China's largest network MLM case sentenced yesterday

Absrtact: The country's largest network MLM case yesterday sentenced to the amount of more than 24 billion yuan Jinhua million shopping network MLM case, attracted the national attention. Yesterday, Jinhua Wu Cheng District People's court to make a first instance judgment. Original million shopping company chairman should build criminal organization

China's largest network MLM case sentenced yesterday

The amount of money involved in Jinhua, "million Home Shopping" network MLM case, has been the national attention. Yesterday, Jinhua Wu Cheng District People's court to make a first instance judgment.

The original "Million shopping company" chairman should be built criminal organization, leading pyramid selling activities crime, sentenced to 10 years imprisonment, and a fine of 2 million yuan, guilty of intentional injury, sentenced to 7 years of imprisonment, two crimes and penalties, decided to execute a prison sentence of 15 years, and a fine of 2 million yuan.

Former company vice president Yangjiang criminal organization, leadership pyramid selling activities crime, sentenced to 6 years imprisonment, and a fine of 500,000 yuan.

The former company financial controller Shaokang criminal organization, the leadership of MLM activities crime, sentenced to 6 years in prison, and a fine of 450,000 yuan.

The defendant Fei the crime of organizing and leading MLM activities, sentenced to 5 years and 10 months imprisonment, and fined 400,000 yuan.

The remaining defendants, according to the specific circumstances, were sentenced to imprisonment, probation, or exemption from criminal penalties, with a corresponding amount of fines.

"Case Review"

It is understood that "million home shopping" in Zhejiang billion E-commerce Co., Ltd. should be built, Yangjiang, Shaokang, Hu 4 people formed in May 2010. Around December that year, the new Fei, Amini, Shaozhong, Wang, Lehuiling, Fang, Zhu Xiaoxia, Yutichen 8 shareholders.

Since July 2010, "billion companies" million home shopping "rebate site and" Business Alliance "franchise Network for the platform, playing" full 500 back to 500 "and other cover, to" one Yuan rebate "," consumption = Save = Free "and other super high rebate to lure others to spend.

Participants are required to buy goods, develop their membership, develop franchisees and so on, and according to membership qualifications and conditions, divided into ordinary members, VIP members, gold agents, gold agents, regional agents, corporate management level. According to the chronological order of their registration, the upper and lower level relationships are formed and the "six generations of compensation" and "regional compensation" are implemented.

June 11, 2012, Jinhua police to "billion companies" and its "million Home shopping" website suspected of organizing, leading MLM activities to carry out a unified network action, captured should be built, such as a number of major suspects.

Confirmed by the public security organs, "billion companies" to use this mode of operation in the national development of the total number of 190多万个, of which ordinary members 110多万个, VIP members more than 750,000, more than 5,000 gold agents, more than 6,000 gold agents, regional agents more than 2000, the development of Business Alliance merchants 10余万家.

Million shopping platform operations should reimburse members of the debt of 773 million yuan, will eventually form the membership to be allocated dividends rebate debt of 24.045 billion yuan. The case involves nearly 2 million people, over 2,300 counties (cities) in 31 provinces (cities and districts) nationwide.

"Judgment basis"

According to the chief judge of the case, according to the No. 224 article of the criminal law of the People's Republic of China: "Organize, lead to sell goods, provide services and other business activities as the name, require participants to pay fees or purchase goods, services and other means to obtain the qualification, and in a certain order to form a directly or indirectly by the number of development personnel as compensation or rebate basis, to induce or coerce participants to continue to develop other people's participation, cheat property, and disturb the economic and social order of MLM activities, the Department shall be sentenced to five years ' imprisonment or criminal detention, and shall be punished with a penalty of five years ' imprisonment and a fine. ”

At the same time, according to the Supreme People's Procuratorate, the Ministry of Public Security, "on the criminal cases under the jurisdiction of the Prosecution Standards (ii)" provisions: "suspected organization, leadership of MLM activities in more than 30 persons and the level of more than three, to the organizers, leaders, should be prosecuted."

The Court considered that: the accused should be built, Yangjiang, Shaokang, Fei Lin, 15 people, organizations, leaders to sell goods, provide services and other business activities as the name, requiring participants to pay fees or purchase goods and other ways to qualify, and in a certain order to form a level, Direct or indirect to the number of development personnel as a compensation or rebate basis, to lure participants to continue to develop the participation of others, cheat property, disrupt the economic and social order activities, the plot is serious, its behavior has constituted the organization, the leadership of MLM crime, the joint crime.