Manhattan U.S. Attorney Announces Arrest Of United States Citizen For Assisting

[Baofeng]

Manhattan U.S. Attorney Announces Arrest Of United States Citizen For Assisting North Korea In Evading Sanctions

Manhattan U.S. Attorney Announces Arrest Of United States Citizen For Assisting North Korea In Evading Sanctions

Geoffrey S. Berman, the United States Attorney for the Southern District of New York, John C. Demers, the Assistant Attorney General for National Security, John Brown, Assistant Director of the Federal Bureau of Investigation (“FBI”) Counterintelligence Division, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the FBI, announced today the unsealing of a criminal complaint charging VIRGIL GRIFFITH, a United States citizen, with violating the International Emergency Economic Powers Act (“IEEPA”) by traveling to the Democratic People’s Republic of Korea (“DPRK” or “North Korea”) in order deliver a presentation and technical advice on using cryptocurrency and blockchain technology to evade sanctions.  GRIFFITH was arrested at Los Angeles International Airport yesterday and will be presented in federal court in Los Angeles later today.

U.S. Attorney Geoffrey S. Berman stated:  “As alleged, Virgil Griffith provided highly technical information to North Korea, knowing that this information could be used to help North Korea launder money and evade sanctions.  In allegedly doing so, Griffith jeopardized the sanctions that both Congress and the president have enacted to place maximum pressure on North Korea’s dangerous regime.”

https://www.justice.gov/usao-sdny/pr/manhattan-us-attorney-announces-arrest-united-states-citizen-assisting-north-korea

What can you say about this moved by the US government though? Did Virgil broke any laws here that constitute an arrest?

[figmentofmyass]

What can you say about this moved by the US government though? Did Virgil broke any laws here that constitute an arrest?

i'm not sure which resolution he broke exactly, but probably. the sanctions on north korea are endless, and they include things like "specialized teaching or training" and "science and technological cooperation". according to wikipedia, sanctions extend to "general travel and trade"---not sure on all the specifics.

needless to say, this guy didn't run this by his lawyer first. he's an american citizen going to north korea to explain cryptocurrency as a means for sanctions evasion and money laundering, seriously? and then flying to los angeles to boot?!

[squatter]

I've never heard of him before, but apparently he's well known in the computer programming world. He's had a Wikipedia for years.

The DOJ press release makes it sound like he was directly advising the North Korean government or something, but the charges apparently stem from his attendance at a blockchain conference in Pyongyang this past April. I'm curious what he presented exactly. I wonder if there are any videos floating around online...

[malevolent]

Looks pretty bad for him if true, what was he thinking? And why is it only now that he's getting arrested? Looks like US authorities weren't so confident they could extradite him from Singapore and decided to wait till him flies in to the US.

[Hueristic]

https://en.wikipedia.org/wiki/Virgil_Griffith


Sounds like someone I would have liked, I can't imagine what he could have given them that they could not have learned one of a hundred other ways. It's not like all this isn't FOSS. I think he made enemies in high places and made the mistake of giving them the excuse they needed. This is what happens when TPTB fear you.

[SaShiRaJaVu]

But we can't certain what advise he gives to North Korea though, obviously there will be no videos here. But let's see what US Attorney will present in this case.

I doubt how they collected these information unless they are monitoring every communication, it is interesting how the US attorney will be presenting the case and what evidence they have against him and how they collected those information to begin with and i would like to know these technical things and what is shared to launder money and evade sanctions, is there a magical recipe  and i guess they will come up with a finding that North Korea is using bitcoin to counter sanctions .

[CryptoBry]

Of course, he can be arrested if he broke the law connected to the sanction against North Korea. As a USA citizen, he should know better and should have asked advice and permission first from the right agency in the USA on his travel and what the things he will be doing in that county. Just because a person is in cryptocurrency does not mean that we can skip the law and that authorities will just let us go scot-free. In fact, I would say that if we are in the cryptocurrency industry, the more we should be cautious and be aware of the existing laws on things we are doing. We should not be seeking to be above the law and then use the cause of freedom when we are caught doing something not allowed. This is just my personal opinion, by the way.

[Kemarit]

But we can't certain what advise he gives to North Korea though, obviously there will be no videos here. But let's see what US Attorney will present in this case.

I doubt how they collected these information unless they are monitoring every communication, it is interesting how the US attorney will be presenting the case and what evidence they have against him and how they collected those information to begin with and i would like to know these technical things and what is shared to launder money and evade sanctions, is there a magical recipe  and i guess they will come up with a finding that North Korea is using bitcoin to counter sanctions .

Yes, that is the big question mark here, how the hell they did collected all the evidences in the first place. Perhaps they have insider or spy within the North Korean circles and reported back what Virgil is presenting to the communist government?

So let's see how everything will pan out in the court, but it seems to me that Virgil is already guilty. And it also noted who will defend him, as this might set a precedent to the crypto community.

[chaoscoinz]

Yes, I think that Virgil did violate the law, an international policy named [IEEPA] International Emergency Economic Powers Act. He went overseas and tried to supplant another country's financial and economic system by introducing a foreign type of asset investment in the form of cryptocurrencies.
   According to the [IEEPA] you can't do that. It could fuck up another country's economy pretty badly. He should have practiced his due diligence and sought after legal guidance first before jumping the gun, flying out to a country that has strict laws against its citizens (North Korea), which has constant conflict with the U.S, trying to re-ducate their country's citizens.

[avikz]

I support US government's move in this case! Let's not see it as an arrest of a crypto programmer to teach crypto technicalities! We also need to see where he had bestowed his crypto knowledge! North Korea is a dangerous country and with power in their hand, they can become a big threat to the world! So US government has taken the right step! The dictator of North korea is a psychopath and he can ruin the entire world! Helping such a terrorist, is definitely not a good deed!

[Harlot]

The question really here is if Griffith really presented crypto as a way to avoid intentionally or not. If he just lectured them about crypto and they are the ones to find loopholes about avoiding sanctions then Griffith isn't guilty of anything, he simply just presented cryptocurrencies and that's it, they are like trying a gun seller because their guns are used in a criminal activity which is something silly to begin with. Even if he is unconsciously teaching them about ways to avoid sanction it still doesn't merit any kind of offense as the North Koreans might have tricked him into saying some.

[gentlemand]

But we can't certain what advise he gives to North Korea though, obviously there will be no videos here. But let's see what US Attorney will present in this case.

It kind of reminds me of them trying to class encryption software as munitions to illegalise its export. He'll be regarded as wee knowledge bomb and they may not care what he actually came out with on the day.

An incredibly dimwitted move on his part. Even crypto dumbos know the DPRK have something to do with crypto and it's not for the greater good. Regardless of the injustice of this, it's one hell of a lot easier to simply say no thanks and get on with your life.

[figmentofmyass]

I support US government's move in this case! Let's not see it as an arrest of a crypto programmer to teach crypto technicalities! We also need to see where he had bestowed his crypto knowledge! North Korea is a dangerous country and with power in their hand, they can become a big threat to the world! So US government has taken the right step! The dictator of North korea is a psychopath and he can ruin the entire world! Helping such a terrorist, is definitely not a good deed!

it's a bit more complicated than "north korea bad, USA good". tabling the discussion of nuclear arms, the sanctions are having brutal effects on ordinary north koreans---shortage of food and vital medicine, for one. so sanctions evasion should also be viewed through a humanitarian lens.

The ban on employing North Korean workers in the construction sectors of Russia, China, and other countries deprived tens of thousands of North Korean workers of potential earnings, hurting workers and their families. Sanctions have hampered the activities of humanitarian agencies and foundations (U.S.-based humanitarian agencies have faced additional difficulties following the United States’ ban on travel to North Korea). As a result, large areas of the country face increased food insecurity and a shortage of vital medicines. The ban on imports of a number of goods (including oil and petroleum products in excess of volumes allowed by UNSC Resolutions, as well as luxury goods and foodstuffs) has fueled a growth in smuggling and “gray” import volumes as well as foreign-flagged vessel operations. In general, the number of intermediaries in supply chains has increased, meaning more suppliers along the way are charging an excess fare for “risks” undertaken, thus making the final cost of goods unaffordable for ordinary North Koreans.

[Baofeng]

Update: The judge allow Virgil to be released on a $1 million bond:



https://twitter.com/innercitypress/status/1211682421634195456

You can follow that twitter account for a detailed timeline of the case.

[Yaunfitda]

So $1 million bond + putting his whole family up for collateral?

And it looks like there is a verdict already  :

Judge Broderick tells Virgil Griffith, "Laws in this country are not suggestions... Assisting foreign governments with money laundering is illegal."

[Baofeng]

And it looks like there is a verdict already  :

Judge Broderick tells Virgil Griffith, "Laws in this country are not suggestions... Assisting foreign governments with money laundering is illegal."

Perhaps Judge Broderick blurted it out to show how big the accusations against Virgil.

We all know that the justice system, all evidence as weigh in, the judge determines the guilt of the defendant beyond reasonable doubt. Everyone here doesn't know whats Virgil  do in North Korea, so this case will prove everything.

[chaoscoinz]

I think the guy was noble for wanting to teach others, especially within a country like Korea but really he didn't practice his due diligence and is now facing the harshest of consequences. North Korea has a lot of smoke with the U.S, mainly because of all of the threats they have made to wipe it out. This guy Virgil is extremely lucky that he isn't being tried for treason or worse. He could at least have went to contact Dennis Rodman for help first, they literally love Rodman over there more than Michael Jordan as weird as it may sound.

[gentlemand]

I think the guy was noble for wanting to teach others, especially within a country like Korea but really he didn't practice his due diligence and is now facing the harshest of consequences.

If it were down to nobility he would've gone to Liberia to pass on his knowledge to recovering child soldiers. Instead he went straight to the capital of a regime that does not have a great deal of love in its heart for where he's from and is known to be using crypto to prop itself up.

It'll be interesting to see what the actual story is. I'm sure many people would be curious to attend something like that. Maybe he was paid to be there and knew why he was there. Maybe he was simply lured into a conversation to hand over some knowledge.

[Baofeng]

I think the guy was noble for wanting to teach others, especially within a country like Korea but really he didn't practice his due diligence and is now facing the harshest of consequences. North Korea has a lot of smoke with the U.S, mainly because of all of the threats they have made to wipe it out. This guy Virgil is extremely lucky that he isn't being tried for treason or worse. He could at least have went to contact Dennis Rodman for help first, they literally love Rodman over there more than Michael Jordan as weird as it may sound.

Lol, Maybe the US should use Dennis Rodman as a ambassador of sort.



https://twitter.com/dennisrodman/status/1005395124350869511/

Seriously though, I don't see any noble thing from Virgil here, except maybe he got some incentives to travel to North Korea (I'm just speculating here). That's why all eyes are in this case because all of us are really lost as to what is the real reason of Virgil going to North Korea specially with his wealth of knowledge about crypto.

[Theb]

If it were down to nobility he would've gone to Liberia to pass on his knowledge to recovering child soldiers. Instead he went straight to the capital of a regime that does not have a great deal of love in its heart for where he's from and is known to be using crypto to prop itself up.

It'll be interesting to see what the actual story is. I'm sure many people would be curious to attend something like that. Maybe he was paid to be there and knew why he was there. Maybe he was simply lured into a conversation to hand over some knowledge.

I'm not saying Virgil Griffith is guilty but the judge already agreed with a bail and he also doesn't view him as a flight risk whatsoever he even has a clean record on had to convince the judge even more. Another thing that makes me don't jump into any conclusion is I know for a fact that the authorities in the US are having several kinds of these witch hunts for far too long to sense that on matters like this so I cannot say that the US is seeing things clearly here or they are just easy to accuse someone on things they haven't really done.