The Research Of Criminal Legal Risks Of Internet Crowdfunding

Internet crowd-funding is a kind of internet financial business model taking product,service,creditor's rights,equity as return of investment by publicity and promotion on internet platform,thus,small public funds can be gathered to meet the needs of small and micro enterprises or individual specific financing.The emergence and rise of it provides a new way to solve the financing problems of small and micro enterprises and innovative enterprises in the current economic environment.However,it is still in its infancy in China,therefore,it has not been widely accepted by the mainstream of society,at the same time,relevant laws and regulations on its regulation is also rare;This makes the current Internet to raise public areas of regulation in a more chaotic situation,as well as project sponsors,investors,the congregation raised platform behavior have the probability of violation of administrative regulations and even criminal charges.Therefore,the author intends to discuss the background,causes and Countermeasures of criminal risks of Internet crowd-funding by this paper(four chapters and thirteen sections).In chapter 1,the overview of the Internet crowd funding is introduced.The concept and characteristics of the Internet crowd funding are firstly introduced to highlight the main features of “crowding,small amount,relying on the Internet”;secondly,rise and development of the Internet crowd funding are introduced from extraterritorial and domestic aspects,which shows representative companies,websites and their running modes in the history of the Internet crowd funding at domestic and abroad;then,main features of four Internet crowd funding modes of creditor type crowd funding,equity type crowd funding,public welfare crowd funding and return type crowd funding,as well as the positioning and regulation on them by current relevant laws and regulations are introduced in succession.In chapter 2,criminal risks of internet crowd funding are analyzed.Firstly,macro background of criminal risks of internet crowd funding are introduced,and,how do changes in the economic environment spawn innovative financing models with advance as internet crowd funding.Meanwhile,the relevant administrative regulations and criminal law charges in this field appear to be lagging behind because of the rapid development of China's economic system and temporal spirit,as well as other factors of statutory offense itself.Therefore,this produces a more intense contradiction between advanced financing model and relatively lagging legislation;secondly,this paper introduces micro reasons of criminal risks of internet crowd funding,the defects in internet crowd funding itself are analyzed from such three aspects of Information Asymmetry,lack of procedural safeguards,and false information flooding;then,limitations of the current economic system and legal framework for the development of the Internet crowd funding are analyzed;finally,reasons of criminal risks of internet crowd funding are found from the specific provisions of criminal law and relevant judicial interpretations;this paper also selects crime of illegally absorbing public deposits,issuing stock without authorization,and crime of corporate bonds,corporate bonds,fund-raising fraud to analyze the possible crimes of internet crowd funding,and discuss whether the internet crowd funding complies with the constitution of these crimes in detail.In chapter 3,legislative responses of criminal risks of internet crowd funding are introduced.Firstly,relevant legislation on internet crowd funding of USA,UK and France are introduced,as well as main ideas referred by relevant legislation in China;secondly,the importance of keeping dynamic balance between criminal legislation and economic environment are discussed;this paper emphasizes the principles to be abided by in criminal legislation of internet crowd funding;finally,this paper discusses how does criminal legislation maintain the distinction and connection with other legal responsibilities in regulating the activities of the field.In chapter 4,Judicial responses of criminal risks of internet crowd funding are introduced.Firstly,the necessity and urgency of limiting the use of illegal fund-raising crimes in judicial practice are discussed;secondly,operability of cautious application on issuing stock without authorization,corporate and corporate bonds crimes in practice is analyzed from crime standard and measurement of penalty;furthermore,this paper also emphasizes the importance of how does strict distinction on crime of fund-raising fraud and business failure determine the behavioral nature of project sponsors' inability to return investor funds in internet crowd funding activities in current stage.