Defendants are not guilty. The summary of the judgment against the Defendants is publicly announced.

1. From February 15, 2014, Defendant A has been working as the president of the J Fisheries Cooperatives (hereinafter “JA”) with I from around February 15, 2014 to the present date, and Defendant B has overall control over all business affairs of the union. From August 25, 2004, Defendant C has been working as a senior executive director of the JAA and has been in charge of credit business affairs. Defendant C has been working as a senior executive director of the JAA from April 1, 2014 to the present date, and Defendant D has been in charge of providing advance payment loans for fishery products sales from around September 1, 2012 to the present.

According to the JD Economic Credit Management Operating Manual (hereinafter “instant Operating Manual”) and the Guidelines for Advance Payment of Fishery Products (hereinafter “Guidelines”), sales advance payment shall be made only by the members of the JD and shall be prohibited from extending loans to non-members, and shall be provided with sufficient security even if loans are given to the members, and in short, it shall be made only to recover the principal and interest of loans by examining income or assets and subject to procedures such as putting up a person whose guarantee capability is proven as a joint guarantor.

Nevertheless, the Defendants decided to grant a loan to non-members whose lending is prohibited or members who did not provide sufficient value security, and Defendant D made a proposal for the payment of the advance payment of JD sales agreement. Defendant C, as an economic official, obtained approval from Defendant B and Defendant A, Defendant B’s standing director, Defendant B’s granting approval on the payment document, and Defendant A, as the president of the partnership, conspired to take charge of the role of granting approval on the payment document.

In accordance with the above public offering, the Defendants were at the JWA office around December 26, 2014.