The Defendant, an individual investor, H, G marketing director, K, K, the deputy head of K branch and K branch and Vice-head of K, K, Gyeongwon University M of K, O engaged in construction business, P, Q’s representative director, R, S, S representative director of S Co., Ltd., T, U (the head of G Strategic Planning Office from February 1, 2004 to May 31, 2006) and 12 securities accounts and 6.729 billion won in total, and conspired in order to manipulate G stock prices by sharing the following roles.

Around August 2006, the Defendant, who was the representative director and the major shareholder of V (hereinafter “V”), borrowed KRW 6.8 billion from G-dong credit service providers, such as W, to pay the purchase price of stocks to G-based shareholders who exercised appraisal rights by opposing the merger in the process of acquisition and merger of G, and offered 4.29 million shares of G-based stocks as security.

However, due to the decline in the G stock price, as the price of G stocks secured by the credit service provider has increased additionally, it was necessary to keep the defendant from selling the stocks held by him/her and his/her specially related persons only, and prevent the low price of stocks offered as security by the credit service provider.

In addition, on July 27, 2006 and September 7, 2006, G issued convertible bonds of USD 10 million in foreign countries and domestic and foreign countries, and thus, in order to avoid the demand for early redemption of existing bonds and to facilitate the issuance of new bonds, the Defendant was willing to artificially support G share price through price manipulation via a stock price manipulation expert.

H approximately KRW 2.7 billion per share of G shares held by it.