US Treasury Sanctions 3 Entities Involved in North Korea-Russia Arms Deal

The United States has imposed sanctions on companies involved in arms transactions between North Korea and Russia.

The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) announced sanctions on three entities on the 16th (local time), including Berus based in Russia, Verso in Slovakia, and Defense Engineering in Kazakhstan.

Ashot Mkrtchyan, the owner of these three companies, is reported to have mediated arms deals between North Korea and Russia in March and coordinated plans to transfer more than 20 types of weapons and ammunition from North Korea to Russia. Russia discussed military exchanges by exchanging weapons and food supplies, including sending materials such as food to North Korea.

As a result of this action, all assets of the sanctioned entities within the United States will be frozen. Transactions with U.S. individuals and institutions are also fully controlled.

In a statement, the Treasury Department said, "These entities supported arms transactions between North Korea and Russia," adding, "This is part of a strategy to define and identify third-party actions supporting Russia's war in Ukraine." It further stated, "Russia is increasingly relying on a few allies, including North Korea. To date, hundreds of entities and individuals related to Russia have been sanctioned."

Earlier, the British government also announced sanctions against Mkrtchyan on the 8th for mediating arms transactions between North Korea and Russia.

The United States continues to express ongoing concerns about the military closeness between North Korea and Russia. Recently, Russian Defense Minister Sergei Shoigu visited North Korea in line with the so-called 'Victory Day,' raising possibilities of military cooperation between the two countries.

Brian Nelson, Deputy Treasury Secretary, also emphasized, "We will continue efforts to root out North Korea's illegal financial networks supporting Russia's war," and stressed, "The United States will identify arms transactions aiding Putin's invasion of Ukraine."

This content was produced with the assistance of AI translation services.