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CRM Online - Disabling users after migrate to Office 365

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With the new Office 365 login, we now cannot disable users from CRM.

Furthermore, suddenly all the previously disabled users from CRM (via Windows Live) now all became enabled.

Even after migration, when new users disabled disabled from Office 365 it still shows up in CRM as Enabled.

Anybody encounters the same and how to go around this? Users can now assign record ownership to "disabled" users which is not correct.


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