The United States had put sanctions on Chinese industrial machinery and equipment wholesaler Dandong Hongxiang Industrial Development Co (DHID) and four of its executives, under U.S. regulations targeting proliferators of weapons of mass destruction.
USA accused the firm of acting on behalf of North Korea’s Korea Kwangson Banking Corp (KKBC), which has been under U.S. and U.N. sanctions for supporting proliferation of weapons of mass destruction.
USA had filed criminal charges against the Chinese firm and the executives for using front companies to evade sanctions on North Korea’s nuclear weapons and ballistic missile programs.
The charges accuse the firm and the individuals of conspiring to violate sanctions rules and engaging in international money laundering.
The Bank accounts associated with the firm and front companies received hundreds of millions of dollars that transited through the United States.
This new step will further tighten the financial noose on North Korea’s nuclear programme.