1. Revocation of a judgment of the first instance;

2. The plaintiff's claim is dismissed.

3. All costs of the lawsuit shall be borne by the Plaintiff.

Basic Facts

Around June 2008, F Co., Ltd. (hereinafter “LFG generation business”) was permitted to operate a business (hereinafter “LFG generation business”) that sells electricity generated to the Korea Power Exchange for 20 years after the power generation was conducted using LFG (Landftill Glas. Reclamation gas) generated at the facilities for the disposal of household wastes in light of the luminous city.

The defendant is both internal directors and major shareholders of the non-party company.

The plaintiff is the secretary general of the school foundation E (hereinafter referred to as the "E") that operates Chigh School and D Middle School.

E, around May 28, 2009, as an arrangement between the Plaintiff and the Defendant, etc., acquired all business rights related to LFG power generation facilities from the non-party company at KRW 3 billion.

Around July 13, 2009, the Defendant drafted a loan certificate stating that “The Defendant shall borrow KRW 100 million from the Plaintiff at the end of September 2009 with the due date for repayment, but if the Defendant is unable to repay the above money to the Plaintiff by the said due date, the Defendant shall transfer 10,000 shares of the non-party company owned by the Defendant to the Plaintiff in lieu of the repayment of the borrowed money.”

(hereinafter “this case’s loan certificate”). The Defendant was indicted for committing a crime of violating the Act on the Aggravated Punishment, etc. of Specific Economic Crimes, etc. of the Republic of Korea, and for committing fraud, even though it did not have any intent or ability to repay, by borrowing KRW 100 million from the Plaintiff around July 13, 2009, by deceiving the Plaintiff to sell the LFG power generation business to E and receiving KRW 3 billion sales proceeds from E in a way that the profitability is worse jointly with the representative director of the non-party company and the president of the general overseas business.

The defendant et al. (Seoul Central District Court 2014Gohap104) was sentenced to acquittal on December 17, 2015 in the above criminal case (Seoul Central District Court 2014Gohap104) and appealed by the prosecutor's office to that end, and is still pending in the

(Seoul High Court 2016No34). The defendant was under the above criminal trial, and around November 17, 2015, the court was gold 4047.