The Justice Department has recently revealed an indictment, exposing the involvement of three North Korean workers and one U.S. citizen in a highly deceptive operation. The accused individuals are alleged to have committed “staggering fraud” by engaging in a complex scheme through which they managed to acquire illicit employment opportunities from numerous U.S. companies and government agencies.
The North Korean IT workers, who went by the names Jiho Han, Chunji Jin, and Haoran Xu, were indicted for using the identities of 60 real Americans to obtain telework positions. This scheme took place from October 2020 to 2023 and resulted in profits of almost $7 million for the Democratic People’s Republic of Korea.
The prosecutors claim that the group received assistance from Christina Chapman, a U.S. national, in their endeavor to secure remote work positions. They accuse her of placing laptops from U.S. companies at different locations, which the North Koreans were then able to use. Additionally, she is alleged to have received paychecks on behalf of the group and forged the signatures of the intended recipients to transfer the funds into her own bank account. Later, she purportedly transferred the funds to the North Koreans while charging them monthly fees for her services.
According to the indictment, the conspiracy carried out a massive fraud that affected numerous industries, ultimately harming unsuspecting U.S. companies and individuals. This elaborate scheme had far-reaching consequences, impacting over 300 U.S. companies and compromising the identities of American citizens. Furthermore, false information was repeatedly provided to the Department of Homeland Security (DHS), and more than 100 instances were recorded. Additionally, over 35 U.S. individuals faced fabricated tax liabilities, while the overseas IT workers involved generated a minimum of $6.8 million in revenue.
The indictment claims that the scheme defrauded several prominent companies, including a leading national television network and media company, a renowned Silicon Valley technology company, a major aerospace and defense manufacturer, a well-known American car manufacturer, a prestigious high-end retail chain, and one of the most globally recognized media and entertainment companies. All of these companies were Fortune 500 companies.
According to the indictment, the workers made three separate attempts to gain employment and access to information at two undisclosed U.S. government agencies. However, their efforts were detected and foiled.
According to the DOJ, the three North Koreans are still on the run. The Justice Department announced that Chapman was apprehended in Arizona last Wednesday. As of now, there is no information available regarding her legal representation.
The State Department made an announcement on Thursday stating that it is willing to offer a reward of up to $5 million to anyone who can provide information regarding the IT workers and the extensive disruption caused by their scheme.
