Zhenjiang City, Jiangsu Province cracked a case of illegal fundraising using virtual currency, involving more than 40 million yuan
According to the Yangtze Evening News, under the guise of "investing 1 FIL coin for double profits, and developing a downline for four times the team's profits," a partnership was formed to develop a specialized company that attracted over 10,000 members from provinces and cities such as Jiangsu, Guizhou, and Hunan in less than a year, involving over 40 million yuan. On July 20th, the reporter learned from the Jingkou District Prosecutor's Office in Zhenjiang City, Jiangsu Province that after the public prosecution was initiated, the court recently sentenced Li and eight others to three years in prison for illegally absorbing public deposits, with a probation period of three to five years and a fine of 210,000 to 250,000 yuan. After investigation, the case team believed that Li and Li set up static and dynamic income to promote the FPM platform. Although the dynamic income rule belongs to the pyramid scheme crime of pulling in people with high returns as bait and continuously developing downline personnel, it was found through appraisal and audit that Li and others used a large amount of FIL coins absorbed to cooperate with mining machine merchants to pledge "mining." As of the time of the case, Li and others' investment in FIL coins still generated profits through "mining," and there was no behavior of transferring funds. Therefore, they did not have the subjective intent of defrauding property and should be convicted of "illegal absorption of public deposits." During the review and prosecution period, the procuratorial organ conscientiously implemented the policy of combining leniency with strictness in criminal justice, strengthened the interpretation of the law, and encouraged the eight suspects to voluntarily plead guilty. Recently, the court adopted all the opinions and sentencing suggestions of the procuratorial organ and made the aforementioned judgment.
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