A few days ago, Beiqing.com Health found two pieces of administrative penalty information on Daoshengkang Film on Credit China (Hunan) and Credit China (Yangjiang, Guangdong), the content of which was that the distributors of Daoshengkang Film were punished by the regulatory authorities for false publicity, illegal advertising and other acts.
According to one of the penalty information case numbers, Ning Shi Jian Zi (2021) No. 630, the penalty date is December 14, 2021. Specifically:
Image source: Credit China (Hunan)
Ascertained by the Ningxiang Municipal Supervision Bureau, Peng Zhijuan, a party, registered and established Ningxiang Shengjia Daily Necessities Store on June 26, 2019, mainly engaged in the sales and promotion of Daoshengkang film products.
In order to promote the sales of products and attract subordinate dealers, the parties concerned set up publicity display boards in stores, printed business cards, published advertisements in WeChat circle of friends and WeChat groups, held investment promotion meetings for product introduction, etc., and publicized the sales of Daoshengkang membrane products for "cervical pain, tennis elbow, osteoarthritis, soft tissue injury, traumatic arthritis, frozen shoulder, cold, rotator cuff tears, necrosis of the femoral head, lumbar disc herniation and other diseases, to "rhinitis, snake disc sores, eczema, psoriasis, dermatitis, constipation, Colds, fevers, laryngitis, gynecological inflammation and other diseases have additional effects, and publicize "burns with kang film, no scars at all, god sister psoriasis plagued for 11 years, until a month ago encountered kang membrane, two boxes of mumps directly with kang membrane to apply anti-inflammatory, the effect of lever drip" and so on.
After verification, the Daoshengkang membrane products operated by the parties are "Manhan Yubao Daoshengkang Membrane" and "Daoshengkang Membrane Cold Compress Gel", both of which are produced by Heilongjiang Volkswagen Antai Pharmaceutical Co., Ltd. "Manhan Yubao Dao Shengkang Film" is cosmetics, the production license number is Black Makeup 20160008, "Dao Shengkang Membrane Cold Compress Gel" is a medical device, and the product record number is Black Chicken Equipment Preparation 20200002, both of which do not have the disease treatment function advertised by the parties. Because of the publicity of the parties, many people mistakenly believe that the products sold by the parties can treat a variety of diseases, and then invest in the purchase of Daoshengkang membrane products.
According to the first paragraph of Article 28 of the Administrative Punishment Law of the People's Republic of China and the first paragraph of Article 20 of the Anti-Unfair Competition Law of the People's Republic of China, "If a business operator violates the provisions of Article 8 of this Law, the Ningxiang Municipal Market Supervision and Administration Bureau imposes a fine of 30,000 yuan on the party Concerned, Peng Zhijuan, and handed it over to the State Treasury."
The other administrative penalty information is Xishi Municipal Supervision Office Zi [2021] No. 7045, and the penalty date is November 11, 2021. The party concerned is Yangxi County Daoshengkang Membrane Medical Device Store. The specific penalties are as follows:
Image source: Credit China (Yangjiang, Guangdong)
It is now ascertained that the business scope of the parties with the "Business License" registration is "Retail: Class I Medical Devices", but the parties have changed the business scope without the approval of the market supervision and management authority, and sold cosmetics "Manhan Yubao Road Shengkang Film" in shops.
On March 8, 2020, the parties purchased 1 box of 48 boxes/boxes of cosmetics "Manhan YubaoDao Shengkang Film" from Zhongshan Kaige Trading Co., Ltd. at a price of 190 yuan / box, and sold them as a course of treatment in 3 boxes at a sales price of 220 yuan / box. As of the on-site inspection on August 19, 2021, the parties concerned had sold a total of 6 boxes of the above-mentioned cosmetics "Manhan YubaoDao Shengkang Membrane" for 2 courses, with sales of 1320 yuan.
However, when the parties sold the above-mentioned cosmetics, they did not publish the price list in a conspicuous position on the business premises, nor did they make price tags to indicate the name, place of origin, pricing unit, retail price and other information. During the period of engaging in business activities in violation of the clear price marking regulations, the parties sold a total of 6 boxes of cosmetics "Manhan Yubao Road Shengkang Film", with a value of 1320 yuan and a business turnover of 1320 yuan.
In addition, when the parties engaged in business activities, they posted advertising posters with the words "Daoshengkang Film Helps 1 Billion People Solve Pain and Distress in Action" on their business premises, but the content of the poster was the propaganda slogan that the parties themselves came up with in order to increase the sales of the cosmetics "Manhan Yubao Dao Shengkang Film" and the medical device "DaoShengkang Membrane Cold Compress Gel" sold by the parties, which could not prove their authenticity. The parties concerned spent a total of 150 yuan to hire someone to produce and post the above-mentioned advertising posters, and determined that the advertising cost was 150 yuan.
In accordance with the first paragraph of Article 23 of the Regulations on Individual Industrial and Commercial Households, Article 42 of the Price Law of the People's Republic of China, Article 69 of the Regulations on the Supervision and Administration of Cosmetics, and The First Paragraph of Article 55 of the Advertising Law of the People's Republic of China, the Yangxi County Market Supervision and Administration Bureau fined the Yangxi County Daoshengkang Film Medical Device Store 3260 yuan and confiscated the illegal gains of 1320 yuan.
In addition, Beiqing Network Health also found that Daoshengkang Film and its affiliates were applied for property preservation by the Shayang County Market Supervision and Administration Bureau in Hubei Province in 2021. The enterprises subject to property preservation are Chongqing Daoshengtang International Trade Co., Ltd., Chongqing Zhongkangyuan Trading Co., Ltd., Chongqing Yizhongkang Trading Co., Ltd. and Chongqing Kangshengjian Trading Co., Ltd. The property preservation case was closed on November 24, 2021.
Image source: Hubei Court Litigation Service Network
So why were these companies subject to property preservation? In this regard, relevant lawyers explained that Article 20 of the Mainland's Administrative Punishment Law stipulates: "Administrative punishment shall be under the jurisdiction of the administrative organ of the local people's government at or above the county level where the illegal act occurred has the power of administrative punishment." Except as otherwise provided by laws or administrative regulations. ”
According to the analysis of industry professionals, the registered members of companies suspected of network pyramid schemes are generally distributed throughout the country, and the pyramid scheme itself has the characteristics of stakeholders, so the local municipal supervision bureau will believe that the "pyramid scheme behavior" occurred in its local area and has an implicated relationship with it, so it has jurisdiction in this case. After the jurisdiction of this case is established, the local municipal supervision bureau can take certain measures, and the freezing of the account is one of them. The relevant specific provisions are in Article 14 of the Regulations on the Prohibition of Pyramid Schemes: "When the administrative department for industry and commerce at or above the county level investigates and deals with suspected pyramid schemes, it may take the following measures:
(1) Ordering the suspension of relevant activities;
(2) Investigate and learn about the circumstances from the organizers, business operators, and individuals suspected of pyramid schemes;
(3) Entering business premises suspected of pyramid schemes and venues such as training and gatherings, and carrying out on-site inspections;
(4) Consulting, reproducing, sealing, or seizing materials such as contracts, bills, and account books suspected of pyramid schemes;
(5) Sealing or seizing products (commodities), tools, equipment, raw materials, and other property suspected of being used exclusively for pyramid schemes;
(6) Sealing business premises suspected of pyramid schemes;
(7) Inquiring into the accounts of the suspected pyramid scheme organizers or business operators and the accounting vouchers, account books, statements, and so forth related to deposits;
(8) Where there is evidence to prove the transfer or concealment of illegal funds, an application may be made to the judicial organs to freeze them. ”
According to the enterprise investigation, Chongqing Daoshengtang International Trade Co., Ltd. was established on December 22, 2020, with a registered capital of 2 million yuan, Chongqing Hongruntang Science and Technology Service Partnership (Limited Partnership) holds 99% of the shares, and Wang Li holds 1% of the shares and serves as a legal person. Chongqing Hongruntang Science and Technology Service Partnership (Limited Partnership) was established on February 10, 2021 with a registered capital of 2 million yuan, Tianjin Chuangshi Enterprise Management Co., Ltd. holds 70% of the shares, and Jiang Lanying holds 30% of the shares.
Chongqing Zhongkangyuan Trading Co., Ltd. was established on January 27, 2021 with a registered capital of 2 million yuan, Zhang Hongtao holds 99.5% of the shares, and Xu Yungao holds 0.5%. Chongqing Yizhongkang Trading Co., Ltd. was established on January 27, 2021, with a registered capital of 2 million yuan, Li Xiaotian as a legal person, holding 99% of the shares, and Zhao Fengrong holding 1%. Chongqing Kangshengjian Trading Co., Ltd. was established on January 27, 2021, with Gao Lianfeng as a legal person, holding 99% of the shares and Cheng Xiangxiang holding 1%.
According to relevant reports, the operator of Daoshengkang Membrane was originally Tianjin Daoshengtang Science and Trade Co., Ltd., but it was cancelled on May 7, 2021, and the operator is now Chongqing Daoshengtang International Trade Co., Ltd.
Finally, Beiqing Health reminds the majority of netizens and consumers that cosmetics mechanical products do not have a therapeutic effect, and medical devices only have an auxiliary effect on diseases, please do not trust the publicity of merchants to avoid property losses.
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