It is related to the securities market, and the four departments jointly issued a document!

The Supreme People's Procuratorate reported on May 17 that the Supreme People's Court, the Supreme People's Procuratorate, the Ministry of Public Security, and the China Securities Regulatory Commission jointly formulated the "Opinions on Several Issues Concerning the Handling of Securities and Futures Illegal and Criminal Cases" (hereinafter referred to as the "Opinions").

The "Opinions" put forward that in accordance with the law, it is necessary to strictly and quickly investigate and deal with illegal and criminal cases such as financial fraud, embezzlement of assets of listed companies, insider trading, market manipulation, and securities fraud. Securities issuers, controlling shareholders, actual controllers, directors, supervisors, senior managers, financial practitioners, etc., who commit securities and futures violations and crimes, shall be severely punished in accordance with law. If a crime is constituted, criminal responsibility shall be pursued in accordance with law if the intermediary organizations and financial institutions that provide false supporting documents and financial bills for financial fraud, professional gangs that carry out cooperative acts such as capital allocation, trading and stock recommendation for the crime of insider trading and manipulation of the securities and futures market, and external personnel who collude with the listed company inside and outside the company to hollow out the company's assets, and constitute a crime.

Quick Facts

Increase the force of investigation and punishment, persist in moving everything that should be removed, arrest when arrested, and prosecute when it is prosecuted, and strictly control the application of suspended sentences

Increase the force of the application and enforcement of property penalties, maximizing the recovery of stolen goods and losses

In accordance with the law, cases of financial fraud, embezzlement of assets of listed companies, insider trading, market manipulation, and securities fraud are strictly and quickly investigated and dealt with

The whole chain cracks down on intermediary organizations and financial institutions that provide false supporting documents and financial bills for financial fraud, and professional gangs that carry out cooperative behaviors such as capital allocation, trading, and stock recommendation for insider trading and manipulation of the securities and futures market

Increase the force of application and enforcement of property penalties

Where violence or threats are used to obstruct the staff of securities and futures regulatory agencies from performing their duties in accordance with the law, the public security organs shall deal with it in accordance with the law, and if a crime is constituted, criminal responsibility shall be investigated in accordance with the law

Strictly crack down on illegal and criminal activities in securities and futures

The "Opinions" put forward that the zero tolerance requirement should be adhered to, and the illegal and criminal activities of securities and futures should be strictly cracked down on in accordance with the law. Increase the force of investigation and punishment, persist in moving everything that should be removed, arresting when arrested, and prosecuting when it is prosecuted, strictly controlling the application of suspended sentences, increasing the force of application and enforcement of property punishments, maximizing the recovery of stolen goods and losses, and improving the system of full-chain crackdown and all-round accountability. Correctly implement the criminal policy of blending leniency with severity, adhere to the main tone of "strictness", lawfully determine leniency circumstances, and bring about the organic unity of political, legal, and social effects.

The people's courts, people's procuratorates, public security organs, and securities and futures regulatory agencies should adhere to the division of labor and responsibility, cooperate with each other, and restrain each other, improve and improve working mechanisms, earnestly strengthen the transfer, investigation, prosecution, and trial of securities and futures criminal cases, persist in taking trial as the center, continuously strengthen awareness of evidence and procedures, effectively strengthen legal supervision, and ensure strict law enforcement and fair justice. It is necessary to persist in overall planning and coordination, give full play to the functions and roles of various departments, combine handling cases in accordance with the law with the prevention and resolution of financial risks, and maintain economic and financial security and social stability.

The people's courts, people's procuratorates, public security organs, and securities and futures regulators are to clarify the standards for law enforcement and case handling and the standards for grasping policies through methods such as jointly formulating normative documents and jointly publishing typical cases, and unify the understanding and application of law. Optimize institutional setups, strengthen the construction of case-handling bases and trial bases, and enrich front-line case-handling forces. Strengthen the professionalization of law enforcement and judicial teams, and raise the level of specialization.

Emphasizing the connection between administrative law enforcement and criminal justice

The "Opinions" clarify the connection between administrative law enforcement and criminal justice, the jurisdiction of criminal cases, and the collection, review and use of evidence.

If the securities and futures regulatory authority discovers that it is suspected of committing a crime and needs to be investigated for criminal liability in accordance with the law, it shall promptly transfer it to the public security organ. The following materials shall be attached when transferring the case: the transfer document, the list of items involved in the case, and evidentiary materials, and where an administrative punishment decision or market entry ban decision has already been made, the administrative punishment decision or market entry ban decision shall be attached. At the same time, a copy of the transfer document, administrative punishment decision, and market entry ban decision shall be sent to the people's procuratorate at the same level. The people's procuratorate shall supervise the activities of cases transferred by the securities and futures regulators in accordance with law.

If the public security organ finds that there are criminal facts that need to be investigated for criminal responsibility in a case transferred by the securities and futures regulatory authority, it shall promptly file the case. Where a higher-level public security organ designates jurisdiction or notifies a written notice to file a case, it shall file the case within the required time period. If the public security organ decides not to file a case, the securities and futures regulatory agency may apply for reconsideration, and the people's procuratorate shall supervise the public security organ's case filing and investigation activities in accordance with law.

In terms of jurisdiction, the intermediate people's court has jurisdiction over first-instance cases of securities and futures crimes, the people's procuratorate at the same level is responsible for initiating public prosecutions, and the public security organs at or above the prefectural (municipal) level are responsible for filing and investigating.

Cases of financial fraud and other cases should be investigated and dealt with strictly, quickly, and re-examined

The "Opinions" require that criminal suspects and defendants who have not truthfully confessed the crime or obstructed the case-handling work in various ways, refused to return the stolen money or goods, or used the stolen money and goods for illegal activities, and have made particularly huge illegal profits, have repeatedly committed securities and futures violations and crimes, causing the delisting of listed companies, major losses to investors, may cause financial risks, seriously endanger financial security, and other vile social impacts or serious harmful consequences, etc., are generally not subject to relative non-prosecution, exemption from criminal punishment and probation.

In accordance with the law, cases of financial fraud, embezzlement of assets of listed companies, insider trading, market manipulation, and securities fraud are strictly and quickly investigated and dealt with. Securities issuers, controlling shareholders, actual controllers, directors, supervisors, senior managers, financial practitioners, etc., who commit securities and futures violations and crimes, shall be severely punished in accordance with law. If a crime is constituted, criminal responsibility shall be pursued in accordance with law if the intermediary organizations and financial institutions that provide false supporting documents and financial bills for financial fraud, professional gangs that carry out cooperative acts such as capital allocation, trading and stock recommendation for the crime of insider trading and manipulation of the securities and futures market, and external personnel who collude with the listed company inside and outside the company to hollow out the company's assets, and constitute a crime.

Those who actively cooperate with the investigation, truthfully confess the facts of the crime, take the initiative to return stolen goods and make restitution, and sincerely admit guilt and repentance, may be given a lenient punishment in accordance with law; Where the scope and requirements for plea leniency are met, it is to be handled in accordance with the provisions of the Criminal Procedure Law. The standards for designation must not be lowered in accordance with law, such as voluntary surrender, meritorious service, accomplice, and other legally-prescribed lenient punishment circumstances.

Increase the force of the application and enforcement of property penalties, and the people's procuratorates submit sentencing recommendations and the people's courts make judgments, emphasizing the simultaneous use of liberal punishments and property penalties and the recovery of unlawful gains, and increasing the force of economic penalties and property enforcement for securities and futures criminals. People's procuratorates and people's courts may submit a recommendation for a professional prohibition in accordance with law, and make a decision on a professional prohibition based on the circumstances of the criminal suspect's or defendant's crime and the need to prevent further crimes.

Improve case-handling coordination mechanisms

The "Opinions" also proposed to improve the coordination mechanism for handling cases. Securities and futures regulators and public security organs may jointly carry out administrative investigations and criminal verification activities through joint intelligence guidance and investigation, comprehensive use of data resources and information technology, for clues that may be suspected of securities and futures crimes. All levels of people's courts, people's procuratorates, public security organs, and securities and futures regulatory agencies shall assist each other in accordance with law when they inquire into information on the securities and futures account transactions involved in the case, the household registration, entry and exit of relevant persons, and other information involved in the case, collect case materials, and request that the criminal suspect or defendant who has been subject to criminal compulsory measures be served legal documents, make inquiries on behalf of the criminal suspect, or consult on professional issues.

Establish and improve the information communication mechanism. Securities and futures regulators, public security organs, and procuratorial organs have strengthened cooperation and coordination, focusing on the use of modern scientific and technological means, promptly reporting case transfers, handling information, and coordination needs in accordance with the law, relying on big data intelligent application technology, to carry out resource integration and sharing, and work together to improve the quality and efficiency of case handling.

Establish and complete mechanisms for joint special action on law enforcement and justice. The people's procuratorates, public security organs, and securities and futures regulators are to carry out joint special operations as needed for their work, focusing on rectifying illegal and criminal activities such as key links, emerging fields, and high-incidence types; Jointly listed to supervise and handle major cases, respond to market concerns in a timely manner, and play a deterrent role.

Establish and improve the mechanism for work consultation. The people's courts, people's procuratorates, public security organs and securities and futures regulators shall establish consultation systems at different levels to resolve disputes such as the application of law and standards of proof encountered in their work, and eliminate differences in the process of cooperation and restraint in their work; Analyze and judge the situation of violations and crimes, put forward governance countermeasures, and jointly improve the quality and efficiency of work.

Where violence or threats are used to obstruct the staff of securities and futures regulatory agencies from performing their duties in accordance with the law, the public security organs shall deal with it in accordance with the law, and if a crime is constituted, criminal responsibility shall be investigated in accordance with the law.

The people's courts, people's procuratorates, and public security organs should further improve case-handling bodies, strengthen case-handling forces, and increase the intensity of case-handling work in light of actual work conditions. It is necessary to strengthen the professionalization of the public security and judicial teams in securities and futures crime work, encourage and support the construction and cultivation of professional case-handling capacity in the jurisdiction of provincial-level people's courts, people's procuratorates, and public security organs, and give full play to the demonstration effect of case-handling bases and trial bases. Through joint research, joint training, the release of typical cases, the formulation of normative documents, etc., further unify the standards and standards of law enforcement and justice, and improve the ability and level of handling securities and futures crime cases.

Reviewer: Zhang Qinfeng Editor: Jiao Yuanyuan Proofreader: Yu Hongbo Producer: Zhang Nan

Issued by: Peng Yong