Linshan Finance? The fund-raising fraud case is so annoying. The company is the operation and promotion mode of fund-raising fraud. Like illegal fund-raising platforms such as e-Rental and Qian Bao, Linshan Finance also relies on it? Borrow new or old? Maintain the company's operation through the package model. The stores are expanding wildly, the company's management is chaotic, the investment projects are poorly managed, and the company's operating costs remain high. As time goes by, the funding gap is getting bigger and bigger.
Most of the funds illegally raised by Linshan Finance are used to repay the principal and interest to early investors, so as to create the illusion that the company is profitable in investment and in good operating condition. Some illegal fund-raising funds are squandered to pay high commissions, lease luxury office space, advertisements and other high operating costs and personal squandering. Among them, the personal bank account of Zhou Boyun, the legal representative of Linshan Company, is about 320 million yuan. After he arrived at the case, he confessed that the money was used for usual expenses, maintaining the company's customer exchanges, car travel expenses, opening a five-star hotel and spending it in entertainment places.
Why can't fraud be eliminated? First of all, because of the large population in China, the deceived people lack the necessary awareness of prevention and are taken in by various swindlers. Secondly, knowledge and information are asymmetric. Most fraudsters have high IQ and have a thorough grasp of all kinds of new things in society and human nature. It is a society that commits a crime, and the deceived seriously lack understanding of some knowledge or related information. Finally, the enforcement of national legal supervision is not enough, the macro-policy is fine, the quality of law enforcers is uneven, and the law enforcement and methods are inefficient and flexible. Lack of initiative.