[Case Study 1]


A store in Henan Province sold refined sugar in bags, indicating a weight of 1000 grams per bag. However, the actual weight of each bag was only 75 grams, and the quantity did not match the price. Which form of price fraud should such act be classified as?
Reference answers:
It is a price fraud where quality or quantity does not match the price. Article 7(4) of the Rules on Prohibiting Price Fraud states, "It shall constitute a price fraud if the quality or quantity does not match the price due to doping, adulteration, passing off inferior goods as normal goods, or shortage of quantity. "According to Article 8 of the Rules on Administrative Penalties for Illegal Pricing Acts, where a business operator sells or purchases goods or provides services falsely declaring higher or lower grades to indirectly raise or lower prices, they shall be ordered to make corrections, their illegal gains shall be confiscated, and a fine of no more than 5 times the illegal gains shall be imposed, or a fine of not less than RMB 20,000 but not more than RMB 200,000 shall be imposed if there are no illegal gains; in case of any serious consequence arising therefrom, they shall be ordered to suspend business for rectification, or their business license shall be revoked by the industrial and commercial authority.

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Robert Zhang

An international lawyer registered in Shanghai, China. Master's degreePublish…

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An international lawyer registered in Shanghai, China. Master's degreePublish…

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