Whether it is mining or planting trees and raising ants, the people themselves use high returns as a selling point. Generally speaking, as long as the return on profit exceeds common sense, it is possible that there is illegal fundraising.[.a

Regarding illegal fundraising, many people's earliest impression was that they remained in the early 1990s.

At that time, the domestic financial order had just been established, and some criminals took the opportunity to take advantage of the situation. Officials and businessmen colluded to create the illusion of prosperity to raise funds from the masses who did not know the truth, which became a feature of the time. The case of 3.2 billion illegal fundraising of old lady Deng Bin in Wuxi was thrilling, and the attention of the whole country was paid by time, which also triggered the rectification of the national financial system. This was also the first wave of illegal fundraising.

Of course, not all fundraising is lost. In Lishui, Zhejiang, locals raised funds to invest in the construction of small hydropower, and made extremely profits. At that time, the policies were not comprehensive and normative, and the profits of investing in small hydropower stations were extremely high. At first, the people did not know these things, and the main participants were government civil servants.

How high was the profit at that time? For example, if you invest 10,000 yuan at the beginning of the year, you may get more than 100,000 yuan at the end of the year. Many civil servants who originally had a monthly salary of several hundred yuan could become the high-income class in Lishui. Later, private investment played an important role in Lishui's commerce and trade, which has a lot to do with the profits they made in that year.

Until now, Lishui is still known as the number one small hydropower city in China. There are 120 small hydropower stations in Jinjiang County, Lishui alone. In recent years, Lishui small hydropower investment has begun to export funds to other provinces and make profits.

As for the illegal fundraising case of Mrs. Deng Bin, which has the greatest impact and the largest number of cases involved, the case was officially filed in August this year and is still in progress.

Old Mrs. Deng Bin, an emerging Wuxi company, was already fifty-seven years old at the time. The illegal fundraising case she led swept across southern Jiangsu like a tornado. Deng Bin relied on his strong political backstage, under the banner of supporting economic construction, and used high returns as bait to defraud more than 3.2 billion yuan of fundraising funds. In Wuxi, in two hard-hit areas in Jiangyin, there were batches of units that suffered the catastrophe, many of which were advanced models interviewed by the state media. To be fair, it is hard to blame them for their low vigilance. It is because Deng Bin is too big and too confusing.

Although the case has not come to an end now, the investigation of the Wuxi Deng Bin fundraising case is coming to an end. Deng Bin, as a female worker in a street factory, cannot have the energy to attract 3.2 billion yuan of funds. The task force has been tracing upwards, and the backstages hiding behind Deng Bin appeared one by one. Zhou Beifang, who is known as Zhou Gongzi in the Hong Kong rich circle, is the secret piao astronomy of **.

The problems of their descendants, Wang Baosen and **, were also revealed. There were more than 50 cadres involved in the case at the local department level and above.

Just like the demons Sun Wukong encountered in "Journey to the West", whenever the golden cudgel was about to swing the guy's head, there would always be a god in the sky coming to save him. Deng Bin was just a little devil, but there was someone in the sky.

If you want to be rich, you must first build roads. Highly powerful officials in the heavens must build roads in the market on the ground and find a white glove. Those who want to break through the legal rules and become rich suddenly must also build roads and build roads that are open to heaven. If the two sides hit it off, they will naturally do something earth-shaking.

Although the case of Deng Bin has not been announced to the public until now, this does not prevent Fan Wubing from having a deeper understanding of this. His understanding of these things is far deeper than his father Fan Heng. Although Fan Heng is already a ministerial-level leading cadre, he is much inferior to Fan Wubing in the channels for obtaining intelligence.

Due to the outbreak of the problems of Chen Taifu and Deng Bin, national legislation began to control private fundraising. The Commercial Bank Law, the Decision on Punishing Crimes of Destruction of Financial Order, and the Criminal Law stipulates the crime of illegal absorption of public deposits, the crime of fundraising fraud, and the issuance of stocks, companies and corporate bonds, and stipulates the relevant administrative law enforcement and legal responsibilities of private fundraising. The State Council's "Measures for the Prohibition of Illegal Financial Institutions and Illegal Financial Business Activities" put forward the concept of absorbing public deposits in disguise. The Supreme Court issued the "Minutes of the National Court Working for the Trial of Financial Crime Cases", and the Supreme People's Procuratorate and the Ministry of Public Security issued the "Regulations on the Prosecution of Economic Crime Cases".

Illegal fundraising cases that have occurred in the economic field and in the market have been hit according to law. With the strength of the crackdown, illegal fundraising cases have shown up and down, but they have not disappeared.

Generally speaking, some private fundraising activities directly absorb funds through high-interest lending, some absorb funds through issuance of securities, membership cards or debt certificates, some absorb funds equally, and other assets such as properties and real estate, and high-interest fundraising by selling their share disposal rights. Some use private associations, social organizations and other organizations to raise funds, and some use the issuance or disguised issuance of lottery tickets, or use the name of orchards and manor development to raise funds.

"Panshi's current private fundraising is mainly concentrated in the construction of coal mines, iron ore, and small hydropower. These projects have a lot to do with luck, so the return issue is often uncertain." Fan Heng said to his son Fan Wubing.

The situation of Panshi is also related to government orientation. Everyone can see how much return the investment in coal and iron is. Once the entrance to the small coal mine is opened, it will be digging out money every day. You only need to pay a little labor cost every day, and at most you pay a little electricity bill or something, and the land you dig out is all money.

Not many people can resist this temptation, so those who participate in fundraising are favorable, and the return rate given by the fundraising party is also very high, with an annual interest rate of about 50%, which attracts many people to participate.

"This wind cannot last." Fan Wubing frowned and said to his father Fan Heng. "The most important point is that the purpose of this illegal fundraising among the people is impure. This collective common prosperity investment is different. It is an illegal means to interfere with the normal international financing behavior with the purpose of short-term profit. Now the country is vigorously rectifying this kind of limelight, and our rock cannot open this hole. Moreover, once there is a problem, the people will suffer the damage. They do not know who will bear the responsibility, and the government will come forward to solve the problem for them at that time."

"I am asking someone to organize the materials in this regard, and at the same time I am also learning about relevant handling policies from above, so as to try to stop this unhealthy trend as soon as possible." Fan Heng said to his son.

Fan Wubing nodded, but thought of something else in his mind.

National system

The regulations on the regulation of private fundraising and their law enforcement behavior are beyond refutation. It is based on the concept of financial business franchise and strengthening financial supervision, and rarely considers the purpose and results of private fundraising.

The characteristic of this state-making law is that it does not consider whether the attractor uses funds for production and operation, public welfare or other purposes, but it has a strong regulatory color rather than a guiding color, and it also has less concerns about the legitimate financial interests of the private economy, small and medium-sized enterprises and the reality of lack of financial channels.

In fact, existing formal financial institutions cannot solve the legitimate financial interests of the private economy and small and medium-sized enterprises in terms of channels and service methods.

A high-tech private enterprise like Wanyan Company would not have fallen to the point where it would need to be sold at a low price if it was not without convenient financing channels. If Fan Wubing had not provided his own hands, the outcome would be expected. It would be like the original, gradually falling into the category of third-rate enterprises and gradually disappearing into the long river of history.

When Fan Wubing remembered this incident, he chatted with his father Fan Heng casually, and then said to him, "The economic order in the mainland has just been established, and there are imperfect places in many places. These deficiencies or loopholes can easily breed and create deformed social products."

"Then what suggestions do you have? How do you usually deal with these things abroad?" Fan Heng asked with great interest.

"Foreign, there are many channels for financing, and the most common one is venture capital." Fan Wubing replied.

Venture capital, abbreviated as vcc, is a conventional concept with specific connotations. In fact, it is more appropriate to translate it into venture capital.

In a broad sense, venture capital refers to all investments with high risks and high potential returns. In a narrow sense, venture capital refers to investments based on high-tech and production and operation of technology-intensive products.

According to the definition of the National Venture Capital Association of America, venture capital is an equity capital invested by professional financiers in emerging, rapidly developing and with huge competitive potential.

From the perspective of investment behavior, venture capital is investing capital in the research and development field of high-tech and its products that contain the risk of failure. It aims to promote the commercialization and industrialization of high-tech achievements as soon as possible to obtain high-capital returns.

From the perspective of operation mode, it refers to the process of investing venture capital from investment intermediaries under professional talent management to particularly potential high-tech enterprises. It is also an investment method that coordinates the relationship between venture capitalists, technical experts, and investors, sharing of interests and sharing of risks.

Venture capital generally operates in the form of a venture capital fund. The legal structure of venture capital funds is to adopt the form of a limited partnership, while venture capital companies manage the investment operations of the fund as general partners and receive corresponding compensation. Venture capital funds that adopt a limited partnership system in the United States can receive preferential benefits, and the government also encourages the development of venture capital in this way.

Venture capital is an equity capital, not a lending capital. The equity capital invested by venture capital for venture capital generally accounts for more than 30% of the total capital of the enterprise. For high-tech innovation companies, venture capital is an expensive source of funds, but it may be the only viable source of funds. Although bank loans are relatively cheap, bank loans are risk-avoiding and safety is the first priority. High-tech innovation companies cannot obtain it.

"Bank loans are about safety and avoid risks, while venture capital prefers high-risk projects, chasing high returns hidden after high risks, aiming to manage risks and drive risks. Bank loans focus on the current situation of the company, the current capital turnover and repayment ability of the company, while venture capital looks at future returns and high growth. Bank loans assess physical indicators, while venture capital assesses whether the management team of the invested company has management level and entrepreneurial spirit, and evaluates the future market of high technology." Fan Wubing explained to his father Fan Heng, "The most important point is that bank loans need to be mortgaged and guaranteed. It is generally invested in enterprises in growth and maturity stages, while venture capital does not have collateral or guaranteed. It invests in emerging and fast-growing enterprises and projects."

Fan Heng frowned repeatedly when he heard this, and asked Fan Wubing, "So, venture capital may not be able to be recovered smoothly, right? Is the so-called risk here?"

Fan Wubing nodded and replied, "It's true, it's like gambling. I'm willing to accept the loss. If I win, I will make a fortune. If I lose, I may go home with my bare ass. That's that simple."

Then Fan Wubing said to his father Fan Heng, "Risk and return are always complementary. There is no good thing in the world that can be obtained without work. Since you want to pursue profits, you should see the huge risks hidden behind the profits.

At this point, foreigners have long been ahead of us."

Fan Heng lay on the sofa, tapped his fingers gently on the backrest. After a long time, he suddenly asked, "Wujian, you should have a lot of money now, right?"

"Well, a lot." Fan Wubing nodded with a smile.

He was quite clear about what his father Fan Heng meant, so Fan Wubing thought about it and said, "If I cashed out, I could probably concentrate about 300 billion US dollars in wealth, but after four or five years, the total amount of these wealth will increase to more than one trillion US dollars."

After hearing his son's words, Fan Wubing suddenly stopped talking for a long time. After a while, he smiled bitterly, "The country's foreign exchange reserves are only 30 billion US dollars. You are so good! Hey, the four words "wealthy can be as good as a country" are used to describe my son? Hey, it's something I never dreamed of!"

Fan Wubing smiled and didn't say anything humble. He probably was a little more conservative. At least the value of the acquired Internet companies is enough to exceed the value of trillions of dollars. In addition, some small companies are all cash cows.

Once you take action, you will not have to worry about not having a large amount of funds to develop a brighter industry. All you have to do is just a few years of waiting.

In addition to this, you can't waste time. Finding something to do is not only save time, but also to make up for your own profits.
Chapter completed!