News Person： ＂Gold Crocodile＂ Zhang Yong

　　Up to now, the transaction amount involved exceeds 60 billion yuan (the contract transaction amount after the margin is leveraged), involving tens of thousands of people, and the initiator Zhang Yong was finally formally prosecuted by the procuratorate.
　　On the 20th, relevant persons of Shangcheng District Procuratorate in Hangzhou, Zhejiang Province confirmed that the review of Century Gold and Zhang Yong and others illegally operating gold futures by Shangcheng District Procuratorate had ended. "Zhang Yong was prosecuted for the crime of suspected illegal business operation and capital evasion, and on the 16th, Century Gold was also accused of the crime of illegal business operation." The Shangcheng District Procuratorate said that Zhang Yong’s case will be heard by the local court at a later date.

[detailed]

□
　　Zhejiang Century Gold Company began to illegally operate gold futures in July 2005 under the decision of the legal representative Zhang Yong. Zhang Yong instructed Wang Jianping, an employee of his company, to design and develop an online gold futures trading system, and through vigorous publicity, attracted a large number of customers from all over the country to speculate on gold futures. The gold speculation business is conducted through the company’s network system, which is not in line with the international gold market, but only roughly according to the floating quotation of the international real-time gold price. [detailed]

□
　　　As early as November-December, 2006, Shangcheng Public Security Bureau received feedback from more than 30 people in the province. They said that Century Gold Company, on the 8th floor of a building in Zhonghe Middle Road, set up an online gold electronic trading platform privately in June, 2005 in order to seek illegal benefits, and set up rules of the game with reference to the basic characteristics of futures business such as margin system, capital amplification leverage mechanism and forced liquidation, and extensively recruited customers to conduct online gold futures trading, which caused many people huge losses. [detailed]

□
　　On January 12, 2007, Shangcheng Public Security Bureau officially accepted the case. The first question before the police is to characterize this case. "What is the nature of this behavior?" On January 31, 2007, Zhejiang Securities Regulatory Bureau of the State Securities Regulatory Commission, Hangzhou Central Sub-branch of the People’s Bank of China and other relevant departments received relevant reports on the petition of Shangcheng Public Security Bureau. On February 13th, Zhejiang Securities Regulatory Bureau of the State Securities Regulatory Commission officially replied that the behavior of Century Gold Co., Ltd. could not be recognized as gold futures trading. [detailed]

　　After a large number of investigations, it was found that Century Gold Company set up a "gold product sales and repurchase (reverse repurchase) system" platform with the nature of illegal futures on the Internet without obtaining the qualification of futures operation, but this is actually a closed inner market, in which Century Gold Company plays multiple market roles, and all the funds bought and sold by everyone are inside this system.
　　The company collects trading commissions in various names and devours a lot of customers’ funds through forced liquidation. [detailed]

□
　　Guo is over 60 years old this year. After retirement, he returned to Zhuji from Beijing to support the elderly. Two years ago, he couldn’t resist the temptation of "making a steady profit without losing money, making a lot of money easily" and was pulled into the century gold by the salesman and became a "gold speculator".
　　At the beginning, Guo didn’t "play" much, and invested more than 100,000 yuan, but it soon disappeared. At the suggestion of "investment consultant", he increased the deposit again and again, and later even sold the house for the aged, but the result of such "investment" was to lose nearly 2.4 million.
[detailed]

□
　　As for the investigation and punishment of "Century Gold" being late, it is not certain that there are human factors, but the absence of system supervision is certain. Because after the public security department submitted the materials to the Zhejiang Banking Regulatory Bureau, it was difficult for even the banking regulatory bureau to determine whether it was illegal. [detailed]

　　"He is an extremely smart person, a typical high IQ crime." Police officer Gu said.
　　There are three lawyers employed by Zhang Yong. The proposed Customer Agreement has three samples, one of which is more detailed than the other.
Zhang Yong changed the "deposit" in the original agreement to "deposit" after consulting a lawyer; Change "forced liquidation" to "default disposal"; He also changed the "commission" into "overnight fee" and "network usage fee" in order to cover up the essence of his futures business. Over the years, Zhang Yong has spent four or five million yuan on consulting fees for lawyers alone.

[detailed]

□ 　　Ironically, in late September, 2006, Zhang Yong said confidently and calmly to the media: "What we are doing is something that no one has ever done before, which must be guaranteed by a high sense of social responsibility and good professional quality. The public interest is greater than everything else. " [detailed]