2. The costs of lawsuit shall be borne by the Plaintiff.

A. On April 29, 201, between B and C, the Defendant entered into a collective security agreement with D factory site 4,950 square meters and 4-dong factory buildings owned by C (hereinafter collectively referred to as the “instant real estate”), and with machinery and equipment under Article 6 of the Act on Mortgage on Real Estate and Mining Foundation (hereinafter referred to as the “first collateral mortgage”) with the maximum debt amount of KRW 960 million with the joint security amount of KRW 101,80,000,000,000 with the Government Registry of the District Court (hereinafter referred to as the “Government Registry of the Republic of Korea”) No. 40295 on April 29, 2011, the Defendant completed the registration of the establishment of a collective security agreement with the maximum debt amount of KRW 96,00,000,000,000,000 with the maximum debt amount of KRW 40295,000,000,000,000.

B. As between B and C on March 16, 2012, the Defendant concluded a mortgage agreement with the joint collateral of KRW 60 million with the maximum debt amount (hereinafter “second collateral mortgage”). The Defendant completed the registration of the establishment of a mortgage with the Government Branch of the Jung-gu District Court (No. 23549, Mar. 16, 2012), as the receipt of No. 23549 on March 16, 2012.

C. Meanwhile, on the other hand, the instant real estate was completed the registration of establishment of a collateral security (right to collateral security) and the secured debt thereof (right to collateral security) that was completed as of August 13, 2012 by the Government Registry of the District Court (No. 75975), which was completed as of August 13, 2012. On December 31, 2012, the Plaintiff acquired the said collateral security and the secured debt thereof from G with the consent of the debtor, the secured creditor, B, and C, and completed the registration of establishment of collateral security (right to collateral security) as of January 28, 2014 by the Government Registry of the District Court (No. 8091).

On April 8, 2013, the Defendant: (a) rendered a claim amount of KRW 1,269,314,028, total amount of KRW 1,000,000,000,000, which is the sum of the maximum debt amount of the instant No. 1 and No. 2,000,000 as the claim amount; and (b) held a voluntary auction of the instant real property as H with the District Court having jurisdiction over the claim amount.