Country Report on Terrorism 2014 - Chapter 2 - Democratic People's Republic of Korea

Overview: The Democratic People’s Republic of Korea (DPRK) is not known to have sponsored any terrorist acts since the bombing of a Korean Airlines flight in 1987. In October 2008, the United States rescinded the designation of the DPRK as a state sponsor of terrorism in accordance with criteria set forth in U.S. law, including a certification that the DPRK had not provided any support for international terrorism during the preceding six-month period and the provision by the DPRK of assurances that it would not support acts of international terrorism in the future.

Four Japanese Red Army members who participated in a 1970 jet hijacking continued to live in the DPRK. The Japanese government continued to seek a full accounting of the fate of 12 Japanese nationals believed to have been abducted by DPRK state entities in the 1970s and 1980s. In May 2014, the DPRK agreed to re-open its investigation into the abductions, but as of the end of 2014 had not yet provided the results of this investigation to Japan.

Legislation, Law Enforcement, and Border Security: In May, the United States recertified North Korea as a country “not cooperating fully” with U.S. counterterrorism efforts pursuant to Section 40A of the Arms Export and Control Act, as amended. In making this annual determination, the Department of State reviewed the DPRK’s overall level of cooperation with U.S. efforts to combat terrorism, taking into account U.S. counterterrorism objectives with the DPRK and a realistic assessment of DPRK capabilities.

Countering the Financing of Terrorism: The DPRK is not a member of the Financial Action Task Force (FATF). In July 2014, it was admitted as an observer, but not a full member, of the Asia/Pacific Group (APG) on Money Laundering, a FATF-style regional body. Nevertheless, the DPRK failed to demonstrate meaningful progress in strengthening its anti-money laundering/countering the financing of terrorism (AML/CFT) infrastructure. While encouraging the DPRK’s continued engagement with FATF and APG, FATF highlighted continuing concerns about North Korea’s “failure to address the significant deficiencies in its [AML/CFT] regime and the serious threat this poses to the integrity of the international financial system.” At each of its plenary meetings throughout the year, the FATF renewed its call on members to “protect their financial sectors from money laundering and financing of terrorism risks emanating from the DPRK.” For further information on money laundering and financial crimes, see the International Narcotics Control Strategy Report (INCSR), Volume 2, Money Laundering and Financial Crimeshttp://www.state.gov/j/inl/rls/nrcrpt/index.htm.