1. The instant lawsuit shall be dismissed.

2. The costs of lawsuit shall be borne by the Plaintiff.

Basic Facts

Co., Ltd. (hereinafter “C”) and Co., Ltd. (hereinafter “Co., Ltd.”) entered into a credit transaction agreement with the Industrial Bank of Korea on September 16, 2008 and entered into a credit transaction agreement on September 16, 200 with loans as loans for facilities of small and medium enterprises: ① loans of KRW 550 million per annum, overdue interest rate of KRW 19% per annum, September 16, 2018, ② loans of KRW 1 billion per annum, overdue interest rate of KRW 19% per annum, September 16, 2016, and received loans from the Industrial Bank of Korea on the same day.

(hereinafter “instant loan”). B, who was the representative director of C at the time, was jointly and severally guaranteed the instant loan obligation against the Industrial Bank of Korea of C on September 16, 2008.

On September 12, 2008, C entered into a mortgage contract with the Industrial Bank of Korea to secure the obligation of the instant loan, etc., and completed the registration of establishment of a mortgage over the maximum debt amount 3.5 billion won as of September 12, 2008, the Daegu District Court No. 50905, which received September 12, 2008, against the Industrial Bank of Korea as to each real estate listed in the attached Table 1 List C (hereinafter “the instant real estate No. 1”).

Since then, C has failed to pay the principal and interest of the instant loan under each of the above credit transaction agreements on the agreed date, and thus has lost the benefit of time.

Accordingly, on April 8, 2010, the Industrial Bank of Korea filed an application for voluntary auction with respect to the instant real estate No. 1, and received voluntary decision to commence auction as Daegu District Court Kimcheon Branch D.

On May 27, 2010 and June 28, 2010, the Industrial Bank of Korea, after the successive transfer of the instant loan claims, transferred all of the instant loan claims against C and the interest claims incidental thereto to Korea limited liability companies according to the asset acquisition agreement with Korea-F&A Co., Ltd and Korea-based limited liability companies specializing in the transfer of the instant loan claims (hereinafter “Korea-based limited liability companies”), and around that time, transferred the said assignment to C.