The defendant's appeal is dismissed.

1. Summary of grounds for appeal;

A. In fact, misunderstanding the legal principles, the Defendant provided the victim with sufficient security by establishing a collateral security right of KRW 120 million with the maximum amount of the claim amount as collateral, and traded goods with the victim within the scope of the collateral above. There was no deception of the victim, and there was no intention to defraud the victim.

Nevertheless, the court below found the Defendant guilty of fraud. The court below erred by misapprehending the legal principles or by misapprehending the legal principles, which affected the conclusion of the judgment.

B. The sentence sentenced by the lower court to the Defendant (six months of imprisonment) is too unreasonable.

2. Determination

A. 1) The Defendant asserted the same purport as the grounds for appeal in the lower court’s judgment, but the lower court rejected the above assertion on the grounds as indicated in its reasoning and found the Defendant guilty of the facts charged in the instant case on the ground that the Defendant was aware of the intent to defraud the Defendant by taking account of the following evidence.

2) On the circumstances acknowledged by the lower court, the following circumstances are additionally acknowledged based on the evidence duly adopted and examined by the lower court. In other words, the Defendant, under the agreement, agreed to obtain steel pipes from the victim company on March 2016 on the condition that he/she will succeed to the claim amounting to KRW 47 million from the victim company, and that he/she will receive the claim amounting to KRW 120 million from the victim company on the condition that he/she shall set up a collateral security right of KRW 120,000,000,000,000 from the victim company, and the Defendant paid KRW 5,000,000 to the victim company on two occasions on March 24, 2016 and April 19, 2016. However, the Defendant paid KRW 70,000,000 to the victim company on March 24, 2016.