A defendant shall be punished by imprisonment for six months and by a fine of ten thousand won.

When the defendant does not pay the above fine.

Punishment of the crime

1. No person who violates the Health Functional Foods Act shall make any false, exaggerated or negative indication or advertisement with regard to the name, raw materials, manufacturing methods, nutrients, ingredients, methods of use, quality, traceability of health functional foods, and other relevant matters;

Nevertheless, on July 2014, the Defendant advertised “E” among the functional health foods selling places of “E” operated by the Defendant on the second floor of the Gocheon-si, Seocheon-si, Seoul Special Metropolitan City DD Building, to advertise products by employing F, G, and H, to exercise overall control over the business, and FG/H sold functional health foods to the team members while managing its members as the team leader, to mainly provide free gifts, etc. to older persons, and to attract them to sell I, which is a functional health foods, to them. In selling I, the Defendant advertised the above products as if they were brain, head’s blood circulation, effect to prevent wind, and good in the closed circulation, and sold 122 I products as if they were disease control chemicals.

As a result, the Defendant conspiredd with F, G, and H to indicate or advertise that the Defendant might have efficacy or effect in preventing and treating diseases, or to mislead or confuse it as medicine.

2. No person who violates the Food Sanitation Act shall place any indication or advertisement likely to deceive, mislead or confuse consumers with regard to the name, manufacturing method, quality or nutrition labelling, genetically modified foods, etc., and food traceability labeling;

Nevertheless, the Defendant advertised health food by employing F,G, and H at the time and place indicated in the foregoing Paragraph 1, and comprehensively oversees the whole business, and F, G, and H serves as the team leader in charge of managing the members of each team and selling the products to the team team members, and, at the same time, solicits the above-mentioned business to provide free gifts to the team members, and sells the matheme products against them.