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August 13, 2013

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Gang of 22 con men handed jail terms

A GANG of 22 people who cheated 47 people of over 2.5 million yuan (US$408,056) in an advertising and other scams were sentenced to jail terms of up to 15 and a half years, Jiading District People’s Court said yesterday.

The gang would con people by luring them with offers of promoting medical products as brand ambassadors.

The chief culprits, a man surnamed Zheng and his father, were handed jail terms of 14 and a half years and 15 and a half years, respectively, for swindling and running illegal businesses.

Prosecutors said Zheng registered a consulting company in 2008 and a biological technology company later in 2010. He made his father the chairman of the two companies while he himself worked as general manager.

He would ask his employees to call up customers and invite them to be the brand ambassadors of the products.

They would then take money from them, saying they needed to bear the dress charges for the ads and imaginary taxes.

They would then scam them again by claiming they were calling from the consumer protection association or the Ministry of Justice, forcing them to pay up again.

They ended up pocketing more than 250,000 yuan as consultation, membership and software licensing fee when they offered fake stock market information to their customers.



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