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Defendants shall be punished by a fine of KRW 20,000,000.
Defendant
If A and B fail to pay the above fine, 50.
Reasons
Punishment of the crime
Defendant
A is a corporation established for the purpose of C representative director, Defendant B’s general manager, Defendant C’s business manufacturing and selling cosmetics, and medical machine manufacturing and selling business.
1. The Defendants A and B conspired with the competent authority not registering multi-level marketing business, and, from July 19, 2010 to April 26, 2012, the head office of the Company C located in Chungcheongnam-si and the Seoul branch office of the said Company, located in Gangnam-gu Seoul, Busan, Daegu, and Cheongju, in each of the Seoul branch offices located in H. 801 in Gangnam-gu, Seoul, the said Company’s branch office and the center office are located in each of the above Company’s Seoul branch offices. The said Company, while explaining its business against many and unspecified persons, provides “I (385,000 won), I (385,000 won), wooden, J-style Textiles, etc., which manufactures high profits by selling cosmetics, such as functional foods such as health foods, and security cream.
The retail profit is continuously created through the sale of goods.
If goods equivalent to 385,00 won are purchased, K as a regular member (multi-level marketing member) may purchase goods sold by the company at a discounted price of 20%. 8,650,000 won may be purchased at a discounted price of 30% for the goods with a regular sales price of 12,50,000 won at a discounted price of 30%, not only can the goods of the company be purchased at an agency class but also can be registered as an agency. A business operator may be registered as an agent. A subordinate salesperson is recruited to recruit one subordinate salesperson and then the subordinate salesperson purchases goods equivalent to 385,000 won, 60,000 won (20% of 3,00,000 won) as an allowance for 38,650,000 won, and 90,000 won as an allowance for recruitment of the goods under the pretext of 3,50,000 won as an allowance for promotion under the pretext of 3,000 won.