The situation regarding cross-border telecommunications fraud crimes remains severe, with People's Courts adhering to a policy of stringent punishment. On February 26, the Supreme People's Court released a report on the judicial efforts to combat telecommunications and online fraud crimes and disclosed five typical cases involving property infringement. According to the report, from 2021 to 2025, courts across the nation concluded over 159,000 first-instance cases of telecommunications network fraud, sentencing more than 338,000 defendants. Specifically, in 2023, both the number of concluded cases and the number of sentenced defendants saw significant year-on-year increases of 48.4% and 38.6%, respectively. These figures rose by 29.4% and 26.7% in 2024, while the increases notably slowed to 1.2% and 4.5% in 2025. In recent years, telecommunications and online fraud crimes have remained persistently high and frequent, exhibiting new characteristics and changes such as increased organizational structuring of criminal groups, cross-border criminal methods, and composite criminal patterns, indicating a still severe and complex crime landscape.
Wang Bin, head of the No. 3 Criminal Division of the Supreme People's Court, stated that in some cross-border telecommunications network fraud cases, violent crimes including intentional homicide, intentional injury, kidnapping, illegal detention, and human trafficking have also emerged, posing extreme social harm. "People's Courts focus on key scenarios such as cross-border telecom fraud, principal offenders within criminal groups, and crimes targeting the elderly, enforcing strict and severe punishments to create a powerful deterrent," Wang Bin explained. He introduced the case of defendant Yu Moubo and 13 others involved in fraud. Defendant Yu Moubo, who had previously committed telecom network fraud, fled abroad and subsequently established a fraud operation, gathering multiple individuals to carry out scams, making him the principal leader of the criminal group. Although he reimbursed over 70 million yuan, the scheme caused nearly 300 million yuan in losses, resulting in enormous social harm, for which he received the maximum penalty of a life sentence.
The case details reveal that defendant Yu Moubo colluded with others to use the "Chuang Li Feng Gold Industry" platform, falsely claiming it facilitated gold trading. They set up a fraud operation overseas, recruiting Xiong Mouqin, Xie Mou, and 11 others to carry out telecommunications network fraud targeting residents in mainland China. Members of the criminal group posed as experienced investors, using social platforms to add victims as friends in bulk. After screening targets using scripted dialogues, they lured them into social media groups and live streams, sent fake profit screenshots, and fabricated information suggesting profitable gold investments, deceiving victims into conducting fake "London gold" transactions on the "Chuang Li Feng Gold Industry" platform. Funds invested by victims were funneled through multiple third-party payment platforms before entering accounts controlled by the platform operators, with Yu Moubo and others dividing the illicit gains according to set ratios. Within one year, the criminal group caused financial losses totaling over 280 million yuan for 1,789 victims.
The case was tried in the first instance by the Yantai Intermediate People's Court in Shandong Province and affirmed on second instance by the Shandong High People's Court, with the ruling now effective. The courts determined that Yu Moubo and the 13 others, with the intent of illegal possession, fabricated profitable investment scenarios to defraud individuals of property, involving an especially large amount of money, thus constituting the crime of fraud. Yu Moubo organized and directed the fraud operations from abroad, serving as the principal leader of the criminal group. Having previously been implicated in fraud and evading justice, he subsequently organized and implemented similar crimes. Given the exceptionally large amount involved and the severity of the offenses, despite circumstances such as returning illegal gains and meritorious service, these were insufficient to warrant a lighter punishment. Consequently, he was sentenced to life imprisonment for fraud, deprived of political rights for life, and all personal property was confiscated. Xiong Mouqin and others received prison sentences ranging from thirteen to two years, along with fines. Confiscated assets totaling over 73.81 million yuan will be proportionally returned to the victims.
"This case represents a typical cross-border telecom fraud model involving 'stock recommendation引流 + fake investments.' The criminal group operated with division of labor, using the lure of high returns from gold investments to exploit victims' desire for profits. Through tactics such as posing as seasoned investors, creating celebrity mentors, and fabricating profit illusions, they systematically induced victims into the trap," the Supreme Court stated, highlighting the case's typical significance. The People's Courts insist on stringent punishment for cross-border telecom fraud and principal offenders in criminal groups, sending a strong message that "fraud will be prosecuted, regardless of distance." Simultaneously, the public is warned that unsolicited stock recommendations and financial advisors often involve schemes; investment and financial management should be conducted through formal channels to avoid deception.
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