U.S. targets two individuals, three companies in new North Korea sanctions

An F.B.I. wanted poster of Kwek Kee Seng, who is accused of being involved in illicit ship-to-ship transfers of petroleum products to North Korea [SCREEN CAPTURE]

Washington added two individuals and three companies to its North Korea sanctions list for activities supporting Pyongyang’s military and weapons program.

The sanctions, announced by the U.S. Department of the Treasury’s Office of Foreign Assets Control last Friday, come as the North has been frequently test-firing missiles in recent weeks, including one that flew over Japan.

“The DPRK’s long-range ballistic missile launches, including over Japan demonstrate a continued disregard for United Nations Security Council resolutions,” said Brian Nelson, Under Secretary for Terrorism and Financial Intelligence.

DPRK is short for North Korea’s official name, the Democratic People’s Republic of Korea.

“The United States will continue to enforce multilateral sanctions and pursue the DPRK’s sanctions evasion efforts worldwide, including by designating those who support these activities.”

The latest sanctions specifically target Singapore-based Kwek Kee Seng; Taiwan-based Chen Shih Huan; Marshall Islands-registered company New Eastern Shipping Co Ltd; Singapore-registered Anfasar Trading (S) Pte. Ltd.; and Singapore-registered Swanseas Port Services Pte. Ltd.

In a statement, the Treasury Department accused the aforementioned of being involved in or linked to illicit ship-to-ship transfers to circumvent UN sanctions that restrict the import of petroleum products.

The two individuals and New Eastern Shipping Co Ltd were said to be involved in the ownership or management of the Courageous, a vessel that participated in several deliveries of refined petroleum to the North.

Known as the Sea Prime during much of its illicit activity, the Courageous is said to have conducted illegal ship-to-ship transfers with North Korean vessels, including at least one direct delivery in the North Korean city of Nampo.

“The Courageous engaged in deceptive shipping practices such as disabling its Automatic Identification System or AIS, conducting STS [ship-to-ship] transfers at night and in the Korea Bay (an area determined to be high-risk for sanctions evasion) and undertaking unnecessary detours to further obfuscate its true destination or origin," said the U.S. Treasury Department statement.

The U.S. government accused Kwek of closely coordinating and supervising the ship-to-ship transfers. Chen, who was identified as a business associate of Kwek, is accused of assisting in the coordination of the deliveries.

Anfasar Trading (S) Pte. Ltd. and Swanseas Port Services Pte. Ltd are said to be owned or controlled by Kwek.

As a result of the sanctions, any person or company in the United States, or any U.S. citizen, is prohibited from engaging in any transactions with the designated individuals or entities.

Last Tuesday, North Korea launched an intermediate-range ballistic missile, presumed to be a Hwasong-12, from Mupyong-ri in its northern Jagang Province, which flew 4,500 kilometers (2,796 miles) over Japan and into the Pacific Ocean.

The missile peaked at an altitude of 970 kilometers with a top speed of Mach 17.

It was the longest distance that a North Korean weapon has ever flown, and the first time the regime flew a missile over Japan since September 2017.

Pyongyang has fired four more missiles ever since that test, all short-range ballistic missiles that splashed into the East Sea. Two were tested last Thursday and two on Sunday.

BY LEE SUNG-EUN [lee.sungeun@joongang.co.kr]