There was a high number of scams in 2015 - 2018, lets hope 2019 is better. As the watchdogs started to fight to conform with the number of fluctuations that has conformed to the financial business, this was revealed during a meeting to deal with the problem. The number of cases that the government has declared as illegal fundraising went up by over 70% in the past year, it was Yang Yuzhu who leads the inter-agency body assigned to deal with the issue, during a meeting on the 27th of April that has attended by around fourteen ministries as well as commissions.
Those who have attended the meeting that has been open to the media personnel never said anything pertaining to the number of fraud cases concerning the authorities in the past year. The government is actually unclear about what is enclosed in the illegal fundraising, however, there were more reported scams as well as Ponzi schemes. This, however, see the money from new investors who used to pay for the previous ones, they have shown in the news in the past years as well. The amount of the money that was involved in the scam in the past two years went up by over ½ in 2015 as well as the number of cases that involves more than a hundred million Yuan rose by 44% year after year, according to Yang.
With the rising coverage of the issues, the courts on the other hand do not have much judges with the financial information according to Yongyi, who also happened to be a judge of the Supreme People's Court. There were new kinds of scams that have been modelled for regulators encouraging Zhang Xiaojin who is an officer at the Supreme People's Procuratorate. According to the office of the top prosecutors, unlawful fundraising is normally done under the roof of the monetary modernization. The prosecutors must go through more training, this way, they can determine the difference between the scams as well as the financial technology, this is in accordance with the statement of Zhang.
The internet has made it harder for the regulators to restrict the coverage of the fraud, this is according to Yang. During the latter part of this year, the government has closed the Ezubo, which is a kind of P2P lending site that the investigators said has cheated more than 900,000 small investors from the more than fifty billion Yuan using the Ponzi scheme. According to the officials during a meeting once said that they will just use the newest technologies. This is to keep up with the stronger methodology of monitoring in terms of the financial sector, thus to persuade the government bodies to share some of the information that they have. They also said and promised to start the campaign in May. This aims to give some information about the risks and the effects of the scammers to the government.
The central government gives more time on the scam after untying the string of the financial corruptions. The Beijing government and so do with Shanghai as well as Shenzhen has paused the opening of the companies with the names suggests that they give some financial services, the people linked in this matter tells all about it, but it will just be for a period of time until the problems are settled. The documents sent to different firms last April said that the rules will be stricter for the internet finance products. The contents that assures high returns, endorsement of various celebrities as well as wrongful information will be banned in the net finance companies' advertisements.