Defendant shall be punished by a fine of one million won.

If the defendant does not pay the above fine, the amount of KRW 100,000 shall be paid.

Punishment of the crime

The defendant is the representative director of the C (State) located in the population B in Young-si, who is a person in charge of overall management of the business affairs of the company, and the manager of the above C (State) in which rehabilitation procedures have commenced around May 1, 2017.

1. A stock company, the total assets of which are not less than 12 billion won as of the end of the business year immediately preceding the appointment of an auditor shall appoint an auditor within four months from the commencement date of each business year;

Although the Defendant, as the total amount of assets at the end of the business year in 2015, was required to appoint an auditor of the said company as KRW 15.1 billion, the Defendant failed to appoint an auditor without justifiable grounds from January 1, 2016 to April 30, 2016, which was the date of commencement of the business year in 2016.

2. Where a stock company, the total assets of which as of the end of the immediately preceding business year are not less than 12 billion won, fails to appoint an auditor within four months from the commencement date of each business year, the Securities Futures Commission may request the company to select an auditor designated by the Securities Futures Commission.

The Defendant failed to appoint an auditor as stated in paragraph 1, and the Financial Supervisory Service entrusted by the Securities Futures Commission with the duties of designating an auditor, etc. on July 24, 2016, requested the said company to appoint the pertinent accounting corporation as an auditor within two weeks. However, without good cause, the Defendant did not comply with the said request until the first policeman of August 2016 without justifiable grounds.

Summary of Evidence

1. Statement by the defendant in court;

1. Application of Acts and subordinate statutes to the accusation book, each investigation report (attached to audit reports, urging the conclusion of audit contracts, notification of the designation of auditors, report on the E investigator’s currency in charge of accusation), and accompanying documents;

1. Article 20 (3) 1, Article 4 (1), Article 20 (4) 1, and Article 4-3 (1) of the Act on External Audit of Stock Companies related to the crime;

1. Selection of punishment: Selection of a fine;

1. The former part of Article 37 of the Criminal Act, and Articles 38 (1) 2 and 50 of the same Act, which aggravated concurrent crimes;

1. Attraction of a workhouse;