Defendant

A Imprisonment with prison labor for one year, for six months, for Defendant B, and for a fine of KRW 3,00,000, respectively.

Punishment of the crime

Defendant

A The president of the Social Welfare Foundation H Foundation in Yongsan-gu Seoul Metropolitan Government (hereinafter referred to as the “H Foundation”), Defendant B’s financial director of the H Foundation, and Defendant C’s overall team of the “I”, a social enterprise affiliated with the H Foundation, are the former and present employees of the H Foundation, and R, S, T, U, V, W, X, Y, Z, Z, AA, P, and Q are the relatives or figures of the foregoing B, C, C, and J.

On February 3, 2010, H Foundation’s “I” was designated as a “preliminary social enterprise” with the content of a dance-making project for persons with severe disabilities from the head of Seoul Special Metropolitan City on February 3, 201 (the first: from February 1, 2010 to January 31, 201; the second: from February 1, 201 to January 31, 201; and the second: from January 31, 201 to January 31, 2012) by receiving some of the personnel expenses and social insurance premiums for paid workers related to the project in the form of a subsidy. The subsidy shall not be granted by false application or other unlawful means.

Nevertheless, Defendant A and Defendant B instructed Defendant C, a general team leader, to receive illegal subsidies on the ground of false workers for the purpose of raising the I’s finances. Defendant B and Defendant C created the appearance of the employment contract and the benefit ledger to apply for subsidies by means of false recommendation, etc. by either directly or through other employees, such as the aboveJ, and subsequently, Defendant A and Defendant C conspired to use the said subsidies for expenses, after receiving en bloc refund from the account (National Bank AC and Account Notes: AD) managed by H Foundation I to the account managed by H Foundation I (National Bank AC and Account Notes).

Accordingly, on March 3, 2010, the Defendants filed an application with the Mayor of Seoul Special Metropolitan City on February 1, 2010 for subsidies for Seoul-type social enterprise from February 1 to February 28, 2010 based on the false employment contract and the payment of benefits, and filed an application with the Mayor of Seoul Special Metropolitan City for subsidies for Seoul-type social enterprise from February 1, 2010 to February 28, 2010.