Illegal fund-raising is suspected of contract fraud

Illegal fund-raising is not the same as contract fraud. Illegal fund-raising refers to the act of issuing creditor's rights certificates without the approval of relevant departments in accordance with legal procedures, promising to repay the principal and interest to investors in cash or in kind within a certain period of time, and raising funds from the public; Contract fraud refers to the act of defrauding the other party's property by fabricating facts, concealing the truth and setting traps during the signing and performance of the contract for the purpose of illegal possession.

legal ground

Article 224 of the Criminal Law

Under any of the following circumstances, if the amount involved is relatively large in the process of signing and performing a contract for the purpose of illegal possession, he shall be sentenced to fixed-term imprisonment of not more than three years or criminal detention and shall also or only be fined; If the amount is huge or there are other serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than three years but not more than ten years and shall also be fined; If the amount is especially huge or there are other especially serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than 10 years or life imprisonment, and shall also be fined or confiscated:

(1) Signing a contract in the name of a fictitious unit or others;

(2) Mortgaging with forged, altered or invalid bills or other false property rights certificates;

(3) Deceiving the other party to continue to sign and perform the contract by first performing the small contract or partially performing the contract without actual performance ability.