＜Inside N. Korea＞ "Donate to the Fund!" Certificates Issued as Cover for Illegal Economic Activity — The State Siphons Money from Private Citizens

Donations to state "funds" are being actively encouraged in North Korea. The Kim Jong-un regime imposed tight controls on private economic activity in the wake of the COVID pandemic. Recently, however, reports indicate that the regime is now openly praising donju (the newly wealthy class) for donating large sums — earned through illegal economic activity — to the state. Moreover, donors reportedly receive a certificate that effectively serves as a pardon for their illicit conduct. What lies behind this apparent contradiction? Reporting partners in Musan County, North Hamgyong Province, and Hyesan, Ryanggang Province filed these reports in late April. (HONG Mari / KANG Ji-won)

◆ The Purpose of Donations: "Cultivating a Culture of Social Virtue Toward Heroes"

North Korea's state media frequently references the "Kim Il-sung and Kim Jong-il Fund," alongside other funds such as the "Education Support Fund," the "Public Health Insurance Fund," and the "Coal Miners Support Fund." April 25 marked the Day of the Sun Army (Chosŏn People's Revolutionary Army founding anniversary). According to multiple reporting partners, the occasion has been used as a catalyst to encourage donations to the Korean People's Army through these funds.

Reporting Partner A, based in Musan, relayed the following:

"Party organizations have issued instructions telling party members and workers to voluntarily carry out support activities in order to build a memorial hall in Pyongyang for soldiers who died abroad — meaning those killed in action during the deployment to Russia."

"Support activities" refers to the practice of enterprises and inminban (neighborhood units) providing pork, grain, and other goods to military units or major construction sites. Conducted under the pretext of supplying chronically under-resourced military and construction operations, this form of semi-compulsory contribution has long been a feature of North Korean life.Reporting Partner A also noted the continuation of existing practices: "Support of goods and food for soldiers and the families of those killed in action is being carried out without fixed deadlines or defined content." He then described a newer development:

"Some people are now paying in cash through the funds. Those who donate receive a certificate from their party organization."

The certificate reportedly specifies who donated, to which fund, and how much. Regarding the purpose of the system, Reporting Partner A explained: "What the party is asking for isn't donations to cover a budget shortfall — it's about cultivating a culture of social virtue toward the heroes and soldiers who gave their lives for the country. Party members are being instructed to take the lead in spreading this spirit throughout society."

◆ In Hyesan, More Than Ten People Donated Between $1,000 and $5,000

In Hyesan as well, many residents reportedly took part in support activities around the Army founding anniversary. Reporting Partner B, based in Hyesan, added: "I've heard that more than ten people have donated to the funds and received certificates," and provided the following details:

"Most of the donors are donju who work as sales managers for enterprise output. They contribute whenever something comes up for the country. The head of pharmaceutical management at the city hospital, a worker in the robo-materials management department at the steel factory, a staff member in the import-export division of the trade bureau, and the director of an electronics technical services center all donated. There were also a few restaurant managers, drivers from commercial management office transport units, and some ordinary citizens."

"The amounts donated ranged from $1,000 to $5,000 (USD), contributed to funds including the Education Support Fund, the Kim Il-sung and Kim Jong-il Fund, and the Fatherland Defense Fund, in exchange for certificates. Lately, the atmosphere is one where everyone wants to get their hands on at least one certificate."

※ Robo-materials (로보물자): Goods such as food, liquor, and cigarettes distributed by the state to workers as additional compensation beyond standard rations or wages.
※ The Fatherland Defense Fund could not be confirmed in state media reports.

How could any individual have accumulated such large sums in the first place?