U.S. imposes sanctions on North Korean IT workers for illicit activities
Breaking News: U.S. Cracks Down on North Korea's Remote IT Worker Scam
The United States government has launched a renewed effort to combat North Korea's use of remote IT worker schemes to fund its operations, including nuclear weapons and ballistic missile programs. According to reports, thousands of North Korean IT workers are primarily located abroad in countries such as China and Russia, but pose as U.S.-based employees using fake or stolen identities to secure remote jobs with American companies.
The wages earned by these workers are funneled back to the North Korean regime, making this a sophisticated fraud and espionage operation generating significant illicit revenue for Pyongyang. The FBI has warned businesses to be vigilant against these scams, and the Department of Justice is charging several North Koreans for alleged sanctions-evasion activities.
The North Korean individuals accused include Kim Se Un, Jo Kyong Hun, and Myong Chol Min. Kim is said to have used Sobaeksu and subordinate companies to collect money for North Korea through remote IT worker schemes. Myong Chol Min worked closely with Kim to facilitate business deals and avoid sanctions, while Jo Kyong Hun assisted Kim in the cryptocurrency aspects of the schemes.
In addition to the criminal charges, the U.S. Department of the Treasury has sanctioned three individuals and a North Korean company, Korea Sobaeksu Trading Co. The sanctions freeze any U.S. assets and bar Americans from engaging in transactions with sanctioned individuals and companies. The North Korean government has used Sobaeksu to send IT workers overseas, including to Vietnam, for revenue generation.
The recruitment of these North Korean IT workers is facilitated through fraudulent websites and front companies set up in the U.S. to validate credentials. Sometimes, unwitting or complicit U.S. hosts offer "laptop farms" that allow North Koreans to remotely access work systems. One Arizona woman pleaded guilty and was sentenced for facilitating such a scheme that funneled more than $17 million to North Korea.
These workers have been involved in criminal acts such as hacking and extortion, and they use elaborate methods to conceal their identities and movements of money. They often work in teams, making them unusually productive, but their high output has raised suspicions among some employers. The FBI and Department of Justice actively investigate these operations and seek victim companies to gather evidence and pursue enforcement actions.
The State Department is offering up to $15 million in rewards for information leading to the arrest of any of the seven defendants. The U.S. government views these remote IT worker scams as a serious threat to national security and is taking aggressive action to curtail their funding and influence.
Sources: 1. Reuters 2. FBI 3. U.S. Department of the Treasury 4. Justice Department 5. CNN
- The U.S. government is taking advanced measures in cybersecurity to safeguard American companies from North Korean IT workers who use fraudulent identities and technology to secure remote jobs, a concern highlighted in the general-news reports.
- The United States Department of the Treasury has employed politics by imposing sanctions on several North Korean individuals and a company, including Korea Sobaeksu Trading Co., for their involvement in funding North Korea's operations by employing remote IT workers, as seen in the recent announcements.
- Cybersecurity concerns related to crime-and-justice have arisen as North Korean IT workers have been linked to various cyber-attacks, with the FBI and Department of Justice actively investigating these operations and seeking victim companies for enforcement actions, as mentioned in FBI and Justice Department reports.
