2016 Highest 1019 Fraudulent

A

Yang Dong-hun (prosecution) and Kim Ha-young (Trial)

Law Firm B

Attorney C, D, E, F, G

Law Firm H

Attorney I, J

January 13, 2017

A defendant shall be punished by imprisonment for three years.

However, the execution of the above punishment shall be suspended for a period of four years from the date this judgment becomes final and conclusive. To order the defendant to provide community service for 160 hours.

Criminal facts

The Defendant, as the head of K University Electric Engineering and L Research Center, performed 13 research and development projects, including M, as a person in charge of research from September 2012 to December 2015.

A person who intends to conduct or participate in a national research and development project, etc. shall prepare a research and development plan stating the necessity for research and development, details of research and development expenses including personnel expenses, etc. and apply for a research and development task to the head of a central administrative agency or the head of a specialized institution, and the head of a central administrative agency, etc. may organize the items of research and development expenses as direct and indirect expenses to contribute all or part of them. A person in charge of research and development shall not use research and development

On September 1, 2012, the Defendant: (a) at K University Electric Engineering and Research Institutes located in Seojin-gu N in the previous city, the Defendant did not pay only part of the student personnel expenses of the student researchers who participated in the national research and development projects; and (b) was planned to directly manage the student personnel expenses under the name of the researchers deposited in the name of the researchers for private use or for other expenses; (c) however, the student research institute received the total amount of the personnel expenses from each of the above accounts and used them as the above accounts; (d) prepared an application for national research and development projects and plans, etc.; (e) submitted them to the person in charge of the industry-academic cooperation foundation for the national research and development project including the student personnel expenses; (e) from September 1, 2012 to August 31, 2013, the Defendant received from the person in charge of the industry-academic cooperation foundation for K University to KRW 1,596,078 from 30 days in total for research and development expenses related to “M research expenses; and development expenses,” (e) obtained 7080 days from 25 days in total.75 days.

Summary of Evidence

1. Defendant's legal statement;

1. Each legal statement of witnessO, P and Q;

1. Statement made by the police to Q Q;

1.P, R, Q,S, T.U.V, W, X, Y, ZA, each police statement

1. Each written response to the P, Q, AB, and Z;

1. A written accusation;

1. A letter of confirmation (the matters concerning joint management of personnel expenses such as researchers);

1. Current status of implementation of each research task, current status of payment of personnel expenses for researchers participating in the research task, current status of withdrawal of personnel expenses for researchers participating in the research task, current status of students participating in the research task himself/herself and researchers interfering with audits

1. Investigation Report [Attachment 1: Report on Details of Financial Transactions, Attachment 2, Book 1: Book 2, Book 2, Book 2, Book 3, Book 1, Book 1, Book 2, Book 1, Book 2, Book 1, Book 1, Book 2, Book 1, Book 2, Book 1, Book 1, Book 2, Book 3, Book 1, Book 1, Book 2, Book 1, Book 2, Book 1, Book 3, Book 1, Book 2, Book 1, Book 1, Book 2, Book 1, Book 3, Book 1, Book 2, Book 1, Book 1, Book 2, Book 1, Book 2, Book 1, Book 2, Book 1, Book 2, Book 1, Book 3, Book 1, Book 2, Book 1, Book 2, Book 1, Book 3, Book 1, Book 2, Book 3, Book 2, Book 1, Book - Book 3.

1. Each specification of transactions;

1. Each annual performance plan, a standard agreement on the standards for each research and development task, an interim report on the second phase in the field of engineering projects for supporting leading research centers, and a respective business plan;

1. Details on payment of personnel expenses for research assistants;

Application of Statutes

1. Article relevant to the facts constituting an offense and the selection of punishment;

Article 347(1) of the Criminal Act (Appointment of Imprisonment)

1. Aggravation for concurrent crimes;

Articles 37 (former part), 38 (1) 2, and 50 of the Criminal Act

1. Suspension of execution;

Article 62(1) of the Criminal Act (Taking into account favorable circumstances among the following reasons for sentencing):

1. Social service order;

Article 62-2 of the Criminal Act, Article 59 of the Act on Probation, etc.

Reasons for sentencing

1. Review of the sentencing criteria;

[Extent of Recommendation] General Fraud Type 3 (at least 500 million won, less than 5 billion won) Basic Area (at least 3 years to 6 years of imprisonment)

[Special Mitigation] Where considerable damage has been recovered;

[Special Persons] When a crime was committed repeatedly over a considerable period of time

2. The instant crime was committed under unfavorable circumstances to the determination of sentence: (a) the Defendant, a university professor, received personnel expenses in a lump sum from the industry-academic cooperation foundation that manages the integrated management of personnel expenses of researchers, and received them from the researcher for the payment of the research expenses for national research and development projects, etc.; (b) the amount is large; (c) the crime was committed over a considerable period; and (d) the fraud of research personnel expenses, such as the instant crime, is detrimental to the transparency in the management of research expenses, and ultimately, damage to the researchers affiliated with the relative weak. Considering the favorable circumstances, the Defendant recognized all the instant crime; (c) most of the acquired amount was ultimately paid to the researcher via the Defendant; and (d) the Defendant deposited the amount of KRW 170 million additionally to the researcher for the recovery of damage; and (e) the Defendant’s deposit the amount of KRW 170 million with the researcher for the purpose of the provision on direct payment of personnel expenses by the industry-academic cooperation foundation or the researcher for the direct payment of personnel expenses.

The above circumstances and other factors, including the Defendant’s age, character and conduct, environment, motive, means and consequence of the crime, and the circumstances after the crime, etc., shall be determined as ordered by taking into account the various sentencing conditions under Article 51 of the Criminal Act.

Judges Il-ho