditional Access analysis, controlled account containment, and recovery screenshots.

07 // LESSONS LEARNED

Key Takeaways

This exercise strengthened my understanding of sign-in investigations, authentication error interpretation, report-only Conditional Access policies, session revocation, account containment, and incident response decision-making.

Authorized lab exercise. Authentication failures were intentionally generated. The containment scenario was simulated. No genuine attacker activity or confirmed compromise was identified.