US sanctions North Korean overseas worker network and Russian facilitators
The US Treasury has sanctioned 10 people and one organization over North Korea’s overseas information-technology worker network. The action covers North Korean and Russian targets and blocks property under US jurisdiction. Treasury alleges that earnings from workers placed abroad using false identities support Pyongyang’s weapons programmes. US citizens and residents are generally prohibited from transactions with the designated targets.
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Ten people and one organization designated
The US Treasury Department imposed sanctions on 28 October on 10 people and one organization linked to North Korea’s overseas information-technology workers. The targets include North Korean and Russian people. The designated organization, the First Financial and Technical Development Center, operates in Russia. Treasury identified it as part of the worker network. Six of those sanctioned were linked to that institution, and two Russian citizens were also included in the action.[1], [2]
Treasury alleges that North Korean workers obtained jobs at companies in the United States and elsewhere using fraudulent identities. The department says Pyongyang takes most of their wages to support weapons of mass destruction and ballistic missile programmes. Its account also identifies Russian facilitators. These allegations about the workers’ identities, their earnings and the ultimate use of that money are the US government’s stated basis for the designations.[1], [2]
US property blocks take effect
The designations block the targets’ property within US jurisdiction or connected to US persons. US citizens and residents are generally barred from transactions with those designated. Treasury’s rules also cover entities owned at least 50 per cent by blocked persons, with authorisations providing exceptions where applicable. Washington previously targeted a separate North Korean worker network in March. The latest action again uses financial restrictions against the overseas employment network described by the department.[1], [2]
