1. All appeals by the Defendants are dismissed.

2. The costs of appeal are assessed against the Defendants.

3. Text of the judgment of the court of first instance;

1. Basic facts

A. On March 23, 2010, the Plaintiff entered into a credit guarantee agreement with Daegu Bank as to the loan of KRW 300 million from the Daegu Bank.

B. On May 28, 2010, the Plaintiff entered into a credit guarantee agreement with the Small and Medium Business Corporation with respect to loans worth KRW 2.295 million from the Small and Medium Business Corporation. In this regard, the Small and Medium Business Corporation entered into a guarantee agreement with the effect that “The Plaintiff shall terminate the credit guarantee agreement with the Plaintiff upon the establishment of the first-class collateral security agreement with G in Young-si and its ground, with respect to the establishment of the first-class collateral security agreement exceeding KRW 2.754 million.

(hereinafter referred to as the “instant guarantee agreement”). C.

Under the above credit guarantee agreement, Defendant A jointly and severally guaranteed all obligations that Defendant A would have to pay to the Plaintiff.

After that, Defendant A caused a guarantee accident where the interest of each of the above loans was not paid by Defendant A, and the Plaintiff repaid the total of KRW 1,375,092,645 to the Small and Medium Business Corporation on October 17, 201, and KRW 285,68,966 to the Daegu Bank Co., Ltd. on October 20, 201.

E. The Plaintiff recovered 1,469,874,510 won in total through repayment and auction procedure, and appropriated the amount for each subrogated payment to the Small and Medium Business Corporation for the amount of 118,905,040 won, and the amount of subrogated payment to the Daegu Bank was 72,002,061 won.

The agreed interest rate for delay on each subrogated payment is 15% per annum until November 30, 2012, and thereafter 12% per annum.

F. The amount of damages for determination of each subrogated amount arising from the above credit guarantee agreement is KRW 255,266,793, the amount of subrogated payment is KRW 385,200, and the penalty is KRW 5,798,320.

[Evidence: Each entry of Gap evidence Nos. 1 through 20 (including paper numbers), and the purport of the whole pleadings]

2. Determination:

A. According to the above facts of recognition, there are no special circumstances.