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When the Threat Comes from Within: What the RBC Insider Case Teaches About Crisis Communication and Preparedness

Oct 9

2 min read

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When most organizations picture a data breach, they imagine shadowy hackers breaking through digital defences from afar. But as the recent allegations against a Royal Bank of Canada employee show, sometimes the real danger is sitting behind a desk and wearing a company badge. 


According to court filings, an RBC client adviser allegedly accessed the financial information of Prime Minister Mark Carney and attempted to do the same for former Prime Minister Justin Trudeau. The accused employee was allegedly recruited through the encrypted messaging app Telegram. 


The case is a textbook example of an “insider threat,” a risk that, despite years of warnings, continues to trip up even the most security-conscious organizations. And for crisis communications professionals, it offers a stark reminder that when a breach originates internally, the reputational fallout can be even more damaging than the breach itself. 


When a company is victimized by a rogue employee, the narrative can turn against it quickly. From a communications standpoint, transparency and tone are everything. Customers, whether Prime Ministers or not, will be rattled and worried as with any misconduct that surfaces publicly, but even more so given that crime committed is an inside job. 


The message track is simple: something happened, we caught it, dealt with the employee involved, contacted and are co-operating with police, and are taking tangible actions to tighten up our internal processes and safeguards. 


There are also concrete steps organizations should be taking before an incident takes place. 


When an employee abuses their access, it undermines confidence in the entire culture of the organization. This is why proactive culture-based communication is just as important as technical controls. Companies must consistently communicate internally that ethical behaviour is non-negotiable – and that misuse of access, even for small sums, can have life-altering consequences. 


Equally, leaders need to set a tone of vigilance without paranoia. When employees feel trusted and valued, they are more likely to report suspicious activity or approach HR when under financial or personal stress, reducing the likelihood of compromise by outside actors. 


And lastly, any enterprise crisis communications plan worth its salt should account for an internal threat scenario and outline how it would be contained, escalated through the organization and, if necessary, externally to police and the public. The usual rules of crisis management apply as always: rapid response, no speculation and transparent and accountable communication. 


As this RBC case underscores, insider threats can’t be fully eliminated, but their impact can be mitigated. Strong monitoring tools and analytics can detect irregular access, but transparent communication and a culture that prizes living and working with integrity are equally important. 


When forward-thinking companies view insider risk not only as a fraud or cybersecurity issue but as a trust and communication challenge, they can move from damage control to prevention. The best defence isn’t just better tech. It’s a workforce that believes in protecting the organization’s reputation as fiercely as its data. 

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