Legal analysis
Although usury is an illegal case, it violates the contract law and other civil laws, so it generally does not belong to the jurisdiction of the public security organs. However, if there is a threat to personal and property safety in the process of demanding usury, it should be handled by the police. The public security organ shall punish the parties concerned according to the Public Security Administration Punishment Law or the Criminal Law. The new judicial interpretation divides the interest rate of private lending into three regions, and the dividing lines are 15.3% and 36% respectively. If the interest rate agreed between the borrower and the lender does not exceed the annual interest rate 15.3%, that is, if the highest interest rate agreed during the loan period does not exceed the annual interest rate 15.3%, the people's court shall support it. If it is overdue, the overdue interest rate shall not exceed 15.3% of the annual interest rate. The overdue interest rate and liquidated damages are agreed, and the total of overdue interest rate and liquidated damages shall not exceed 15.3% of the annual interest rate. The interest rate agreed between the borrower and the borrower exceeds the annual interest rate of 36%, and the interest agreement in excess is invalid. The people's court shall support the borrower's request to the lender to return the interest paid at an annual interest rate exceeding 36%, but it is also allowed if the parties agree to pay high interest through consultation. Of course, if there is a dispute in this area, it will generally be handled by the police, but because it does not involve criminal offences, the natural public security organs will not file a criminal case.
legal ground
Article 225 of the Criminal Law of People's Republic of China (PRC), in violation of state regulations, commits one of the following illegal business operations, disrupting market order, and if the circumstances are serious, shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention, and shall also, or shall only, be fined not less than one time but not more than five times the illegal income; If the circumstances are especially serious, he 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 his illegal income or his property shall be confiscated: (1) dealing in franchise, monopoly goods or other commodities whose business is restricted by laws and administrative regulations without permission; (2) buying and selling import and export licenses, import and export certificates of origin and other business licenses or approval documents stipulated by laws and administrative regulations; (three) without the approval of the relevant competent departments of the state, illegally engaged in securities, futures, insurance business, or illegally engaged in fund payment and settlement business; (four) other illegal business activities that seriously disrupt the market order.