Hotbed of Remote Employment at U.S. Companies: 29 North Korean "Laptop Farms" Uncovered

U.S. Justice Department Raids 29 Laptop Farms in 16 States
Over 80 Stolen American Identities Used for Employment at 100 Companies
Four Suspects Wanted for Virtual Asset Theft

U.S. authorities have uncovered 29 so-called "laptop farms" that North Korean IT workers used to remotely gain employment at American companies as a means of earning foreign currency, according to reports by the Associated Press and other outlets on June 30 (local time).

According to the Associated Press and Politico, the U.S. Department of Justice, in cooperation with other agencies, searched 29 laptop farms across 16 states, freezing 29 financial accounts used for illegal money laundering and 21 fraudulent websites. Approximately 200 laptops were seized at the crime scenes.

The laptop farms operated by using stolen or forged American identification documents to help North Korean workers obtain IT jobs at U.S. companies. The workers would then remotely access laptops physically located in the United States to perform their job duties.

The Department of Justice stated that the North Korean workers involved in this case, with assistance from accomplices in the United States, China, the United Arab Emirates (UAE), and Taiwan, used more than 80 stolen American identities to obtain jobs at over 100 U.S. companies between around 2021 and October of last year. Some of these companies were included in the Fortune 500 list.

The total losses suffered by the victim companies?including legal fees and computer network restoration costs?are estimated to be at least $3 million (approximately 4.06 billion Korean won).

Among the cases, some North Korean workers remotely employed by U.S. companies gained access to sensitive information subject to International Traffic in Arms Regulations (ITAR) at a defense-related firm in California that develops artificial intelligence (AI)-based technologies.

The U.S. Attorney's Office for the Northern District of Georgia announced that four North Korean nationals have been indicted and are wanted for charges including the theft of company-owned virtual assets through remote employment.

John Eisenberg, U.S. Deputy Assistant Attorney General for National Security, told the Associated Press, "These schemes are designed to target U.S. companies, steal funds, evade sanctions, and support North Korea's weapons programs."