U.S. Department of the Treasury

 

 

WASHINGTON – Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) designated a number of individuals and entities with ties to North Korea’s weapons proliferation and illicit finance efforts.  OFAC’s action against six individuals and three entities is designed to counter attempts to circumvent U.S. and UN sanctions, prevent the North Korean Government from accessing the U.S. financial system, and maintain U.S. sanctions effectiveness on individuals and entities that are linked to North Korea’s procurement of weapons of mass destruction (WMD)-related materials and proliferation activities.  As a result of today’s action, any property or interest in property of the designated persons in the possession of U.S. persons or within U.S. jurisdiction must be frozen.  Additionally, transactions by U.S. persons involving the designated persons are generally prohibited.

 

“North Korea threatens international peace and security by expanding its nuclear program and continuing its proliferation of weapons of mass destruction and conventional weapons,” said Acting Under Secretary for Terrorism and Financial Intelligence Adam J. Szubin.  “Treasury is committed to exposing North Korea’s global proliferation network and excluding these facilitators from the international financial system.”

 

Today’s action was taken pursuant to two Executive Orders (E.O.s) related to North Korea: E.O. 13382, which targets proliferators of weapons of mass destruction (WMD) and their supporters and E.O. 13551, which targets, among others, those involved in North Korea’s weapons trade.  These designations also complement today’s listing of the Strategic Rocket Force of the Korean People’s Army by the U.S. Department of State under E.O 13382. 

 

 

OFAC designated six individuals pursuant to E.O. 13382, which targets proliferators of WMD and their supporters.  Kim Kyong Nam was designated for acting, or purporting to act, for or on behalf of, directly or indirectly, the Foreign Trade Bank (FTB), North Korea’s primary foreign exchange bank.  FTB is an entity whose property and interests in property are blocked pursuant to E.O. 13382 for facilitating transactions on behalf of Specially Designated Nationals linked to North Korea’s proliferation network.  Kim Kyong Nam is FTB’s representative in Khabarovsk, Russia.

 

OFAC also designated the following five Tanchon Commercial Bank (TCB) representatives pursuant to E.O. 13382 for acting for or on behalf of, directly or indirectly, TCB, which was previously designated by the U.S. and UN as a financial arm of Korea Mining Development Trading Corporation (KOMID): Jang Bom Su, Jon Myong Guk, Ko Tae Hun, Choe Song Il, and Kim Jung Jong.  Jang Bom Su and Jon Myong Guk are TCB representatives in Syria.  Ko Tae Hun and Jon Myong Guk facilitate the cross-border movement of KOMID funds.  Choe Song Il and Kim Jung Jong are TCB representatives in Vietnam.

 

In addition to OFAC’s designations, the U.S. Department of State designated the Strategic Rocket Force of the Korean People’s Army pursuant to E.O. 13382 for engaging in activities that have materially contributed to the proliferation of weapons of mass destruction or their means of delivery.  The Strategic Force conducted multiple ballistic missile launches during 2014.  Specifically, it conducted the launches of two short-range Scud-class ballistic missiles on March 3, test-fired two medium-range No Dong-class ballistic missiles on March 26, and conducted the launch of a short-range ballistic missile on July 26.  All missiles had a range of 500km or greater.  The launches of these missiles materially contributed to North Korea’s ballistic missile program. 

 

 

OFAC designated the following three shipping companies pursuant to E.O. 13551 for being owned or controlled by or acting for or on behalf of U.S.- and UN-designated Ocean Maritime Management Company (OMM):  Haejin Ship Management Company Limited, Pyongjin Ship Management Company Limited, and Yongjin Ship Management Company Limited.  OMM is a North Korean shipping company that uses a variety of aliases and front companies to operate internationally.  OMM attempted to import a concealed shipment of arms and related materiel to North Korea aboard the DPRK-flagged cargo vessel Chong Chon Gang in July 2013.  It used deliberate and evasive methods to conceal the illicit cargo of arms and related materiel.

 

For identifying information on the individuals and entities designated today, click here.

 

###