All appeals by the defendant and the prosecutor are dismissed.

1. Summary of grounds for appeal;

A. The lower court’s sentence (10 months of imprisonment) against the Defendant (unfair sentencing) is too unreasonable.

B. Regarding the violation of the Act on Foreign Exchange Transactions, the Plaintiff entered into a monetary lending contract with the Defendant with respect to the violation of the Act on Foreign Exchange Transactions (misunderstanding of facts and Sentencing) is a key place in the living relationship, such as residing in the Philippines since 2010 and leading to their livelihood. It constitutes a non-resident under the Foreign Exchange Transactions Act.

Nevertheless, the court below found L as not a non-resident under the Foreign Exchange Transactions Act and rendered a not-guilty verdict on this part of the facts charged. The court below erred by misunderstanding the facts, which affected the conclusion of the judgment.

2) The lower court’s sentence against an unfair defendant in sentencing is too unhued and unreasonable.

2. Determination as to the prosecutor's assertion of mistake of facts

A. The facts charged and the summary of the lower judgment in this part of the facts charged are as follows: (a) from January 1, 2016 to May 1, 2016, the Defendant lent gambling money equivalent to USD 1,500,000 ($ 1,758,000,000,000) from L who played a role of moving in the Switzerland Croke casino from around January 1, 2016 to L, thereby making capital transactions without reporting to the Minister of Finance and Economy in a foreign country.

2) The lower court rendered a judgment on this part of the facts charged on the ground that the Defendant and L have a domicile in the Republic of Korea and the evidence submitted by the prosecutor alone insufficient to prove that L is a non-resident under the Foreign Exchange Transactions Act cannot be deemed as a capital transaction under the obligation to report under the Foreign Exchange Transactions Act.

B. Article 18(1) of the former Foreign Exchange Transactions Act (amended by Act No. 14047, Mar. 2, 2016; hereinafter “former Act”) provides that “a person who intends to engage in capital transactions shall report to the Minister of Finance and Economy, as prescribed by Presidential Decree.”

but minor or standardized capital transactions.