US Woman Sentenced for North Korea Sanctions Evasion Scheme
A U.S. woman has been sentenced for her role in a scheme that generated over $17 million by facilitating the employment of North Korean workers who posed as U.S. citizens. The operation, which involved a “laptop farm” to mask the workers’ true locations, is considered one of the largest computer fraud cases linked to North Korea prosecuted by the U.S. government.
Christina Chapman‘s house, where computers sent by US companies were housed. The devices were remotely operated by north Korea workers who passed through US citizens.” class=”x-lazy”/>A “laptop farm” was set up in Christina Chapman’s home, housing computers used by North Korean workers. These devices were remotely operated by individuals posing as U.S. citizens.Source: U.S. Department of Justice
The scheme aimed to create the illusion that workers were physically located within the United States. This was achieved through a “laptop farm,” where devices sent by U.S. companies were operated. The woman received payments and salaries into her bank accounts, afterward transferring funds to individuals outside the U.S., including those in North Korea.
Authorities believe a portion of the over $17 million in illicit income was directed to the North Korean regime, which reportedly uses such operations to fund its military and nuclear programs. During the investigation,the FBI and the IRS seized more than 90 computers from the woman’s residence. It was also discovered that at least 68 identities of American citizens were used without their authorization.
In addition to her prison sentence, U.S. District Judge Randolph D. Moss ordered the woman to serve three years of supervised release upon her release. She was also mandated to pay over $176,000 in restitution and forfeit more than $284,000 intended for North Korean workers.
Officials have issued a warning regarding the risks associated with hiring remote workers who use false identities, particularly when these operations are coordinated by sanctioned regimes. This case highlights the ongoing efforts by the U.S.government to combat international financial crimes and sanctions evasion.