1. Defendant A and B shall be punished by imprisonment with prison labor for three years, by a fine of one billion won, by imprisonment with prison labor for one year and six months, and by a fine of ten million won.

Punishment of the crime

Defendant

A and B are the joint representative director of the “I Limited Liability Company (hereinafter only referred to as “I”) which is a management consulting company located in 110-404, Gangnam-gu Seoul Metropolitan Government H building 110-1, Defendant C is the director of the “K Stock Company (hereinafter referred to as “K”) which is a manufacturing company of air-conditioning parts located in the JJ in Ansan-si, Ansan-si, and Defendant D is a person who served as a director in the above K from March 18, 2005 to October 31, 2009.

1. Defendant A, B, and C

A. Violation of the Securities and Exchange Act, Defendant A and B, 2008

6.5. Around May, 200, K’s representative director’s share was lower than KRW 7.78%, and approximately KRW 20 billion’s evaluation of the above company’s factory site is not properly reflected in its assets, and if sales and profit-making structure are good and attempted to take over as a company subject to hostile mergers and acquisitions, a small-sum investor’s expected interest will increase, thereby resulting in a rapid increase in the stock price and obtaining profits from the market by disposing of the stocks owned by K.

Defendant

On July 4, 2008, A and B obtained the status of a person holding stocks, etc. exceeding 1,498,749 shares of K company by using the I Corporation Account and the Defendant’s personal account, and obtained the status of a person holding stocks, etc. exceeding 5.24%. In addition to the public announcement of the above report on the holding of stocks, I publicly announced the intent to participate in the management, “I shall demand the current management to retire the company’s stocks, repurchase the factory site’s assets, repurchase the dividend rate, purchase the company’s stocks to retire profits, purchase the outstanding stocks to retire profits, and exercise the influence over the company’s management in the future.”

Defendant

A and B filed an application for K's provisional disposition on July 24, 2008 with K's list of shareholders for inspection of its account books and copies, the provisional disposition on July 30, 2008 with K's representative director's suspension of the performance of duties on July 30, 208, and on August 14, 2008 with K's temporary general meeting of shareholders, and K has a duty to disclose the above dispute of management rights.

. The above.