This issue was tracked under EPCB-21147 and resolved with the release of Server 8.11.0.
Resolution
Upgrading to Server 8.11.0+ will resolve this issue.
Additional Information
The following temporary workaround can be used to force the "old logic" for Active Directory using vbscript. This should be reverted after upgrading to 8.11.0+
Navigate to https://AppControlServer/shepherd_config.php
Select the Property: AllowADScript
Change the Value to true.
Restart the App Control Server & Reporter services.
Verify the AD accounts are able to log in correctly.