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CybersecuritySecurity Leadership and ManagementLogical SecuritySecurity & Business ResilienceCybersecurity NewsGovernment: Federal, State and Local

Nashville man charged with aiding North Korean “laptop farms”

By Jordyn Alger, Managing Editor
Man working on two laptops

Image via Unsplash

August 19, 2024

A man from Nashville, Tennessee, has been charged for his attempts to generate revenue for North Korea’s illicit weapons program. The man is charged with conspiracy to damage protected computers, conspiracy to commit wire fraud, conspiracy to launder monetary instruments, and conspiracy to cause the unlawful employment of aliens. He has also been charged with intentional damage to protected computers and aggravated identity theft. 

Craig Jones, Vice President of Security Operations at Ontinue, comments, “This case sheds light on a concerning tactic that North Korean threat actors have been using with increasing frequency. By infiltrating companies through seemingly legitimate means, these operatives are able to gain access to sensitive systems and data without raising immediate suspicion. This really illustrates the lengths to which these groups are willing to go. Setting up “laptop farms” to facilitate these operations is a clear indication of the sophistication and determination behind these efforts. North Korean threat actors set up “laptop farms” as part of their broader strategy to mask the origins of their operations and to evade detection by authorities. It’s not just about getting hired; it’s about embedding themselves within organizations in a way that allows them to operate covertly for extended periods.” 

This incident, following the attempted hacking of KnowBe4, emphasizes the importance of vigilance among organizations. Jones says, “The KnowBe4 incident serves as a critical warning. I salute their openness, this candid account is incredibly useful for raising awareness in the industry. Even companies with strong security awareness can be duped by these increasingly sophisticated methods. The use of AI to enhance images and stolen identities shows the level of detail and planning that goes into these operations. For organizations, the takeaway is clear: vigilance must extend beyond the usual cybersecurity protocols. Background checks, identity verification and continuous monitoring of employee activity are essential in countering these threats.” 

As North Korean threat actors continue to deploy such tactics, HR departments are encouraged to be aware and diligent in vetting potential hires. Guy Rosenthal, Vice President, Product, at DoControl, states, “This case is a wake-up call for HR departments and tech companies everywhere. The global talent shortage in tech is real, however, it can’t come at the expense of security and due diligence.” 

Even companies with stringent security procedures must remain alert, as many of these North Korean operations are advanced. Rosenthal remarks, “What's particularly alarming here is the sophistication of these North Korean operations. They’re not just sending out resumes — they’re setting up entire fake identities, complete with AI-enhanced photos. It’s a stark reminder that our adversaries are constantly evolving their tactics.” 

Expanding on HR screening processes

In order to better secure against these threats, HR departments are advised to expand upon the normal vetting processes. 

“For HR teams, this means going beyond the usual background checks. We need to be implementing robust identity verification processes, especially for remote hires,” Rosenthal declares. “This could include video interviews, real-time identity checks and even AI-powered tools to detect potential identity fraud.”

However, HR is not the only part of an organization that needs to remain alert. Rosenthal states, “Let's be clear — this isn’t just an HR problem. It’s a cybersecurity issue that needs to be on every CISO’s radar. These North Korean IT workers aren’t just looking for a paycheck — they’re potential insider threats with access to sensitive systems and data. The bottom line is this: in today’s digital landscape, your security is only as strong as your weakest link. And increasingly, that weak link is the human element. Companies need to be investing in both technology and training to stay ahead of these evolving threats.” 

Responding to the wake-up call

As threats such as these grow more sophisticated, security leaders are emphasizing the importance of raising security standards across the board. 

Mr. Saran Gopalakrishnan, Vice President at Netenrich, says, “This is certainly a wake-up call for the cybersecurity industry and a reminder of how sophisticated and advanced these threats have become.

“We need to raise the bar across the board. The days of relying on traditional security measures are long gone. We’re now in the realm of advanced threat intelligence and real-time monitoring — it’s not just a nice to have anymore; it’s essential. Breaking down the silos is important. HR, IT and security can’t operate in isolation. They need to work together, especially when it comes to vetting processes. And, as this demonstrates, those vetting processes need a serious overhaul.

“Adaptability is key. The threat landscape shifts constantly, so our defenses need to keep pace. This is where AI and machine learning can make a big impact. They’re radically improving how we detect and respond to threats. Insider threats are a major concern. Whether it’s an employee who's been compromised or an outsider who’s wormed their way in, we need robust systems to flag unusual behavior quickly.

“So, what’s the game plan for companies? Here are some critical steps:

  1. Revamp those vetting processes. We need to go much deeper than the standard background checks.
  2. Foster cross-team collaboration. Those departmental walls need to come down and teams need to collaborate more.
  3. Embrace cutting-edge technology. Some of the new AI-driven security solutions are truly impressive.
  4. Implement thorough user monitoring. Continuous vigilance is non-negotiable.
  5. Prioritize ongoing training. A security-aware culture is your first line of defense.

“As cybercriminals evolve their tactics, we need to stay ahead of the curve. It’s challenging, but it’s what keeps our field dynamic and vital.”

KEYWORDS: conspiracy HR nation-state security organizational resilience security leaders

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Jordynalger

Jordyn Alger is the managing editor for Security magazine. Alger writes for topics such as physical security and cyber security and publishes online news stories about leaders in the security industry. She is also responsible for multimedia content and social media posts. Alger graduated in 2021 with a BA in English – Specialization in Writing from the University of Michigan. Image courtesy of Alger

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