Christina Marie Chapman, a 48-year-old resident of Litchfield Park, Arizona, entered a guilty plea on charges related to an elaborate fraud scheme that bolstered North Korea financially by generating over $17 million in illicit revenue, as reported by the U.S. Department of Justice. Chapman is facing charges of conspiracy to commit wire fraud, aggravated identity theft, and conspiracy to launder monetary instruments, as disclosed in statements by U.S. Attorney Edward R. Martin, Jr.
As per the U.S. Department of Justice's announcement, Chapman's fraudulent activities spanned three years, beginning in October 2020 and culminating in October 2023, during which she conspired with IT workers abroad, enabling them to secure roles at over 300 companies across the United States by using stolen identities. Much of the revenue earned from these jobs was reportedly declared under false pretenses to the IRS and Social Security Administration, causing significant issues for individuals whose identities had been abused.
During the investigation, it was uncovered that Chapman operated a "laptop farm" to deceive employers into believing these overseas workers were based in the U.S. This scheme paved the way for unwarranted access to the internal systems of many companies, including those among the ranks of Fortune 500. Federal prosecutors are seeking a prison sentence of between 94 and 111 months, with a sentencing date set for June 16, 2025, by U.S. District Court Judge Randolph D. Moss. The full extent of the damage includes impacts on more than 300 U.S. companies, the compromise of over 70 American identities, and the creation of false tax liabilities for over 70 individuals.
The case against Chapman was brought to light thanks to the concerted efforts of the FBI Counterintelligence Division, the FBI Phoenix Field Office, the U.S. Attorney’s Office for the District of Arizona, and the IRS Criminal Investigation Phoenix Field Office, with assistance from the FBI Chicago Field Office. The prosecution team includes Assistant U.S. Attorneys Joshua Rothstein, Karen Seifert, Thomas Gillice, and Ashley Pungello from the Criminal Division’s Computer Crime and Intellectual Property Section, along with Trial Attorney Gregory J. Nicosia Jr. from the National Security Division’s National Security Cyber Section, who has also provided valuable assistance in this case.
