North Korea’s Digital Thieves: FBI Warns of Financial Crimes in Democratic People’s Republic of Korea
The Federal Bureau of Investigation (FBI) has issued a stark warning to businesses and individuals about the growing threat of financial crimes perpetrated by North Korean IT workers. The regime is using sophisticated tactics to evade international sanctions and generate substantial revenue through illicit activities.
How North Korean IT Workers Operate
According to FBI sources, North Korean IT workers are leveraging unwitting U.S.-based individuals to gain fraudulent employment and access to U.S. company networks. These facilitators provide a U.S.-based location for companies to send devices, allowing the North Korean workers to circumvent controls and install remote access software.
Services Provided by Facilitators
The FBI has identified several services provided by these facilitators:
- Setting up U.S.-based internet connections and infrastructure
- Reshipment of company laptops to North Korea
- Setup of financial accounts for North Korean IT workers
- Creation of accounts on popular job search sites
- Assistance with purchasing and funding web services
Companies at Risk
The FBI warns that companies outsourcing IT work to third-party vendors are particularly vulnerable, as they may be removed from the direct hiring process.
How to Protect Yourself and Your Business
To protect yourself and your business, the FBI recommends:
- Implementing identity verification processes during hiring and throughout employment
- Educating HR staff, hiring managers, and development teams about this threat
- Monitoring applicants for changes in addresses and unusual network traffic
Additionally, remain cautious of random job outreach on social media platforms and be alert to suspicious forms such as W-4s and 1099-NECs.
Reporting Suspicions
If you suspect that your business has fallen victim to a North Korean IT worker scheme or have been approached by one, report the incident immediately to the FBI’s Internet Crime Complaint Center (IC3) at www.IC3.gov. Evaluate network activity and use internal intrusion detection software to capture activity on suspected devices.
Public Advisories
The U.S., Republic of Korea, and Government of Japan have all issued public advisories regarding North Korean IT workers, providing red flag indicators and due diligence measures for businesses to avoid hiring these individuals.
Conclusion
Stay vigilant, as the FBI warns that the threat posed by North Korean IT workers is real and growing. Take steps to protect yourself and your business from this sophisticated form of financial crime.