OFAC Sanctions People, Companies Tied to North Korea Sanctions Evasion
The Office of Foreign Assets Control this week sanctioned a network of people and entities for their ties to North Korean money laundering, sanctions evasion and information technology worker fraud. The agency said the network has helped North Korea generate revenue for its weapons programs.
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The designations target Jang Kuk Chol and Ho Jong Son, North Korean bankers who have helped manage funds, including $5.3 million in cryptocurrency, on behalf of U.S.-sanctioned and North Korea-based First Credit Bank. OFAC also updated the existing sanctions entry for First Credit Bank to include its “cryptocurrency addresses and activity.”
In addition, the U.S. sanctioned North Korea-based IT firm Korea Mangyongdae Computer Technology Co. and its president, U Yong Su, for operating IT worker “delegations” from China, who help “obfuscate the origin of funds generated” through North Korean IT worker schemes. OFAC said North Korea's IT workers abroad help the country earn hundreds of millions of dollars per year using fake identities to secure jobs with foreign companies.
OFAC also sanctioned North Korea-based financial institution Ryujong Credit Bank for providing “financial assistance in sanctions avoidance activities” between China and North Korea, as well as Ho Yong Chol, Han Hong Gil, Jong Sung Hyok, Choe Chun Pom and Ri Jin Hyok for being China- or Russia-based North Korean representatives of North Korean financial institutions. OFAC said they have collectively helped to transfer millions of dollars and Chinese yuan on behalf of U.S.-sanctioned banks.