Unlicensed operation refers to the act of engaging in business activities without obtaining a license issued by the licensing examination and approval department in accordance with the provisions of laws and regulations, without applying for industrial and commercial registration with the administrative department for industry and commerce, and obtaining a business license. Unlicensed operation has complicated reasons such as imperfect legislation and poor supervision. In order to establish fair competition rules and maintain market order, relevant departments will ban unlicensed business activities according to law, educate operators, impose fines or pursue criminal responsibility according to law.
Legal basis: 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 for illegal gains or confiscation of property:
(a) operating a franchise or monopoly commodity or other commodities whose operation 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.