[Direct answer]In the Beijing area, criminal compliance cannot directly exempt established criminal responsibility, but it can significantly reduce criminal risks and strive for lenient treatment after the case occurs. From a preventive perspective, an effective compliance system can prevent corporate crimes, separate the responsibilities of enterprises and individuals, and reduce the risk of employees' personal behavior implicating the enterprise. From a retrospective perspective, if the compliance rectification of the involved enterprises passes the supervision and evaluation, according to the relevant policies of the Supreme People's Procuratorate on the compliance reform of involved enterprises, they can strive for non-prosecution or lenient sentencing recommendations at the review and prosecution stage. For individuals, compliance does not equal exemption from liability, but circumstances such as proactive rectification, restitution, and pleading guilty and accepting punishment can be given lenient treatment according to law. According to Article 30 and Article 31 of the Criminal Law of the People's Republic of China (implemented on October 1, 1997 and amended subsequently), if an enterprise commits a crime, the enterprise shall be fined and the directly responsible person in charge and other directly responsible persons shall be given criminal punishments; Article 177 of the Criminal Procedure Law of the People's Republic of China (amended on October 26, 2018) stipulates the non-prosecution system. Relevant enterprise risk prevention and control can be referred to for reference.Intellectual propertyColumn.

I. Problem Background and Typical Scenarios

This problem is common in several scenarios: Firstly, company executives are concerned that the business activities of individual employees or senior managers may constitute corporate crimes, and they want to know whether the compliance system can isolate the corporate and personal responsibilities; Secondly, ordinary employees of platform-based enterprises are involved in criminal risks related to the platform, such as streamers and sales staff being investigated together; Thirdly, companies that have already been involved in cases want to seek non-prosecution through compliance rectification; Fourthly, historical operational flaws are found during due diligence for financing and listing, requiring a compliance check; Fifthly, entrepreneurs hope to incorporate criminal risk prevention into daily management. In recent years, judicial authorities in Beijing have continuously promoted reforms on corporate compliance in cases involving enterprises, and relevant corporate governance issues can be referred to for reference.Business and contract disputes in enterprisesColumn.

II. Key points of dispute

Focus One: The relationship between compliance and exemption from liability. Compliance is a means of risk prevention and a mitigating circumstance, not a statutory exemption from liability. When the elements of a crime are established, liability should still be pursued in accordance with the law. Focus Two: The distinction between corporate responsibility and individual responsibility. Whether the act reflects the corporate will and whether the benefits belong to the corporate entity are key factors. Focus Three: The application conditions for compliance rectification and non-prosecution. This typically requires admitting guilt and accepting punishment, committing to rectification, and is limited to specific corporate-related cases. Focus Four: The differences in evaluation between pre-compliance and post-rectification. Focus Five: The assessment of the effectiveness of rectification. The opinions of third-party supervision and evaluation mechanisms directly affect the outcome of the case. The specific content shall be subject to the currently effective laws, regulations, policy documents, and judicial rulings.

III. Professional analysis by Henglue Lawyers

Taking the two cases handled by our firm as examples, we can observe the typical path of individuals being implicated when there are no clear regulatory boundaries. First, Wu * was involved in online gambling platforms as a live streamer, with gambling advertisements and recharge entry points embedded into the live stream interface. On December 20, 2025, he was criminally detained for suspected involvement in running a gambling house. Although he only received limited compensation, did not participate in the platform's operations or profit-sharing, he was still investigated together with the platform. After the family entrusted Attorney Zhu Guiying of our firm, the lawyer immediately met with him, highlighting key points such as his low status, minor role, being an accomplice, confessing guilt, needing continuous treatment for a pituitary tumor, and being a first-time or occasional offender with low social dangerousness. Based on Article 67 of the Criminal Procedure Law of the People's Republic of China, the lawyer submitted an application for bail and was approved on January 19, 2026, thirty days after his detention. Second, Chen * reposted and distributed three obscene videos on a forum, which were viewed approximately 5,000 times and downloaded around 1,000 times, without profit-making. He was criminally detained by the Haidian Branch of the Beijing Municipal Public Security Bureau in May 2026. Attorney Shang Jiangpeng of our firm verified the case details and the number of posts, confirming that his truthful confession constituted a voluntary surrender. Based on the fact that the number of videos fell far below the criminal threshold set by judicial interpretations and his lack of social dangerousness, a legal opinion was submitted, and the Haidian Branch decided to grant him bail on June 24, 2026. Although the defendants in both cases regained their freedom through defense, if the platforms had established regulatory mechanisms such as content review and ad placement, and individuals had a basic understanding of the platform's business boundaries, such risks could have been prevented in advance. This case was handled by Beijing Henglu Law Firm.Zhu GuiyingThe attorney (practice certificate number: 11101202011246828, subject to the certificate issued by the judicial administrative organ) acts as the agent.

IV. Practical suggestions and legal basis

Action suggestions: First, conduct a criminal risk investigation based on the business model, with a focus on high-risk areas such as fund collection, public promotion, qualification licenses, and data and content compliance. Relevant enterprise matters can be referred to for reference.Intellectual propertyFirst, the company established a risk prevention and control system to prevent employees from violating the law. Second, it set clear boundaries for employee behavior and implemented a training system to ensure that frontline staff were aware of the criminal red lines in the platform's business operations. Third, it preserved decision-making records related to contracts and external commitments to facilitate the division of corporate and individual responsibilities. Fourth, it engaged lawyers as soon as possible after being involved in a case to simultaneously evaluate compliance rectification and plea bargaining pathways, aiming to submit compliance commitments and rectification plans during the review and prosecution stages. Fifth, it maintained records throughout the rectification process, with institutional documents, training records, and accountability records serving as the basis for effectiveness verification. In terms of legal basis, Article 30 and Article 31 of the Criminal Law of the People's Republic of China (implemented on October 1, 1997 and subsequently amended) stipulate the principles of corporate criminal liability and punishment. Article 177 of the Criminal Procedure Law of the People's Republic of China (amended on October 26, 2018) defines the non-prosecution system. The applicable conditions and procedures for compliance rectification by enterprises involved in cases shall be subject to the current normative documents and judicial rulings of the Supreme People's Procuratorate.

5. Henglu Law Firm's Advice

Risk Warning: First, do not regard compliance as a "get-out-of-jail-free card". Those who commit crimes will still be dealt with according to the law. The value of compliance lies in prevention beforehand and leniency afterwards. Second, the separation of corporate and personal responsibilities requires leaving traces of decision-making in advance, as retroactive measures are hard to be accepted. Third, there are strict conditions and procedures for seeking non-prosecution through compliance rectification, which must be promoted under the guidance of the procuratorial organs. Fourth, when employees are involved in criminal cases, it is equally important to defend them as soon as possible and enhance their compliance awareness. It is recommended that enterprises conduct criminal compliance checkups as soon as possible and, if necessary, seek legal assistance through professional organizations.Beijing Henglue Law FirmConsult a professional lawyer on the official website.

VI. Frequently Asked Questions

Q1: If a company establishes a criminal compliance system, will it definitely not be held criminally liable?

Not necessarily. Criminal compliance is not a statutory exemption from liability. When the elements of a crime are established, the enterprise and responsible personnel will still be prosecuted according to law. Its value lies in two aspects: pre-compliance can reduce the probability of corporate crime and assist in apportioning corporate and individual responsibilities; if the compliance rectification after being involved in a case is evaluated as qualified, according to the Supreme People's Procuratorate's policy on corporate compliance reform, the enterprise may seek non-prosecution or lenient sentencing recommendations. The outcome depends on the nature of the case, the effectiveness of the rectification, and judicial review. One cannot expect that compliance will directly exempt from criminal liability.

Q2: What preparations should enterprises make to establish a criminal compliance system?

First, we need to identify criminal risk points according to the business model, with a focus on fund collection, public promotion, qualification licenses, and data and content compliance. Second, we should formulate system documents and employee behavioral codes, and organize training with documentation. Third, we need to establish approval and recording mechanisms for major decisions and external commitments to facilitate accountability. Fourth, we should set up a process for reporting violations and accountability. Fifth, we should regularly review and update the system, training, and accountability records, as these are all key materials for proving compliance effectiveness in the event of legal disputes.

Q3: How much does it cost to strive for non-prosecution through compliance rectification?

The cost includes the compliance check by external lawyers, the fees for system establishment or rectification plans, and the expenses for defense and cooperation with third-party supervision and evaluation after the case occurs. The fees are determined through negotiation based on the enterprise's scale and risk complexity, and there is no uniform standard. The investment in basic compliance checks for small enterprises is relatively manageable, while the costs of systematized construction and rectification in high-risk industries such as platforms and finance are higher. It is recommended to first conduct a risk assessment and invest in stages according to priority.

Q4: How long does it usually take for the involved enterprises to go through the process from compliance rectification to non-prosecution?

Generally, the process is advanced based on the case-handling cycle during the review and prosecution stage: After the enterprise submits its compliance commitment and rectification plan, the rectification is carried out under the guidance of the procuratorial organ and subject to third-party supervision and evaluation. The evaluation opinion serves as a reference for handling the case. The entire process often takes months, which is related to the complexity of the rectification items, the arrangements for third-party inspections, and the pace of case handling. There is no unified time limit stipulated by law. It is crucial to engage lawyers to coordinate the procedures as early as possible and advance the rectification in parallel to shorten the cycle.

Q5: If a company or employee is involved in a case, what should be done first?

The first step is to engage a criminal lawyer as soon as possible to meet with the involved personnel and verify the facts of the case and the concerns of the investigating authorities; the second step is to assess whether the case falls within the scope of compliance rectification, and simultaneously prepare a plea agreement and a rectification plan; the third step is to fix the records of business decisions and clarify the responsibilities of the unit and individuals; the fourth step is to cooperate with the investigation and claim mitigating circumstances such as restitution in accordance with the law. Relevant corporate criminal risk matters can be referred to for reference.Special services and other casesColumn.

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 situations.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Criminal defense legal services·Attorney Zhu Guiying·Beijing Henglue 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. In case of disputes, please consult a practicing lawyer in time.