The defendant shall be innocent.

1. The Defendant is the head of the Chinese Center of “B”, which is a multi-registered organization without registration.

No person shall conduct multi-level business using a multi-level organization without registering the authority.

Nevertheless, the Defendant, in collusion with B’s Malaysia’s head office and C and D, a business operator of the above three stages of domestic organization, shall not register multi-stage sales business with the authorities. From June 2, 2015 to August 30, 2016, if the Defendant has paid 6.5 million won (5 million won base amount for allowances) to unspecified persons in its own name, it shall be given 6.5% of the advertising rights and 60% of the total amount for which members shall be entitled to be advertised on the “E” created from “B,” and the F Points equivalent to 600,000 won shall be given 50,000 won (or 300,000 won if the paid-in amount is 6.5 million won) on the Internet, and shall be given 300,000 won or more of the average annual increase of 16.2 times to 20,000 won (or 300,000 won if the paid-in amount is 6.5 million won).