All appeals by the Defendants are dismissed.

1. Summary of grounds for appeal;

A. The content contained in the summary of the oral argument dated May 12, 2015, which was received after the lapse of the period for filing a statement of grounds of appeal (violation of the Medical Service Act) is considered only to the extent of supplement to the previous grounds for appeal.

① Each of the instant medical institutions is not established by the Defendants, but established by the HA association (hereinafter “the instant association”), the Defendants, as the head of the instant association, participated in the establishment of a medical institution as a branch of the instant association, and did not lead the instant medical institution. ② Defendants were not aware of intent or illegality with respect to the violation of the Medical Service Act, and thus, Defendants cannot be punished for violation of the Medical Service Act. The lower court found the Defendants guilty of all of the instant facts charged on the premise that the Defendants established each of the instant medical institutions. In so doing, the lower court erred by misapprehending the facts or by misapprehending the legal doctrine, thereby adversely affecting the conclusion

B. The lower court’s sentence of unreasonable sentencing (Defendant A: 10 months of imprisonment, 2 years of suspended sentence, 5 million won/ defendant B, C, D, and E): each fine of 5 million won is too unreasonable.

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

A. As to the assertion that the Defendants did not establish a medical institution, the purport of Article 33(2) of the Medical Service Act prohibits, in principle, the establishment of a medical institution by a medical person, medical corporation, or any other person, other than a non-profit corporation, etc., under Article 33(2) of the Medical Service Act. Article 87(1)2 of the same Act provides that the Defendants shall be punished by imprisonment for not more than five years or by a fine not exceeding 20 million won, by strictly limiting the qualification for the establishment of a medical institution to medical personnel or a person with a public character, and thereby establishing a sound medical order and risks