The judgment of the court below is reversed.

A defendant shall be punished by imprisonment for one year.

1. The court below found the defendant not guilty of the facts charged of the crime of this case on the following grounds: (a) the defendant was likely to success in the division franchise business related to North Korean food (hereinafter “mutual H”) at the time of receiving approximately KRW 200 million investment from the victim D on March 3 through 4, 2006; (b) the defendant used a significant portion of the victim’s investment funds for the business; (c) the defendant was failed to operate the business due to external factors unexpected by the defendant such as the nuclear experiment, etc. of North Korea around July 2006; and (d) the defendant paid the victim KRW 575,5750,00 to August 1, 2012; and (d) the defendant was not guilty of the facts charged of the crime of this case.

① However, at the time when the Defendant received investment from the victim, it is difficult to see that the Defendant had high possibility of success of North Korean food store franchise business in view of the fact that: (a) although the Defendant was promoting the franchising business related to North Korean food, which called “E” in the trade name, “E” and “H”, it was merely that the Defendant paid approximately KRW 80-9 million each month since the Defendant paid a certain amount of money to the victim on a regular basis; (b) the Defendant was not able to receive additional loans; and (c) there was insufficient financial situation, such as not being able to receive additional loans; and (d) there was a lack of business due to the victim’s investment; and (e) there was a lack of business due to the victim’s investment; and (e) there was only the circumstance that the Defendant was partly covered by the media in view of the situation of soliciting franchise franchises, the lower court found the Defendant not guilty of the facts of fraud.