Financial Crime World

Sanctions Imposed on North Korean Entities and Individual for Illicit Cyber Activities

The United States Department of Treasury has imposed sanctions on four entities and one individual accused of generating revenue for the Democratic People’s Republic of Korea (DPRK) through illicit means.

Background

The sanctioned entities include:

  • Pyongyang University of Automation
  • Technical Reconnaissance Bureau
  • 110th Research Center cybersecurity unit
  • Chinyong Information Technology Cooperation Company
  • North Korean national Kim Sang Man

According to the US Department of State, these individuals and entities have been involved in malicious online activities aimed at generating revenue for the DPRK.

Sanctioned Entities

Pyongyang University of Automation

The Pyongyang University of Automation is a premier cybersecurity instruction institution responsible for training malicious cybersecurity actors who go on to work in units subordinate to the Reconnaissance General Bureau (RGB), North Korea’s primary intelligence bureau.

Technical Reconnaissance Bureau and 110th Research Center

The RGB-controlled Technical Reconnaissance Bureau and its subordinate cybersecurity unit, the 110th Research Center, have also been sanctioned. The 110th Research Center has conducted cyberattacks against networks worldwide, including in the US and the Republic of Korea (ROK). The center has stolen sensitive government information from the ROK related to military defense and response planning.

Chinyong Information Technology Cooperation Company

Chinyong Information Technology Cooperation Company, also known as Jinyong IT Cooperation Company, is associated with the UN and US-sanctioned Ministry of Peoples’ Armed Forces. Kim Sang Man, a DPRK national, is presumed to be involved in the payment of salaries to family members of Chinyong’s overseas worker delegations.

Impact

The sanctions aim to disrupt North Korea’s ability to generate revenue through illicit means, including cybertheft and illegal activities abroad. The DPRK has been accused of stealing more virtual currency in 2022 than in any previous year, with estimates ranging from $630 million to over $1 billion.

“This action demonstrates our commitment to holding the DPRK regime accountable for its malicious activities,” said the Department of Treasury. “We will not hesitate to continue taking action against those who support the regime’s dangerous programs.”

International Cooperation

The sanctions have been taken in coordination with the ROK, which is also imposing sanctions on one entity and one individual associated with overseas DPRK IT workers.

North Korea’s malicious cyber activities pose a significant threat to international security by financing the regime’s unlawful weapons of mass destruction (WMD) and missile programs. The US will continue to work closely with its allies to disrupt these activities and hold the DPRK accountable for its actions.