A defendant shall be punished by imprisonment for two years.

Punishment of the crime

1. On October 24, 2011, the Defendant made a false statement to the victim C, stating that “If he/she has subscribed to a number system that pays KRW 10 million per unit, he/she will put up a system around June 25, 2013, on the last 21 unit, which is the order of priority.”

However, the Defendant had no intention or ability to normally pay the fraternity in accordance with the sequence of the date set from the beginning, by organizing a fraternity without any particular income or property at the time, by receiving the fraternity payments from the victims, or by paying the fraternity payments from other fraternitys already in operation, etc.

As a result, the Defendant received a total of KRW 20 million from October 25, 201 to May 28, 2013 from the victim as a deposit money, as well as a total of KRW 20 million, from May 28, 2013, and acquired the Defendant, as described in paragraphs 1 through 6 of the attached List of Crimes, from the victim 6 as a deposit money by the said method.

2. On August 24, 2012, the Defendant made a false statement to the victim G, stating that “If he/she has subscribed to a number system that pays KRW 10 million per unit, he/she will put up a system around April 25, 2014, which is the last order of 21.”

However, in fact, the Defendant was thought to organize a new system and prevent him from returning his obligation to pay the fraternitys set forth in the above paragraph (1), and the Defendant did not have any intention or ability to pay the fraternitys normally in accordance with the sequence of the date set from the beginning, by granting Nos. 21 at the same time to the victim G, H, I, J, and K, using the fact that there is no relationship between the fraternitys.

Ultimately, the Defendant, in its possession, received a sum of five million won from the victim from August 24, 2012 to May 24, 2013 under the pretext of payment of accounts, as stated in the attached Table Nos. 7 through 15.