All appeals by the Defendants are dismissed.

1. Summary of grounds for appeal;

A. As to Defendant A (1)’s assertion of mistake of facts (A) fraud, it was true that Defendant A purchased a shooting machine of 650 tons from I to secure the purchase price, and then transferred I by means of possession and amendment to secure the purchase price. However, since the purchase price of the goods was fully paid around July 23, 2013, I’s right to transfer security had already been extinguished.

In light of the fact that at the time, the victim BS Capital (hereinafter “victim”) was fully aware of the above transaction relationship between the defendant and I, the court below found the defendant guilty without deceiving the damaged company, and there is an error of law by mistake of facts.

(B) With respect to the evasion of compulsory execution, Defendant A had no intention to evade compulsory execution at the time.

(2) The lower court’s 10-year sentence of suspension of execution on October, which sentenced Defendant A to the lower court on the ground of unreasonable sentencing is too unreasonable.

B. Defendant B’s imprisonment with prison labor sentenced by the lower court against Defendant B is too unreasonable as the one-year imprisonment with prison labor for six months is too unreasonable.

2. Determination

A. (1) As to Defendant A’s assertion of mistake of facts, the following circumstances can be acknowledged by the evidence duly adopted and investigated by the lower court regarding the determination of whether fraud is recognized, namely, ① Defendant A, when purchasing the instant machinery owned by I, prepared a notarized contract for performance of obligation by means of transfer to I with respect to the amount of KRW 47 million on May 28, 2013; ② Defendant A paid to I a total amount of KRW 52 million. At the time, Defendant A and I traded 440 tons of modern machinery other than the instant machinery, and both the remaining security amount for the instant machinery according to the existence of an agreement for specific satisfaction of obligation at the time of payment, and the legal principles on satisfaction of obligation.