The conviction part is reversed, and this part of the case is remanded to Busan High Court.

An appeal by a prosecutor.

1. Judgment on the grounds of appeal by the Defendants

A. 1) In order to establish a crime of embezzlement with respect to the occupational embezzlement related to the use of funds of AF corporation for the purchase of shares by the Defendants, a person who keeps another’s property as his/her duties must either embezzlement or refuse to return the property in breach of his/her occupational duty with the intent of unlawful acquisition.

Here, the intention of illegal acquisition refers to the intention to dispose of another person's property in violation of his/her duties, such as his/her own property, for the purpose of seeking the benefit of himself/herself or a third party, and even if he/she has an intention to return, compensate or preserve it later, there is no problem in recognizing the intention of illegal acquisition.

B. The lower court, on the grounds the grounds indicated in its reasoning, did not necessarily coincide with the interests of its shareholders, and thus, if a shareholder or representative director disposes of the company’s property voluntarily for private purposes, it cannot be exempted from the liability for the crime of embezzlement regardless of whether there was a resolution by the general meeting of shareholders or the board of directors regarding such disposal (see, e.g., Supreme Court Decisions 2012Do2628, Jun. 28, 2012; 2014Do11263, Dec. 24, 2014). 2) On the grounds indicated in its reasoning, the lower court deemed that Defendant A borrowed KRW 26.1 billion from AF Co., Ltd. (hereinafter “AF”), to pay the purchase price for shares to be paid to AU, by borrowing from the Defendant AF Co., Ltd. (hereinafter referred to as “AF”), by taking advantage of the position of the president of the AF et al. (hereinafter referred to as “AJ group”) to assess the company’s funds voluntarily for private purposes.

Therefore, this part of the revised Act on the Aggravated Punishment, etc. of Specific Economic Crimes (hereinafter referred to as "the Act").