WASHINGTON — The Obama administration on Monday widened the scope of U.S. financial penalties against North Korea, escalating pressure on the Pyongyang regime to give up its nuclear weapons.
The Treasury Department announced it is freezing the assets of several individuals, companies and organizations allegedly linked to Pyong yang’s nuclear program or to management of a vast network of illicit economic activities such as narcotics trafficking and money laundering.
Targeted entities include one variously known as Office 39 or Bureau 39, thought to control organizations inside North Korea and abroad that raise money for senior North Korean leaders. The enigmatic office produces, smuggles and distributes narcotics, the Treasury Department said, and handles the import of luxury goods intended for Kim Jong-Il, the top leader.
Stuart Levey, the Treasury Department’s undersecretary for terrorism and financial intelligence, told reporters that additional U.S. sanctions would be announced in the weeks ahead.
In a new step, President Barack Obama issued an executive order that penalizes certain North Korean activities said to violate U.N. Security Council resolutions.
In a letter to congressional leaders, Obama said these activities include arms sales, money laundering, the counterfeiting of goods and currency, bulk cash smuggling, and drug trafficking.
Secretary of State Hillary Rodham Clinton announced the administration’s intention to expand sanctions against North Korea when she was in Seoul in July.
