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ENFORCEMENT DECREE OF ASSET-BACKED SECURITIZATION ACT

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ENFORCEMENT DECREE OF THE ASSET-BACKED SECURITIZATION ACT

Presidential Decree No. 16769, Apr. 1, 2000

Amended by Presidential Decree No. 16994, Aug. 31, 2000 Presidential Decree No. 17422, Dec. 15, 2001

Presidential Decree No. 17791, Dec. 5, 2002

Presidential Decree No. 18146, Nov. 29, 2003

Presidential Decree No. 18297, Feb. 28, 2004

Presidential Decree No. 18312, Mar. 17, 2004

Presidential Decree No. 20261, Sep. 10, 2007

Presidential Decree No. 20653, Feb. 29, 2008

Article 1 (Purpose)

The purpose of this Decree is to provide for matters delegated by the Asset-Backed Securitization Act and for those necessary for the enforcement thereof.

Article 2 (Originator)

As used in item (r) of subparagraph 2 of Article 2 of the Asset-Backed Securitization Act (hereinafter referred to as the "Act"), the term "person specified in the Presidential Decree" means any of the following:

1. The Korea Deposit Insurance Corporation or a resolution finance institution established under the Depositor Protection Act;

2. The Small Business Corporation established under the Promotion of Small and Medium Enterprises and Encouragement of Purchase of Their Products Act;

3. A special purpose company for mortgage-backed bonds established under the Special Purpose Companies for Mortgage-Backed Bonds Act;

4. A trust company established under the Trust Business Act; ENFORCEMENT DECREE OF ASSET-BACKED SECURITIZATION ACT 2

5. A specialized corporate restructuring company established under the Industrial Development Act;

6. The Credit Guarantee Fund established under the Credit Guarantee Fund Act or the Korea Technology Credit Guarantee Fund established under the Korea Technology Credit Guarantee Fund Act;

7. The Korea Housing Guarantee Co., Ltd. established under the Housing Act;

8. A local public enterprise carrying on any housing business or land development business under the Local Public Enterprises Act;

9. A cooperative established under the Agricultural Cooperatives Act or the Fisheries Cooperatives Act (limited to that whose loan size is not less than one hundred billion won);

10. An agricultural cooperative assets management company established under the Act on the Structural Improvement of Agricultural Cooperatives; or

11. The Korea Housing Finance Corporation established under the Korea Housing Finance Corporation Act.

Article 3 (Entries in Asset-backed Securitization Plan) As used in subparagraph 8 of Article 4 of the Act, the term "other matters prescribed by the Presidential Decree" means the following matters:

1. Matters relating to the protection of investors in asset-backed securities; and

2. In borrowing funds in connection with the asset-backed securitization in question, plans for such borrowing.

Article 4 (Registration of Transfer, etc. of Assets) (1) If any originator, special purpose company, foreign corporation specializing in the business of asset-backed securitization or trust company that registers the transfer, etc. of securitization assets under Article 6 (1) of the Act (hereinafter referred to as the "special purpose company, etc.") makes a request for the issuance of a document verifying such registration, the Financial Services Commission shall, without delay, issue it. (2) Any special purpose company, etc. shall designate the person responsible for managing a contract for, and a registration completion certificate and registration certificate of, the transfer, etc. of securitization assets and other relevant documentary evidence to preserve and manage ENFORCEMENT DECREE OF ASSET-BACKED SECURITIZATION ACT 3

them under Article 6 (4) of the Act.

(3) In designating the person responsible for the management under paragraph (2), any special purpose company, etc. shall designate a person other than the originator in question: Provided, That this provision shall not apply when the originator in question and a person other than the originator in question preserve and manage the original and a copy (including an electronic record), respectively, which can be made available to the Financial Services Commission or investors.

Article 5 (Caretaker)

As used in Article 10 (1) 3 of the Act, the term "person who meets the requirements prescribed by the Presidential Decree" means any corporation which meets the following requirements:

1. It is to be capitalized at one billion won or more;

2. The number of its managing officers, including five or more of the following experts, is to be twenty or more:

(a) Two or more attorneys-at-law, certified public accountants or appraisers; and

(b) One or more persons who have performed such duties as are determined by the Financial Services Commission, including the management of claims, the issuance of securities, etc.;

3. Its officers or employees are not to fall within any subparagraph of Article 9 (1) of the Use and Protection of Credit Information Act; and

4. If its largest investor is a foreigner, the foreigner is to specialize in the management business of assets or to carry on such business in addition to any other business: Provided, That this provision shall not apply when a corporation whose largest investor is the foreigner (limited to a corporation) carries on the management business of assets. Article 6 (Fine for Negligence)

(1) The Financial Services Commission shall, if it imposes a fine for negligence under Article 42 (2) of the Act, notify any person subject to such fine of the payment thereof by delivering him/her a document specifying the fact of violation, the amount of such fine, etc. after investigating and confirming a violation involved. In this case, a notice of such payment shall include the objection method, the objection period, etc. by Presidential Decree No. 20653, Feb. 29, 2008>

(2) The Financial Services Commission shall, if it intends to impose a fine for negligence under paragraph (1), provide any person subject to such fine with an opportunity to present his/her case orally or in writing (including an electronic document) for a period of time of not less than ten days fixed by it. In this case, he/she shall be deemed to have no case failing such presentation until that period expires. (3) The Financial Services Commission shall, in determining the amount of a fine for negligence, take into account the motive for a violation involved, the consequences thereof, etc.

ADDENDUM

This Decree shall enter into force on the date of its promulgation. ADDENDA (1) (Enforcement Date) This Decree shall enter into force on the date of its promulgation.

(2) Omitted.

ADDENDA Article 1 (Enforcement Date)

This Decree shall enter into force on the date of its promulgation. Articles 2 and 3 Omitted.

ADDENDA Article 1 (Enforcement Date)

This Decree shall enter into force on the date of its promulgation. Articles 2 and 3 Omitted.

ADDENDA Article 1 (Enforcement Date)

This Decree shall enter into force on November 30, 2003. (Proviso Omitted) ENFORCEMENT DECREE OF ASSET-BACKED SECURITIZATION ACT 5

Articles 2 through 15 Omitted.

ADDENDA Article 1 (Enforcement Date)

This Decree shall enter into force on March 1, 2004. Articles 2 through 5 Omitted.

ADDENDUM This Decree shall enter into force on the date of its promulgation. ADDENDA Article 1 (Enforcement Date)

This Decree shall enter into force on the date of its promulgation. Articles 2 through 7 Omitted.

ADDENDA Article 1 (Enforcement Date)

This Decree shall enter into force on the date of its promulgation: Provided, That among Presidential Decrees amended under Article 2 of these Addenda, the amended provisions of any Presidential Decree which is promulgated before this Decree enters into force, but which does not enter into force shall enter into force on the date when such Presidential Decree does so.

Article 2 Omitted.