Nov. 2 (UPI) -- The U.S. Department of Treasury on Thursday announced it severed ties with a Chinese bank linked to "illicit North Korean financial activity."
The Treasury's Financial Crimes Enforcement Network issued the final rule cutting ties with the Bank of Dandong. It also issued an advisory warning other financial institutions against "schemes" used by North Korea to evade U.S. and U.N. sanctions.
"Today's actions will better protect the U.S. financial system from illicit schemes used by North Korea to evade sanctions and finance its weapons programs," Treasury Secretary Steven Mnuchin said. "Banks and businesses worldwide should take note that they must be vigilant against attempts by North Korea to conduct illicit financing and trade."
The department said that in June 2017, it discovered North Korea was using the Bank of Dandong to launder money and sidestep U.S. and U.N. sanctions. The Treasury described the Bank of Dandong as a "conduit" to facilitate millions of dollars of transactions for companies involved in North Korean weapons programs.
Dandong is China's largest border city with North Korea.
