The Crime Of Organizing And Leading Mlm Applicable Legislative And Judicial Research

Multi level marketing (or pyramid schemes) first appeared in China in 1990, establishing themselves and developing rapidly into the willing Chinese market. Government legislation banning it in 1998 did little to decrease its growth. Instead, it continues to grow in various forms and is now spread across the country. Reflecting the particular features of multi level marketing in China, Amendment VII to Criminal Law of the People's Republic of China in February 2009 established as a crime Leading and Organizing the Pyramid Selling. Since then, illegal multi level marketing can be regulated and prosecuted not only under Fraud, Fundraising Frauds or Illegal Operation legislation, but also under the new crime targeting it specifically. In this dissertation, the author analyses the original intention of the legislation and makes her own suggestions as to subsequent possible improvements that might be made to existing legislation and judicial practice of the Crime of Leading and Organizing the Pyramid Selling.The dissertation is composed of five chapters.Chapter One introduces the concept and the history of multi level marketing in China, providing the background and foundation for the research. Multi level selling is a legal type of multi level marketing in most countries, while pyramid selling is a deteriorated variety of multi level marketing that is illegal all over the world. Pyramid selling and multi level selling are both forbidden in China, but the Crime of Leading and Organizing the Pyramid Selling targets specifically pyramid selling which has become increasingly intense and destructive in China.Chapter Two analyzes why an independent criminal act is necessary for pyramid selling behavior from the legislative and judicial perspectives. The characteristics and situation of multi level marketing are further analyzed in the chapter.Chapter Three makes an overall analysis of constitutive requirements of the Crime of Leading and Organizing the Pyramid Selling. The author tries to address some of the disputes around the crime such as understanding organizing and leading behaviors and serious circumstance.Chapter Four discusses the judicial practice around the Crime of Leading and Organizing the Pyramid Selling including the demarcations between what constitutes criminality under the legislation, the assertion of the act, abortive and ending form of the crime, the accomplice of the crime, and the differentiation and connection between this crime and other crimes like Fraud, Fundraising Frauds, Illegal Operation and Manufacturing and Marketing Fake or Shoddy Goods.Finally, Chapter Five offers some suggestions to improve the legislation around the Crime of Leading and Organizing the Pyramid Selling on the basis of the other countries'criminal regulations of pyramid selling. It is suggested that more forms of crime and punishment should be added to the legislation. Hopefully this concluding chapter will be of some use to legislators and those whose job entails the judicial interpretation of the crime.