I. The representative director of C Co., Ltd. (former D Co., Ltd.; hereinafter “C”) whose audit opinion was rejected and whose listing was abolished on July 10, 2013, who was detained on October 25, 2013 and became final and conclusive after being sentenced to three years of imprisonment at the Seoul Central District Court on April 18, 2014, and who was in overall charge of the management and execution of funds, finance, investment, etc. from December 14, 2010 to December 200.

E That was detained on October 25, 2013 and finalized on April 18, 2014 by sentence of two years and six years of suspended execution of imprisonment at the Seoul Central District Court, the Seoul Central District Court has been sentenced to three years of suspended execution in April 18, 201, and since January 201, C has been in charge of financial management and enforcement, financial investment, etc. as a director in charge of financial affairs.

F) On September 5, 2013, after departure from Hong Kong, the disposition of suspending prosecution was taken after escape from Hong Kong, together with B, and until December 14, 2010, the C has been working as the respective representative director of the C, and has overall control over the management and execution of the Company's funds, finance and investment.

From December 14, 2010 to February 18, 2011, the Defendant, as a registry director of C and the representative director of C’s affiliated company (Gu H & hereinafter “G”), has been in charge of the business of distributing and selling rare soil.

Ⅱ As the Defendant, along with B, E, F, etc., was low in the sales and sales situation of C and expected to have been damaged every year since 2008, designation items of management (four consecutive years) and de-listing (five consecutive years), etc., the Defendant pretended to have generated operating profits through affiliated companies and processing companies as if they would have generated operating profits, and conspired to use the company funds at will, in the process, to divulge or deduct the company funds, and to share the role of implementation according to their respective positions.

Ⅲ. Criminal facts

1. On September 27, 2012, the Defendant, through a resolution of the board of directors on B, E, F, and on September 27, 2012, four managers to improve C’s management balance.