1. The defendant A shall be punished by imprisonment for three years;

However, the above defendant shall be sentenced for five years from the date this judgment became final and conclusive.

Punishment of the crime

1. Defendant AB’s joint criminal conduct - Defendant C Co., Ltd. (hereinafter “Defendant Co., Ltd.”) in violation of the Act on External Audit of Stock Companies (hereinafter “Defendant Co., Ltd.”) commenced rehabilitation procedures on December 18, 2012 following the Suwon District Court 2012 Gohap96 decided to commence rehabilitation procedures. On December 20, 2013, the rehabilitation procedure is in progress according to the rehabilitation plan approval plan. A is a corporation specialized in file file business. Defendant A is the representative director of the Defendant Co., Ltd., and the rehabilitation court is the representative director of the Defendant Co., Ltd., and the rehabilitation court decided to consider Defendant A as a custodian pursuant to Article 74(4) of the Debtor Rehabilitation and Bankruptcy Act.

Defendant

B served as the chief of the accounting department of the Defendant Company.

Defendant

B served in the Defendant Company from February 25, 1997 to January 2013.

The directors of a company or any other person in charge of accounting affairs of the company shall prepare financial statements in accordance with the accounting standards, and the financial statements shall fairly indicate the financial status, etc. of the company by reflecting economic facts and the substance of transactions, and shall not prepare and publicly announce false financial statements or consolidated financial statements in violation

Nevertheless, Defendant AB prepared and publicly announced false accounting data, such as duplicating the inventory, quantity, and unit price of the Defendant Company’s stock, and deceiving financial institutions by deceiving financial institutions, on the wind that the Defendant Company imported raw materials from China in early 2008, but considered a large amount of damages due to the increase in the AF exchange rate.

Defendant A falsely discloses the accounting data (from January 1, 2008 to December 31, 2008) is not in the end of 2008, and Defendant B does not have good financial standing.