[Direct answer]In the Beijing area, after a criminal case is filed against a company, the shareholders' responsibilities depend on whether they participated in decision-making, were aware of the situation, and were directly responsible managers or other directly responsible personnel. The Criminal Law of the People's Republic of China (amended on December 26, 2020) stipulates the rules for handling corporate crimes, imposing fines on the company and sentencing its directly responsible managers and other directly responsible personnel to criminal penalties. Ordinary shareholders who did not participate in the business decision-making involved in the case, were unaware of the situation, and did not share in the illegal profits generally do not bear criminal responsibility, but may face account freezes, restrictions on equity disposal, and obstacles to the company's operations. At this time, the correct approach is to distinguish between corporate responsibilities and individual responsibilities, promptly engage a lawyer to understand the case, verify their own roles, exercise their rights to information and defense in accordance with the law, and, if possible, return the illegal profits and strive for lenient treatment.

1. Problem background and typical scenarios

After a company is investigated for suspected crimes, shareholders are often both stakeholders and may also be investigated as involved individuals. Typical scenarios include: the legal representative making decisions to commit illegal acts, ordinary shareholders being implicated in investigations; shareholders who only invest but do not participate in operations, but are subject to scrutiny due to account fund transactions; and after the company is investigated and its operations are suspended, other shareholders want to advance the business but are concerned about legal risks. When handling criminal cases involving enterprises in the Beijing area, lawyers usually first clarify the equity structure, decision-making process, and fund flow, and then evaluate the role of each shareholder separately.Criminal defense and criminal case filingIn business, the distinction between corporate crime and individual responsibility is the foundation for handling such cases.

II. Key points of contention

First, whether the acts involved in the case constitute corporate crimes and whether the illegal proceeds belong to the company; Second, whether the shareholders are directly responsible supervisors or other directly responsible personnel; Third, whether the shareholders were aware of or participated in the decision-making and implementation of the acts; Fourth, whether the transactions between the shareholders' accounts and the company's funds can be reasonably explained; Five, the impact of factors such as the return of illegal proceeds and the acceptance of guilty pleas on the outcome of the case. The answers to the above questions directly determine whether the shareholders need to bear criminal responsibility.

III. Professional analysis by Henglue Lawyers

Henglue Law Firm once represented a criminal and civil litigation case involving intentional homicide: On June 16, 2024, after a dispute with Zhao Gang and others at a concrete mixing station, the defendant, Zhang Daqiang, accelerated his car and rammed into the laboratory, causing Zhao Gang's death on the spot and injuries to Zhang Bin and Li Yuanzheng. The victim's wife, Liu Shufen, entrusted our lawyers to represent her in the civil litigation. After accepting the case, the lawyers carefully reviewed all the case materials and refuted the defendant's arguments about subjective intent, voluntary surrender, the victim's fault, and the nature of the crime one by one. They argued that the crime should be defined as intentional homicide and punished severely. Ultimately, the court adopted the lawyers' arguments and sentenced the defendant to death for intentional homicide. The case shows that the outcome of a criminal case highly depends on the accurate grasp of facts and evidence. The roles of the parties, the nature of their actions, and their subjective states are key to determining responsibility. For corporate shareholders, when facing criminal charges against the company, it is also necessary to clarify their positions in the decision-making chain, the nature of their financial transactions, and their level of knowledge through evidence, to avoid being mistaken as directly responsible due to unclear roles. When dealing with suspected corporate crimes, attention should also be paid to whether the illegal proceeds belong to the company, which directly affects the division of responsibilities between the company and individuals. This case was handled by Beijing Henglue Law Firm.Liu LiqiangAttorney (Practice Certificate No.: 11101200910454358, subject to the certificate issued by the judicial administrative organ) acting on behalf of the client.

IV. Practical suggestions and legal basis

Action recommendations: 1. As soon as possible, hire a lawyer to understand the charges filed against you, the coercive measures applied, and the direction of the investigation. 2. Review the company's equity structure, decision-making processes, and capital flows to clarify the actual roles of each shareholder. 3. Prepare reasonable explanations and supporting documents for account transactions to avoid being misinterpreted. 4. Handle company asset and equity changes with caution to prevent being accused of transferring assets. 5. Under the guidance of a lawyer, lawfully return illegal proceeds and strive for lenient circumstances such as pleading guilty and accepting punishment. Legal basis: - Provisions on corporate crime in the Criminal Law of the People's Republic of China (amended on December 26, 2020); - Provisions on case filing, investigation, and defense rights in the Criminal Procedure Law of the People's Republic of China (amended on October 26, 2018); - Provisions on the rights and obligations of companies and shareholders in the Company Law of the People's Republic of China (amended on December 29, 2023). For criminal defense-related matters, please refer to the following sources:Criminal defense and criminal case filingFor matters related to corporate compliance, you can refer to the following document for reference.Intellectual property protection and corporate lawThe specific application shall be subject to the currently effective laws, regulations, and judicial rulings.

5. Henglu Law Firm's Reminder

Firstly, not all shareholders in a corporate crime bear criminal responsibility. The key factor is whether they participated in decision-making, were aware of the situation, or were directly responsible individuals. Secondly, there should be complete documentary evidence and reasonable explanations for account fund transactions to avoid being misidentified. Thirdly, after the company is placed under investigation, it is not advisable to dispose of assets or change equity ownership without authorization, so as to avoid triggering new legal risks. Fourthly, circumstances such as returning illegal proceeds and pleading guilty and accepting punishment can help to secure a lenient punishment. Fifthly, shareholders should each appoint or jointly appoint lawyers to formulate response plans based on their different roles. For cases involving corporate criminal offenses, legal assistance can be sought through legal professionals.Criminal defense and criminal case filingYou can refer to it for the overall solution of the service, which involves corporate governanceBusiness and contract disputes in enterprises.

VI. Frequently Asked Questions

Q1: Do all shareholders of the company need to bear responsibility if the company is put on record by the authorities?

Not necessarily. For unit crimes, the unit is usually fined, and the directly responsible person in charge and other directly responsible persons are sentenced to criminal punishment. Ordinary shareholders, if they have not participated in the decision-making involved in the case, are unaware of the situation, and have not received illegal proceeds, generally do not bear criminal responsibility, but may be subject to account freezing, business obstruction, and other impacts. The specific responsibility needs to be judged based on their actual role in the decision-making and implementation chain.

Q2: What should I do if my shareholder account is frozen?

First, you should understand the basis and scope of the freeze and determine whether it is related to the funds involved in the case. If the account funds are unrelated to the case, you can raise objections through a lawyer, submit proof of the funds' sources and transaction records to explain the situation, and apply for the lifting or narrowing of the freeze. At the same time, avoid making large-scale abnormal transfers during the freeze period to avoid being misunderstood as transferring assets and affecting subsequent processing.

Q3: Can a company continue to operate if it is involved in criminal activities?

Whether the business can continue to operate depends on the nature of the case and the coercive measures taken. In some cases, with the assistance of lawyers, enterprises can promote compliance rectification and maintain normal production and operation; if the main personnel are subject to coercive measures, corporate governance may be affected. At this time, we should improve the decision-making and authorization mechanisms in accordance with the law, standardize financial and contract management, and create conditions for subsequent lenient treatment and compliance rectification.

Q4: What's the point of returning and surrendering illegal gains?

Retreating and returning illegal gains and recovering losses are usually regarded as a manifestation of admitting guilt and showing remorse, which helps to reduce the evaluation of social harmfulness and strive for leniency in sentencing or whether to pursue criminal responsibility. For the unit, timely retreating and returning can also avoid the expansion of losses. The specific scope and method of retreating and returning should be carried out under the guidance of a lawyer, and complete vouchers should be kept, so as to be used as mitigating circumstances in subsequent procedures.

Q5: Should shareholders hire another lawyer?

It is recommended to hire lawyers separately according to their roles. If a shareholder is listed as a person involved in the case or may be held accountable, they should hire a lawyer to provide personal defense; if they are just company investors, they can learn about the case and assess their own risks through a lawyer appointed by the company. Different shareholders may have different interests, and hiring lawyers separately is more conducive to defining their respective responsibilities and avoiding conflicts of interest that may affect the effectiveness of the defense.

The above answer is based on the judicial practice in the Beijing area. The judicial interpretations in other provinces and cities may vary. For specific cases, please refer to the local rules and evidence situation.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, so as to avoid missing the statutory time limit. →Criminal defense legal services·Attorney Liu Liqiang·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.