With  P2P  From the Perspective of Online Lending Platforms in the Internet Era   Legal Application of the Crime of Illegally Absorbing Public Deposits

The article was published in the provincial journal "Rule of Law and Society," in the February 2021 issue.

Author Qi    Wei

Extract    To want   Over the 42 years since the reform and opening-up, internet finance has emerged as a new investment and financing model.   P 2P  As an innovative internet finance product, it features...   With features such as high returns on investment and low loan thresholds, P2P platforms have attracted many ordinary individuals who have financing needs to participate in P2P lending.   Finance in the ranks of,   This has also led to the use of P2P.   Cases involving illegal fundraising carried out by online lending platforms are also gradually on the rise, with the crime of illegally absorbing public deposits being the most prevalent. Common. This    The document proposes using P2P.   From the perspective of online lending platforms, this study explores the crime of illegally absorbing public deposits in the context of the internet. The Era of Internet Finance and P2P   A series of products resulting from the combination of online lending platforms.    Identify new legal issues arising from the application of laws and propose response measures tailored to more complex situations. Implementation and recommendations.

Keywords  P2P     Crime of Illegally Absorbing Public Deposits    Applicable law

The crime of illegally absorbing public deposits is aimed at protecting the state’s financial management order and society.   Publicly owned legitimate property. In the era of internet finance,  P2P  Online lending leverages the internet.   The information technology has established a new platform connecting demanders and suppliers of private capital.   investment and financing platforms, thereby giving rise to new forms of disorder that disrupt financial order—and as a result...   P2P in 2018   The frequent platform collapses have exposed more instances of P being exploited. 2P  Flat   The crime of illegally absorbing public deposits committed in Taiwan.

I. Benefit   Use P2P  The Emerging Trend of the Crime of Illegally Absorbing Public Deposits on Platforms

(1) The scope of victims is broader, and the amounts involved are enormous.

With the rapid advancement of internet technology, global economic integration is steadily strengthening. ，  The business scope of internet finance has long since transcended geographical boundaries, especially for...   P2P  Online lending platforms, luring borrowers with high interest rates and then packaging and promoting them via the internet,    It’s easier to attract investors from across the country, thereby quickly pooling substantial investment capital.     Therefore, the scope of victims in the crime of illegally absorbing public deposits in the Internet era has long since expanded significantly.    Breaking with tradition, this crime is no longer confined to the scope of provinces and cities—it is rapidly spreading across the entire country.    All over the country.

Not only has the geographical scope become nationwide, but the affected population has also become more widespread.   The traditional crime of illegally absorbing public deposits was traditionally developed through offline channels; currently, due to... For the elderly   Older people often have limited understanding of new technological developments, as well as insufficient ability to distinguish between true and false information and to assess financial matters.   They exhibit lower vigilance against fraud and generally hold deposits in their accounts, among other characteristics—thus... To make   Suspected criminals often target elderly people as their primary victims, and the forms of propaganda they use are also...   The activities are primarily designed for seniors, so the victims are... Elderly people   Mostly. Aside from the elderly population,  P2P  Since its inception, illegally absorbing public deposits   In this case, the victims are predominantly unspecified members of the general public, and the online community involved is broad.   Pansexuality directly leads to the broad scope of the victimized population, which includes not only elderly individuals.

There are also numerous young and middle-aged individuals, further accelerating the spread of internet financial crimes. And often...   A common characteristic of the victim groups is that they all harbor illusions about making huge profits.

Given the mass involvement of the victimized group, this inevitably leads to...  P2P  Illegal   The criminal amount involved in absorbing public deposits also exceeds that of ordinary illegal activities within a specific geographic area.   The amount of public deposits absorbed is even more astonishing.  P2P  Erupted after the scandal broke.   The cumulative amount involved in illegal public deposit-taking cases often runs into tens of millions, or even over 100 million yuan.   According to the new judges appointed in 2019, Wuhan is among those involved in cases with relatively large sums of money. Intermediate Court Ruling   Wuhan Shuanglongtang Real Estate Development Co., Ltd. and Li Wenhua illegally absorbed... Public deposit   The case ((2018) E 01 Criminal Final Judgment No. 1456), was The Wu established by the informant's registration

P2P operated by Han Jishishi Yidai Financial Information Service Co., Ltd.   Platform illegal Absorb At the time of the incident, the total amount of public deposits received had accumulated to RMB 4.338 billion, and the number of victims was...   Over 9,300 people, scattered across the country; Zhang Qingqing and Zhang Zhaoping, as ruled by the Hefei Intermediate People's Court.   Illegal Solicitation of Public Deposits Case ((2019) Wan 01 Xing Zhong 115 No.) , the defendant   The “TouBao Finance” online investment platform, registered and established by individuals, had cumulatively absorbed funds at the time of the incident.   The total amount of gold reached 559 million yuan; the Weihai Intermediate People’s Court ruled that Liu Gang and Liu Jinqing were guilty of illegal activities.   Case of Absorbing Public Deposits ((2019) Lu 10 Xing Zhong No. 26), the defendant registered   At the time of the incident, Shangyu Investment Co., Ltd., which had been established, had a total of 1,426 client investments.    The total amount of funds absorbed cumulatively reached 120 million. In recent years, the scale of such cases has been extraordinarily large. Involve The sheer number of people is often shocking.

(2) The methods of committing crimes have become more complex and highly deceptive.

In 2018, due to P2P   The frequent scandals involving platforms have exposed the use of the internet.   New methods used in criminal cases involving illegal fundraising. Illegally soliciting public deposits and raising funds.    The fraud cases continue to escalate, revealing that in the era of internet finance, not only...    It has not only opened up a faster and more convenient financing pathway, but also sparked countless variations and transformations.    Methods of committing the crime. The traditional forms of criminal behavior in the crime of illegally absorbing public deposits often differ from...    More singular, but within the social context of the internet finance era,  P2P  Online lending has    The advantages of high efficiency and ease of use,   Some malicious P2P   The platform aims to generate revenue.    In the short term, rapid expansion often involves absorbing funds in disguised forms that amount to public deposits.    Funds have made the forms of illegally absorbing public deposits more diverse and complex.    and concealment. 12 The act of illegally absorbing public deposits—whether it constitutes a crime or not, and whether it falls under this particular crime or...    The crime between them is more deceptive, with illegal purposes concealed under a legal guise.    Common patterns of financial crimes committed using the internet. Compared to traditional financial crimes...    Compared to crimes, it generally involves genuine projects and more formal procedures; therefore, it also...    It is more deceptive in its presentation and involves illegally soliciting public deposits.    Event organizers are often registered with the Administration for Market Regulation under the guise of legitimate companies, operating under the banner of...    Engaging in illegal activities under the guise of “financial innovation.” If the truth comes to light, they often plead...   Claiming that the crime was committed by the entity itself, thereby exonerating individual perpetrators and reducing their sentences; in return...    In terms of profit models, utilize mechanisms such as “cyclical rebates,” “consumption-based rewards,” and “online franchising,” etc.    A series of complicated and convoluted labels are used to obscure the true nature of its financial crimes, “there is...”    Enterprises even hire professional technical personnel to be responsible for website framework engineering design and data...    According to management and maintenance procedures, enterprise transaction records, organizational structures, and correspondence are regularly destroyed and cleaned.    Key information such as communication records. This has led to investigations by public security authorities... The difficulty of breaking it has increased.

◆ Economy and Law

The monarchy dominates society.

2021 ·   2 (Chinese)

Gathering evidence has become even more difficult. According to new rulings from 2019, Wuhan Shuanglongtang Real Estate...   The case of Li Wenhua, who illegally absorbed public deposits through a development limited company— the defendant engaged in leasing...   The rebate and maturity repurchase methods are used to attract public funds through the Zhonghua City project.    And subsequently carried out public promotion through various channels such as media and flyers, highlighting the Zhonghua City project.   The underground parking spaces are sold to the general public under the name of underground property rights, for the purpose of sale.    The form of property shares involves transferring the right to operate and use the land-based property to the general public.   At the same time as the sale of underground property rights and the transfer of operating rights for aboveground properties, it is necessary to...   The buyer is requested to sign a consignment management contract and pay the consignment income under the guise of paying the consignment fee.   The buyer pays a fixed return. This form of illegally absorbing public deposits often makes it even more...   It’s difficult for people to distinguish between legitimate investment and financial management and illegal activities—precisely because of the disguised nature of these practices.    The act of absorption has become more covert in its methods, more complex in its procedures, and its true purpose is even more...    The difficulty in uncovering the truth makes it possible for criminal suspects to illegally obtain [something] within a short period of time. The amount collected reaches as high as    4.3 billion, causing enormous social harm.

(3) Electronic evidence takes on increasingly diverse forms, and it is becoming more difficult to preserve its integrity.

The primary characteristic of internet finance is online transactions, which has led to a shift from traditional methods.    Compared to economic crimes,  P2P  Scope of Evidence Involved in the Crime of Illegally Absorbing Public Deposits    Widely, one important form of this is electronic data, which is closely related to traditional documentary evidence.    Only through mutual integration can a complete chain of evidence be formed. Traditional documentary evidence in such crimes...    Including information such as account transaction statements, in this regard, internet financial crimes and large-scale...    Most cybercrimes are similar; electronic evidence primarily includes data stored on their P2P networks.   transport    Electronic transaction detail records and fund transaction accounts on the server platform.   If the electronic evidence is not stored on a P2P network,   The server is instead stored in a remote cloud.    If the disk or the server is located in a different city or even overseas, evidence collection becomes even more complex—often...    Investigators may need to rely on the cooperation of relevant departments or even hire external professional technical personnel.   However, the transformative nature of electronic evidence makes it highly susceptible to later alterations through manual manipulation.    It has become more difficult to identify and collect raw data. The aforementioned electronic data not only differs in content and...    Formally, it is highly likely to be reviewed by personnel with professional technical and managerial expertise. Change, and    Moreover, the storage media for electronic data can also lead to loss and distortion of electronic data.   This leads to inaccurate evidence collection; therefore, the collection and preservation of electronic evidence is the responsibility of the public security authorities. The authorities are investigating.    A major challenge faced by this type of crime. The case of Zhang, as ruled by the Hefei Intermediate People's Court in 2019.    In the case of Qingqing and Zhang Zhaoping’s illegal absorption of public deposits, the public security authorities are currently investigating. Investigate the case    During the process, extensive examination and testing were conducted, and P2P was...   TouBao Finance   The platform conducted a remote inspection and extracted backend data before proceeding with analysis and securing evidence. Ding Yi    Relevant electronic evidence involved in the case; Judgment rendered by the People's Court of Qinhuai District, Nanjing in 2015.    The crime of illegally absorbing public deposits committed by Wang Moujia, Li Moujia, Miao Mou, and Zhang Wengong.    (2014) Qin Xing Er Chu Zi No. 151), the electronic evidence secured by the public security authorities     The subsidiary evidence includes inspection records, appendices, and photos extracted from the suspect’s computer.    Review forms and accounting details, and other relevant materials, to reconstruct its...   P2P flat Daily fund transfers in Taiwan,   Expenses for daily office operations, employee salaries, clients’ principal and interest status, and client investments.   Crucial facts such as the performance of each salesperson and the company’s daily operational status; 2016    The case of Cai Jincong’s fundraising fraud, as judged by the Hangzhou Intermediate People’s Court ((2015) Zhehang Xing).    In Case No. 200, the People's Procuratorate of Jianggan District, Hangzhou City, specially issued... Electronic    The data technology assistance request asks the relevant departments to provide support before P2P banking data can be extracted.    Description of the backend database files and database fields of the Fang Financial Network Platform Clear table, ultimately    Real data were obtained from a large amount of material; 2015, Liandu District, Lishui City    The court’s judgment in the case against Ong Shituan and Yang Mingcong for fundraising fraud ((201 5) Lillian    Criminal Initial Case No. 645), the public security authorities accessed P2P Yudie Cai via the internet.     For the wealth-based online lending platform, log in using the administrator account and the finance personnel account to query and download.    Display the total amounts of investor top-ups and withdrawals, as well as the “Yudrop Wealth” P2P platform.    Taiwan network structure modules and related materials such as page content.

It can be seen from this.   Cracking Down on the Crime of Illegally Absorbing Public Deposits Through P2P Platforms Evidence collection, electricity   The subsidiary evidence plays a crucial role in reconstructing the facts of the crime, and its collection...   Fixed yet extremely cumbersome.

II.   Utilize  P2P  Qualification of the crime of illegally absorbing public deposits by a platform

Correctly distinguish the crime of illegally absorbing public deposits from other offenses that disrupt the financial management order.    Crime has always been a focal point and a difficult issue in judicial practice. The emergence of internet finance has...   Come on, especially P2P.   Online lending platforms have further increased the complexity of such cases. ，  It is more likely to lead to inconsistent sentencing in similar cases. Below, we’ll examine several crimes that are most easily confused.   Let's analyze the differences between the crime of illegally absorbing public deposits and other crimes.

(  One  )  profit   The crime of illegally absorbing public deposits and the crime of fundraising fraud committed through P2P platforms.

The crime of illegally absorbing public deposits, along with fundraising-related crimes, both fall under the category of undermining socialism.    The crime of disrupting the market economic order is characterized by raising funds from the general public, and it falls under criminal law.    According to the regulations, the sentencing differences between the two crimes are significant.   Illegally absorbing public deposits Crime belongs to    Under general law, it carries fundamental significance; the crime of fundraising fraud, however, is an aggravated offense.    The charges are categorized as either general offenses or special offenses.² Fund-raising fraud is a purpose-based offense and a statutory offense.    Amount-based offense, meaning an offense that violates financial laws and regulations, is committed with the intent of illegal appropriation, and reaches a certain threshold.    Statutory amount. In judicial practice, the perpetrator objectively engaged in fundraising activities.   However, whether the subjective aspect involves the intent to illegally possess often requires further clarification.    Recognize. In specific cases, one can also infer the actor’s intent by comprehensively examining their objective behavior.   Subjective intent, such as whether they recklessly squander funds on acquiring personal property and intentionally... Hidden    Acts such as concealing assets. If the perpetrator maliciously falsifies information while collecting large amounts of funds... Construct facts or    If a person, after absorbing funds, conceals the flow of those funds, their behavior is generally considered to constitute fundraising.    Fraud. In the P2P era, such cases are on the rise—yet P2P is merely a conduit for crime.    When distinguishing between specific criminal charges, the determination still proceeds from the traditional subjective intent.

(2) The crime of illegally absorbing public deposits versus the crime of organizing and leading pyramid schemes.   Commit a crime

In judicial practice, there exists the crime of illegally absorbing public deposits as well as the crime of organizing and leading...   The issue of overlapping and concurrent criminal charges in pyramid scheme activities. A pyramid scheme is an illegal form of fundraising. Public reception   A special form of deposit that is similar to the act of illegally absorbing public deposits. In P2P...    This is especially true on online lending platforms, where illegal acceptance of deposits has become easier—and undoubtedly so.    It has opened up new avenues for pyramid schemes. Many illegal activities involving the public’s deposit-taking are being exposed.    The referral method often also involves encouraging the development of downlines and factoring in the number of downlines developed.   Provide corresponding rewards—for example, while adopting a team-based compensation system, there also exists an investor base.   Obtain fixed returns based on daily or monthly investment amounts. In judicial practice, when illegal...   In cases where the crime of absorbing public deposits and the crime of organizing or leading pyramid schemes overlap, one should be chosen.   Severe punishment was imposed, and thus the final verdict was rendered on the charge of illegally absorbing public deposits.   Multiple. For example, in the case of Yong Moumou’s crime of illegally absorbing public deposits ((2019) Ning 05   Case No. 5 of the Criminal Appeal, initially, the prosecution agency charged the defendant with the crime of organizing and leading pyramid scheme activities.   Approval of arrest; ultimately, the court convicted him of the crime of illegally absorbing public deposits—specifically in Tang Mingji.   In the fraud case ((2019) Jing 03 Xing Zhong No. 326), the defendant Tang Mingtong...   Through channels such as introductions among acquaintances, publicly promote investments in U.S. dollars and gold to the general public.    Foreign exchange wealth management products such as bills can yield exceptionally high returns and attract more than 50 investors. Famous investor   The investor invested and aggressively developed a downline, and was convicted by the first-instance court of illegally soliciting public deposits.   Following the charges of deposit fraud and fundraising fraud, Tang Ming argued that the original conviction was based on a mistaken legal characterization and that his actions were...   In the appeal regarding the crime of organizing and leading pyramid schemes, the case was ultimately concluded on April 18, 2019, in Beijing.    The Intermediate People's Court of the Third Instance upheld the original judgment in its final ruling.

Three,   Utilize  P2P  Joint crime of illegally absorbing public deposits by the platform To commit a crime   Criminal charges established

P2P  The crime of illegally absorbing public deposits involves a large number of individuals involved,   Generally with common

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