Analysis Of The Crime Of Organizing And Leading Pyramid Selling

This dissertation bases on criminal theories and some research findings, itanalyses the crime of organizing and leading pyramid selling in order to clear thecomponent and to make fine distinctions with others.Part1 is about why organizing and leading pyramid selling should be crime. First,many other states have legislated on pyramid selling, for example, Germany, Japan,Korea and others, legislation of Korea is a model for other states, it is comprehensive,Taiwan province has legislated on pyramid selling, our legislation on pyramid sellingexperienced four phases. early days of reformation, we had no legislation on pyramidselling, then, pyramid selling produced many problems, we had to restrict it. At theend of 1990's, we strictly forbidden pyramid selling including multi-level marketing,it was disaccord to other states. Last year, pyramid selling was convicted to be crimein "Criminal Law Amendment(7)" formally. Secondly, the part also analyses therationality of organizing and leading pyramid selling, it seriously infringes on thepersonal property rights, and disrupts social order, pyramid selling is different fromthe crime of illegal dealing.The second part defines organizing and leading pyramid selling, clarifies theconcept and characteristics of pyramid selling, distinctes between pyramid selling anddirect sales, direct marketing, including single-level direct sales and multi-levelmarketing, pyramid selling is developed on the basis of a "pyramid" sales, the authorexcludes "group capitation" from pyramid selling. This method is mainly based on thefollowing considerations: First, the "group capitation" is not "indirectly basing on thenumber of marketing agents for the capitation "; Second, the" group capitation"materially is not" cheating ", but only a sales model; Third, "group capitation" inmost foreign countries is a legitimate mode of operation, in our country, based on thepolicy, it is illegal. The second section defines organizing and leading conduct,organizing includes actions of the organizing unit and organizing pyramid sellingactivities, leading is making plan, commanding member, coordinating everything.The third part discusses the subject of crime, subject of this crime includes theorganizer and leader. organizer includes two parts, one is the people who set uppyramid schemes in order to implement the activities of the organization, in addition,the other part is people who agitates and attractes people to join the organization whohave the intention to do pyramid selling in order to implement the activities. Organizer not noly include the people who is on top of the whole pyramid scheme andorganizing the whole organization, but also include the people who organizes part ofthe organization. Leader includes the highest leader and low-level leader. Thisexcludes active participant in the crime as a criminal subject, but active participant inpyramid selling with deliberate and behavier can be guilty of this crime.At the fourth part, writer analyses "gravity of the circumstances", elementsaffecting the circumstances are mainly in the following: First, the amount of illegalbusiness turnover or the amount of illegal income, individuals whose illegal businessturnover is more than 250,000 yuan or the illegal income reaches the amount of50,000 yuan; Second, the number of marketing agents, the number of people probablyshould be more than 50. In addition, the number of minors, students, teacheres,government workers, foreigners, laid-off workers and unemployed persones should beelements of "gravity of the circumstances"; Third, the means of pyramid selling;Fourly, social impact; Fifthly, do pyramid selling more than two times. There are othercircumstances, including the use of threat of violence and other means in order toretaliate on the prosecutor and so on.Part five discusses the differences of this crime with others, they are same insome aspects, but they are different in the object, objective aspect, the subject and thedifferent subjective aspects.