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

Punishment of the crime

The Defendant is the representative director of the Victim E Co., Ltd. (hereinafter “victim Company”) that produces handbags for women of the GUES “GUES” in China by means of OEM (production of original trademark) and exports to the U.S. company for handbag trade, etc.

The Defendant: (a) remitted the cost of processing and supplementary materials to the Chinese corporation F (F, representative G, hereinafter referred to as “F”) to the Hong Kong bank account in the name of Hong Kong, the Hong Kongcomer established by G; (b) appropriated part of the cost of processing and supplementary materials for excessive use as non-funds; and (c) obtained the Defendant’s consent to arbitrarily transfer or withdraw the excessive funds appropriated from G to H Hong Kong bank account in the name of Hong Kong bank account in early 2007 by appropriating excessive processing costs, etc. to the H Hong Kong bank account; and (d) obtained the Defendant’s consent to arbitrarily transfer or withdraw the excessive funds appropriated.

Accordingly, the Defendant, from the H’s account under the name of H, remitted the excessive appropriated money to the account in the name of Hong Kong branch in the Hong Kong in the name of the Defendant (I, changed trade J, hereinafter “I”) located in the Hong Kong branch in the Hong Kong located in the Hong Kong where the Defendant was established, or remitted money to the account in the name of the Defendant via the account in the name of “AK (A&K)” or “AL (A&L)” which the Defendant manages from the H’s account in the name of H to the account in the name of the Hong Kong branch in the HSBC Hong Kong branch in the name of the Defendant. As such, the Defendant raised USD 3,125,300 in total from the beginning of 209 to the mid of 2011

Around January 13, 2009, the Defendant arbitrarily used USD 100,000 in total for the purchase of funds under the name of the Defendant, acquisition of the victim company’s stocks and bonds with warrants, payment of loans, payment of variable premium, and child study funds, as shown in the attached list of crimes, from June 23, 2011 to June 23, 201.