The prosecutor's appeal is dismissed.

1. Summary of the prosecutor's appeal (misunderstanding of facts or misunderstanding of legal principles)

A. The “State”, which is the entity that grants subsidies under Article 2 subparag. 1 of the Act on the Management of Subsidies for Violation of the Act on the Management of Subsidies, includes “a person who manages and operates funds established under the Acts specified in attached Table 2 of the National Financial Act.” The State or “local government” under Article 78 of the Act on the Promotion of Employment of Persons with Disabilities and Vocational Rehabilitation, which is the legal basis for the establishment of funds specified in attached Table 2 of the National Financial Act, may fully or partially subsidize expenses incurred by a person who conducts a business that promotes employment of persons with disabilities

Since the Gyeonggi-do and Young-si, which is a local government that granted subsidies in this case, are those who manage and operate funds established under the Acts specified in attached Table 2 of the National Finance Act.

Nevertheless, in this case, the court below did not establish a violation of the Subsidy Management Act on the ground that the subsidized entity is not the State but the Gyeonggi-do and Young-si.

In determining the violation of the Subsidy Management Act, the court erred by misapprehending the legal principles on the subsidy recipient, which affected the conclusion of the judgment.

B. Since the D Center operated by the Defendant as his representative (hereinafter “the Self-reliance Center of this case”) and E and F are separate corporations registered as separate business operators, the use of support payments paid by the Defendant to E and F for the self-reliance center of this case constitutes use other than its intended purpose.

In addition, the defendant's use of the support fund for the payment of fuel for the defendant's individual vehicle, the mobile oil for participation in the assembly declared a campaign for the elimination of discrimination against persons with disabilities, the provision of tiny after the filing of a lawsuit for the joint business competition, and the repayment of sub-lease deposit, etc. shall use the support fund as business promotion expenses, debt repayment, magazine withdrawal, reserve fund, etc.