Private equity fund is not illegal fund-raising, it refers to a securities investment fund that raises funds from specific investors in a non-public way and invests in specific objects. The law prohibits any private fund company or individual from engaging in illegal private fund activities in any name. Otherwise, it will be suspected of money laundering, defrauding the state finances and disturbing the financial order.

legal ground

Article 3 of the Interpretation of the Supreme People's Court on Several Issues Concerning the Specific Application of Laws in the Trial of Criminal Cases of Illegal Fund-raising shall be investigated for criminal responsibility according to law: (1) individuals illegally absorb or cover up public deposits of more than 200,000 yuan, and units illegally absorb or cover up public deposits of more than 6,543,800 yuan; (2) Individuals illegally or in disguised form absorb more than 30 public deposit objects, and units illegally or in disguised form absorb more than 150 public deposit objects; (3) Individuals illegally absorb and conceal public deposits, resulting in direct economic losses of depositors of more than 654.38 million yuan, and units illegally absorb and conceal public deposits, resulting in direct economic losses of depositors of more than 500,000 yuan; (4) Causing adverse social impact or other serious consequences.