(Authorized to issue) Regulations on preventing and dealing with illegal fund-raising
Xinhua News Agency, Beijing, February 10th, by wire
Regulations on preventing and dealing with illegal fund-raising
Chapter One General Provisions
Article 1 In order to prevent and deal with illegal fund-raising, protect the legitimate rights and interests of the public, prevent and resolve financial risks, and maintain economic order and social stability, these regulations are formulated.
Article 2 The “illegal fund-raising” mentioned in these Regulations refers to the act of absorbing funds from unspecified objects in the form of promises of repayment of principal and interest or other investment returns without the legal permission of the financial management department of the State Council or in violation of the national financial management regulations.
These Regulations shall apply to the prevention of illegal fund-raising and the handling of illegal fund-raising by administrative agencies.
Where laws and administrative regulations have other provisions on illegally engaging in banking, securities, insurance, foreign exchange and other financial business activities, those provisions shall apply.
The financial management department of the State Council mentioned in these Regulations refers to the People's Bank of China, the financial supervision and management institution of the State Council and the foreign exchange management department of the State Council.
Article 3 The "illegal fund-raising person" mentioned in these Regulations refers to the unit and individual that initiates, leads or organizes the implementation of illegal fund-raising; the "illegal fund-raising assistant" refers to the unit that knows the illegal fund-raising and provides assistance and obtains economic benefits. And personal.
Article 4 The state prohibits any form of illegal fund-raising, and adheres to the principles of preventing illegal fund-raising, fighting early, comprehensive management, and prudent disposal.
Article 5 The people's governments of provinces, autonomous regions, and municipalities directly under the Central Government are responsible for the prevention and handling of illegal fund-raising within their administrative areas. Local people's governments at all levels shall establish and improve the unified leadership of the government to prevent and handle illegal fund-raising mechanisms.
The local people's government at or above the county level shall clarify the leading department of the working mechanism for preventing and dealing with illegal fund-raising (hereinafter referred to as the leading department for handling illegal fund-raising), relevant departments and the branches and dispatched institutions of the financial management department of the State Council shall participate in the working mechanism; the township people's government shall Clearly lead the personnel responsible for preventing and dealing with illegal fund-raising.
The local people's government at a higher level shall supervise and guide the local people's government at a lower level to prevent and deal with illegal fund-raising in its own administrative area.
The competent department of the industry and the supervisory department shall, in accordance with the division of responsibilities, be responsible for preventing and cooperating with the handling of illegal fund-raising in their respective industries and fields.
Article 6 The State Council shall establish a system of inter-ministerial joint meetings to deal with illegal fund-raising (hereinafter referred to as joint meetings).
The joint meeting is led by the Banking and Insurance Regulatory Agency of the State Council with the participation of relevant departments. It is responsible for supervising and guiding relevant departments and localities to prevent and deal with illegal fund-raising, and to coordinate and solve major problems in preventing and dealing with illegal fund-raising.
Article 7 People's governments at all levels shall reasonably guarantee the prevention and disposal of funds related to illegal fund-raising and include them in the budget at the corresponding level.
Chapter II Prevention
Article 8: Local people’s governments at all levels shall establish a monitoring and early warning mechanism for illegal fund-raising, incorporate it into the comprehensive social security management system, give play to the role of grid management and grassroots autonomous organizations, and use modern information technology such as big data to strengthen the prevention of illegal fund-raising. Monitoring and early warning.
The competent authorities and regulatory authorities of the industry shall strengthen daily supervision and management, and be responsible for the risk investigation, monitoring and early warning of illegal fund-raising in their respective industries and fields.
The joint meeting should establish a sound national monitoring and early warning system for illegal fund-raising, promote the establishment of a national monitoring and early-warning platform, promote local and departmental information sharing, strengthen the research and judgment of illegal fund-raising risks, and prompt early warnings.
Article 9 The market supervision and management department shall strengthen the management of commercial registration such as the names and business scope of enterprises and individual industrial and commercial households.
Except as otherwise provided by laws, administrative regulations and the state, the names and business scope of enterprises and individual industrial and commercial households shall not include “finance”, “exchange”, “trading center”, “financial management”, “wealth management”, Words or content such as
The local people’s government at or above the county level shall establish a consultation mechanism for the lead department in dealing with illegal fund-raising, market supervision and management departments and other relevant departments, and discover that the name or business scope of an enterprise, individual industrial and commercial household contains other words or content related to fund-raising other than those specified in the preceding paragraph. , Pay attention to it in time.
Article 10: The leading department for dealing with illegal fund-raising, together with the Internet information content management department and the competent telecommunications department, strengthen the monitoring of Internet information, websites, mobile applications and other Internet applications suspected of illegal fund-raising.
If the lead department for handling illegal fund-raising is determined to be used for illegal fund-raising, the Internet information content management department and the telecommunications authority shall promptly deal with it in accordance with the law.
Internet information service providers shall strengthen the management of information released by users, and shall not make, copy, publish, or disseminate information suspected of illegal fund-raising.
If information on suspected illegal fund-raising is discovered, relevant records shall be kept and reported to the department in charge of dealing with illegal fund-raising.
Article 11 Except as otherwise provided by the state, no unit or individual may publish advertisements containing fund-raising content or conduct fund-raising propaganda to the public in other ways.
The market supervision and management department, together with the leading department for dealing with illegal fund-raising, strengthen the monitoring of suspected illegal fund-raising advertisements.
Where the leading department for handling illegal fund-raising is determined to be illegal fund-raising, the market supervision and management department shall promptly investigate and deal with relevant illegal fund-raising advertisements in accordance with the law.
Advertising operators and advertisement publishers shall check relevant certification documents and verify the contents of advertisements in accordance with laws and administrative regulations.
Advertising operators shall not provide design, production, and agency services for advertisements that do not have relevant supporting documents and contain fund-raising content, and advertisement publishers shall not publish.
Article 12 The leading department in dealing with illegal fund-raising and the local branches and dispatched institutions of the financial management department of the State Council shall establish a suspicious fund monitoring mechanism for illegal fund-raising.
The financial management department of the State Council and its branches and dispatched institutions shall supervise and guide financial institutions and non-bank payment institutions to strengthen the monitoring of abnormal capital flows and other suspicious funds suspected of illegal fund-raising in accordance with the division of responsibilities.
Article 13 Financial institutions and non-bank payment institutions shall perform the following obligations to prevent illegal fund-raising:
(1) Establish and improve internal management systems, prohibit branches and employees from participating in illegal fund-raising, and prevent others from using their business premises and sales channels to engage in illegal fund-raising;
(2) Strengthen publicity and education for the public to prevent illegal fund-raising, and set up warning signs in conspicuous locations of business premises;
(3) Strictly implement the large-value transaction and suspicious transaction reporting system in accordance with the law, analyze and identify related accounts suspected of illegal fund-raising funds with abnormal flow, and report the relevant situation in a timely manner to the local branch of the financial management department of the State Council, dispatched institutions and the lead in handling illegal fund-raising department.
Article 14: Industry associations and chambers of commerce shall strengthen industry self-discipline management and self-discipline, supervise and guide members to actively prevent illegal fund-raising, and shall not organize, assist or participate in illegal fund-raising.
Article 15 The joint meeting shall establish a publicity and education work mechanism for preventing illegal fund-raising jointly by the central and local governments, and promote the prevention and education of illegal fund-raising nationwide.
Local people’s governments at all levels shall carry out normalized publicity and education work on preventing illegal fund-raising, make full use of various media or carriers, and publicize the illegality of illegal fund-raising to the public by means of legal policy interpretation, analysis of typical cases, and investment risk education. Harmfulness and its manifestations, etc., to enhance the public’s awareness and recognition of illegal fund-raising.
Industry competent authorities, regulatory authorities, industry associations, and chambers of commerce shall conduct targeted publicity and education activities to prevent illegal fund-raising in accordance with the characteristics of the risks of illegal fund-raising in their respective industries and fields.
The news media shall carry out public welfare propaganda to prevent illegal fund-raising and conduct public opinion supervision on illegal fund-raising in accordance with the law.
Article 16 Any unit or individual has the right to report suspected illegal fund-raising activities to the department in charge of dealing with illegal fund-raising or other relevant departments.
The state encourages the reporting of suspected illegal fund-raising activities.
The leading department for dealing with illegal fund-raising and other relevant departments shall disclose the reporting methods such as the telephone number and email address, set up a reporting column on the government website, accept the report, handle it in a timely manner according to the law, and keep the reporter confidential.
Article 17: Residents’ committees or villagers’ committees shall report to the local people’s government, the leading department for handling illegal fund-raising or other relevant departments if they find suspected illegal fund-raising activities in their area.
Article 18: The leading department for handling illegal fund-raising, industry competent departments, and supervisory departments have the right to conduct warning interviews with relevant units and individuals and order rectification if they discover that there may be risks of illegal fund-raising in their administrative region or industry or field.
Chapter III Disposal
Article 19 For the following acts in this administrative area, where illegal fund-raising is suspected, the leading department for handling illegal fund-raising shall promptly organize relevant industry authorities, regulatory authorities, and branches and dispatched agencies of the financial management department of the State Council to investigate and confirm:
(1) Establishing Internet enterprises, investment and investment consulting enterprises, various trading venues or platforms, farmers' professional cooperatives, mutual fund organizations and other organizations to absorb funds;
(2) Issuing or transferring equity, creditor's rights, raising funds, selling insurance products, or absorbing funds in the name of engaging in various asset management, virtual currency, financial leasing businesses, etc.;
(3) In commercial activities such as selling commodities, providing services, investment projects, etc., absorb funds in the form of promises of payment of currency, equity, and in-kind returns;
(4) Violating laws, administrative regulations, or relevant state regulations, publicly disseminating information on the absorption of funds through the mass media, instant messaging tools or other means;
(5) Other activities suspected of illegal fund-raising.
Article 20: For suspected illegal fund-raising activities across administrative regions, where the illegal fund-raiser is a unit, the leading department for handling the illegal fund-raising at the place of registration shall organize investigation and determination; if the illegal fund-raiser is an individual, the illegal fund-raising shall be dealt with at the place of residence or habitual residence. The lead department organizes investigation and identification.
The place where the illegal fund-raising occurs, the location of the fund-raising assets, and the location of the fund-raising participants, the leading department for handling illegal fund-raising shall cooperate with the investigation and determination.
If the leading department for handling illegal fund-raising has a dispute over the responsibility of organizing investigations, it shall be determined by its common superior leading department for handling illegal fund-raising; if there is a dispute over the responsibility of organizing investigations and identifying across provinces, autonomous regions, and municipalities, it shall be determined by a joint meeting.
Article 21 The lead department for handling illegal fund-raising may take the following measures to organize an investigation of suspected illegal fund-raising:
(1) Entering a place suspected of illegal fund-raising for investigation and evidence collection;
(2) Inquiring about units and individuals related to the incident under investigation, and asking them to explain relevant matters;
(3) Consult and copy documents, materials, electronic data, etc. related to the incident under investigation, and seal the documents, materials, electronic equipment, etc. that may be transferred, concealed or damaged;
(4) With the approval of the main person in charge of the department in charge of dealing with illegal fund-raising, inquire about the relevant accounts suspected of illegal fund-raising in accordance with the law.
There shall be no less than 2 investigators and shall show law enforcement certificates.
Units and individuals related to the incident under investigation shall cooperate with the investigation and shall not refuse or obstruct.
Article 22: The lead department for dealing with illegal fund-raising organizes investigations of suspected illegal fund-raising activities, and has the right to request suspension of fund-raising activities, and notify the market supervision and management department or other relevant departments to suspend the establishment, modification or cancellation of registration of relevant units suspected of illegal fund-raising.
Article 23: If it is found to be illegal fund-raising after investigation, the department in charge of dealing with illegal fund-raising shall order the illegal fund-raiser and illegal fund-raising assistant to immediately stop the relevant illegal activities; if a crime is found, the case shall be promptly transferred to the public security organ in accordance with the regulations, and Cooperate with relevant work.
The investigation and determination of illegal fund-raising behavior by administrative agencies is not a necessary procedure for investigating criminal responsibility in accordance with the law.
Article 24 According to the needs of dealing with illegal fund-raising, the leading department in dealing with illegal fund-raising may take the following measures:
(1) Seal up relevant business premises, seal up and seize relevant assets;
(2) Ordering illegal fund-raising persons and illegal fund-raising assistants to recover and sell relevant assets at a price to be used to clear the fund-raising funds;
(3) Upon the decision of the leading department for handling illegal fund-raising by the local people’s government at or above the districted city level, notify the immigration and border inspection authorities in accordance with regulations to restrict illegal fund-raising individuals or the controlling shareholders, actual controllers, directors, supervisors, and supervisors of illegal fund-raising entities. Senior management and other directly responsible personnel leave the country.
The adoption of the measures specified in the first and second paragraphs of the preceding paragraph shall be approved by the principal person in charge of the department leading the handling of illegal fund-raising.
Article 25 Illegal fund-raising persons and illegal fund-raising assistants shall return the fund-raising funds to the fund-raising participants.
The clearance process shall be subject to the supervision of the leading department for handling illegal fund-raising.
No unit or individual may obtain economic benefits from illegal fund-raising.
The losses incurred due to participation in illegal fund-raising shall be borne by the fund-raising participants themselves.
Article 26 The sources of funds raised for liquidation and withdrawal include:
(1) The balance of illegal fund-raising funds;
(2) The proceeds of illegal fund-raising funds or other converted assets and their proceeds;
(3) The economic benefits obtained by illegal fund-raising persons and their shareholders, actual controllers, directors, supervisors, senior managers and other relevant personnel from illegal fund-raising;
(4) Illegal fund-raising funds or related assets concealed or transferred by illegal fundraisers;
(5) Economic benefits such as advertising fees, endorsement fees, agency fees, benefits, rebates, commissions, commissions, etc. obtained from illegal fund-raising;
(6) Other assets that can be used as the fund-raising funds for liquidation.
Article 27 The business license of enterprises, individual industrial and commercial households and farmers' professional cooperatives established for illegal fund-raising shall be revoked by the market supervision and management department.
Internet applications such as websites and mobile applications developed for illegal fund-raising shall be closed by the competent telecommunications department in accordance with the law.
Article 28 The financial management department of the State Council and its branches, dispatched institutions, relevant departments of the local people's government, and other relevant units and individuals shall provide support and cooperation in dealing with illegal fund-raising.
No unit or individual may obstruct or hinder the handling of illegal fund-raising.
Article 29 In the process of dealing with illegal fund-raising, relevant local people's governments shall take effective measures to maintain social stability.
Chapter IV Legal Liability
Article 30 For illegal fund-raising persons, the department in charge of dealing with illegal fund-raising shall impose a fine of not less than 20% but not more than 1 time of the amount of funds raised.
If the illegal fundraiser is a unit, it may also be ordered to suspend production or business based on the seriousness of the circumstances, and the relevant authority shall revoke the permit, business license or registration certificate in accordance with the law; the legal representative or the main person in charge, the directly responsible person in charge and other directly responsible persons shall be granted Warning, a fine of 500,000 yuan up to 5 million yuan will be imposed.
Constitute a crime, be held criminally responsible.
Article 31 For illegal fund-raising assistants, the department in charge of dealing with illegal fund-raising shall give a warning and impose a fine of 1 to 3 times the illegal income; if a crime is constituted, criminal responsibility shall be investigated according to law.
Article 32 When illegal fund-raising persons and illegal fund-raising assistants cannot perform the obligations of returning the fund-raising funds and paying fines at the same time, they shall first clear the fund-raising funds.
Article 33 For illegal fund-raising persons and illegal fund-raising assistants who have received administrative penalties in accordance with these Regulations, the relevant departments shall establish credit records and incorporate their credit records into the national credit information sharing platform in accordance with regulations.
Article 34: If Internet information service providers fail to fulfill their obligations to prevent and dispose of information suspected of illegal fund-raising, the relevant competent authority shall order corrections, give warnings, and confiscate illegal gains; if they refuse to make corrections or the circumstances are serious, they shall be fined 100,000 yuan A fine of up to 500,000 yuan or more can be ordered to suspend related business, suspend business for rectification, close the website, revoke related business licenses or revoke business licenses, and impose more than 10,000 yuan on directly responsible persons in charge and other directly responsible persons A fine of less than 100,000 yuan.
Advertising operators and advertisement publishers who fail to inspect relevant certification documents and verify advertisement content in accordance with regulations shall be ordered by the market supervision and management department to make corrections and be punished in accordance with the provisions of the Advertising Law of the People's Republic of China.
Article 35 If a financial institution or a non-bank payment institution fails to fulfill its obligation to prevent illegal fund-raising, the financial management department of the State Council or its branches or dispatched institutions shall order corrections in accordance with the division of responsibilities, give warnings, and confiscate illegal income; if serious consequences are caused, A fine of not less than 1 million yuan but not more than 5 million yuan shall be imposed, the directly responsible persons in charge and other directly responsible persons shall be warned, and a fine of not less than 100,000 yuan but not more than 500,000 yuan shall be imposed.
Article 36. If units and individuals related to the incident under investigation do not cooperate with the investigation, refuse to provide relevant documents, materials, electronic data, etc., or provide false documents, materials, electronic data, etc., the department in charge of handling illegal fund-raising shall order corrections and give Warning, a fine of 50,000 yuan up to 500,000 yuan will be imposed.
Where investigators are obstructed from performing their duties in accordance with the law and constitute a violation of public security management, public security organs shall impose public security management penalties according to law; if a crime is constituted, criminal responsibility shall be investigated in accordance with law.
Article 37 Staff of state organs who commit any of the following acts shall be punished according to law:
(1) Knowing that the unit in charge and supervision is suspected of illegal fund-raising, and failing to deal with it in a timely manner according to law;
(2) Failing to perform the duties of preventing illegal fund-raising in a timely manner in accordance with the regulations, or failing to cooperate in the handling of illegal fund-raising, causing serious consequences;
(3) Abuse of power, neglect of duty, and practice favoritism in the process of preventing and handling illegal fund-raising;
(4) Supporting, shielding, and condoning illegal fund-raising through post behavior or the use of post influence.
If the conduct specified in the preceding paragraph constitutes a crime, criminal responsibility shall be investigated according to law.
Chapter 5 Supplementary Provisions
Article 38 Provinces, autonomous regions, and municipalities directly under the Central Government may formulate detailed implementation rules for preventing and handling illegal fund-raising in accordance with these regulations.
Article 39 Anyone who engages in financial business activities such as granting loans, payment and settlement, bill discounting without legal permission or in violation of national financial management regulations shall be handled by the financial management department of the State Council or local financial management departments in accordance with the division of supervision and management duties.
Where laws and administrative regulations do not clearly provide for the prevention and handling of other illegal financial business activities, refer to the relevant provisions of these regulations.
The specific types of other illegal financial business activities shall be determined by the financial management department of the State Council.
Article 40 These regulations shall come into force on May 1, 2021.
The Measures for the Banning of Illegal Financial Institutions and Illegal Financial Business Activities promulgated by the State Council on July 13, 1998 shall be repealed simultaneously.