A U.S. Treasury statement said the three were a
China-based virtual currency trader, another currency trader
based in Hong Kong, and a representative of North Korea's Korea
Kwangson Banking Corp, who recently relocated to Dandong, China.
China-based trader Wu Huihui facilitated the conversion
of virtual currency stolen by North Korea's cybercriminal
syndicate, the Lazarus Group, the statement said. The Hong
Kong-based trader, Cheng Hung Man, worked with Wu to remit
payments in exchange for virtual currency, it said.
Also targeted was Sim Hyon Sop for acting on behalf of
the Kwangson Banking Corp, an entity previously designated for
sanctions by the United States.
Wu processed multiple transactions that converted
millions of dollars worth of virtual currency, the statement
said.
The U.S. sanctions freeze any U.S. assets of the individuals
and make those who do business with them liable to sanctions.
U.S. Treasury Under Secretary for Terrorism and Financial
Intelligence Brian Nelson said North Korea "continues to exploit
virtual currency and extensive illicit facilitation networks to
access the international financial system and generate revenue."
Nelson said Washington was committed to holding accountable
those who enable North Korea's "destabilizing activities,
especially in light of the three intercontinental ballistic
missiles Pyongyang has launched this year alone."
Years of U.S.-led sanctions have failed to halt North
Korea's nuclear bomb and missile programs. The latest Treasury
action was announced before a visit to the United States this
week by South Korean President Yoon Suk Yeol.
A February report by U.S.-based blockchain analytics
firm Chainalysis said North Korea-linked hackers such as those
in the Lazarus Group stole an estimated $1.7 billion in
cryptocurrency heists attacks last year.
(Reporting by David Brunnstrom; Additional reporting by Moira
Warburton; Editing by Doina Chiacu and Grant McCool)
(Adds details from US Treasury statement)
WASHINGTON, April 24 (Reuters) - The United States on
Monday announced sanctions on three people it said were involved
in laundering virtual currency stolen by North Korean hackers to
help finance Pyongyang's weapons programs.
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