On July 9, the Shanghai Higher Peoples Court fraudulently and illegally collected funds from 15 defendants, including Shanghai Quick Deer Investment (Group) Co., Ltd., Shanghai Changning Donghongqiao Microfinance Co., Ltd., Shanghai Donghongqiao Financing Guarantee Co., Ltd. and defendants Huang Jiaqian, Wei Yanping, Zhou Mengmeng and Xu Qi (American nationality). A series of appeals concerning the absorption of public deposits shall be made a final judgment according to law, and a ruling shall be made to reject the appeal and maintain the original judgment.
The above-mentioned fund-raising fraud by the defendant units and defendants has resulted in huge economic losses of nearly 40,000 victims, seriously affecting the family life of the victims, seriously undermining the national financial order and seriously endangering the national financial security. In light of the facts, nature, circumstances and the degree of harm to society, three defendants have been sentenced according to law. Penalties ranged from $1.5 billion to $200 million. Fifteen defendants were sentenced to life imprisonment to nine years of fixed-term imprisonment and fines. ?
After the first instance was pronounced, 14 defendants, including Huang Jiaji, refused to accept the verdict and appealed. The Shanghai High Peoples Court constituted a collegial panel to hear the case according to law. During the second instance, the appellant and the defender fully expressed their opinions on whether the appellant constituted the crime of fund-raising fraud, the amount of the crime, the status, role, voluntary surrender, meritorious circumstances and whether the original sentence was too heavy.
The second trial of the Shanghai High Court found that all the above illegal fund-raising proceeds were transferred to the bank accounts actually controlled by Shi Jianxiang and Quick Deer Group. Except for more than 28.2 billion yuan, which was used to pay the principal and interest of the previous investors, the remaining funds were used to pay various operating expenses, share acquisition, film and television investment and other business activities, and transferred to the bank account of Shi Jianxiang and Quick Deer Group. Overseas and purchase of vehicles and for personal waste, embezzlement, etc. By the time the case was committed, the actual economic losses in the case amounted to more than 15.2 billion yuan. ?
According to the Shanghai High Court, in the case of illegal self-financing and self-insurance fund-raising activities with false creditors rights and false guarantees as the core, the amount of money used for production and operation activities is obviously disproportionate to the scale of fund-raising. The operation of Fast Deer Group is maintained in the way of borrowing the new to repay the old. As a result, the fund-raising funds can not be returned, Fast Deer Group and Dongdong Group. Hongqiao Small Credit Company and Donghongqiao Guarantee Company all constitute the crime of fund-raising fraud. Fourteen appellants, such as Huang Jiaji, are senior managers or business leaders of Quick Deer Group, Donghongqiao Small Credit Company and Donghongqiao Guarantee Company. They are responsible for the actual control relations within Quick Deer Group.
The formation and actual control of illegal fund-raising pool, the creditors rights and guarantees involved in illegal fund-raising are all false, the vast majority of fund-raising funds are not used for production and operation activities, serious cash crisis occurs in the process of illegal fund-raising, the existence of arbitrary use and squandering of fund-raising funds are well known, and they are still related to organization, operation and arrangement and management. Units and personnel should cooperate in the division of labor and jointly implement the fund-raising fraud in this case. They should be identified as the persons in charge or other persons directly responsible for the fund-raising fraud activities of Fast Deer Group, Donghongqiao Small Credit Company, Donghongqiao Guarantee Company, respectively. They also constitute the crime of fund-raising fraud. Shanghai High Court said.
After the second trial, the Shanghai High Court held that the other 12 appellants, except Zhou Mengmeng and Xu Qi, supported and cooperated with each other in the fund-raising fraud activities in this case, participated for a long time, involved in a huge amount of money, acted actively, played a prominent role, and could not be identified as accomplices according to law; in addition, some Appellants or were attacked by the public security machine. Guan captured the case, or did not give a true confession to the facts of the crime after the case, which did not meet the conditions for the establishment of voluntary surrender; individual Appellants did not meet the conditions for the establishment of meritorious service and could not be identified as meritorious performance. The Shanghai High Court said that the sentencing was not inappropriate on the basis of comprehensive consideration, so it made a final verdict to reject the appeal and maintain the original verdict in accordance with the law. ????
After the judgment of the second instance in the fast deer series of cases, Shanghai judicial organs will continue to strengthen the work of recovering the stolen assets involved, and continue to pursue and prosecute the fugitive persons involved.
Tens of millions of investors in illegal money traps with one-hand star and one-hand capital
The exposure of Fast Deer Family originated in February 2016, when Ye Wen 3 of Fast Deer Group was exposed stealing box office, and its financing was questioned by many media, thus revealing the inside story of Fast Deer Familys financial technology: on the financing side, Fast Deer Family transfers financial products based on the earnings rights of movies sold on multiple platforms; on the asset side, it invests in film buyout. Land issuance rights, and the layout of related listed companies in advance of investment, box office sales may lead to a sharp rise in stock prices.
As a result of the above trial, of the 43.4 billion yuan of illegal fund-raising income, all but 28.2 billion yuan was used to cash in the principal and interest of investors, to pay operating expenses, equity acquisition, film and television investment, and even to transfer overseas or squander and embezzle.
In September 2016, the official micro-blog of Shanghai Changning Public Security Bureau issued a briefing on the case in the evening. The two units, Jinlu Finance Bank and Daily Wealth, were investigated and compulsory measures were taken against the responsible persons according to law. In April 2017, Shanghai Public Security Economic Investigation announced that INTERPOL issued a red arrest warrant for Shi Jianxiang, the founder of the Fast Deer Family, on January 9 of that year.
As a result, the fraud of illegal fund-raising by a private group with assets of 10 billion yuan was uncovered, involving 43.4 billion yuan and murdering 40,000 investors by more than 15.2 billion yuan. In the industry, even after the trial, it is not easy for investors to recover investment funds. As many as 100 shell companies once facilitated the fast deer group to cover the outflow of funds.
Photo Source: Tian Eye Cha Quick Deers ownership structure is complex. Quick Deer Group manufactures a number of companies, self-financing, self-protection, set up a trap for the majority of investors.
Shi Jianxiang, the left-handed star and right-handed capital of Fast Deer and a number of affiliated companies, operated it until the film Ip Man 3 exploded the question of box office theft, and played with the huge chain of illegal fund-raising.
The fast deer Department started in 2015, relying on the two fields of Internet Finance and film and television investment that capital pursued at that time, and quickly completed the original accumulation. Shi Jianxiang said he did Internet + Finance + film and television. He did not deny that he devoted himself to the three advantages of film and television: the star effect was added to the fast deer, and the investment was the right of box office income. Mergers and acquisitions promote the share price of listed companies; repackaging film and television projects into financial products to raise funds illegally to the public. A number of stars have been involved in the Fast Deer Department since the incident. Some stars were once regarded as star partners and spokespersons by Donghongqiao Financial Online of Fast Deer Department.
And in this process, Quick Deer Group processed many companies, self-financing, self-protection, set up a trap, for the majority of investors to trap money. Brokerage firms in China have found that similar to other major cases of illegal fund-raising, on the one hand, they set up (more fictitious) equity investment projects, or even set up shell companies, which are packaged as wealth management products to gather money illegally; on the other hand, Shi Jianxiang and others pour money to run individuals, in all kinds of public activities and communication. Through various channels to expand the exposure, to win the trust of the vast number of investors.
Timeline of Fast Deer Cases
Ye asked 3 is deeply involved in the box office fraud question, which leads to a series of operations of the fast deer Department leading the leaf question 3, the mode of Internet + Movie + finance, which creates false box office and shares price.
The end of March 2016
Quick deer Department (Shanghai Quick Deer Investment Group), including fortune, Jinlu Finance and Banking, all had cash problems on the same day, and announced the suspension of cash. Shi Jianxiang announced his resignation for medical reasons. Since then, Shi Jianxiang has been overseas.
In the evening, the official micro-blog of Shanghai Changning Public Security Bureau issued a briefing on the case, which investigated the two units of Jinlu Finance Bank and Wealth of the Day, and took compulsory measures against those responsible according to law.
According to the news released by Shanghai Public Security Economic Investigation, Interpol issued a red arrest warrant for Shi Jianxiang on January 9 of that year.
Fast Deer Group and Donghongqiao Guarantee were filed by the Economic Investigation Branch of Ning Branch of Shanghai Public Security Bureau on suspicion of fund-raising fraud.
Shanghai First Intermediate Peoples Courts Case 1 of 12 Personal Fund-raising Fraud and Illegal Absorption of Public Deposits by Shanghai Fast Deer Investment (Group) Co., Ltd., Shanghai Changning Donghongqiao Microfinance Co., Ltd., Shanghai Donghongqiao Financing Guarantee Co., Ltd., Xu Qi (American Nationality), Zhang Lei, Huang Jiaqian and Sun Ye The trial opens to the public.
The First Intermediate Peoples Court of Shanghai handed down a first instance judgment on the three defendants and 15 defendants. It held that the 15 persons directly responsible for the case, such as Quick Deer Group, Donghongqiao Small Credit Company, Donghongqiao Guarantee Company and Huang Jiaqian, were illegally assembled by fraudulent means for the purpose of illegal possession. Capital, its behavior has constituted the crime of fund-raising fraud, and the amount is particularly huge. Xu Qi also illegally absorbs public deposits and disrupts the financial order in violation of relevant state regulations. Her behavior constitutes the crime of illegally absorbing public deposits, and the amount is huge.
Source: Responsible Editor of Securities Times: Wang Xiaowu_NF