The first case of 'professional store closures' in China, with deterrent significance

2024-10-24

Since the beginning of this year, the issue of "professional store closers" participating in prepaid business closures to evade debts and infringe on consumer rights has received widespread attention from society. Recently, two art training institutions in Beijing, "Art Umbrella" and "Woodcraft Art," were investigated and punished for suspected professional closures, marking the first nationwide crackdown on "professional closures. The Beijing market supervision department immediately launched investigations into two closed businesses, three involved debt agencies, and two closed individuals, investigating and punishing illegal activities such as false registration and assisting in false registration. A total of 655800 yuan was confiscated for submitting false registration materials. In real life, prepaid models have become the preferred choice for most businesses in fields such as fitness, beauty, education, and training. Only when consumers recharge in advance can they enjoy the corresponding services. However, the number of "runaway" incidents in the prepaid industry is gradually increasing, and disputes over refund difficulties are frequent, causing great harm to consumers. The phenomenon of prepaid merchants embezzling money and running away is a violation of the principles of honesty and trustworthiness in the market, and to a certain extent, it will also make people doubt the regulatory ability and credibility of the regulatory authorities. Among them, the intervention of "professional store closers" has to some extent exacerbated the speed of unscrupulous merchants running away, seriously disrupting market order. The term 'professional store closers' has long existed, and some even claim to have' served 'hundreds of institutions. They engage in low-priced promotional activities before closing the store, inducing a large number of consumers to recharge again, falling into the trap, and earning high commissions proportionally; Simultaneously changing the legal representative of the company and using a "professional debtor" to assist the original business owner in distancing themselves from legal relationships after closing the store. The series of operations carried out by "professional store closers" have helped business owners evade debt by exploiting legal loopholes, but have left a large number of consumers in a dilemma of safeguarding their rights. Moreover, the act of "professional store closers" submitting false registration materials and changing company registration has violated regulations such as the Company Law. Continuing to offer discounts and promotions before closing to induce consumers to make large deposits is no longer a normal market operation and may be suspected of fraud or contract fraud. To maintain market order and consumer rights, it is necessary to punish malicious merchants who run away, and to severely punish "professional store closers" who act as accomplices. Now, the first national case of cracking down on "professional store closers" has been punished in accordance with the law, undoubtedly having benchmark and typical significance. But this may not be enough. The closure process of "professional store closers" has strong concealment and is easy to evade supervision. Therefore, conventional regulatory measures and enforcement actions are not enough to curb speculators' evil impulses. Fundamentally, in the face of the frequent phenomenon of prepaid merchants running away, legislative and regulatory departments still need to improve prepaid rules, raise the threshold for replacing legal representatives, such as requiring new legal representatives to be company employees with corresponding years of social security payment, etc., to avoid "professional debtors" acting as legal persons. And establish a mandatory audit system, conduct mandatory audits on closed merchants, sort out the flow of prepaid funds, and require shareholders to bear joint and several liability for compensation if they have withdrawn funds. Let them pay the price for their actions and let the law grow teeth. (New Society)

Edit:Luo yu    Responsible editor:Wang er dong

Source:GMW.cn

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