A defendant shall be punished by imprisonment for not less than two years and six months.

Punishment of the crime

The defendant is the representative director of the company C (hereinafter referred to as “C”) who is a welfare instrument in B in Gyeonggi-do and a medical device manufacturing company C (hereinafter referred to as “C”) in overall control over the business of the company.

The National Health Insurance Corporation (hereinafter referred to as the "Corporation") shall, upon receipt of an application for determination of benefits for welfare programs eligible for long-term care benefits from a manufacturer or importer of welfare programs, determine the prices of the products and health and welfare programs submitted to the Corporation after consultation with the lowest price calculated by adding the sales ratio of the costs of general retail business among statistical data in the recent corporate management analysis conducted by the Bank of Korea, to the total cost appropriated pursuant to the "Enforcement Rule of the Act on Contracts to which the State is a Party" based on cost data, such as material cost, external cost, import cost, and the sales amount of the same or similar product investigated by the Corporation, and the market research price of the same or similar product, which is the actual transaction price of the product submitted to the Corporation; and (3) the price of the products and health welfare programs, which is the basis for calculating the desired sales price submitted by the former manufacturer or importer of welfare programs.

On the other hand, the manufacturer or importer of welfare instruments who has received the payment decision shall sell welfare instruments to the agency or the welfare instruments business establishment (hereinafter “business establishment, etc.”), and the business establishment, etc. shall receive 85% of the notified price from the Service after selling the purchased welfare instruments to the beneficiary, and receive 15% of the remaining 15% from the recipient.

Therefore, the manufacturer or importer of welfare equipment is based on the material cost actually paid, the cost of the external share price, the cost of the revenue, etc. so that the reasonable published price can be determined.