WASHINGTON – The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) today announced the designation of North Korean financial institution Bank of East Land (aka Dongbang Bank) for its facilitation of weapons-related transactions for, and other support to, designated arms manufacturer and exporter Green Pine Associated Corporation (Green Pine).
Today’s designation was taken pursuant to Executive Order (E.O.) 13551, signed by President Obama in August 2010. E.O. 13551 targets North Korea’s importation and exportation of arms, importation of luxury goods, and other illicit activities, including money laundering, the counterfeiting of goods and currency, bulk cash smuggling, and narcotics trafficking.
“Bank of East Land is a major conduit for facilitating North Korea’s conventional arms trade,” said Acting Under Secretary for Terrorism and Financial Intelligence David S. Cohen. “Today’s designation exposes North Korea’s efforts to circumvent sanctions to conduct illicit activities and degrades its ability to abuse the international financial system.”
Bank of East Land has facilitated financial transactions for the benefit of Green Pine, a conventional arms manufacturing firm and arms exporter identified for sanctions in the Annex to E.O. 13551 for exporting arms or related materiel from North Korea. Bank of East Land has actively worked with Green Pine to transfer funds in a manner that circumvents sanctions.
In 2007 and 2008, Bank of East Land facilitated transactions involving Green Pine and designated Iranian financial institutions, including Bank Melli and Bank Sepah.
Bank of East Land has also facilitated financial transactions for the benefit of North Korea’s Reconnaissance General Bureau’s (RGB) weapons program. The RGB, which controls Green Pine, was also identified for sanctions in the Annex to E.O. 13551.
The RGB is North Korea’s premiere intelligence organization and is involved in the government’s conventional arms trade. Green Pine specializes in the production of maritime military craft and armaments, such as submarines, military boats and missile systems, and has exported torpedoes and technical assistance to Iranian defense-related firms.
Entity: Bank of East Land
AKA: Dongbang Bank
AKA: Tongbang U’nhaeng
AKA: Tongbang Bank
Address: PO Box 32, BEL Building, Jonseung-Dung,
Moranbong District, Pyongyang, North Korea