GIAC Foundational Cybersecurity Technologies Practice Test

What is "CEO Fraud"? How does it work?

1. Posing as a figure higher up in order to get an employee to perform wire transfers via electronic communication

2. Hacking into a CEO's email and sending unauthorized requests

3. Creating fake invoices to trick accounting

4. None of the above

The correct answer is: Posing as a figure higher up in order to get an employee to perform wire transfers via electronic communication

CEO Fraud, also known as business email compromise (BEC), typically involves an attacker impersonating a high-ranking executive, such as a CEO, to deceive employees into transferring funds or providing sensitive information. The method relies heavily on social engineering tactics, where the perpetrator crafts messages that appear legitimate and urgent, often convincing the recipient of the need for immediate action. In this context, the correct choice accurately encapsulates the core tactic of CEO Fraud: using impersonation to manipulate subordinates into executing wire transfers through electronic communication channels. This method leverages the trust and authority associated with senior leadership to bypass normal scrutiny and control measures within organizations. Other scenarios, like hacking into a CEO's email to send unauthorized requests or creating fake invoices, while related to various forms of fraud or cybercrime, do not fully represent the strategic approach of CEO Fraud as described. The essence of CEO Fraud lies specifically in the impersonation of authority and direct manipulation to achieve illicit financial gain.