Search Results for: Unplugged

December 15, 2010

Kim Jong Il, Unplugged Again

First, I’ll just say that I have nothing to say about Eric Clapton that I didn’t say more than two years ago. We’ve already heard Eric Clapton unplugged. The economic unplugging of Kim Jong Il is a more consequential thing, one that I see as closely related to domestic discontent inside North Korea. My suspicion, though it is not yet supported by much direct evidence, is that these recent developments have reduced him to new lows of extortionate desperation. When...

Categories Defectors/NK Economics/Sanctions
January 9, 2007

Kim Jong Il Unplugged, Part 17

After North Korea showed up at last month’s disarmament talks just long enough to give the United States the finger, you wouldn’t expect us to go wobbly on our financial measures against North Korea’s financing of WMD’s, counterfeit currency, and other illegal proceeds.  With the passage of U.N. Security Council Resolutions 1695 and 1718, those measurements have become requirements.  The good news is that we’re not going wobbly. Treasury, mainly in the physical form of Undersecretary Stuart Levey, has been...

Categories "United" Nations/Axis of Evil/Counterfeiting/Iran/Money Laundering/NK Economics/WMD
January 2, 2007

Kim Jong Il Unplugged, Part 16

East Asia Commercial Bank of Vietnam closed all accounts linked to North Korea on Wednesday after the Macau government indicated it will keep the North’s accounts in its own Banco Delta Asia frozen “as long as legally possible. EACB has been acting as a correspondent bank for customers to remit money to and from North Korea. The U.K. Financial Times on Thursday quoted a letter from EACB deputy general director Nguyen Thi Ngoc Van to its North Korean customers and...

Categories NK Economics/Six-Party Talks
November 29, 2006

Kim Jong Il Unplugged, Part 15

The United States has leaked a new set of sanctions on “luxury items” that can no longer be exported to North Korea, in accordance with U.N. Security Council Resolution 1718: [T]he list of proposed luxury sanctions, obtained by The Associated Press, aims to make Kim’s swanky life harder: No more cognac, Rolex watches, cigarettes, artwork, expensive cars, Harley Davidson motorcycles or even personal watercraft, such as Jet Skis. Electronic goods like I-pods and plasma TV’s are also banned.  Defectors helped...

Categories "United" Nations/Appeasement/Kim Jong Il/Kremlinology/Washington Views
October 21, 2006

Dance, Little Piggy! (Kim Jong Il Unplugged, Part 14)

Most observers had speculated, since at least 1994 or so, that North Korea has the capacity to create a crude nuclear weapon. That appears to be exactly what they demonstrated recently, meaning that the only real news was our need to recalibrate Kim Jong Il’s brass-to-brains ratio. I didn’t guess whether he’d actually go through with it, but I did believe that he’d try to time it just before the U.S. election if he did. I also guessed that if...

Categories An Alliance?/Anti-Americanism/Appeasement/China & Korea/Diplomacy/U.S. & Korea
October 15, 2006

U.N.S.C.R. 1718: Who Won, Who Lost (Kim Jong Il Unplugged, Part 13)

John Bolton: Winner. I’d like to hear John Bolton’s critics deny that, as with Resolution 1695, he has wrung far more effectiveness from the U.N. than we had come to expect. Not only should we confirm this man, pronto, we should clone him. Madeleine Albright never got results like these. The United States: Winner. We got everything we really wanted here: help constricting Kim Jong Il’s financial arteries the right to search his ships and planes. an embargo on the...

Categories "United" Nations/Appeasement/China & Korea/Counterfeiting/Diplomacy/Drugs & N Korea/Geopolitics/Japan/Japan & Korea/Money Laundering/U.S. & Korea/WMD
October 11, 2006

Kim Jong Il Unplugged, Part 12

“If the U.S. keeps pestering us and increases pressure, we will regard it as a declaration of war and will take a series of physical corresponding measures,” the North’s Foreign Ministry said in a statement carried by the official Korean Central News Agency. Well, what on earth did they expect?  Applause?  Mind you, they still have the chutzpah to say they want to disarm, but the last time they said that was just hours before their alleged nuke test.  Meanwhile,...

Categories China & Korea/Japan & Korea/NK Economics/WMD
September 22, 2006

Kim Jong Il Unplugged, Part 11: Eyes on Seoul

Green eyeshades are turning toward Seoul, Kaesong, and Kumgang.  If you think things were bad before, this is where U.S.-Korea relations will be severely tested.  The U.S. Treasury Department isn’t going to put up with Seoul acting as Kim Jong Il’s financier for long, and  with the  likely exceptions of some shady  Russian banks  and whatever China is secretly providing at the state-to-state level, South Korea is Kim Jong Il’s last cash cow. Kumgang That poll yesterday — the one...

Categories Appeasement/Money Laundering/NK Economics/U.S. & Korea
September 19, 2006

Kim Jong Il Unplugged, Part 10: The First Shoe Drops

Japan and Australia have imposed sanctions on a series of the companies Kim Jong Il uses to collect foreign currency and dual-use items. In Japan’s case, this includes shutting off a substantial income source for the North: cash remittances from ethnic Koreans in Japan: The sanctions will effectively freeze North Korea’s assets in Japan by banning withdrawals and overseas remittances from the targets’ accounts in Japanese banks. This is about as robust an option as I had predicted here, although...

Categories Money Laundering/NK Economics/WMD
September 8, 2006

Kim Jong Il Unplugged, Part 9

The Treasury Department is not through with Kim Jong Il. Undersecretary Stuart Levey has set his sights on two of North Korea’s last two lifelines, South Korea and now, Russia: The United States is not yet satisfied with the results of sanctions aimed at changing North Korea despite the impact the sanctions have had, a senior Treasury official said Friday. The U.S. will watch how the situation develops with Russia, which reportedly has become one of the very few havens...

Categories Money Laundering/NK Economics
September 5, 2006

Kim Jong Il Unplugged, Part 8

Nigel Cowie, North Korea’s most “legitimate” banker, is selling out, and this time, that’s not just a moral judgment. Richardson links this piece, written by none other than Bradley K. Martin, indicating that he’s selling his Daedong Credit Bank to the British-based Koryo Group, but will stay on to help manage the bank. As for the issue of Daedong’s much-proclaimed legitimacy, Martin adds what strikes me as a highly salient fact: The minority owner of Daedong Credit is Korea Daesong...

Categories Appeasement/Counterfeiting/Drugs & N Korea/Money Laundering/NK Economics/WMD
September 4, 2006

Kim Jong Il Unplugged, Part 7 (Updated)

[Update: My closing comment below about an expansion of our goals was an understatement: The U.S. Treasury Department, in a shift in its policy toward North Korea, has decided to treat all transactions involving the nation as suspect and subject to sanctions while dictator Kim Jong Il develops nuclear weapons. “Given the regime’s counterfeiting of U.S. currency, narcotics trafficking and use of accounts worldwide to conduct proliferation-related transactions, the line between illicit and licit North Korean money is nearly invisible,”...

Categories Counterfeiting/Money Laundering/NK Economics
August 29, 2006

Kim Jong Il Unplugged, Part 6

From the AP: The financial noose is tightening around North Korea as international banks sever ties with the nation – a move championed by the United States, a top Treasury Department official says. [….] “There is sort of a voluntary coalition of financial institutions saying that they don’t want to handle this business anymore and that is causing financial isolation for the government of North Korea,” Stuart Levey, the Treasury Department’s undersecretary for terrorism and financial intelligence, said in an...

Categories Counterfeiting/Drugs & N Korea/Money Laundering/NK Economics
August 23, 2006

Kim Jong Il Unplugged, Part 5

Stuart Levey’s visit to Asia last month is paying off. Yet another nation is cutting off Kim Jong Il’s finances. Vietnamese banks have already closed down North Korean accounts over the past few weeks, most likely forcing Pyongyang to move its money to its last remaining haven, Russia, said Peter Beck, head of the International Crisis Group’s Seoul office, on Tuesday. Beck said Nigel Cowie, general manager of North Korea’s Daedong Credit Bank in Pyongyang, e-mailed him last week and...

Categories Appeasement/Counterfeiting/Drugs & N Korea/NK Economics
August 19, 2006

Kim Jong Il Unplugged, Part 4: Smoke ‘em While You’ve Got ‘em.

Several months ago, some misguided BBC staffer asked me to fight above my weight and debate former Ambassador Donald Gregg about the allegation that British American Tobacco was secretly making cigarettes in North Korea. (The debate was for a pilot program and never aired.) At the time, I argued that the decision to grow or import tobacco should also be viewed as a decision not to grow or import food. Amb. Gregg, now president of the Korea Society, is a...

Categories Axis of Evil/Counterfeiting/Drugs & N Korea/Japan/NK Economics/Washington Views
August 8, 2006

Kim Jong Il Unplugged, Part 3

Two interesting reports from the region this week. One is this report that Japan is considering money laundering sanctions against North Korea, similar to those the United States has used with apparent success. There is also a new report that China, directly confronted by U.S. satellite photos, forced the cancellation of a flight that was to have carried North Korean missile parts to Iran. While I doubt China would sign on to a general boycott or sanctions effort, China is...

Categories Axis of Evil/China/China & Korea/Iran/Japan/Japan & Korea/NK Economics
August 7, 2006

Kim Jong Il Unplugged, Part 2

During Treasury Undersecretary Stuart Levy’s recent visit to a series of Asian nations, I wondered just how Treasury’s green eyeshades had landed on a particular series of bank accounts that attracted his attention. Via a U.S. Treasury official who spoke with the Donga Ilbo, we now know that the answer is linked to the first two questions I asked after the mass arrests that came of Operation Smoking Dragon last August: 1. Were any North Korean nationals caught or implicated?...

Categories Counterfeiting/NK Economics