Defendant 1 and 2

Madin Madin

Attorneys Park Young-young et al.

Defendant 1 shall be punished by imprisonment with prison labor for ten months, by a fine of 150,00,000 won, and by imprisonment with prison labor for two stock companies.

In regard to Defendant 1, twenty-seven days of detention prior to the rendering of this judgment shall be included in the above sentence.

However, the execution of the above punishment shall be suspended for two years from the date when this judgment has become final and conclusive.

Defendant 2 Co., Ltd. is a corporation established for the purpose of planning entertainment, producing movies, investing, etc., and Defendant 1 is the representative director of the above corporation from May 14, 201.

1. Defendant 1:

A. On May 14, 2001, the name-dong 2, Jung-gu, Seoul Metropolitan Government, borrowed KRW 2 billion from the person in fact who did not intend to pay the above company's established capital, and deposited KRW 2 billion in the above bank as if the defendant et al. paid the stock price as the stock price of the acquired stocks, and issued a certificate of deposit of stock payment from the above bank on the 15th of the same month following the issuance of a certificate of deposit of stock payment from the above bank, thereby making out the full withdrawal of KRW 2 billion from this bank for the repayment of borrowed money;

B. On the 14th day of the same month, the commercial registry of the Seoul Central District Court in Jung-gu Seoul Central District Court in Seoul Central District. The facts are as above, but Non-indicted 12 certified judicial scriveners, submitted an application for the establishment registration of the said company with the certificate of deposit of shares issued as stated in the preceding paragraph, and made the registered public official who is not aware of the fact enter the total amount of the capital in the commercial registry of the original authentic original authentic document into the commercial registry of the authentic document, and exercised the right to keep the same at the time.

C. (1) On January 25, 2002, when filing a value-added tax return with the Gangnam Tax Office, which is the district tax office having jurisdiction over the district tax office, on or around January 25, 2002, Defendant 2 paid KRW 159,50,000 for the purpose of evading taxes in spite of the fact that there was no supply of goods or services by Defendant 2 Co., Ltd., as if Defendant 2 paid KRW 159,50,00 for the purpose of evading taxes, (ju) panty Entertainment’s representative director, who was issued a tax invoice under the name of Nonindicted 13, and filed the tax invoice under the name of Nonindicted 13, 116,872,433 as stated in paragraphs (1) through (10), he/she excessively filed the tax invoice with the expense of KRW 104,261,130,

(2) Around March 31, 2002, at the expense of KRW 1,146,872,433 as stated in the crime list in the same manner as in the preceding paragraph for the purpose of evading taxes while filing a corporate tax return for the tax of KRW 90,842,884,00,00 for the purpose of evading taxes;

D. (1) around March 2001, at the studio scam in the mutual influence in the location of the Gangnam-gu calendar, Nonindicted 4 made an illegal solicitation to the effect that Nonindicted 8, a producer (PD) in charge of the business of organizing, planning, producing, and interfering with the entertainment programs, which is produced and broadcasted by the MBC broadcasting station via Nonindicted 4, will contribute to the said program to Nonindicted 8, a member of the company that the Defendant would establish in the future, and deliver a gold of one million won;

(2) At least 50% of the film shooting of Defendant 2’s title “proponn” invested by Defendant 2, and around that time, Nonindicted 9, the number of Nonindicted 9, who belongs to the said company, produced and commenced the sale of a phonogram with the name of “deponing” in the form of a caption, with the intention to make an illegal solicitation with the content that, while offering money to the PD who is in charge of the production of each broadcasting company’s entertainment-related program, promotion of the film and the above Nonindicted 9’s music advertising.

(A) around the 1st of the same month, at the coffee shop on the mutual influences of the MBC Broadcasting Station Dondo-dong, Seoul, through Nonindicted 4, granted KRW 4 million to Nonindicted 5, who is in charge of Nonindicted 5, “for example, making Nonindicted 9 contribute to the above program to make an illegal solicitation, and, in other words, grant it influence 4 million won under the pretext of case expenses;

(B) At the same time on the same day, Nonindicted 6, the entertainment department of “dial-TV” produced and broadcasted by the said MPC’s office at the 3th floor of the said MBC broadcasting station via Nonindicted 4, who made an illegal solicitation to the effect that “the above film is publicized and the music of Nonindicted 9’s musical video is broadcast”, shall be given in i.e., providing a gold of KRW 3 million in the name of a case fee;

2. Defendant 2 Company:

Defendant 1, who is the representative director of the defendant, committed an illegal act as described in paragraphs (1) and (2) above with respect to the defendant's business.

1. Defendants’ respective legal statements

1. The protocol or copy of the examination of the suspect against the defendant 1 and the non-indicted 5

1. Each prosecutorial statement or a copy thereof on Nonindicted 7, Nonindicted 14, Nonindicted 3, Nonindicted 15, Nonindicted 4, and Nonindicted 2

1. Copies of the corporate tax return in 2001, the value-added tax return in 2001, the tax base, and the tax amount return; and

1. A copy of the substitute table and of the president of each account;

1. Applications for registration of incorporation and copies of related documents;

1. Each investigation report accompanied by a written confirmation, statement, etc.;

1. Seizure records;

1. Article applicable to criminal facts;

Defendant 1: Article 357(2) and (1) of the Criminal Act; Article 9(1)3 of the Punishment of Tax Evaders Act; Articles 628(1) and 622(1) of the Commercial Act; Article 228(1) and (2) of the Criminal Act

Defendant 2: Article 3 and Article 9 (1) 3 of the Punishment of Tax Evaders Act

1. Aggravation of concurrent crimes;

Article 37 (former part), Article 38 (1) 2, and Article 50 of the Criminal Code

1. Calculation of days of pre-trial detention (Defendant 1);

Article 57 of the Criminal Act

1. Suspension of execution (Defendant 1);

Articles 62(1) and 51 of the Criminal Act

Judges Park Dong-young