2. Of the costs of lawsuit, the part relating to the Plaintiff’s appeal against the Defendants is borne by the Plaintiff, Defendant 1, and Defendant 2.

The Plaintiff

A. Defendant 1 shall pay 5% interest per annum from January 28, 2012 to December 15, 2015, and 15% interest per annum from the next day to the date of full payment. (b) The Defendants shall jointly pay 1,90,000,000 won and 1,864,000,000 won per annum from the next day to the date of full payment; 5% interest per annum from the next day to September 30, 2015; 20% interest per annum from the next day to the date of full payment; 30% interest per annum from the next day to the date of full payment; 10% interest per annum from the next day to the date of full payment; 36,000,000 won per annum; 10% interest per annum from the next day to the date of full payment; 10% interest per annum to the 10.5% interest per annum; 10% interest per annum from June 14, 2015.

2. Purport of appeal

A. The plaintiff

The part against the plaintiff in the judgment of the court of first instance shall be revoked. As to the amount of KRW 700,000,000 and the amount of KRW 664,00,000 among them, Defendant 1 and Defendant 2 shall jointly pay 5% per annum from June 14, 2012 to the service date of a copy of the complaint, 20% per annum from the next day to September 30, 2015, and 15% per annum from the next day to the day of complete payment; 36,00,000 won per annum from June 14, 2012 to the service date of a copy of the application for alteration of the claim; and as to Defendant 3 and Defendant 4, the same judgment shall be claimed.

B. Defendant 1 and Defendant 2

The part against Defendant 1 and Defendant 2 among the judgment of the first instance shall be revoked, and the plaintiff's claim against Defendant 1 and Defendant 2 falling under the revocation part shall be dismissed.

The reasoning of the court in this case is as follows, and the reasoning of the judgment of the court of first instance is the same as that of the judgment of the court of first instance.

A. 6 pages 5 of the judgment of the court of first instance, “Defendant 1 and Defendant 2” to 7 shall be changed as follows.

Defendant 1 and Defendant 2 were sentenced to three years imprisonment with prison labor and five years of suspended execution on November 26, 2015 in the Jeju District Court case 2014Gohap219, etc. (combined) for criminal facts, including the above embezzlement, and the prosecutor and the above Defendants appealed, but all appeals were dismissed on May 11, 2016 in the Gwangju High Court case 2015No129 (Consolidated). The appeal is currently pending.

B. Additional determination

【Preliminary Claim by Plaintiff】

Although Defendant 3 and Defendant 4 registered as a director of the Plaintiff’s intra-company, they delegated the duties as a director to Defendant 1 and Defendant 2, and did not perform their duties as a director. This violates the duty of loyalty and care as a director, and thus, they are liable to compensate for damages under Article 399 of the Commercial Act.

[Judgment]

The plaintiff may alter the purport or cause of the claim within the extent that the basis of the claim is not altered until the conclusion of pleadings, but the same shall not apply where it substantially delays the proceedings (Article 262(1) of the Civil Procedure Act).

In the instant case, the Plaintiff’s new claim was filed in the appellate court, but it seems that it was necessary to conduct a new hearing separately from the previous litigation materials, such as examining to what extent Defendant 3 and Defendant 4 performed the duties as a director for the purpose of the review, and thus, it is deemed that it would significantly delay the litigation procedures. Therefore, it is decided not to permit the modification of the claim pursuant to Article 263 and the proviso of Article 262(1) of the Civil Procedure Act.

2. Conclusion

Therefore, the judgment of the court of first instance with the same conclusion is just, and the plaintiff's appeal against the defendants and the appeal by the defendant 1 and defendant 2 are dismissed.

Judges Han Jong-chul(Presiding Judge)