US Sanctions Target Network Laundering Earnings of North Korean IT Workers

The US Treasury Department has sanctioned Russian and North Korean nationals and companies in the latest action against North Korea's illicit IT worker campaign. Russian nationals Ilya Aleksandrovich Boykov and Vitold Viktorovich Obertas are accused of helping launder millions of dollars in cryptocurrency paid to North Koreans based in Russia who hold IT roles at U.S. companies. Obertas allegedly laundered at least $3.5 million since January 2025 for Amnokgang, a sanctioned North Korean shell company. Boykov allegedly converted about $3.5 million in cryptocurrency since 2024 and supported another sanctioned firm, Alis.

The sanctions also name North Korean individuals who manage the workers. Kim Ki Hyok, a senior Alis employee, leads a Russia-based delegation that monitors workers and checks they meet earnings targets, and has sent at least $500,000 to North Korea since 2024. Kim Hyo Dong allegedly leads another group and moved over $100,000 to evade sanctions. The First Financial and Technical Development Center was also sanctioned for managing millions of dollars earned by workers. Treasury says it has helped workers use artificial intelligence to get hired at U.S. companies, and six of its IT workers have earned at least $750,000 since 2025.

Treasury Secretary Scott Bessent said North Korea's overseas IT operatives "weaponize sensitive data and extort businesses for substantial payments."