Use-Impersonation.ps1

param(
	[String] $domain,
	[String] $username,
	[String] $password,
	[ScriptBlock] $scriptBlock
)
<#
    .SYNOPSIS 
          Impersonates a user and executes a script block as that user. This is an interactive script
        and a window will open in order to securely capture credentials.
    .EXAMPLE
        Use-Impersonation.ps1 mydomain.com testuser testpassword {Get-ChildItem 'C:\' | Foreach { Write-Host $_.Name }}
        This writes the contents of 'C:\' impersonating the user that is entered.
#>
    
$logonUserSignature =
@'
[DllImport( "advapi32.dll", SetLastError=true )]
public static extern bool LogonUser( String lpszUserName,
                                     String lpszDomain,
                                     String lpszPassword,
                                     int dwLogonType,
                                     int dwLogonProvider,
                                     ref IntPtr phToken );
'@

$AdvApi32 = Add-Type -MemberDefinition $logonUserSignature -Name "AdvApi32" -Namespace "PsInvoke.NativeMethods" -PassThru

$closeHandleSignature =
@'
[DllImport( "kernel32.dll", CharSet = CharSet.Auto )]
public static extern bool CloseHandle( IntPtr handle );
'@

$Kernel32 = Add-Type -MemberDefinition $closeHandleSignature -Name "Kernel32" -Namespace "PsInvoke.NativeMethods" -PassThru
    
try
{
    $Logon32ProviderDefault = 0
    $Logon32LogonInteractive = 2
    $tokenHandle = [IntPtr]::Zero
    $success = $false
    
    try
    {
        $success = $AdvApi32::LogonUser($userName, $domain, $password, $Logon32LogonInteractive, $Logon32ProviderDefault, [Ref] $tokenHandle)
    }
    finally
    {
    }
    
    if (!$success )
    {
        $retVal = [System.Runtime.InteropServices.Marshal]::GetLastWin32Error()
        Write-Host "LogonUser was unsuccessful. Error code: $retVal"
        return
    }

    Write-Host "LogonUser was successful."
    Write-Host "Value of Windows NT token: $tokenHandle"

    $identityName = [System.Security.Principal.WindowsIdentity]::GetCurrent().Name
    Write-Host "Current Identity: $identityName"

    $newIdentity = New-Object System.Security.Principal.WindowsIdentity( $tokenHandle )
    $context = $newIdentity.Impersonate()

    $identityName = [System.Security.Principal.WindowsIdentity]::GetCurrent().Name
    Write-Host "Impersonating: $identityName"

    Write-Host "Executing custom script"
    & $scriptBlock
}
catch [System.Exception]
{
    Write-Host $_.Exception.ToString()
}
finally
{
    if ( $context -ne $null )
    {
        $context.Undo()
    }
    if ( $tokenHandle -ne [System.IntPtr]::Zero )
    {
        $Kernel32::CloseHandle( $tokenHandle )
    }
}

The script was updated to pass the credentials as parameters (I'm only using this to test the effects of running specific code with impersonation). In the original script, I received a 1326 error code every time. I'm guessing it was due to how the password was being passed into the LogonUser method.