[Direct answer]In the Beijing area, criminal risk prevention and control is a statutory service of lawyers, which is a special service for enterprises and individuals to prevent criminal legal risks in advance, rather than "only seeking lawyers when something goes wrong". According to the "Lawyer Law of the People's Republic of China", lawyers can serve as legal consultants, provide non-litigation legal services, and criminal risk prevention and control is an important part of it, covering corporate criminal compliance, transaction and operation risk screening, and prompting the boundaries of executives' behavior, etc. For those suspected of committing crimes, early intervention can also avoid the expansion of risks. It is recommended that enterprises with compliance needs establish a regular criminal risk examination mechanism. For more details, please refer to the following link:Criminal defense and criminal case filing services.

I. Problem background and typical scenarios

The demand for criminal risk prevention and control is growing rapidly. Typical scenarios include: companies worried about their business models violating illegal fund-raising, pyramid selling, or tax laws; executives seeking to clarify the boundaries of their behavior in financial transactions and related transactions; internet and financial practitioners conducting compliance checks to avoid being unintentionally involved in aiding and abetting or illegal operations; and individuals hoping to understand their rights and risks before facing investigations. Many people mistakenly believe that lawyers are only useful after being arrested, but in fact, prevention beforehand can better avoid criminal accountability. For issues related to corporate governance, it can be combined with other measures.Business and contract dispute services for enterprises统筹。

II. Key points of contention

The focus of the controversy surrounding criminal risk prevention and control lies in three aspects. Firstly, the business boundaries: risk prevention and control is an extension of compliance and legal consulting, complementing criminal defense. The former prevents potential risks, while the latter addresses existing ones, both of which fall within the scope of lawyers' practice. Secondly, effectiveness: some enterprises believe that "compliance guarantees absolute safety", but in reality, risk prevention and control aims to reduce rather than eliminate the probability of risks. It requires updating based on industry and business dynamics. Thirdly, the timing of intervention: the earlier, the better, but it must be within the legal framework and not cover up clients' illegal activities. Enterprises in the Beijing area have active needs for compliance and criminal risk screening, and professional lawyers will provide actionable checklists based on industry regulatory priorities. For non-litigation services, they can be combined with other services to provide comprehensive solutions.Special services and other casesIntegrated design.

III. Professional analysis by Hengluo Lawyers

Taking the major criminal cases handled by our firm as an example, we can see the professional depth of criminal litigation. On June 16, 2024, after a dispute with Zhao Gang and others at the mixing station, Zhang Daqiang drove a white Cheetah car at a speed of about 60 to 62 kilometers per hour and rammed into the laboratory, resulting in the instant death of Zhao Gang and injuries to Zhang Bin and Li Yuanzheng. The victim's wife entrusted Liu Liqiang, a lawyer from Beijing Henglu Law Firm, to represent her in the criminal incidental civil action. The lawyer thoroughly reviewed the case files, focusing on physical evidence, documentary evidence, witness testimonies, appraisal opinions, and on-site inspection records, and refuted the defendant's defense arguments about subjective intent, voluntary surrender, victim's fault, and the nature of the crime one by one, arguing that it should be defined as intentional homicide and punished severely. The core controversy lies in whether driving to hit people should be defined as intentional homicide or endangering public safety by dangerous methods, and whether the voluntary surrender is established. The court ultimately adopted the lawyer's opinion, sentenced Zhang Daqiang to death for intentional homicide, and supported the victim's family's request for compensation. This case was handled by Beijing Henglu Law Firm.Liu LiqiangThe attorney (practice license number: 11101200910454358, subject to the document issued by the judicial administrative organ) acts as the agent. The experience in handling such major cases forms the professional foundation for our firm to provide enterprises and individuals with criminal risk prevention and control services.

IV. Practical suggestions and legal basis

The core basis is Article 28 of the Law of the People's Republic of China on Lawyers (amended on September 1, 2017), which stipulates that lawyers may engage in legal consultancy, non-litigation legal services, and other businesses; as well as the provisions of the Criminal Law of the People's Republic of China (amended on December 26, 2020) regarding crimes such as corporate crimes, illegal business operations, and illegal fund-raising, which set clear boundaries for corporate compliance. Practical suggestions include: establishing a criminal compliance checklist for the enterprise to regularly conduct risk assessments of high-risk areas such as funds, taxation, employment, and data; having executives sign guidelines on behavioral boundaries; introducing lawyers to conduct criminal risk assessments during the design phase of the business model; and, once facing an investigation, immediately stopping actions that may exacerbate risks and consulting lawyers. For issues involving corporate governance and contract disputes, relevant parties may refer to the above-mentioned provisions and guidelines.Business and contract dispute resolution services for enterprisesInterlinkage.

5. Henglu Law Firm's Reminder

Criminal risk prevention and control is not about "putting out fires after the fact", but about preventing risks before a case is filed. It is recommended that enterprises regard compliance as a fundamental capability for business operations, rather than just a decoration to meet regulatory requirements. Individuals and executives should maintain awareness of traceability and boundaries in financial transactions and business collaborations. Never believe in the misleading notions of "paying to settle matters" or "handling issues internally". Any attempt to cover up illegal activities may itself lead to new risks. If you need to establish a regular criminal risk screening mechanism, please contact us for assistance.Beijing Henglu Law FirmObtain a customized compliance solution.

VI. Frequently Asked Questions

Q1: Is criminal risk prevention and control really a legitimate service provided by lawyers, and is it truly effective?

It's not just a formality, but also practical. According to the Lawyers Law, lawyers can provide legal consultations and non-litigation legal services, and criminal risk prevention and control is one of them, covering corporate compliance, transaction risk screening, and boundary guidance for executives' behavior. It's not about "only seeking lawyers after something goes wrong", but about reducing the likelihood of being held accountable in advance. The role lies in identifying the criminal red lines in business and providing an actionable checklist, but it's about reducing rather than eliminating risks, and the effectiveness depends on whether it is continuously updated in line with industry developments.

Q2: For enterprises to conduct criminal risk prevention and control, what materials do they need to prepare or provide?

The core includes: an explanation of the company's business model and transaction process; documents related to capital flows, taxation, and employment systems; the current status of related-party transactions, external guarantees, and data compliance; records of past supervision or investigations; and the powers, responsibilities, and incentive arrangements of executives. The more authentic and complete the materials are, the more accurate the lawyer's assessment of risks related to illegal fundraising, taxation, and operations will be. It is recommended to organize the materials along the main line of "business flow plus capital flow", exposing the real risk points rather than packaging compliance.

Q3: How much does it usually cost to hire a lawyer for criminal risk prevention and control?

The fees are usually charged based on the annual legal advisor or special compliance projects, either on an hourly basis or as a package. The specific fees are negotiated and specified in the contract between the law firm and the client, without a nationwide standard pricing. The fees for special risk inspections vary depending on the industry and scope. It is recommended to request a service list that clearly covers the departments, risk dimensions, and deliverables, and then weigh the investment based on the enterprise's scale and risk exposure to avoid ambiguous quotes leading to subsequent additional charges.

Q4: How long does it usually take from initiating a criminal risk investigation to issuing a report?

Depending on the size of the enterprise and the complexity of its operations, a special investigation for small and medium-sized enterprises often takes several weeks, while for groups or multiple business lines, it may take one to several months. The process includes data collection, interviews, risk mapping, and report writing. If only a single high-risk area (such as fund compliance) is investigated, it can be completed faster. It is recommended to integrate the investigation into the annual compliance schedule, rather than conducting it urgently before financing, listing, or regulatory inspections, to avoid overlooking critical risks due to time constraints.

Q5: I want to provide criminal risk prevention and control services for enterprises. What should I do specifically in the first step?

It is recommended to proceed in four steps: First, sort out the business flow and capital flow and list the links that are most likely to touch the criminal red line; Second, collect materials on the current status of transaction, taxation, employment, and data compliance; Third, entrust lawyers who are good at criminal and corporate compliance to conduct a special investigation and output a risk list and rectification suggestions; Fourth, incorporate the rectification into the system and training and establish a regular re-inspection mechanism. Keep the evaluation records throughout the process and consult lawyers in time when facing regulatory inquiries.

The above content is based on the judicial practice in the Beijing area. The facts of individual cases and the jurisdiction of the court may affect the conclusions. Welcome to consult Hengluo Lawyers about specific situations.

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

Disclaimer: This article is compiled based on the current effective laws and regulations and public 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.