1. The Defendant stated the Plaintiffs’ “the details of their investments, etc.” in the annexed Form “the amount of personal use” and the Plaintiff among them.

1. Facts of recognition;

A. The Defendant organized an undisclosed investment association under the pretext of investment in a specific item of investment, and recruited the investment, and then, recruited the remainder of the investment after deducting the operating expenses of the association and the management remuneration from the investment in the relevant item, thereby contributing to the investment in the relevant item. The Defendant solicited the investment from investors.

B. The plaintiffs are from the defendant's officers and employees.

Upon hearing the explanation like paragraph, each of the contracts with the Defendant entered into with the undisclosed association (hereinafter “each of the instant undisclosed association agreements”), and the items of investment and amount of investment by each of the Plaintiffs are as shown in the corresponding column of “the details of investment by the Plaintiffs, etc.” in the attached Form.

C. The former representative director M, Defendant N, P, Q, R, S, and T committed an act in the following criminal facts, thereby violating the Act on the Regulation of Fraud, the Financial Investment Services and Capital Markets Act, and the Act on the Regulation of Conducting Fund-Raising Business without Permission, and the Defendant was charged with each Seoul Southern District Court due to a violation of the Financial Investment Services and Capital Markets Act.

【Related criminal cases” (hereinafter “relevant criminal cases”). On December 3, 2018, the Seoul Southern District Court sentenced 8 years of imprisonment, O, P, Q, R and S to 3 years of imprisonment, 1 year and 6 months of imprisonment, and 200 million won of fine against the Defendant, respectively.

The above Defendants and the prosecution appealed against the above judgment, and the above case is currently pending in the appellate court (Seoul Southern District Court 2018No2462).

Defendant employees, including the former representative director in violation of the Financial Investment Services and Capital Markets Act, who purchased the shares of an unlisted company, shall sell them to investors after purchasing the shares of the non-listed company, or shall manage and repair them after collecting investment funds from investors in the name of investment or real estate development projects on the ground of private investment associations or undisclosed investment associations, etc.