Criminal Liability Recognized for Acquiring Trade Secret Materials
A Sentenced to 10 Months Imprisonment for Stealing Technology
The Korean branch of the Italian cosmetics company Intercos, Intercos Korea, was found guilty of stealing key ultraviolet protection technology from Kolmar Korea.
According to Kolmar Korea on the 13th, the Suwon District Court Criminal Appeal Division 3-2 (Presiding Judges Jo Sun-pyo, Kim Eun-gyo, Jang Jun-hyun) sentenced Intercos Korea to a fine of 5 million won in the retrial after remand for violating the Act on the Prevention of Unfair Competition and Protection of Trade Secrets (Unfair Competition Prevention Act). The ruling became final as Intercos Korea waived its right to appeal.
In the previous first and second trials, Intercos Korea was fined 10 million won, but the Supreme Court sent the case back to the Suwon District Court for reconsideration regarding the part of the crime that was attempted but not completed. The retrial court recognized Kolmar Korea’s damages and, considering that there is no legal provision to punish a corporation for an actor’s 'attempted' crime, reduced the fine from 10 million won to 5 million won.
Intercos Korea was prosecuted for recruiting Mr. A, who had worked at Kolmar Korea, and stealing sun care technology. Mr. A joined Kolmar Korea in 2008 and was in charge of research and development of sun care cosmetics. He moved to Intercos Korea in 2018, during which he was investigated for stealing hundreds of Kolmar Korea’s trade secret files via Google Drive. The original court sentenced Mr. A to 10 months in prison, and this ruling was confirmed by the Supreme Court.
A Kolmar Korea official said, "It has been clearly proven that Intercos Korea stole Kolmar Korea’s sun care technology," adding, "We hope that no Korean company with world-class technology will suffer further damage."
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