Can confirm: #82 does the trick. Thanks Nicholas, you're awesome!
Let's hope this goes into 17.04 release or at least in zesty-updates.
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systemd-resolved breaks VPN with split-horizon DNS
Status in NetworkManager:
Status in network-manager package in Ubuntu:
Status in network-manager source package in Zesty:
Status in network-manager source package in Artful:
* NetworkManager incorrectly handles dns-priority of the VPN-like
connections, which leads to leaking DNS queries outside of the VPN
into the general internet.
* Upstream has resolved this issue in master and 1.8 to correctly
configure any dns backends with negative dns-priority settings.
* detailed instructions how to reproduce the bug
* these should allow someone who is not familiar with the affected
package to reproduce the bug and verify that the updated package fixes
* If this issue is changed DNS resolution will change, for certain
queries, to go via VPN rather than general internet. And therefore,
one may get new/different results or even loose access to
resolve/access certain parts of the interent depending on what the DNS
server on VPN chooses to respond to.
* Original bug report
I use a VPN configured with network-manager-openconnect-gnome in which
a split-horizon DNS setup assigns different addresses to some names
inside the remote network than the addresses seen for those names from
outside the remote network. However, systemd-resolved often decides
to ignore the VPN’s DNS servers and use the local network’s DNS
servers to resolve names (whether in the remote domain or not),
breaking the split-horizon DNS.
This related bug, reported by Lennart Poettering himself, was closed with the
current Fedora release at the time reaching EOL:
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