The accused dismissed the application for compensation by the applicant for compensation.

1. In the facts charged, the Defendant, as a major shareholder of the E Co., Ltd. (E) located in Kucheon-gu, Kucheon-gu (hereinafter “E”), was the representative director around March 18, 2005 to Oct. 13, 2006, the Defendant exercised E’s management right while actually managing funds and executing funds.

In 2005, the defendant and F wanted to raise company funds by making a capital increase at a cost due to the financial crisis of E due to the financial crisis of 2005. In the process, the money raised from G, a corporate bonds company, has been deposited in compensation for the capital increase.

The Defendant provided G with stocks and certificates of deposit as security in relation to the price for the above increase in capital, and guaranteed interest on a certain amount each month, and entered into an agreement with G to compensate for the amount corresponding to the price for the increase in capital when a loss is incurred due to the decline in the price of the stocks.

On November 7, 2015, in order to enter into an agreement to compensate for losses arising from a stock price drop with G, and to use it as operating funds of H (hereinafter “H”) for the Defendant’s representative director, the Defendant voluntarily withdrawn KRW 980,000,000 from the E office around November 29, 2015, the representative director of the E office from the E office to withdraw KRW 98,000,000,000 from the E account under the pretext of payment, and delivered it to G at will on December 7, 2015, by withdrawing KRW 5 billion from the E account under the pretext of payment by the representative director.

Accordingly, the Defendant, in collusion with F, embezzled by arbitrarily using a total of KRW 5.98 billion while keeping E-owned funds.

2. According to the evidence submitted by the Prosecutor, the following facts can be acknowledged.

A. The Defendant acquired management rights of H, a company listed on KOSDAQ around July 2004, including the Defendant’s H and E acquisition, and he was a major shareholder on the KOSDAQ market around November 2004.

I purchased shares of E in the name of the Company I (hereinafter referred to as “I”).

The defendant who has become a de facto major shareholder of E is the wife at a general meeting of shareholders around March 2005.