A defendant shall be punished by imprisonment for two years.

Punishment of the crime

The Defendant is the representative director of C Co., Ltd. established for the purpose of retail and wholesale distribution business of steel products, and is the person who actually operates D of the same type of business.

The Defendant, from the early half of 2014, when the steel competition has deteriorated, sold steel products at a price lower than the purchase price, and operated a business in the form of so-called “losting” which pays the purchase price of the previous business partners. As such, the Defendant was in fact difficult to normalize the management of the company upon the occurrence of a low ratio of steel trading, it was difficult to pay the debt and normalize the management when the company continues to engage in such type of business.

The defendant tried to increase the volume of steel trade with customers in order to continue to conduct business with a vague expectation of economic conditions, and to conduct normal business activities by manipulating the Norm as if there were profits, and to overcome the limit of loans granted by financial institutions.

However, due to the aggravation of economic conditions, steel competition is expected to be prolonged, continuing transactions in such a form of business has structural limitations, and not only the obligation to be paid by the trading company at the end of 2014 has been 2.5 billion won, but also the obligation of bank rights has been 1.5 billion won.

Above January 1, 2015, 2015

3. Even on 31.31, it was difficult to continue the transaction with the existing transaction partner in a normal way because the damage occurred as a result of selling steel at a price higher than the above purchase price in the above transaction form, which was approximately KRW 980 million.

The Defendant was supplied with steel products every month from January 2014 with the victim E and the Defendant traded at KRW 100 million each month by settling the price at the end of the following month.