A defendant shall be punished by imprisonment for one year.

Seized evidence Nos. 1 and 2 shall be confiscated from the accused.

Punishment of the crime

1. The Defendant, as the representative director of a company B (hereinafter “B”) with the purpose of golf membership sales business, was in charge of the overall operation of the company, including the development of similar golf club membership rights (hereinafter “similar membership rights”) and fund management, and management of its branch offices, from September 2008.

From October 2006, the Defendant was in bad credit standing because of the Defendant’s failure to repay credit card payments, etc., and on December 29, 201, the Defendant did not have any particular property or income, such as being registered on the register of persons without obligation due to the decision of the Seoul Southern District Court.

B has been continuously recorded every year from around 2008, and the current net loss was equivalent to 6.2 billion won in 2013, 5.8 billion won in 2014, and the debt was 24.9 billion won in December 31, 2013, and 4.3 billion won in December 31, 2014.

In fact, the Defendant was in a situation where the financial position of the Defendant and B was not good, and the amount deposited in B is more than the amount of membership fees deposited in B when selling similar membership rights, thereby resulting in losses in itself by the sales of similar membership rights. It was difficult for the Defendant to form a large amount of investment capital by paying 10-30% of deposit and membership fees as sales commission to the sales offices, etc., and it was difficult for the Defendant to form a large amount of investment capital by paying 10-30% of deposit and membership fees to the sales offices, etc.

Nevertheless, around August 20, 2015, the Defendant held a national branch office meeting at the third floor of the Gangnam-gu Seoul EI building, and the heads of the branch offices, including victims DY and K, are gathered.