1.For the plaintiff:

Defendant A shall pay 1,097,079,020 won and 5% per annum from September 12, 2015 to March 25, 2020.

1. Facts of recognition;

A. Under the National Health Insurance Act, the pertinent Plaintiff is a non-profit public interest corporation that manages and operates health insurance for the prevention of disease and injury, diagnosis, medical treatment and rehabilitation of the citizens, childbirth death, and improvement of health, and Defendant A is an oriental medical doctor, and Defendant B is not a medical person.

B. Defendant A, in violation of the Medical Service Act, established and operated a medical institution under the name of a non-profit incorporated foundation that is unable to be established by himself/herself, or established “D, an incorporated foundation” in Changwon-si, Changwon-si, Changwon-si, an incorporated foundation C by having a non-medical person operate a medical institution by lending the name of the incorporated foundation to a non-profit incorporated foundation.

The Defendants, under the name of the Incorporated Foundation D, established F Council members in the Jeonju-si E and the second floor, and Defendant B prepared early funds, such as the purchase cost of hospital facilities, and operated the hospital principal affairs, etc. from March 2, 2012 to March 26, 2015 by taking charge of corporate management affairs (hereinafter “instant violation of the Medical Service Act”).

C. Defendant A’s criminal punishment against the Defendants refers to the former Medical Service Act prior to the amendment by Act No. 14438, Dec. 20, 2016, regarding Defendant A’s violation of the Medical Service Act.

(hereinafter the same shall apply)

(Establishment of Non-Medical Person's Medical Institution), fraud, violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud), was sentenced to three years of imprisonment (Tgu District Court Branch of Mag District Court Decision 2015Gohap122), and the Daegu High Court dismissed all appeals filed by Defendant A and Prosecutor on October 6, 2016.

(Seoul High Court Decision 2016No250). On May 11, 2017, Defendant B’s distribution branch of the Daegu District Court with respect to Defendant B’s instant violation of the Medical Service Act is a violation of the Medical Service Act (Establishment of Non-Medical Personnel) and a violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud).