China-US relations: Chinese shell firms accused of helping ZTE sell American tech to North Korea
- Ryer International and Rensy International said to have acted as go-betweens for Chinese tech giant between 2010 and 2016 in breach of sanctions
- The two companies and their representatives may have to forfeit close to US$1 million
The US government has filed for the two companies and their representatives to forfeit close to US$1 million.
“This complaint illuminates how procurement networks coordinate with front companies to move North Korean money through the United States to obtain US-origin technology in violation of sanctions and money laundering laws,” said Michael Sherwin, acting US attorney for the District of Columbia.
The criminal complaint alleges Ryer and Rensy acted as intermediaries to negotiate purchase contracts, request payments and receive the goods on behalf of the North Koreans.
It said also that two Chinese nationals who ran Ryer tried to direct the profits from their endeavours through the US government’s EB-5 immigrant investor programme, which can lead to permanent residency.