The man would collaborate with North Korean hackers and set up gambling websites which were later sold for profit
South Korean prosecutors have indicted a man in his 50s, originally from the country, who operated an intricate network of illegal gambling websites. The person would open the websites and then sell them for profit with the help of North Korean hackers.
Man Teams Up with North Korean Hackers to Sell Gambling Sites
The hackers are said to have been working with North Korea’s Munitions Industry Department’s 313 Bureau, drawing attention from prosecutors and other law enforcement. Because of this, the man, known simply as Kim, per his surname, has been charged under the National Security Act as well as the Act on Regulation and Punishment of Criminal Proceeds Concealment.
According to investigators, Kim collaborated with the hackers, who were also active in China, and worked with them to open 16 illegal gambling websites between 2022 and 2024. Once the websites were developed, they were sold off to other operators.
The hackers would ensure that Kim was not hindered by technological glitches and could continue to develop the websites without worrying about the technological side of the operation.
Kim would help direct the hackers’ efforts towards creating automated solutions and advertising that helped further boost the profile of these websites. Kim is said to have exchanged 1,181 messages with the hackers over Telegram and other platforms between October and November 2023, using his mobile phone.
Kim Finally Arrested on His Return to South Korea
He is said to have generated as much as $17.2 million from illegal sales, as well as commissions on gambling credits, investigators claimed in their exposé. About one-third of all of his generated profits were transferred to the North Korean hackers, who funneled them back into the country’s economy.
Kim also lived in China for a while as he was looking to push his operations further afield and ensure that they are more profitable. He was finally arrested in November by the police and indicted on the above-stated charges.
This is another big bust for authorities in South Korea, after the country’s police and prosecutors managed to dismantle a ring of illegally run gambling websites which had amassed $61 million in revenue.
