Defendant

A Imprisonment with prison labor of one year and two months, and Defendant B shall be punished by imprisonment with prison labor of six months.

However, as to Defendant B, this shall not apply.

Punishment of the crime

[criminal power] On January 18, 2018, Defendant A was sentenced to three years of imprisonment for fraud, etc. in the Busan District Court Branch Branch of the Incheon District Court, and the judgment became final and conclusive on January 22, 2019.

【Criminal Facts】

On February 9, 2015, the Defendants took over “D” located in Eunpyeong-gu Seoul Metropolitan City, where the financial status is not good without any particular operational fund, and registered as a business operator in the name of a third party and run it as a partnership business. Defendant A, in the position of “director”, was in charge of funding, overall operation, etc. based on the marina operation experience. Defendant B, in the position of “president”, was in charge of performing duties such as external public relations, etc. by using an artist’s awareness as an artist.

1. Fraud and occupational embezzlement of victims E;

A. On January 2015, the Defendants concluded a contract with the victim E to provide the victim E with the condition that “the amount calculated by deducting the fee of KRW 30 million and KRW 8% (5% for two months from the open date) of the sales proceeds of each share shall be paid” and “the payment of the security deposit shall be made by allowing the operation of the fluor upon the payment of the security deposit.”

However, in fact, the Defendants were willing to operate a set using the fee received from the marina shop occupants without any particular operating fund or business plan, and the Defendants were unable to normally operate the set, such as there is no ability to pay the fee to the goods supplier, and even if they receive the deposit from the victims, they did not have the intention or ability to operate the set properly.

Nevertheless, the Defendants: (a) by deceiving the victim as above and deceiving the victim; (b) deposited KRW 10 million on January 31, 2015, and KRW 20 million on February 3, 2015, respectively, in the F’s account; and (c) conspired to acquire KRW 30 million in total.

B. The Defendants’ embezzlement of sales proceeds is the victim E and the above 1-mentioned around February 3, 2015.