The Defendants did not pay the above fines.

A multi-level distributor shall register with the Fair Trade Commission or the Special Metropolitan City Mayor, Metropolitan City Mayor, Special Self-Governing City Mayor, Special Self-Governing Province Governor, and shall not establish, manage, and operate a multi-level marketing organization without registration, as prescribed by Presidential Decree, or shall not establish, manage, and operate a multi-level marketing organization without any transaction of goods or services, or conduct any act

Nevertheless, E and F, a joint operator of D, together with G and H, in charge of the above company’s education and publicity from December 18, 2014 to June 1, 2016, play a general management role in the office of the above company of the fourth floor of the Seoul Special Metropolitan City I building; F, without registering multi-stage sales business, in the overall management role necessary for J sales; E, in the public relations of J and recruiting multi-stage sales workers; G, in the process of preparing J publicity materials; and in the process of training the business operators and the J purchaser; H, in the process of training the members of each regional center of the multi-stage sales business; and in the process of soliciting subordinate sales business, H, without registering multi-stage sales business.

Multi-level marketing allowance and class system of the company promoted by the above E, etc. are as follows:

J Buyer shall be one salesperson, and subsequent salespersonss shall be two, three, four, five, five, six, and seven, in sequential order by one salesperson. When they purchase at least J 600,000 won, 10% of the purchase amount shall be paid to them as the payment for recommendation, 10% of the purchase amount shall be paid to the first salesperson as the payment for support to the second salesperson, 8% of the sales amount for the first through seven, 5% for the second, 4% for the third, 3% for the fourth, 2% for the fourth, 3% for the third, 4% for the fourth, 2% for the sixth, and 1% for the sixth, and 12 million won for each team leader on the basis of the performance records of each person (so-called 's performance).