1. The punishment against Defendant A shall be five years of imprisonment, and the punishment against Defendant B shall be a fine of 50 million won.

Punishment of the crime

1. Defendant A is the representative director of Company B (mutual name before the change on October 31, 201: C) who is an illegal multi-level company; G is the president of the said company and H is the director of the said company.

On July 17, 2009, the defendant was sentenced to a suspended sentence of three years in the Seoul High Court on the violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud).

On January 2012, the Defendant violated the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud) together with G and H, the Defendant presented a project explanation to the effect that “In the office of the Geumcheon-gu Seoul Metropolitan Government I Building A (A) Dong 707 and 708, the Defendant is running the business of lending financial complex terminals from our company to many unspecified people, such as victims J,” “If it invests KRW 300,000 won in the terminal price and KRW 100,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,

However, the Defendant, G, and H had no intent or ability to secure a large number of member stores as much as they can pay the settlement fee of KRW 20,000 per week to investors, and there was no choice but to take the method of paying the profits of senior investors by using the investment funds attracting from junior investors. Therefore, insofar as the new investors did not increase in water supply, the Defendant, G, and H did not have the ability to pay the high rate of allowances promised.

In addition, the Defendant received KRW 80 million from the Victim J to February 2, 2012 under the pretext of investment in 200 financial complex terminals from the victim J from January 11, 201 to February 2, 2012, and received KRW 3613.6 million in total from 334 members in the same manner from June 10, 201 to February 2, 2012, as shown in the attached Table 1 of Crimes List 1.

Accordingly, the Defendant is G and H.