For the private placement to be invested, we should understand the manager's business status, integrity record and management team through many aspects, comprehensively judge the credit status of the private placement management agency, conduct necessary understanding and investigation of the equity private placement project to be invested, judge the authenticity and legitimacy of the project, and stay away from the "pseudo private placement" that engages in illegal fundraising activities under the banner of "private placement".
Details of the caseSince 2012, Zhang Moumou and others have established "national Y" companies, some of which have been registered as private equity managers, and have set up branches in Jiangsu, Zhejiang, Guangdong, Hainan and other places. From October 2014 to August 2018, Zhang Moumou and others ended with 7The annualized rate of return of 5% to 14%, the signing of a private equity share repurchase contract promising to guarantee the principal as bait, through the establishment, acquisition of project companies, fictitious project company business content, exaggeration of business scale and investment value, etc., to create a false impression of providing investors with high-quality investment and wealth management products and services, and recruit retired personnel from banks, wealth companies and other units to form a sales team, through WeChat, WeChat moments, SMS, etc.
After the raised funds enter the escrow fund account and are transferred to the project company under their actual control, Zhang Moumou and others will transfer all or most of the raised funds to the account of the "national Y" company under their actual control, and pay the principal and income distribution of the previous private placement products in the way of "raising new to repay the old", as well as for the company's operation, paying high salaries for executives and sales teams, personal disposal, and squandering consumption, although a small part of the funds are used for foreign investment, but the invested projects have not been profitable. At the time of the incident, the principal of the investor was 28More than 500 million yuan has not been returned. In 2021, the Nanjing Intermediate People's Court sentenced Zhang Moumou to life imprisonment, deprivation of political rights for life, and confiscation of all personal property for the crime of fundraising fraud in the first instance. After Zhang appealed, the Jiangsu Provincial People's Court upheld the original judgment in the second instance.
Case AlertHere, we would like to remind investors to establish a correct investment concept, have a clear understanding of the investment direction, investment return and investment risk of private placement, do not believe in the publicity of guaranteed principal and interest, high returns, etc., strive to improve the awareness of risk prevention, and do not participate in any illegal financial activities.
*: China** Supervision and Administration Commission