People v. Li X et al. (case of misappropriating public funds)
(Case No.189 of the Guiding Case of the Supreme People's Procuratorate)
Key words
Crime of misappropriating public funds, For personal use, Recovery of illegal gains
Key point
When handling criminal cases of misappropriating public funds in the financial sector, it is crucial to substantially examine key elements such as “for personal use”. Where individuals use public funds of an entity in violation of regulations for personal profit-making and pose a risk to the security of the funds, if the funds are used superficially by the entity, but actually by individuals, it can be found as misappropriating public funds “for personal use”. Where others directly benefit from the offender’s crime of misappropriating public funds, despite that their acts do not constitute a crime or are not held criminally liable, if they are aware of the illegality of the benefits, such direct benefits shall be recognized as illegal gains, and the procuratorial organs may recommend the supervisory organ to pursue recovery or order restitution in accordance with the law.
Relevant provisions
Article 25, 64 and 384 of the Criminal Law of the People's Republic of China
Article 46 of the Oversight Law of the People's Republic of China
Article 208 of the Regulation on the Implementation of the Oversight Law of the People's Republic of China
Article 6 of the Interpretation of the Supreme People's Court and the Supreme People's Procuratorate on Several Issues concerning the Application of Law in the Handling of Criminal Cases of Embezzlement and Bribery
Article 1 and 8 of Interpretation of the Supreme People's Court of Several Issues on the Specific Application of Law in the Trial of Cases about Misappropriating Public Funds
