Report: North Korea's Front Companies Invested In China, Reported By UN
China announced last week plans to cut off imports of coal from North Korea. But the new UN report stated that China has proved a fickle partner at best in Washington's effort to stymie Pyongyang's nuclear ambitions.
According to UN report, that poses a fresh challenge to U.S President Donald Trump. But instead of low-key diplomatic spadework, Trump has sought to browbeat China into helping, blaming the Asian superpower with failing to use its influence to clip Pyongyang's atomic aspirations.
The eight member's panel committee report has stated that North Korea is flouting trade through prohibited goods. The North Korean schemes are combining to significantly negate the impact of international sanctions.
Chicago Tribune has reported that China, despite its apparent cooperation of late with international efforts to sanction North Korea, China has instead served as Pyongyang's economic lifeline, purchasing the vast majority of its coal, gold, and iron ore. China is serving as the primary hub for illicit trade that undermines a raft of U.N sanctions that China nominally supports.
The banks and firms of North Korean have maintained to international financial markets through a vast network of Chinese-based front companies that enables Pyongyang to evade sanctions. The trade includes the cash and gold bullion that allowing North Korea to gain ready access to the international financial system as well as to banks in China and New York, reported by UN.
However, till now, there is no direct evidence that the Chinese government is actively supporting North Korea's sanctions busters. William Newcomb, a former member of the U.N sanction panel on North Korea said," it is hard to believe China is unaware of the illicit trade".
Meanwhile, the UN report is expected to be made public next week. The report openly stated that North Korean regime continues its methodical effort to develop the nuclear military program and the means to deliver corresponding weapons.
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