This is an example of why I have always believed that when these ships are caught smuggling prohibited goods they should not be returned to North Korea because they are masters at building front companies to do their dirty business with. If the ships were auctioned off after seizure there would at least be a steep financial cost on the regime for violating sanctions:
A North Korean shipping company that famously tried to hide fighter jets under a cargo of sugar later sought to evade U.N. sanctions by renaming most of its vessels, a new report says.
The effort by Pyongyang-headquartered Ocean Maritime Management Company, Ltd. is detailed in the report by a panel of experts that monitors sanctions on North Korea. The report, obtained by The Associated Press, makes clear the challenge of keeping banned arms and luxury goods from a nuclear-armed country with a history of using front companies to duck detection.
The U.N. Security Council holds consultations Thursday on the report, which also says North Korea’s government persists with its nuclear and missile programs in defiance of council resolutions.
North Korea’s mission to the U.N. did not respond to a request for comment.
The council last year imposed sanctions on OMM after Panama in 2013 seized a ship it operated that carried undeclared military equipment from Cuba. Panamanian authorities found two Cuban fighter jets, missiles and live munitions beneath the Chong Chon Gang’s cargo of sugar.
The council’s sanctions committee said that violated a U.N. arms embargo imposed in response to North Korea’s nuclear and missile programs. At the time, U.S. Ambassador Samantha Power said that imposing a global asset freeze on OMM meant that the company would no longer be able to operate internationally.
But the new report says that in the months after the sanctions were imposed, 13 of the 14 ships controlled by OMM changed their owners and managers, “effectively erasing” the company from a database kept by the International Maritime Organization. Twelve of the ships “reportedly stayed, visited or were sighted near ports in foreign countries,” and none were frozen by member states as the panel of experts recommends.
The new report explores the shipping company’s global reach, using people and entities operating in at least 10 countries: Brazil, China, Egypt, Greece, Japan, Malaysia, Peru, Russia, Singapore and Thailand. The report recommends updating the sanctions list with 34 OMM entities and says all 14 vessels should be subject to sanctions.
No interdictions of the kind that Panama made in 2013 were reported in the period between Feb. 8 of last year and Feb. 5 of this year. But the new report warns that the panel of experts sees no evidence that North Korea “intends to cease prohibited activities.” [Associated Press]
You can read more at the link.