Legal analysis: In the name of selling goods, providing services and other business activities, organizations and leaders require participants to pay fees or purchase goods; services, etc. to obtain qualifications to join, and form hierarchies in a certain order, directly Or indirectly use the number of development personnel as the basis for remuneration or rebate, to induce or coerce participants to continue to develop other people to participate; to defraud property and disrupt the economic and social order of pyramid selling activities, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention

Legal basis: "Criminal Law of the People's Republic of China"

Article 224-1 Organizations and leaders require participants to pay fees in the name of promoting goods, providing services and other business activities Or obtain membership qualifications by purchasing goods, services, etc., and form hierarchies in a certain order, directly or indirectly use the number of development personnel as the basis for remuneration or rebate, induce or coerce participants to continue to develop others to participate, defraud property, and disrupt economic and social order Whoever engages in pyramid selling activities shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention and shall also be fined; if the circumstances are serious, he shall be sentenced to fixed-term imprisonment of not less than five years and shall also be fined.

Article 225 Whoever violates state regulations and commits any of the following illegal business activities, disrupts market order, and the circumstances are serious, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention, and shall also or solely be fined with illegal gains A fine of not less than one time but not more than five times the amount; if the circumstances are particularly serious, the person shall be sentenced to fixed-term imprisonment of not less than five years and shall also be fined not less than one time but not more than five times the illegal income or property may be confiscated:

(1) Operating laws without permission , specializing in, monopolizing items or other items with restricted sales as stipulated in administrative regulations;

(2) Buying and selling import and export licenses, import and export certificates of origin, and other business licenses stipulated in laws and administrative regulations, or Approval documents;

(3) Illegal operations of securities, futures, insurance business, or illegal fund payment and settlement business without the approval of relevant national competent authorities;

(4) Other illegal business activities that seriously disrupt market order.