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Original Caption: Internet Celebrity Simba Under Investigation For Selling Fakes, It Is Still Unknown If He Faces Criminal Punishment
Recently, Guangzhou Baiyun Market Supervision Bureau filed an investigation into the “Simba brought fake bird’s nest” incident. And what kind of punishment will Simba bring Simba for these “fake bird nests” worth over 15 million? The lawyer believes that if Simba is identified as the seller of these fake bird nests, there is a risk of criminal punishment.
Simba is a speedy online celebrity bearer, formerly known as Xin Youzhi, and along with Li Jiaqi and Wei Ya they are known as the Big Three in the live streaming industry. Over the past month, Simba’s installment of “fake bird nests” has continued to ferment.
After Simba was investigated, companies that had a cooperative relationship with Simba’s team were also affected. December 10Initial actions(603557.SH) The sudden crisis stopped and closed at 9.14 yuan. The share price hit a new low since August. Affected by the false bird’s nest incident, Startup’s share price has fallen from the high of 17.55 yuan per share on October 22 to 9.14 yuan per share, which was almost halved and the market value has evaporated by about 4 billion yuan.
After the case is formally presented, what punishment will Simba face?
On November 7, Wang Hai, a professional phony, publicly reported that a bird’s nest product sold by Simba and his team under the brand name “Mingzhi” was sugar water. Subsequently, Wang Hai showed a test report from a licensed organization, which showed that the product contains 4.8% sucrose and 5% carbohydrates in the ingredient list. He believes that its comprehensive cost should not exceed 1 yuan per bowl.
On November 27, Simba’s team responded that after the product was sent for inspection and testing, the team found that when this product was promoted and sold in the livestream room, there was exaggerated publicity. The composition of the bird’s nest was less than 2 grams per bowl, and promised to “remember.” All “Mingzhi” brand bird’s nest products sold in Xin Xuan’s live studio will be liable to return compensation and three compensation. “
According to the response from Simba’s team, 57,820 bird nests were sold, with a sale amount of 15,495,760 yuan.
Article 140 of the Criminal Law of the People’s Republic of China stipulates that: if the sales amount is as high as 2 million or more by using shoddy material as good and fake as real, you will be sentenced to 15 years of prison or life imprisonment.
Liu Chunquan, a lawyer at the Shanghai Duan and Duan Law Firm, told China Business News that whether Simba should take criminal responsibility depends on whether he is a seller or not, and depends on the contract and other materials that he signed when he brought the live goods.
If Simba is defined as signing a sales contract and is a seller, he may face criminal risks. If he himself is also deceived by the merchant, it is the responsibility of civil and administrative sanction, and there will be no criminal responsibility. The specific limit depends on research and understanding. If the Municipal Supervision Office finds a suspicious crime, it will be transferred to public security for investigation in the next step, “said Liu Chunquan.
As for whether it was subjective and deliberate, Simba’s team responded that in terms of product selection and quality inspection, “there is not enough pool of relevant professional knowledge in the bird’s nest industry, and it failed to identify the information from the branded product with exaggerated content and omissions. ” The specific content of the contract was not disclosed.
Zhang Qianlin, a senior partner at the Shanghai Dabang law firm, also believes that based on the currently available evidence, it is still difficult to judge Simba’s liability.
“Is he just an advertising spokesperson in the” Advertising Law “, or is he also an advertising operator and publisher? The current laws and regulations are not very clear, which also implies different definitions of responsibilities. Personally I think celebrities Internet broadcast live Transporting goods is not only an advertising spokesperson, but also an advertising operator and publisher. If there is a problem of false advertising, they should be responsible respectively, “said Zhang Qianlin.
What kind of compensation should Simba bear?
Regarding compensation for counterfeit products sold, the compensation plan proposed by Simba’s team is that the bird’s nest involved will be refunded one in three. Based on the bird’s nest sales amount of 15,495,760 yuan, a total of 61,983,040 yuan must be repaid first. Judging by the official data released so far, Simba has completed $ 24 million in compensation. But the fake Wang Hai asked Simba to return one and lose ten.
The one-for-one reimbursement and three-for-one compensation come from the provisions of the Consumer Protection Law. The first paragraph of article 55 of the Law establishes that if the commercial operator commits fraud in the provision of goods or services, the compensation for the losses suffered will increase in accordance with the requirements of the consumers, and the highest amount of compensation will be the price of the goods purchased by consumers or the service received. Three times the cost. The second paragraph of Article 148 of the “Food Safety Law” stipulates that, in addition to claiming compensation for losses, consumers can also claim damages for the production of food that does not comply with food safety standards or the company knows they do not meet food safety standards. The operator or commercial operator demands compensation ten times the price or three times the loss.
Should Simba “refund one and pay three” or “refund one and pay ten”?
Liu Chunquan believes that if according to the Food Safety Act, the parties involved in the live broadcast of counterfeit products will be sanctioned with punitive civil damages of “one refund and ten”, but it is recommended that administrative agencies do not impose sanctions or ease penalties and encourage those who make mistakes. The parties actively used civil compensation in exchange for the client’s understanding.
“The general principle is that illegal profit cannot be allowed, otherwise it will be tolerated or even encouraged, but it cannot be killed with a single stick, otherwise the company will not be able to survive, and the parties may also fail in punishment by transfer of assets, “said Liu Chunquan.
Since the beginning of this year, Internet celebrities have repeatedly exposed the sale of counterfeit products while they are popular. In addition to the fake bird’s nest issue, Wang Hai also exposed the issue with Simba’s Bentley mooncakes, and that one of the beauty equipment he brought was actually gold plated, but Simba said it was 24k gold. . It’s not uncommon for “little internet celebrities” to expose fake sales.
Regarding the frequent occurrence of counterfeits with live broadcasts, Liu Chunquan believes that Internet celebrities should also monitor the quality of products when bringing goods, and lawyers should conduct due diligence in accordance with the law, starting from the contract.
Zhang Qianlin believes that “at present, there is no clear law regulating the problems arising from the delivery of goods online. The main basis is the advertising law, etc., and the corresponding specific laws and regulations should be promulgated as soon as possible”.
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