1. A person who comes to hold stocks, etc. (referring to cases where the total number of stocks, etc. held by the principal and his/her specially related persons is at least 5/100 of the total number of such stocks, etc.) of a stock-listed corporation that violates his/her duty to report holding in bulk shall report his/her holding status, the purpose of holding (referring to whether such holding is to affect the management right of the issuer), the terms of major contracts on the stocks, etc. held, and other matters prescribed by Presidential

Provided, That where a person exempted from the obligation to report under the former Securities and Exchange Act should report as above, he/she shall report by March 4, 2009, which is within one month from February 4, 2009, effective date of the Financial Investment Services and Capital Markets Act.

In addition, where there is a change in the important matters prescribed by Presidential Decree, such as the trust of the stocks held by the person or the trust of the stocks held by him/her, security contract (limited to where the number of stocks, etc. subject to the contract is at least 1/100 of the total number of the stocks, etc.), etc., the person

Nevertheless, on June 25, 2008, the Defendant, as the largest shareholder of C Co., Ltd. (hereinafter “C”) and the Chairperson, who are listed on KOSDAQ-listed corporations, provided four securities companies, including Korea Investment Securities Co., Ltd., as collateral and borrowed KRW 13.7 billion, the Defendant violated the obligation to report the holding of C shares held six times in total to the Financial Services Commission and the Exchange by failing to report it to the Financial Services Commission and the Exchange until March 4, 2009, and by failing to report it to the Financial Services Commission and the Exchange, as stated in the attached Table 1 List from around that time until September 7, 2012.

2.