The judgment of the court below is reversed.

The defendant shall be innocent.

【Judgment on Grounds for Appeal】

1. Summary of grounds for appeal;

A. The Defendant’s payment of KRW 254,554,038 as the price for requesting the development of the TFT panel to the U.S. L company is not an embezzlement for the use that conforms to the purpose designated in the instant task, since there is still a need for the development of the TFT panel even at the second stage of misunderstanding of facts or misunderstanding of legal principles (hereinafter “instant task”).

B. The lower court’s sentence of an unreasonable sentencing (fine 20 million won) against the Defendant is too unreasonable.

2. Judgment on misconception of facts or misapprehension of legal principles

A. According to the evidence duly admitted and examined by the lower court, the following facts are acknowledged.

(1) Around December 2008, F Co., Ltd., the Defendant’s management, was selected by the Ministry of Knowledge Economy as an institution in charge of the instant task, and entered into an agreement on the development of industrial technology with the Electrical Technology Research Institute (the Korea Industrial Technology Evaluation Institute is designated as an institution in charge of industrial technology around December 22, 2008) that performs the business selection, post-management, supervision, and evaluation as delegated by the Ministry of Knowledge Economy.

(2) The detailed task of the instant task is “H development,” and the total development period is divided into one step from December 1, 2008 to September 30, 2010 and two steps from October 1, 2010 to September 30, 2013. According to the industrial technology development project plan, the first step development objective is to “establishment of core technology by developing 2inch size x 2inch size x 2inch size - dital X-raymcr.” The development task is to include 2inch size x 2inch size x 2inch size x 2 in order to verify the development stage x in order to verify the development stage.”