Connect with us

Business

North Korean operative reveals the inner workings of the IT scam

Published

on



For more than a decade, Kim Ji-min served as an IT worker inside a vast global scheme devised by North Korea’s authoritarian leadership to evade crushing financial sanctions. Kim has since defected to South Korea. Now, he is sharing his experience as a cog in the IT worker conspiracy employed by the Democratic People’s Republic of Korea to amass billions to fund its weapons of mass destruction program

The North Korean IT worker scheme has become one of the most urgent cybersecurity issues among global Fortune 500 businesses. Hundreds of companies have unknowingly hired thousands of North Korean IT workers in recent years, giving them access to personal information and intellectual property and paving the way for U.S. dollars to be used as a funding source for DPRK authoritarian ruler Kim Jong Un’s nuclear ambitions. U.S. authorities are publicizing the issue with joint warnings from the FBI and Department of Justice, alongside top cyber experts who have chosen to speak out about the threat. 

U.S. Attorney for the Northern District of Georgia Theodore S. Hertzberg told Fortune the office announced charges against four North Korean IT workers this week as part of an orchestrated publicity campaign to encourage business and tech leaders to better understand the threat they’re facing. 

“It is not uncommon for business owners to meet potential partners and employees online,” said Hertzberg in a statement. “But companies that work in this space would be wise to hire Americans and to thoroughly vet all potential employees and partners, preferably in person.”

Inside the IT worker operation

Kim was one among thousands of trained software developers deployed outside the DPRK to get lucrative jobs in tech using stolen identities. The delegations of workers are then forced to send the majority of their earnings to the government—part of a global money-making and laundering empire that generates up to $600 million a year, according to UN estimates, not including the billions stolen in crypto heists. 

Kim told Fortune his minimum earnings target was $5,000 per month up until the COVID-19 pandemic led to a boom in the remote IT sector. Once remote-work offerings exploded, his target amount doubled. Typically, the money was converted to U.S. dollars at local work sites overseas and then delivered either directly to North Korean headquarters or to a representative of the headquarters abroad. 

“My primary job was to earn foreign currency through IT services,” said Kim, according to an email translation of his interview responses. “However, during the COVID-19 pandemic, I often received additional instructions to intensify regime propaganda online as well.”

Kim’s interview was facilitated by People for Successful Corean Reunification (PSCORE), which provided translation and access. PSCORE was founded in 2006 by Kim Young-Il, a North Korean defector, and the group has worked with thousands of other former DPRK citizens who have since fled the country. PSCORE retains UN Economic and Social Council consultative status, which allows it to participate in UN meetings and research. 

Kim is living in South Korea under an alias to avoid endangering his friends and family, who could be targeted by the DPRK government in retaliation for his actions and interviews with U.S. media. That chilling calculus keeps most North Korean IT workers in line, PSCORE secretary general Bada Nam told Fortune

According to Nam, the regime’s reach and control extends far beyond individual IT and other workers stationed abroad. 

“Not only their immediate family members, but even distant relatives could get punished if a relative escapes from North Korea,” said Nam. “They are sending the message to the entire people of North Korea, ‘If any family member defects from North Korea or betrays their fatherland, then they will get punished.’”

Those who remain behind are often under constant and severe surveillance, Nam explained. DPRK government workers might be following a defector’s family members in addition to entire neighborhoods. The consequences of a defection can be devastating.

“In some cases, they send the entire family to political prison camp and they cannot get out of that camp for their entire life,” he said. 

Despite the risk, Kim has chosen to break his silence by answering questions from select news outlets. 

Deception Tactics

Kim’s method of disguising his true identity was elaborate and involved the use of popular tech networking and job websites. 

“I used platforms like Facebook, LinkedIn, Freelancer.com, and Upwork.com to pose as a client and post project listings,” Kim said. “I would then contact developers, negotiate with them—including handling payment—and gain access to their accounts.”

Using the identities of those who engaged with him on those platforms, whether they were European or American, Kim would then disguise himself using the identities of those who had sent bids to him. Thus, he was using real, verified identities in order to conceal his own, he said. Kim posted on other platforms as well, including Freelance.com, Guru.com, and Toptal, he said.

In his work, Kim received and carried out development orders from multiple American companies, with his main area of work focused on e-commerce shopping sites and occasionally mobile app development. In Europe, he worked on developing a healthcare app. Kim declined to name any specific companies because he said sharing specifics could lead to inferences about his personal information.   

While Americans in the U.S. have been indicted for knowingly taking part in the North Korean IT worker scheme by renting out their identities or hosting laptop farms in their homes, in Kim’s experience, the Americans who were involved in the scheme were unwitting. He pushed back against a question referring to Americans involved in the scheme as “accomplices.” 

“It would be more appropriate to say they were simply clients who placed orders for work,” he said. “They had no idea we were from North Korea.”

He described the conditions he worked under as “relatively decent.” The workspace and sleeping quarters were “sufficiently spacious” and the food conditions were “good.” But work could also turn brutal if the IT workers weren’t delivering on their financial targets.

“We were required to work a minimum of 10 hours a day, and if we failed to meet the assigned targets, we were sometimes forced to work more than 18 hours a day,” he said. 

He denied ever being asked to share information with DPRK workers who engaged in crypto heists and claims he had “no contact whatsoever with individuals involved in those activities.”

Direct contact with Kim’s family wasn’t possible, he said. During phone calls between his overseas team and the headquarters in North Korea, the IT workers would occasionally get brief updates about major family issues, although in principle, sharing personal family matters was forbidden. 

“We could receive information if it was truly serious and deemed necessary,” he said. “Conversely, in cases where something significant happened abroad—such as an accident or serious illness—the information could also be relayed back to our families through North Korean headquarters.”

Life after the Scheme

Kim’s decision to defect comes at an enormous personal cost, in addition to the harsh reality that his family and even distant relatives could be in danger because of him. Nam said that fear—coupled with extreme personal risk—creates a psychological trap that stops most DPRK citizens from even thinking about escaping. If families attempt to contact defectors, it can become another tool for DPRK control. 

“The regime could pressure the family to contact the defector in South Korea, asking them for small favors,” said Nam. “If the defector responds, sending any information can slowly turn into a situation where they are being used as an unwilling source of information.”

Nam said some defectors have been recaptured afterward because they contacted family members. 

For now, Kim remains in South Korea facing an uncertain future. He is skilled in IT so he plans to continue working in the field, but the psychological scars remain. 

“As for how I feel—it’s a mix of the joy of gaining freedom and the sorrow of losing my family,” said Kim. “From my perspective, it feels like I’ve lost more than I’ve gained.”

He estimates there are thousands of IT workers operating the way he was, some overseas and others inside North Korea. 

In response to a request, a Meta spokesperson declined to comment. LinkedIn directed Fortune to its update on fighting fake accounts. Upwork directed Fortune to its approach to state-sponsored threats. Freelance.com., Freelancer.com, Guru.com, and Toptal did not immediately respond to requests for comment.



Source link

Continue Reading

Business

Hero bystander who tackled Bondi gunman praised by Trump, Ackman

Published

on



A bystander who rushed and disarmed one of the Bondi Beach attackers has won praise from leaders around the world, including US President Donald Trump and hedge fund billionaire Bill Ackman, who announced a reward program for community heroes.

Extraordinary footage of the civilian’s actions began circulating on social media on Sunday, shortly after two men, later identified as a father and son, started shooting into a crowd gathered to celebrate the first day of Hanukkah. The massacre has left at least 16 people dead in the worst terrorist attack in Australia’s history. 

Read More: Sixteen People Killed in Bondi Beach Hanukkah Terror Attack 

In the mobile-phone video, which has not been verified by Bloomberg News, one of the attackers is standing near a tree and firing. A few meters away, a crouched man emerges from behind a parked car. He grabs the shooter from behind and wrestles the weapon from his hands. Local media named the bystander as Ahmed el Ahmed, a 43-year-old father-of-two from south Sydney. He was shot twice and is being treated in the hospital, according to reports.

He was also soon lauded for his feat. Trump said at the White House that Ahmed had saved many lives and expressed “great respect” for him. In Sydney, New South Wales Premier Chris Minns went further, describing Ahmed’s wrestle with the shooter as “the most unbelievable scene I’ve ever seen.”

“That man is a genuine hero and I’ve got no doubt there are many, many people alive tonight as a result of his bravery,” Minns said at a press conference late Sunday.

Australian Prime Minister Anthony Albanese also praised Ahmed, and other bystanders who helped treat victims in the immediate aftermath of the shooting. 

“People rushing towards danger to show the best of the Australian character,” Albanese told reporters Monday. “That’s who we are, people who stand up for our values.” 

Pershing Square Capital Management’s founder Ackman called Ahmed  “a brave hero” and said his hedge fund firm would establish a reward program for people who had carried out similar acts.

The top donor to a gofundme page set up for the “hero” who tackled the shooter is listed as William Ackman, who gave $99,999. More than $170,000 has been raised so far. 

Salesforce Inc. Founder and Chief Executive Officer Marc Benioff also expressed his gratitude for Ahmed in a post on X.



Source link

Continue Reading

Business

A ‘new era’ in the housing market is about to begin as affordability finally improves

Published

on



Next year should mark a shift in the housing market after years of largely being frozen in place, according to Mike Simonsen, chief economist at top residential real estate brokerage Compass.

Home sales flatlined amid unaffordable conditions after rising demand collided with tepid supply growth, pushing up home prices. Would-be buyers became so discouraged that demand cooled and remains slow.

Prices are now becoming more favorable for house hunters, a trend that should continue in 2026 and change the narrative in the housing market.

“In the next era, that story flips. So sales are starting to move higher, but prices are capped or maybe down. Incomes are rising faster than prices, and so affordability improves for the first time in a bunch of years,” Simonsen told CNBC on Friday. “It’s not a dramatic improvement, but it’s the start of the new era.” 

His view echoes a recent report from Redfin, which also cited stronger income and weaker homes prices as it predicted a “Great Housing Reset” in 2026.

In addition to potential buyers giving up on finding an affordable home, sellers have been giving up on finding someone willing to buy at the price they want.

As a result, the number of homes that were withdrawn from the market jumped this year. In June, these so-called delistings shot up 47% from a year earlier.

Simonsen said listing withdrawals tend to be owner-occupied homes, meaning they could be latent demand as well as supply. That’s because two transactions would be needed: owners want to buy a new home but must sell their current one.

“In an environment where conditions improve a little bit, we actually estimate that that’s a representation of shadow demand—people that want to move, people that have delayed moves for maybe four years now,” he said, adding that there are about 150,000 such homeowners.

His housing market outlook for a new era of improving affordability doesn’t depend on a steep drop in mortgage rates. In fact, a plunge might spur so much demand that prices would overheat.

Simonsen expects rates to stay in the low-6% range, allowing sales to grow while also keeping home prices in check as more inventory comes on the market.

The price environment is already showing auspicious signs for prospective buyers. More than half of U.S. homes have dropped in value over the last year, but homeowners can still sell with a net gain as values are up a median 67% since their home’s last sale, accordion to data from Zillow.

And a separate report fromZillow found that homebuyers are getting record-high discounts. While the typical individual discount remains $10,000, desperate sellers are increasingly offering multiple reductions as muted demand leaves homes on the market for longer. As a result, the cumulative price cut in October hit $25,000.

“Most homeowners have seen their home values soar over the past several years, which gives them the flexibility for a price cut or two while still walking away with a profit,” Zillow Senior Economist Kara Ng said in a statement last month. “These discounts are bringing more listings in line with buyers’ budgets, and helping fuel the most active fall housing market in three years. Patient buyers are reaping the rewards as the market continues to rebalance.”



Source link

Continue Reading

Business

Attacker who killed US troops in Syria was a recent recruit to security forces

Published

on



A man who carried out an attack in Syria that killed three U.S. citizens had joined Syria’s internal security forces as a base security guard two months earlier and was recently reassigned amid suspicions that he might be affiliated with the Islamic State group, a Syrian official told The Associated Press Sunday.

The attack Saturday in the Syrian desert near the historic city of Palmyra killed two U.S. service members and one American civilian and wounded three others. It also wounded three members of the Syrian security forces who clashed with the gunman, interior ministry spokesperson Nour al-Din al-Baba said.

Al-Baba said that Syria’s new authorities had faced shortages in security personnel and had to recruit rapidly after the unexpected success of a rebel offensive last year that intended to capture the northern city of Aleppo but ended up overthrowing the government of former President Bashar Assad.

“We were shocked that in 11 days we took all of Syria and that put a huge responsibility in front of us from the security and administration sides,” he said.

The attacker was among 5,000 members who recently joined a new division in the internal security forces formed in the desert region known as the Badiya, one of the places where remnants of the Islamic State extremist group have remained active.

Attacker had raised suspicions

Al-Baba said the internal security forces’ leadership had recently become suspicious that there was an infiltrator leaking information to IS and began evaluating all members in the Badiya area.

The probe raised suspicions last week about the man who later carried out the attack, but officials decided to continue monitoring him for a few days to try to determine if he was an active member of IS and to identify the network he was communicating with if so, al-Baba said. He did not name the attacker.

At the same time, as a “precautionary measure,” he said, the man was reassigned to guard equipment at the base at a location where he would be farther from the leadership and from any patrols by U.S.-led coalition forces.

On Saturday, the man stormed a meeting between U.S. and Syrian security officials who were having lunch together and opened fire after clashing with Syrian guards, al-Baba said. The attacker was shot and killed at the scene.

Al-Baba acknowledged that the incident was “a major security breach” but said that in the year since Assad’s fall “there have been many more successes than failures” by security forces.

In the wake of the shooting, he said, the Syrian army and internal security forces “launched wide-ranging sweeps of the Badiya region” and broke up a number of alleged IS cells. The interior ministry said in a statement later that five suspects were arrested in the city of Palmyra.

A delicate partnership

The incident comes at a delicate time as the U.S. military is expanding its cooperation with Syrian security forces.

The U.S. has had forces on the ground in Syria for over a decade, with a stated mission of fighting IS, with about 900 troops present there today.

Before Assad’s ouster, Washington had no diplomatic relations with Damascus and the U.S. military did not work directly with the Syrian army. Its main partner at the time was the Kurdish-led Syrian Democratic Forces in the country’s northeast.

That has changed over the past year. Ties have warmed between the administrations of U.S. President Donald Trump and Syrian interim President Ahmad al-Sharaa, the former leader of an Islamist insurgent group Hayat Tahrir al-Sham that used to be listed by Washington as a terrorist organization.

In November, al-Sharaa became the first Syrian president to visit Washington since the country’s independence in 1946. During his visit, Syria announced its entry into the global coalition against the Islamic State, joining 89 other countries that have committed to combating the group.

U.S. officials have vowed retaliation against IS for the attack but have not publicly commented on the fact that the shooter was a member of the Syrian security forces.

Critics of the new Syrian authorities have pointed to Saturday’s attack as evidence that the security forces are deeply infiltrated by IS and are an unreliable partner.

Mouaz Moustafa, executive director of the Syrian Emergency Task Force, an advocacy group that seeks to build closer relations between Washington and Damascus, said that is unfair.

Despite both having Islamist roots, HTS and IS were enemies and often clashed over the past decade.

Among former members of HTS and allied groups, Moustafa, said, “It’s a fact that even those who carry the most fundamentalist of beliefs, the most conservative within the fighters, have a vehement hatred of ISIS.”

“The coalition between the United States and Syria is the most important partnership in the global fight against ISIS because only Syria has the expertise and experience to deal with this,” he said.

Later Sunday, Syria’s state-run news agency SANA reported that four members of the internal security forces were killed and a fifth was wounded after gunmen opened fire on them in the city of Maarat al-Numan in Idlib province.

It was not immediately clear who the gunmen were or whether the attack was linked to the Saturday’s shooting.



Source link

Continue Reading

Trending

Copyright © Miami Select.