The part of the defendant D against the defendant is reversed.

Defendant

D. Pronouncement of a penalty shall be suspended.

A. Defendants 1) 1 through misunderstanding of facts or misunderstanding of legal principles in relation to the crime of violating the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Embezzlement) of this case, Defendant A and B are “F”

(3) Of the funds owned by the Company G (hereinafter “G”) KRW 951,022,356.

(2) As to the violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (based on the crime of fraud), G entered into a construction contract related to the project with M with K, applied for a subsidy with a normal tax invoice issued by M, and paid it as advance payment after receiving the subsidy, thereby using KRW 568 million out of the F’s funds as the purchase cost of the K project site and the compensation for land. However, all of them were for J projects promoted by F, and all of the said money was repaid in accordance with the original repayment plan, and thus, not embezzlement with intent of unlawful acquisition.

Therefore, Defendant A and B did not deceiving the victim H group and did not intend to commit fraud, and they did not cause damage to the victim H group since they were donated by creating J and K.

③ In relation to the instant fraud, F entered into a construction contract with M and J projects, applied for a subsidy, accompanied by a tax invoice issued by M to normally, and paid it as advance payment to M after receiving the subsidy. As such, F was entitled to receive military subsidies of KRW 300 million at the time of granting the subsidy, and used the subsidy received for the designated purpose.

In addition, the government's policy to encourage the early enforcement of the subsidy of the local government has been implemented at the time of granting the subsidy.