The judgment of the court below is reversed.

A defendant shall be punished by imprisonment for not less than one year and six months.

1. The reason for appeal (misunderstanding the fact) is that the defendant will borrow a new factory building to the victim as collateral and repay the borrowed amount.

Although the victim lent the money in trust, the victim was actually unable to obtain additional loans with the above building as security, due to changes in the circumstances such as financial crisis, etc., and thus, he/she is not able to receive additional loans or to repay the borrowed money, and therefore, he/she can fully recognize the fact that he/she acquired the money by deceiving the victim.

2. Determination

A. On June 30, 201, the summary of the facts charged was sentenced to imprisonment with prison labor for a violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud) at the Suwon method Board, and the judgment on July 8, 2011 became final and conclusive on July 201.

The defendant is the representative director of E Co., Ltd. that is automobile related parts.

From April 11, 2008 to June 13, 2008, the Defendant loaned KRW 870 million from the Victim F to repay the remainder of the loan due to the lack of temporary operating funds, and promised to borrow land in E Co., Ltd. (hereinafter “instant land”) and a new factory building on the said land (hereinafter “the instant building”) as collateral, in the circumstance that the Defendant was unable to repay the remainder of the loan money and repay the loan money.

However, until August 10, 2007, the Defendant established a collateral security of the maximum amount of KRW 11 billion with respect to the instant land and borrowed KRW 7.25 billion from the Industrial Bank of Korea, the Defendant appraised the instant land and buildings to the Korea Appraisal Board for additional loans on May 29, 2008. However, around May 29, 2008, the instant land was assessed as KRW 6.59,060,000 with respect to the instant land, and KRW 10 billion with respect to the instant building KRW 3.528,948,000 with respect to the instant land.

B. On June 16, 2008, the Industrial Bank of A.I.D. not only the land of this case but also the land of this case in order to secure KRW 7.25 billion of existing loans around June 16, 2008.