1. The Defendant: 114,00,000 won for Plaintiff A; 65,100,000 won for Plaintiff B; and 473,440,000 won for Plaintiff C and each of the said money.

1. Basic facts

A. 1) The Defendant is a corporation with the objective of creating and paying virtual currency E, and managing earnings. 2) The F Co., Ltd. (hereinafter “F”) is a corporation that runs the business of issuing virtual currency, etc., and G Co., Ltd. (hereinafter “G”) is a corporation that engages in the business of mediating trading of virtual currency and conducting exchange business between coaches, etc. and E’s 1 formal exchange.

3) As the representative director of the Defendant and F, H is a person who has overall control over the overall E-related business, including the development of E, and the formulation and implementation of the project plan. 4) The Plaintiffs are those who have transferred the investment funds to the Defendant, F, or G, hearing explanations from H as described in the following sub-paragraph (b).

B. On August 29, 2017, H’s penal punishment imposed upon H was charged under the Seoul Central District Court Decision 2017Da5833, 2017Kadan8263, 2017Kadan8263 (Joint) and 2018 Godan1595 (Joint).

H appeal after being sentenced to imprisonment with prison labor for three years and six months from the above court on November 6, 2019, and the trial at the appellate court is still pending.

1. Fraud H establishes an office that issues E, a virtual currency, in the name of I, Guro-gu J and K, and a place where a project explanation is held in Seoul, Guro-gu J, 20, Seoul, Gangnam-gu M, and Nho, and where a project explanation is held in the Internet siteO while operating the Internet siteO, promoting E and its related project explanation meetings, etc., during three times from June 16, 2017 to July 2017, it holds a project explanation meeting at P, and multiple unspecified persons attending the above project explanation meeting, etc. “E is a virtual currency with serial numbers, and theO that keeps E creates 450 secret codes per one unit, and thus, hacking is absolutely impossible.

The Q block chain chain developed by H developers is a specialized technology applied for patent to 126 countries.

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