A defendant shall be punished by imprisonment for four years.

Punishment of the crime

On June 5, 2013, the Defendant was sentenced to imprisonment with prison labor for a violation of the Act on the Regulation of Conducting Fund-Raising Business without Permission in the Changwon District Court's Msan Branch, and the judgment became final and conclusive on June 18, 2013.

The Defendant, as the vice-chairperson of the Company C (hereinafter “C”), has overall control over the business affairs of the Company C, and D, as the representative director, has overall control over the entire business affairs of the Company under the direction of the Defendant, and D, as the representative director, has been in charge of investment explanation and attracting investors in the business affairs and the business affairs. F, in the position of the office of management office, has been in charge of attracting investors, paying dividends, and managing funds. G was in charge of public relations, education, and attracting investors in the position of the director of the headquarters. H was recruited in the position of the director of the headquarters, and I was attracting investors in the position of the director of the Investment Bureau.

However, the Defendant, together with D, E, F, G, H, I, intended to attract investment funds by sharing the above roles with investors, and explaining the payment system of allowances and the direction of company development.

However, C is bound to operate a business in a manner that pays allowances to existing investors in sequence using investment funds attracting from subordinated investors because it is not sufficient to pay high-rate dividends, class allowances, recommendation allowances, center expenses, employee benefits, office operating expenses, etc. as well as considerable portion of the investment funds attracting investment from outside to create profits by investing them in other locations. Thus, as long as a new investment is not induced, C is expected to be unable to pay high-rate high-rate profits, and the principal of the investment shall not be paid after a certain period of time.