1. All of the instant lawsuits are dismissed.

2. Litigation costs shall be borne by A;

1. Basic facts

A. The Defendants were indicted at the Seoul Central District Court on suspicion that they committed crimes, such as violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud), as executive officers of I Co., Ltd. (hereinafter “I”) or representatives of JJ, a company managing investment funds of the said company.

(Seoul Central District Court K, L (Joint), M (Joint), N (Joint), April 4, 2016, the above court convicted Defendant D of the following criminal facts, and sentenced Defendant D of 13 years of imprisonment, 7 years of imprisonment, Defendant F and H, 4 years of imprisonment, and 2,466 of compensation order.

Defendant D is a real representative of the I, Defendant F is a director and marketing director, Defendant G is a nominal representative director, Defendant E is a military unit, Defendant H is a private business entity managing I’s investment funds. A.

The Defendants in violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud) made false statements to the victims on March 2015, 2015, stating that “I will invest the money in foreign futures, thereby guaranteeing the principal after three months, and guaranteeing investment returns equivalent to approximately 2.5% per month.”

However, the Defendants thought that most of the above investment funds were used for the purpose of using the O investors who had been operated by the Defendants before I and the i.e., returning investment funds to investors in first priority.

The Defendants, as seen above, were remitted to KRW 138,031,00,000 in total from 2,993 victims, including deceiving the victims.

(b) Any person who violates the Act on the Regulation of Conducting Fund-Raising Business without obtaining authorization or permission, or making registration or report under Acts and subordinate statutes, shall pay the full principal or an amount exceeding such principal in the future.