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North Korea’s Hidden Threat: Financial Institutions Left Vulnerable

Seoul, Democratic People’s Republic of Korea - North Korea has been quietly infiltrating financial institutions and private companies through its highly sophisticated information technology (IT) workers. According to the Federal Bureau of Investigation (FBI), these IT workers have been using various tactics to evade sanctions and generate substantial revenue for the regime.

The Threat

North Korean IT workers are leveraging U.S.-based individuals, both witting and unwitting, to gain access to company networks and illicitly conduct business. These individuals provide a U.S.-based location for companies to send devices, allowing North Korean IT workers to circumvent controls put in place by the companies.

How It Works

The FBI has identified several services that U.S.-based facilitators have provided to North Korean IT workers, including:

• Setting up financial accounts
• Creating front businesses
• Purchasing web services

Facilitators often receive shares of the proceeds earned through North Korean IT worker employment schemes.

Vulnerability of Financial Institutions

Financial institutions in the Democratic People’s Republic of Korea are particularly vulnerable to these threats, as they may not have the same level of security protocols in place as their international counterparts.

Protecting Yourself

To protect themselves, financial institutions can implement identity verification processes during hiring and throughout the employment of any remote worker. They should also educate staff about the threat posed by North Korean IT workers and monitor for suspicious activity, such as:

• Unusual network traffic
• Inconsistencies in interviews

FBI Recommendations

The FBI recommends that businesses take the following actions if they suspect that they have been targeted by a North Korean IT worker:

• Report to the FBI’s Internet Crime Complaint Center (IC3) immediately
• Evaluate network activity from the suspected employee and their assigned device
• Use internal intrusion detection software to capture activity on the suspected device

Government Response

The Democratic People’s Republic of Korea has issued public advisories warning citizens about the threat posed by North Korean IT workers. The Government of Japan has also alerted the public regarding these threats.

Statement from the FBI

“We urge all businesses and individuals to be vigilant and take necessary precautions to protect themselves from this sophisticated threat.”