The judgment below is reversed and the case is remanded to Seoul High Court.

The grounds of appeal are examined (to the extent of supplement in case of supplemental appellate briefs not timely filed).

1. As to the fourth ground for appeal

A. According to Article 34(2) of the former Corporate Tax Act (amended by Act No. 9267, Dec. 26, 2008; hereinafter the same), the amount of claims which cannot be recovered due to the debtor’s bankruptcy, etc. among the claims held by a domestic corporation (hereinafter “deductible expenses”) may be included in deductible expenses in calculating the income amount for the pertinent business year.

B. According to the reasoning of the judgment below and the evidence duly admitted by the court below, (1) as to the building in this case as stated in the judgment below on January 20, 204, the registration of preservation of ownership of MIM Korea Co., Ltd. (hereinafter “MM Korea”) completed the registration of creation of the right to collateral security of KRW 7,00,000,000 in the first priority order, and completed the registration of creation of the right to collateral security of KRW 23,561,902,875 in the second priority order, the plaintiff completed the registration of creation of the right to collateral security of the maximum debt amount of KRW 23,561,902,875 in the future; (2) the plaintiff transferred MM Korea’s claim against MM Korea on October 26, 2004 to the National Bank; and (3) on December 28, 2005, the National Bank of Korea did not obtain the right to collateral security of KRW 4,420,0000,7679 and 7574.6.

According to the above facts, loans and construction cost claims of KRW 569,406,680, which the plaintiff failed to recover, are transferred to the national bank by transferring the second-class collateral claims as above, and are distributed to the national bank in the auction procedure.