US Department of Justice Charges Individuals in North Korean IT Worker Scheme

The US Department of Justice has unsealed conspiracy charges against individuals accused of assisting North Korean nationals in a complex scheme to fraudulently pose as US residents in order to secure information technology (IT) jobs with American companies. The alleged conspiracy is said to have generated millions of dollars in income that was funneled back to the Democratic People’s Republic of Korea (DPRK).

According to a press release from the government, this is the largest case ever charged by the Justice Department involving an IT worker’s scheme. The charges include the arrest of Arizona woman, Christina Chapman, who is accused of aiding foreign nationals in stealing the identities of over 60 US residents in a plot to place North Korean IT workers in remote roles. These workers allegedly sought to obtain proprietary business technology and launch malicious cyber intrusions into their employers’ networks.

The three North Korean nationals named in the indictment are said to have ties to the country’s ballistic missile and weapons departments. The scheme reportedly affected over 300 businesses, including well-known companies such as a top-5 national television network, a premier Silicon Valley technology firm, an aerospace and defense manufacturer, and a high-end retail chain.

Chapman allegedly operated a “laptop farm,” using company-issued laptops to make it appear that the remote workers were physically present in the US. She is accused of charging a fee for her services and assisting the foreign nationals in receiving wages from the companies involved.

Assistant Director Kevin Vorndran of the FBI’s Counterintelligence Division has described the allegations as a “new high-tech campaign to evade US sanctions, victimize US businesses, and steal US identities.” The situation in North Korea has been dire due to sanctions imposed since 2017, and the COVID-19 pandemic has further exacerbated the country’s struggles.

This case highlights the ongoing challenges faced by US authorities in combating international cyber threats and ensuring the security of American businesses and individuals.