In 2008, in the name of more than 20 people including Cai and Zhang, he opened securities and futures accounts in Huafu Jialuo Company, and raised funds to hire people to mainly conduct futures trading.
After suffering huge losses, Lin Haiyan concealed the truth and created the illusion that futures speculation was very profitable. In the form of entrusted speculation on futures profits and risk sharing, or fictitious operation of company listing, IPO, bank depository and other projects requires huge funds, and promises that the principal is risk-free. Taking high interest rate or high return rate as bait, continue to illegally raise funds from friends, colleagues, classmates, teachers, relatives, neighbors and unspecified objects introduced by them, and part of the funds are used by them.
With the increasing amount of losses, interest and refund fees, Lin Haiyan continued to fabricate facts and conceal the truth, robbing Peter to pay Paul until the late 2011/kloc-0, and the case was committed because the funds could not be turned over.
By the end of 2011/kloc-0, Lin Haiyan illegally raised funds from others, including part of interest and investment returns. Without deducting part of the interest paid and a small amount of principal repayment in the near future, it accumulated more than 6.4 million yuan, and the actual fund-raising funds that could not be returned totaled 428.343 million yuan.