A defendant shall be punished by imprisonment for not more than ten months.

However, the execution of the above sentence shall be suspended for a period of two years from the date this judgment became final and conclusive.

Punishment of the crime

Defendant, B, a certified broker, and the Defendant purchased land with B on March 27, 2012 and intended to sell it as a site for electric source, and thereafter, decided to invite investors to sell each site for electric source, and thereafter, the Defendant solicited investors to invest KRW 664.5 million in total, including KRW 393 million from four investors, KRW 271.5 million from five investors, and KRW 664.5 million from five investors.

On July 11, 2012, the Defendant and B have continuously established the Victim D Co., Ltd. (hereinafter “D”) for the purpose of the creation of housing sites for electric power generation and the sale of housing sites in Busan Metropolitan City. The Defendant and B have divided the shares of 50% by Defendant and B, and the Defendant have been engaged in the management and fund management of the said company as the representative director of the said company.

Meanwhile, around April 10, 2012, the Defendant and B purchased 44221/45/45/45 of equity interest in Cheongdo-gun F Forest in D name (hereinafter “the instant land”) in order to develop from E (a) (the Daegu District Court was sentenced to imprisonment with labor for fraud against the Defendant at the Daegu District Court on August 10, 2017) to a housing site for electric power resources. However, unlike E’s initial promise, the instant land was a land for which authorization and permission for the development of electric power resource site could not be obtained. As the Defendant and B were unable to sell the instant land or lend the instant land as security, the Defendant and B returned the investment money to each individual’s investors and promised to divide the instant land into D’s property through this settlement.

The Defendant borrowed KRW 20 million from G around January 21, 2014 upon request from B to borrow investment money to be returned to B, and around January 21, 2014, the Defendant borrowed KRW 78,200,000 from G around June 30, 2016, in order to return the investment money held by the investors retained by the Defendant from June 30, 2016, and upon request from G to pay the loan amount of KRW 100,000 from H (the amount actually borrowed shall be KRW 15,00,000,000).