1. Defendant A shall be punished by imprisonment with prison labor for one year.

2. Defendant B shall be punished by imprisonment for a year.

(2).

Punishment of the crime

[criminal record] On July 13, 2017, Defendant B was sentenced to a suspended sentence of one year and two years of imprisonment for fraud and embezzlement at the Dong branch of the Busan District Court, and the judgment became final and conclusive on July 21, 2017.

[Criminal facts]

1. The Defendants’ joint crimes committed by the Defendants are those who worked with doctors in the D convalescent Hospital located in the Geum-gu, Busan Metropolitan City on 2005, and the Defendant A was an employee of the said hospital.

On 2008, the Defendants planned to open and operate a hospital in Gangseo-gu, Busan Metropolitan City.

At the time, Defendant B had been registered as bad credit standing around February 2001, and had no intention or ability to pay the insurance benefits claims of the amount of KRW 20 million per month against the Health Insurance Corporation was seized by the bank. Defendant A had no other property in bad credit status from around 1994, and the Defendants had been well aware of each other’s property status.

Nevertheless, the Defendants were willing to borrow money from the damaged party to meet the expenses of the hospital construction.

On May 2008, the Defendants made a false statement to the victims through F, a branch of the Victim E, that they would pay KRW 2 million per month to the victims of the borrowing of KRW 50 million from the loan to the Busan Gangseo-gu, which is insufficient in the expenses of interior construction to open the hospital.

However, due to the above circumstances, the Defendants did not have any intention or ability to pay the benefit agreed from the beginning to the victim or to repay the principal.

Nevertheless, the Defendants, as seen above, shall receive KRW 50 million from the victim by deceiving the victim and receiving KRW 50 million from the post office account (G) in the name of B on May 26, 2008 from the victim, and shall receive KRW 95 million from the victim by January 23, 2009, as shown in the attached List of Crimes (1).