Defendant

A Imprisonment with prison labor for three years and for two years, respectively.

However, from the date this judgment became final and conclusive, Defendant.

Punishment of the crime

Defendant A, as the president of the F Co., Ltd. (hereinafter “Co., Ltd. G”) (hereinafter “Co., Ltd.”), Defendant A, holding approximately KRW 35.64% of F’s equity interest (including stocks held by specially related persons as of October 2, 2013, and including stocks held by specially related persons), was the person who run the said company; Defendant B, as the representative of H; and H, as the largest shareholder of the said company, acquired 24.25% of F’s equity interest on October 30, 2013, and became the largest shareholder of the said company.

On May 6, 2013, the Defendants: (a) invested funds in Defendant B to F; (b) become the largest shareholder of H; and (c) drafted a joint agreement with Defendant B to participate in the management; (b) according to the terms of the said agreement, Defendant B was appointed as a director of F on June 28, 2013; and (c) managed the said company jointly with Defendant A.

1. The Defendants’ co-principal

A. No one shall use an unlawful means, scheme, or trick in connection with trading or any other transaction of financial investment instruments by offering new shares to a third party on July 12, 2013;

Defendant

A planned to improve the financial structure of F, see Article 2(2) of the Act on the Issuance of Paid-in Capital, which is equivalent to approximately 14 billion won, from Jun. 2013 to Jun. 2013. In order to ensure the success of the above capital increase, the Defendants first planned to attract general investors to the above large-scale capital increase, which will be conducted after having first allocated 2.5 billion won to Defendant B’s account and then offered 2.5 billion won for the success of the above capital increase.

On June 28, 2013, the Defendants issued a report on material facts under the Financial Supervisory Service’s electronic disclosure system, stating that “F made a decision on the allocation of shares to a third party of KRW 2,024,290, issued shares, issued shares 2,499,998,150,” and that “the third party, I, and J participated in the payment for capital increase,” and Defendant B issued a report on material facts on July 12, 2013, and Defendant B paid KRW 99,99,260 in the name of the said I and KRW 809,716 shares.”