The chairman of a hearing aid company has been sentenced to prison for embezzling hundreds of millions of won by taking out loans in the name of an employee with a hearing impairment.
On July 28, Judge Yang Jin-ho of the Seoul Eastern District Court Criminal Division 5 announced that Mr. A, who was indicted on charges of fraud, was sentenced to one year and six months in prison.
In 2018, Mr. A was brought to trial on charges of hiring Mr. B, a person with a hearing impairment, as a company employee for the purpose of misappropriating assets, and then misusing loans and other funds obtained in Mr. B's name.
Mr. A induced Mr. B to take out a loan by using real estate owned by Mr. B in Busan as collateral, and embezzled a total of 170 million won from Mr. B. Most of the loan funds were used by Mr. A for company operating expenses and personal purposes.
Mr. A also signed a contract for a company vehicle in Mr. B's name. During this process, Mr. A deceived Mr. B by saying, "If you allow the company to use the vehicle as a company car, the company will pay all rental fees and related expenses."
The court stated the reason for sentencing, saying, "This is a crime that exploited the victim's disability and is of a particularly serious nature."
It has been confirmed that Mr. A has filed an appeal against the first trial verdict.
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