The defendant shall be innocent.

1. The summary of the facts charged of this case is as follows: (a) the Defendant, along with the victim D on June 19, 2008, invested in the amount of KRW 237 million in the market value of KRW 60 million in the amount of KRW 117 million in each case; and (b) jointly purchased KRW 100 million in the amount of KRW 17 million in each case; and (c) the registration of ownership transfer was made in the sole name of the Defendant and was kept in custody of the victim for 1/2 shares of the said real estate at the mutual incompet office located in Incheon around February 2, 2010; (d) the Defendant arbitrarily embezzled the maximum debt amount of KRW 120 million with F with the maximum debt amount of KRW 120 million in each case of the said real estate at the mutual incompet office located in Incheon; and (e) embezzled the amount of KRW 60 million in each case of the victim’s 1/2 shares in the said real estate.

2. According to the evidence submitted by the Prosecutor, the relationship between the Defendant and D surrounding the above real estate is clear that it is a title trust with respect to the 1/2 shares owned by D.

However, in the so-called “third-party registered title trust” where a truster becomes the actual party to a sales contract at the time of the acquisition of real estate, and only the title holder due to the purchase is entrusted to the trustee, the real estate disposal by the trustee may constitute embezzlement. However, in the so-called “contract title trust,” the real estate disposal by the trustee cannot constitute embezzlement.

According to the provisions of Article 2 subparag. 1 and Article 4 of the Act on the Registration of Real Estate under Actual Titleholder’s Name, where a truster and a trustee enter into a title trust agreement, and accordingly, the truster entered into a sales contract on real estate with the owner without knowing the existence of a title trust agreement as a party, and subsequently made the registration of ownership transfer on the real estate in the name of the trustee pursuant to the sales contract, the change in the real right on the relevant real estate by the registration of ownership transfer is valid,