A and B shall be punished by imprisonment with prison labor for two years, and by imprisonment for ten months, respectively.

However, from the date this judgment becomes final and conclusive.

Part of the facts charged in the indictment was revised to the extent that it does not harm the defendants' right of defense and the identity of the facts charged.

On May 4, 2016, Defendant A was sentenced to eight months of imprisonment for fraud at the Suwon District Court, which became final and conclusive on February 1, 2017. Defendant C was sentenced to one year and six months of imprisonment for a crime of violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Embezzlement) at the Seoul Central District Court on May 27, 2013, and the judgment became final and conclusive on November 1, 2013. On December 3, 2015, Defendant A was sentenced to one year of suspended sentence of imprisonment for a violation of the Financial Investment Services and Capital Markets Act at the Seoul Southern District Court on December 25, 2016, and the judgment became final and conclusive on June 25, 2016.

Criminal facts

1. Defendant A and B

A. On February 2009, Defendants and K related to the J Acquisition Fund were to receive a bill issued in the name of the company, and to render a notarial deed in the name of the company, and to provide the family funeral development fund of the clan to the representative of the victim L families in the Gangnam-gu Seoul Metropolitan Government Samsung-dong, if they received a loan with money as security for the clans, and paid the money as security for the clans, and the borrowed money will also be repaid after the J was listed, and the family funeral creation fund of the clans will also be provided free of charge.

“A false statement” was made.

However, the Defendants and K did not think that they would use the money borrowed as the acquisition fund of JJ Co., Ltd., and there was no consent from N representative Director of J Co., Ltd. to issue bills, and even if they borrowed money from the victims, they did not have the intent or ability to repay the money.

Defendants and K received from the injured party the delivery of the amount of KRW 50 million on March 11, 2009, and KRW 150 million on March 12, 2009 as Defendant A’s account in the name of Han Bank (O).

On March 11, 2009, the injured party's species borrowed KRW 300 million from R as collateral and lent the real estate owned by R to Defendant A, etc., and R directly remitted the said money to Defendant A's account.

B. P.C.