The Securities Law, the Regulations on the Supervision and Administration of Securities Companies and other relevant laws and regulations clearly stipulate the obligations that consulting institutions and consultants should perform in the course of carrying out securities and futures investment consulting business and the professional standards that they must abide by. However, there are still many criminals who pretend to be formal investment consulting institutions and fictitious professional financial salesmen to provide accurate investment advice and help investors obtain ultra-high investment returns as bait, deceive investors' trust, and carry out illegal securities investment consulting and other activities.

Wang, the legal representative of an investment management company in Shanghai, knew that the company did not have the qualifications to engage in securities investment consulting business, and carried out securities investment consulting business to the public without the approval of the competent state authorities. During the period, the company collected consulting fees of about RMB 9,76, integrity operation fees and consulting fees totaling more than RMB <>,<>. Wang's conduct constituted the crime of illegal business operation, violating Article <> of the Criminal Law of the People's Republic of China, and was eventually sentenced by the Shanghai Zhabei District People's Court to two years' imprisonment, suspended for two years, fined RMB <>,<>, and confiscated all illegal gains.

In another case related to illegal investment consulting, after Wang was dismissed by a Beijing investment management group co., LTD., between February 2016 and September 2, he repeatedly fabricated his identity as a salesman of his wealth management company in the security office of a primary school in Shijingshan District, Beijing, and deceived Guo into making money to his personal account by signing a false lending consulting and service agreement, defrauding Guo of a total of 2016,9 yuan in investment and wealth management funds, and returning Guo 34,5 yuan in the form of rebates and other forms during the period. The Shijingshan District People's Court of Beijing Municipality held that Wang had defrauded others of his finances in the process of signing and performing the contract for the purpose of illegal possession, and the amount was huge, which constituted the crime of contract fraud, and finally sentenced Wang to fixed-term imprisonment of four years and three months, compensated the victim Guo of more than 2,<> yuan, and imposed a fine of <>,<> yuan in accordance with the relevant provisions of Article <> of the Criminal Law of the People's Republic of China.

Article 122 of China's Securities Law stipulates: "Without the approval of the securities regulatory authority under the State Council, no unit or individual may engage in securities business. In the above two cases, criminals used high returns to deceive investors by fabricating and fabricating so-called professional investment advisory qualifications, and then defrauded investors of their property through false transactions. Therefore, investors must always be vigilant in the investment consultation process and improve their awareness of risk prevention.

First, it is necessary to keep your eyes open and carefully check whether the relevant institutions have the qualifications to engage in securities investment consulting business licensed by the China Securities Regulatory Commission. Investors can inquire about the directory of legal institutions and personnel through the website of the Securities Association of China, and should also carefully check whether the business license and business scope of the institution include "securities investment consulting" when making investment inquiries. The website of the Securities Association of China has a special column for the information disclosure of illegal counterfeiting institutions, which investors can pay attention to.

The second is to be highly vigilant and do not send money to the other party's personal account. Legitimate securities investment advisory institutions generally charge advisory services fees through the company's dedicated collection account, and investors should be extra careful with securities advisory activities that require money to be credited to personal bank accounts. Investors can consult with securities investment companies, and if abnormal situations are found, they should report to the relevant regulatory authorities in a timely manner.

The third is to invest rationally and improve risk prevention awareness and self-protection capabilities. Investors should consciously stay away from illegal investment consulting institutions that are tempted by high returns, abandon the concept of overnight wealth, do not be blinded by the false information of illegal elements with high returns and high returns, and always maintain a rational investment mentality.