1. Defendant A shall be punished by imprisonment with prison labor for not less than six years, and Defendant B shall be punished by a fine not exceeding ten million won.

2. The defendant.

Punishment of the crime

[criminal records] On April 4, 2014, the Defendant was sentenced to imprisonment with prison labor for fraud, etc. at the Seoul High Court on April 19, 2014 and completed the execution of the sentence on April 19, 2014.

[2017 Highest 1279] [Defendant]

1. Defendant A’s crime;

A. A. Around July 2015, the Defendant, along with G, established F, a similar recipient company in Gangnam-gu Seoul Metropolitan Government H, and conspired to receive investment money from investors under the pretext that he/she would operate shopping mall sales business and merchandise coupon sales business with I, J, K, etc. and pay 200% of its profits.

No one shall engage in any similar receipt business engaged in the business of raising funds under the pretext of investments, etc. under an agreement to pay the total amount of investments or an amount in excess thereof to many and unspecified persons in the future without obtaining authorization, permission, registration, reporting, etc. under related Acts and subordinate statutes.

Nevertheless, the Defendant, in collusion with the above G, I, J, K, etc. on July 25, 2015, did not obtain authorization, registration, or reporting from the competent authority on or around July 25, 2015. The Defendant, at the F Office located in Gangnam-gu Seoul Metropolitan Government, can pay the victim L an investment amount of at least 110,000 won from F to 9,000,000 won by means of business explanation directly or through subordinate investors. At the time of the payment of the investment amount, the Defendant shall pay 2% of the annual proceeds from the day following the payment of the investment amount, and shall pay the proceeds to 200% of the annual proceeds until the date of the payment of the investment amount, 30% of the principal of the investment made by the subordinate investors, 20% of the principal of the investment made by the subordinate 2, and 10% of the principal of the investment made by the subordinate 3 through 5, as above, a large amount of investment amount may be received from members.