US Sanctions North Korean Bankers Accused of Laundering Stolen Cryptocurrency

The United States has imposed sanctions on a group of North Korean bankers, financial institutions and others accused of laundering money from cyber crime schemes to fund the regime’s nuclear weapons programme. Treasury’s Office of Foreign Assets Control said that over the past three years North Korean malware and social engineering schemes have diverted more than $3 billion, mostly in digital assets.

The measures target eight people and two firms, including North Korean bankers Jang Kuk Chol and Ho Jong Son, who are accused of helping to manage funds, including $5.3 million in cryptocurrency, on behalf of sanctioned First Credit Bank. The department said North Korea relies on a network of banking representatives, financial institutions and shell companies in North Korea, China, Russia and elsewhere to launder funds gained through IT worker fraud, heists of cryptocurrency and sanctions evasion.

The report highlights that this activity is part of a wider effort to fund the regime’s nuclear ambitions, according to the referenced official source.