Defendants shall be punished by imprisonment for one year and six months.

However, for the defendant A, three years from the date this judgment became final and conclusive.

Punishment of the crime

[criminal records] On February 9, 2017, Defendant B was sentenced to a suspended sentence of one year and six months for fraud, etc. at the Daegu District Court, and the above judgment was finalized on February 17, 2017. On March 23, 2017, Defendant B was sentenced to a suspended sentence of two years for imprisonment for six months for fraud, and the above judgment was finalized on March 31, 2017.

[2] Criminal facts D is a person who comprehensively manages and operates the Korean branch of the company "E" whose head office is located in the United Kingdom; F is a person who is engaged in investment lectures, membership ID management, civil petition processing, etc. against investors subscribed to E under the D's instructions; Defendant B is a “educational director” who gives investment incentives to investors on the E-profit structure, etc.; Defendant A and Defendant C play the role of giving investors investment lectures with Defendant B at the place where the investors gather and transfer investment funds from investors.

1. The Defendants conspired with D and F to share the above role and to obtain investments from investors. On December 2014, the Defendants made a false statement to the effect that “E has a branch office in the whole world to a company that develops content,” and that “E may bring a high profit without loss due to profits from the investment of the other investors of the lower part, and its principal may be recovered within one month,” from the E-ju office located in the 7th floor of the Seo-gu Seoul, Seo-gu, Gwangju, and the 3rd floor of the Gwangju H building in the Seo-gu, Seo-gu, Gwangju, to the effect that “E is established in the entire world by the company that develops content.”

However, if an investment is made by paying at least 320,000 won of subscription fees, it shall be admitted as a member, and a new person shall be admitted as a multi-level manner in which members who have joined are recruited further new members.