Defendant shall be punished by a fine of KRW 3,000,000.

When the defendant does not pay the above fine, 100,000 won.

Punishment of the crime

The Defendant is a person who operates the “F Child Care Center” in Gangdong-gu Seoul Metropolitan Government, “H Child Care Center” in Gangdong-gu Seoul Metropolitan Government G, and “J Child Care Center” in Songpa-gu I.

The founder and operator of a child-care center shall not collect child-care fees, etc. by fraud or other improper means, and the special activities expenses shall be used for personnel expenses for special activities instructors, special activities textbooks, and the purchase expenses for school districts in accordance with the guidelines for the "child-care project guidance" of each year published by the Ministry of Health and Welfare, and the details thereof shall be reported to the child-care center operation committee or notified to the guardian by settling the amount

From March 2010 to February 2013, the Defendant: (a) paid 50,000 won to the guardians of child care who are victims of special classes according to age and academic year; (b) paid 50,000 won to each victim for special classes; and (c) granted a written consent for special activities, stating that such special classes are given as tuition fees, teaching materials, and teaching equipment expenses.

However, the Defendant entered into a contract to pay only 70% of the special activity expenses received from the victims with the English special activity enterprise, such as K, etc., monthly tuition fees and teaching materials expenses, and the remainder of the special activity expenses was scheduled to be used as the Defendant’s living expenses, general operation expenses of childcare centers, etc.

Nevertheless, the Defendant, as seen above, did not settle the special activity expenses to the victims and did not notify the victims of the intended use of the amount equivalent to 30% of the special activity expenses, and received from the guardians the amount in excess of the agreed amount to be paid as the education expenses from the special activity enterprise. It included that the Defendant received KRW 120,000 from the victims M and N, the guardian of the F Child Care L’s Child Care Center around February 10, 2010.