The prosecutor's appeal is dismissed.

1. The summary of the grounds for appeal (the petition of appeal stating only the misunderstanding of the facts or misunderstanding of the legal principles is the "misunderstanding of facts," but it seems that there is a misunderstanding of the legal principles in light of the statement of reasons for appeal).

A. According to Article 24(3)2 of the former Act on the Maintenance and Improvement of Urban Areas and Residential Environments (wholly amended by Act No. 14567, Feb. 8, 2017; hereinafter “former Act on the Maintenance and Improvement of Urban Areas”) that a violation of the Act on the Maintenance and Improvement of Urban Areas and Residential Environments due to borrowing of funds without a resolution by a general meeting, the method of borrowing funds, interest rate, and method of repayment shall be subject to a resolution by the general meeting, and the language thereof does not require the members to affect their rights and obligations.

Therefore, even if there was an agreement between F Housing Reconstruction Improvement Project Association (hereinafter “F Association”) and Hyundai Industrial Development Co., Ltd. (hereinafter “Modern Industrial Development”), such as (1) a written judgment of the court below, the full liquidation agreement (hereinafter “full liquidation agreement”) was reached between F Housing Reconstruction Project Association (hereinafter “Mod Industrial Development”), a resolution of the general meeting is necessary to borrow funds as stated in this part of the facts charged.

B. The parties to each service contract specified in this part of the facts charged are not modern industrial development, but FF associations.

Therefore, even if the complete liquidation agreement was reached, each of the above contracts constitutes "a contract that becomes a partner's burden in addition to the matters prescribed in the budget" as stipulated in Article 24 (3) 5 of the former Act, and requires a resolution at a general meeting.

2. Determination

A. According to the evidence duly admitted by the lower court, the following facts can be acknowledged.

① On January 31, 2008, the F and Hyundai Industrial Development form shares in relation to the F Housing Reconstruction Improvement Project (hereinafter “instant project”).