A US citizen who conspired to provide services to the Democratic People’s Republic of Korea (DPRK or North Korea) has been sentenced to 63 months in prison and fined $100,000.
Virgil Griffith, 39, was sentenced after pleading guilty to conspiracy to violate the International Emergency Economic Powers Act (IEEPA).
According to court documents, Griffith began formulating plans as early as 2018 to provide services to individuals in the DPRK by developing and funding cryptocurrency infrastructure there, including to mine cryptocurrency.
Griffith knew that the DPRK could use these services to evade and avoid US sanctions, and to fund its nuclear weapons program and other illicit activities.
Pursuant to the IEEPA and Executive Order 13466, US persons are prohibited from exporting any goods, services or technology to the DPRK without a license from the Department of the Treasury, Office of Foreign Assets Control (OFAC).
In April 2019, Griffith traveled to the DPRK to attend and present at the ‘Pyongyang Blockchain and Cryptocurrency Conference’ (the DPRK Cryptocurrency Conference). Even though the Department of State had denied Griffith permission to travel to the DPRK, Griffith delivered presentations at the DPRK Cryptocurrency Conference, tailored to the DPRK audience, knowing that doing so violated sanctions against the DPRK.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division and US Attorney Damian Williams for the Southern District of New York made the announcement.
The FBI’s New York Field Office investigated the case, with valuable assistance provided by the National Security Division’s Counterintelligence and Export Control Section, the Justice Department’s Office of International Affairs, and the Singapore Police Force.
Assistant US Attorneys Kimberly Ravener and Kyle A. Wirshba for the Southern District of New York and Trial Attorney Matthew J. McKenzie of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
The case highlights the risks of providing services to sanctioned nations and the importance of obtaining necessary licenses before engaging in such activities.
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Key Facts
- State: Federal
- Category: Cybercrime|White Collar Crime|Sanctions Evasion
- Source: DOJ Press Release â†â€â€
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