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Divine medicine or inferior product? Three mysteries about Quan Jian, solved!

Time: January 9, 2020 07:05:21 China Finance

On January 8, the high-profile case of Quan Jian was settled.

The Wuqing District People's Court of Tianjin publicly sentenced the defendant unit Quanjian Natural Medical Science and Technology Development Co., Ltd. and the defendant Shu Yuhui and other 12 persons to organize and lead the pyramid scheme, and found that Quanjian Company and Shu Yuhui and other 12 persons constituted The crime of organizing and leading pyramid schemes was sentenced to a fine of RMB 100 million by Quanjian Company, a sentence of 9 years to Shu Yuhui, and a fine of RMB 50 million. Shu Yuhui pleaded guilty to serving the law in court.

Tear off the MLM mask and break the myth of wealth creation. In the trial of the case, many mysteries that had been shrouded in fitness were further cracked.

Mystery # 1: Direct Selling or MLM? Millions of people and more than 30 billion yuan of funds "pulling the head", "entry fee", "multi-level", "team pay" ... Quan Jian case reflects all the important characteristics of the illegal operation of MLM.

The first judgment of the court clearly stated that since 2007, Quanjian Company has used high rewards as bait to entice others to purchase products with seriously deviating costs and selling prices to become members, and then rebate based on the number of developing members to induce members to continue their development. Others participate to form a pyramid-like hierarchical relationship and obtain huge economic benefits. As the actual controller of Quanjian Company, Shu Yuhui played a decisive role in the organization and leadership of the company's MLM activities. The other defendants respectively participated in the organization and leadership of the MLM activities in accordance with Shu Yuhui's instructions, or as Quanquan's distributors and members. MLM activities.

For more than ten years, Quan Jian has been "acting MLM in the name of direct sales." Faced with false propaganda and MLM questioning, Quanjian always used “direct sales” as a shield, saying that Quanjian obtained a direct marketing license issued by the Ministry of Commerce on October 8, 2013. However, the query found that the products allowed for direct sale only included a series of cosmetics starting with "DNA", sanitary napkins, sanitary pads and other cleaning products, and chewable tablets, which included 40 types of health products, excluding any medicines.

The reporter entered the keywords of "Quan Jian" and "MLM" on the Chinese Judgment Documents Network, and there were 20 relevant judgment documents. In a 2016 judgment in Luohe City, Jilin Province, four persons including Meng Moumou were convicted of "organizing and leading pyramid scheme activities"; in the verdict, Meng Moujun joined Quanjian Company in Tianjin in April 2008 to The sales right health brand health care products are called, and participants are required to purchase products to be eligible to participate in MLM activities.

Previously, in such cases, Shu Yuhui had quibbleed: "It's all done by agents and has nothing to do with Quan Jian. I do manage out of control of agents and direct sellers. I don't know how to recruit people and sell any products. , I can't control them. "

However, this "cutting" technique did not work. After Shu Yuhui's arrest, Quan Jian's MLM network was revealed. Through the model of "pulling the head into the club and returning the profits step by step", Quan Jian has developed a sales team of nearly 4 million people, up to more than 600 levels, involving more than 30 billion yuan of funds. Shu Yuhui's men and women, Quan Jian's senior executive Wang Zhiyong, developed more than 100,000 people offline and made tens of millions of yuan in profits.

The court sentenced 11 other defendants other than Shu Yuhui to three to six years in prison and fines. The illegal income shall be recovered and turned over to the treasury.

Mystery 2: Business Wizards or Liars? Expansion of gold popularity with the public popularity <br /> Yushu Yuhui was once known as "high profile" and "more gold", investing in football has earned enough attention. Tianjin Quanjian Football Club has attracted much attention because of its enthusiasm for "sky price" to hire famous players at home and abroad and world-class coaches. At the same time, Shu Yuhui has not made many appearances in public and has always maintained a "mysterious" image.

As the truth about Quan Jian's wealth accumulation was revealed, Shu Yuhui also experienced a huge reversal in life from a so-called "business wizard" to a prisoner under the ranks.

In July 2016, the reporter once witnessed Shu Yuhui's glory at a project launch of Quanjian Company. In the luxurious hall that accommodates hundreds of people, Shu Yuhui headed up for the helicopter in the video picture. Soon, the lights in the hall focused, and the door slowly opened in heated music. Shu Yuhui stepped into the hall surrounded by dozens of people, and cheers and applause rang out.

Such high-profile actions are not only seen at the event site. At the Quanjian East China headquarters in Yancheng, Jiangsu, Shu Yuhui ’s hometown, hotels, cancer hospitals, football training bases and other industries involved in Quanjian are readily available. In the middle of the building of the luxurious Quanjian Hotel, a huge golden Buddha statue stood before.

Through such high-profile "burning money" and "showing off riches", Shu Yuhui provided excellent publicity materials for Quan Jian to develop its MLM business. Many people were therefore "brainwashed" and chose to join Quan Jian. "Total" can help them realize their dream of getting rich overnight.

Through the original capital accumulated by the health care product industry, Shu Yuhui and Quanjian Company have "washed" their MLM activities through extensive investment. The investment fields even include cutting-edge technology, rural banks, fiscal and taxation software, and sports sectors. "Enterprise search" data shows that Shu Yuhui works for a total of 32 companies.

Mystery 3: Divine medicine or inferior product? Thousands of yuan health care insoles have no health function. For a long time, the advertising campaigns and the bright "fortune myth" have made many families experience the tragedy of health damage and property deception.

Quan Jian is known as "a company that started with sky-high health insoles and anion sanitary napkins." Zeng Quanjian's dealers advertised, "The insoles are very effective. If you have headaches on your head, and if you have back pain, you can take them out from the soles of your feet and put them on your armpits. It can be done right away."

But in fact, a large number of Quanjian's products are cheap and of low quality. Take Quanjian's health care insoles, which sell thousands of yuan, as an example. The ex-factory price does not exceed 20 yuan, which has almost no health care function.

Quanjian's well-known "fire therapy" claims that by wrapping customers in plastic films and towels, the flame can be eliminated by igniting the flame. The scope of application of this technology includes burning the eyes, burning the nose, burning the ears, burning the abdomen and other parts of the body. It is known to treat rhinitis, kidney deficiency, impotence, facial paralysis, constipation, and periarthritis. The promotional materials of a Quanjian fire therapy project show that the price of each course is as high as 1280 yuan.

However, such expensive health products and services that have been touted as "all-inclusive treatment" have seriously harmed consumers' health. Some people were burned during the fire treatment. A civil judgment issued by the Shenzhen Intermediate People's Court of Guangdong Province (No. 3 (2018) Yue 03 Min Zhong 3367) shows that Xiao Zhongmei, in her 40s, was burned on the skin of her right upper extremity, chest, abdomen and back while undergoing fire treatment. .

Relying on these "pit people" health products, in more than 10 years, Quan Jian has created a health empire with annual sales of more than 10 billion yuan in the country.
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