Defendant

A Imprisonment of two years and six months and fine of 350,000,000 won, Defendant B’s imprisonment of one year and six months and fine of 50,000,000 won.

Punishment of the crime

[Defendant C] On March 2, 2017, the Seoul High Court sentenced Defendant C to two years of imprisonment for the crime of offering a bribe, three years of suspended execution, three years of imprisonment for the crime of offering a bribe, and one year of imprisonment for the crime of violating the Personal Information Protection Act, which became final and conclusive on June 19, 2017.

[Criminal Facts]

1. Joint crimes committed by the Defendants

A. In the case of the so-called Uncapital merger in which the company acquires the company by providing all the shares of the acquiring company as collateral in the merger of the defendant A, B, C, and D (1), and lending borrowed money such as bond funds, it is difficult for the acquiring company to repay the borrowed money and realize the profit unless the shares of the acquiring company are more than the number of times, so it is necessary for the major shareholder who acquired the acquiring company to increase the share price of the acquiring company.

Defendant

A around early 2016, with S who is the representative of the R Co., Ltd., acquired the listing intention with capital without capital, and then, A, using the “satellite Internet Communications Technology” as materials to support the share price of the R Co., Ltd. as a material to support the share price, A selected T Co., Ltd. (hereinafter “T”) as a listed company to take over the business (hereinafter “T”).

Accordingly, on March 2, 2016, S entered into a contract to acquire management rights from U.S. Co., Ltd. (hereinafter “U”), the existing major shareholder of T (hereinafter “U”), and around March 28, 2016, S purchased 170,000 shares of T in the name of W, X, andY from U by borrowing the funds, etc. of V from the bond company around March 28, 2016. Around March 30, 2016, R Co., Ltd took over 1,807,229 shares of T in the amount of KRW 9 billion by participating in the capital increase for consideration, but all of them were a non-capital share acquisition with outside loans such as bonds, and it was a situation in which L Co., Ltd must support the future stock owner.

S is linked to Defendant C through Defendant A, who is an employee of Defendant C, while taking over T&A around the beginning of March 2016, to manage the future share price.