Defendants shall be punished by imprisonment for one year.

However, the above punishment against the Defendants for two years from the date of the conclusion of the judgment.

Punishment of the crime

1. No person, other than doctors, herb doctors, dentists, midwifes, the State, local governments, medical corporations, nonprofit corporations, quasi-governmental institutions, etc., may establish a medical institution;

The Defendants, taking advantage of the fact that C.C. may conduct health and medical business for improving the health of its members pursuant to relevant Acts and subordinate statutes, were able to establish a medical institution in a formal manner (at least 300 members shall be required for establishment, and at least 300 members shall be required to attend a majority of the persons consenting to establishment and shall pass a resolution with the consent of at least 2/3 of those present at the inaugural general meeting. The total amount of investment shall be at least 30 million won, each member shall invest at least one unit, and the number of contribution units per member shall not exceed 20/100 of the total number of contribution units). After having prepared a legitimate external appearance, the Defendants were willing to establish and operate a medical institution under the name

Although the Defendants did not satisfy the substantive requirements for the establishment of the C Association, such as by making a substitute attendance at the inaugural general meeting of the C Association by pretending to have more than a majority of the members of the Association, and by paying 1916 members the total amount of 3,0140,000,000,000,000,000,000,000 won, and by making a substitute payment to the members of the 1,916 members, the Defendants did not satisfy the substantive requirements for the establishment of the C Association. However, upon applying for authorization for the establishment of the “D Association” to the Governor of Jeollabuk-do around January 2013, the inaugural general meeting, etc. was normally made and by submitting a false document as if the members were directly paid the investment.

Since then, around April 12, 2013, the Defendants reported the establishment of a medical institution in the name of “E” in the name of the Association in the name of the former Si Health Administration Division in Jeonju-si, Jeoncheon-gu, Jeonju-si, Jeonju-si, and Jeonju-si from April 15, 2013 to March 31, 2014.