Title: South Korean Administrator in Northern Mariana Islands’ Banking Industry Sentenced for Bank Fraud and Money Laundering

Background

A 39-year-old South Korean national and naturalized U.S. citizen named Sung Peel Hwang was sentenced for bank fraud and money laundering.
The conviction took place in the Northern Mariana Islands.
Hwang had served as an administrator at the Guam office of Korean Air Lines (KAL) at the Guam International Airport.

US Attorney for the Districts of Guam and the Northern Mariana Islands, Shawn N. Anderson, announced Hwang’s conviction.
Hwang received a sentence of 41 months in federal prison.
The court imposed 5 years of supervised release, restitution of $615,271.51, and a $200 special assessment fee.

From September 2015 to December 2018:

Hwang, as an administrator at the KAL Guam office, was responsible for reporting passenger numbers and paying corresponding Passenger Facility Charges (PFC), procuring office supplies, and acting as a co-signatory on KAL’s business checking account.
Hwang underreported PFC owed to the Guam International Airport Authority (GIAA) and pocketed the difference for personal use.
He diverted over $600,000 of KAL funds for his own gain and deposited over $3.5 million in KAL funds into his personal account.

US Attorney Anderson stated, “Hwang’s actions represent a clear disregard for the law…”
The sentencing sends a powerful message for accountability and deterrence in the banking industry.

“Hwang’s actions demonstrate a clear disregard for the law…” — Shawn N. Anderson, US Attorney

“The FBI takes financial crimes seriously…” — Steven Merrill, FBI Special Agent

“Mr. Hwang’s actions demonstrate his disregard for community values…” — Adam Jobes, IRS-CI Special Agent

The case was investigated by the FBI Guam Resident Agency and the Internal Revenue Service Criminal Investigation Division.
Prosecution for the District of Guam was handled by Assistant United States Attorney, Benjamin K. Petersburg.