Sustaining the Regime: North Korea's Quest for Financial Support

Robert D. Wallace combines his research and experiences while working in South Korea as an intelligence officer and analyst to further enhance understanding regarding the types of illicit and questionable methods North Korea employs to raise funds overseas. Wallace provides analysis of illicit activities, such as: - drug smuggling - counterfeiting - aid diversion - North Korea's weapons and technology transfers - support from Koreans in Japan and, overall coordinating efforts of Bureau 39, the organization that controls North Korea's overseas fundraising operations. Wallace proposes that North Korea's actions post a low to medium risk to the U.S., but they are a critical measure used by Kim Jong-Il to retain his control over the country. This work presents suggested roles for each of the key players in the region to engage North Korea, and discusses the risks involved in attempting to stop these money raising efforts, which could lead to increased tensions or war on the Korean peninsula.

Robert D. Wallace combines his research and experiences while working in South Korea as an intelligence officer and analyst to further enhance understanding regarding the types of illicit and questionable methods North Korea employs to raise funds overseas. Wallace provides analysis of illicit activities, such as:
- drug smuggling
- counterfeiting
- aid diversion,
- North Korea's weapons and technology transfers
- support from Koreans in Japan

and, overall coordinating efforts of Bureau 39, the organization that controls North Korea's overseas fundraising operations.

Wallace proposes that North Korea's actions post a low to medium risk to the U.S., but they are a critical measure used by Kim Jong-Il to retain his control over the country. This work presents suggested roles for each of the key players in the region to engage North Korea, and discusses the risks involved in attempting to stop these money raising efforts, which could lead to increased tensions or war on the Korean peninsula.

Robert D. Wallace is an Intelligence Operations Officer (U.S. Army) with the U.S. Forces in Korea. He received his M.S. in Strategic Intelligence from the Joint Military Intelligence College, Defense Intelligence Agency in 2006.