Cross-processing Model Of Private Lending And Illegal Fund-raising Between Criminals And Civilians

With the continuous prosperity of China’s private economy,the contradiction between the increasing demand for funds and financing difficulties of Chinese enterprises,especially small and medium-sized private enterprises,is prominent,thus providing the soil for the growth of China’s private financing market.There is no doubt that private lending has its own advantages,such as faster financing time,more convenient,and simple procedures.In supporting the steady progress of our market economy,private financing and formal financing play an indispensable role,especially in solving the financing difficulties of private small and medium-sized enterprises and high-risk enterprises,and have been active in the market economy.However,the private financing market is accompanied by non-compliance due to its concealment and lack of effective supervision and regulation.Illegal fund-raising crimes such as illegal absorption of public deposits and fund-raising fraud occur from time to time,hinders the development of private financing market and is not conducive to the stability of financial market.Within the current legal framework of our country,civil lending in the civil sense under the general rules of civil law,contract law and other civil legal norms should be protected.Once the amount of lending increases and the quantity changes cause qualitative changes which may endanger the national and public interests,it should be regulated by criminal law according to law.However,due to the natural lag and uncertainty of law,together with civil financing cases.Complexity and diversity,the relevant civil and criminal legislation in the implementation process,can not be a good solution to the problem of civil lending and criminal overlap,such as the general civil contract cases as criminal offences,crime and non-crime in criminal cases,the inconsistency between this crime and that crime,and how to link up civil and criminal procedures in the process of handling criminal and civil overlapping cases.Coordination has been perplexing judicial practice.In addition,with the continuous development of the financial system,it has aroused more and more people’s reflection whether we should punish all acts of private lending suspected of economic crimes.The current situation of excessive regulation and inadequate innovation of the financial system can no longer meet the needs of the development of the market economy.Under the circumstances of the continuous crackdown on illegal fund-raising crimes,the number of such acts remains unchanged.Under the vigilance and deterrence of penalty,some people still take risks,which is fundamentally due to the imperfect financial system.Therefore,how to define legitimate civil lending and illegal criminal acts,involving how to transfer criminal and civil procedures in the handling of criminal-civil cross cases,how to effectively protect the market economic order and the legitimate rights and interests of victims is particularly important and urgent.Although there are principled provisions in the existing laws,how to operate and implement them in practice is a real problem to be solved.In addition,under the criminal policy of Combining Leniency with strictness,whether the lending behavior with legitimate capital needs should be properly "decriminalization",whether this behavior has reached the degree of disrupting the financial management order,whether the financial institutions are over-protected,how can it not only benefit the people’s development of private enterprises and promote economic prosperity,but also drive the reform and innovation of the financial system,and solve the problem in a diversified way? The Civil-Criminal disputes caused by private lending will eventually achieve the unity of social and legal effects.