1. The defendant on April 25, 1997, as to the real estate stated in the attached list to B, machinery such as Daegu District Court and racing support, etc.

1. Facts of recognition;

A. As to the instant real estate owned B on April 25, 1997, the Defendant completed the registration of creation of a mortgage (hereinafter “registration of a collateral security”) on the ground of the contract executed on April 21, 1997 by the obligor B and the mortgagee B as the Defendant.

B. B served as an officer of the above company and several affiliate companies by November 29, 197. On September 18, 2003, the bankruptcy trustee of the Gyeonggi Bank Co., Ltd. (Bankruptcy of October 26, 1998), the bankrupt company of the bankrupt company, etc. (the bankrupt company of October 26, 1998) filed a claim suit against B for damages (Seoul Central District Court 2003Gahap4929) on the ground that he neglected his duties as an auditor, after receiving the provisional seizure order against the real estate of KRW 180 million, the bankruptcy trustee of the Gyeonggi Bank, Inc. (the bankrupt company of October 26, 1998) filed a claim for damages (the Seoul Central District Court 2003Gahap4929), and on July 19, 2006, the appellate court of the above lawsuit (the Seoul High Court 2005Na10259) rendered a judgment that "the defendant shall pay 500 million won and delay damages to D, etc."

The facts of the cause of this lawsuit were as follows: “B did not affix a seal to the internal audit report of C, and did not perform the audit duties for approval of the general meeting of shareholders, such as not signing and sealing on the minutes of the general meeting of shareholders, and did not neglect the preparation and disclosure of the financial statements omitted from financial support details of the above company’s defective affiliated companies; and the Gyeonggi Bank purchased a promissory note issued by C on September 7, 1997 on the basis of such financial statements and purchased a corporate bonds payment guarantee contract, loan contract, etc. with C, and then purchased a promissory note issued by C on September 7, 1997.” The claim was dismissed in the first instance court on the ground that it was not recognized that B neglected its duties as an auditor.