Around October 2010, the Defendant made a false statement that “The Defendant would make an investment to the E hotel SPS 200 option” product in Gangnam-gu Seoul, Seoul. This product would cause a loss to be sold automatically if it is the same as that of the purchased product and the sold product at all times by developing a program using financial engineering, and thus would cause a loss to be sold automatically and losses exceeding 6%, and is a financial product that may bring 1% of the monthly investment amount into profit, and there was no risk even in IMF, and is an absolute profit-making product that does not incur any loss.” The Defendant made a false statement that “The CM investment proposal” containing such purport.

However, in fact, the “OS 200 option” product, which is a financial investment instrument that the Defendant intended to receive and operate an investment, is likely to cause an unlimited loss if the scope of underlying asset changes exceeds a certain level. Bossem (loscut and hand-off) is not automatically performed, but can not work properly because it is carried out in a passive manner through the judgment of the Defendant. In addition, the Defendant, as a financial investment business entity, could have sufficiently predicted such risks inherent in the options product.

Nevertheless, the Defendant, on November 8, 2010, ordered the Victim FF to deposit KRW 14,523,549,923 in the same securities account under the victim’s name, and received from the damaged person the investment in the said account, and thereafter, invested KRW 57,819,120,452 in total by acquiring and disposing of options from that time after obtaining the ID and password of the said account from the damaged person.