All of the Prosecutor and the Defendants’ appeals are dismissed.

1. Summary of grounds for appeal;

A. The lower court’s sentence against Defendant A of the Prosecutor (fine 30 million won) is too unfluent and unreasonable.

B. Defendants (1) misunderstanding of facts or misunderstanding of legal principles (as to the violation of the Financial Investment Services and Capital Markets Act) (A) purchased a minimum number of stocks to the extent that funds are permitted in order to defend the share price and prevent the loss of management rights due to hostile M&A, and thus, it does not constitute manipulation as prohibited under the Financial Investment Services and Capital Markets Act.

(B) Defendant C purchased shares according to Defendant B’s instruction, and did not invite stock price manipulation.

(C) Nevertheless, the court below found the Defendant guilty of this part of the facts charged. The court below erred by misapprehending the facts or by misapprehending the legal principles, which affected the conclusion of the judgment.

(2) Each sentence of the lower court on unreasonable sentencing (Defendant A: fine of KRW 30 million, Defendant B: fine of KRW 10 million, Defendant C: fine of KRW 3 million) is too unreasonable.

2. Determination

A. As to the Defendants’ assertion of mistake or misapprehension of legal principles (1) “transaction that misleads the misunderstanding of, or changes in, the market price” under Article 176(2)1 of the Financial Investment Services and Capital Markets Act means a transaction that is likely to cause an artificial change in the market price and trading volume to be formed in a free competition market due to normal supply and demand supply due to other factors not attributable to the market cause, and thus, does not require a change in the market price actually. If a series of acts were conducted, it is sufficient that the overall act might cause a change in the market price, and whether it falls under any of the above requirements, even if the parties concerned have not led to confession.