Article 171 of the criminal code: illegal business

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2018-03-18 16:20:20

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Today, more and more people are beginning to engage in any business, large or not. Before to start their own production or services, you must register at the tax office as a legal entity or entrepreneur.

However, not all, wanting to benefit from your own business, pass this procedure. Therefore, here we are talking about illegal business, for which the owner is responsible for both administrative and criminal liability.

The law

In the Criminal code deals with the implementation of business without registration or without a license. Thus, if the entrepreneur has a tax agent, but operates without a special permit is also punishable by the fullest extent of the law (article 171 of the criminal code).

Article 171 part 1 of the criminal code

Types of business needs the license, specified in a special law adopted on this subject. For example, special permission is required in the conduct of banking activities, the implementation of the trafficking in fuels and lubricants and other similar forms of business. This is necessary in order to protect the market from unscrupulous businessmen, as a licensed activity involves a special control over the actions of these companies.

Violations

Thus, if a citizen decided to start a business (activity that involves the systematic receipt of any income), it must be registered with the tax office at the place of location of the enterprise and/or to obtain a license.

In that case, if it is identified that neither the one nor the other is not, the activity falls under a description that contains the article 171 of the criminal code-illegal entrepreneurship. Depending on how many individuals were involved and what amount of profit has already managed to extract the businessman is convicted.

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Crime and punishment: article 171, part 1 of the criminal code

Part 1 of the said regulation States that if the activities of such firms resulted in major damage to or connected with the income in such an amount that can be applied the following penalties:

— a fine of up to 300 thousand rubles;

— compulsory work up to 480 hours;

— arrest up to 6 months.

Part 2

In addition, article 171 of the criminal code also provides for the offence committed by several persons according to a predetermined plan or without, but with causing especially large damage. The punishment for this kind of activity is the following:

— a fine of up to 500 thousand rubles;

— forced labor up to 5 years;

— imprisonment for up to 5 years with fine up to 80 thousand rubles.

These sanctions article 171, part 2 of the criminal code.

Amendments

It may be noted that any activity related to obtaining permanent income, even if the guilty person managed to make only one transaction is illegal. However, article 171 of the criminal code in the new edition has provided an exemption from criminal liability if the act is committed for the first time, the citizen has no criminal record and compensate all damages caused, either voluntarily paid the income to the state.

The Changes touched on a few articles, but what concerns the exemption provided for offences of simple structure, without aggravating circumstances (article 171, part 1 of the criminal code).

About the size of loss or profit we can say that control is subject to the amount that the entrepreneur has received. This includes those costs incurred by the businessman for the organization of the business.

For example, if the owner of a petrol station was rescued by a certain amount, and then bought fuel and paid staff salaries, then taking into account the amount of Finance to debit transactions.

Food

In addition to the actual crimes provided by article 171 of the criminal code (illegal entrepreneurship), the most "advanced" businesspeople do not stop there. That is, there is another kind of illegal business, when the organization was or even have a license, but there are problems with the product.

Article 171.1 of the criminal code explicitly says that if a legal or natural person (doesn't matter) transports, buys or receives, and holds or sells the goods without labeling, it is a crime.

As some activities are subject to licensing and a consumer goods subject to certification and special labeling.

Article 171 of the criminal code

Separately, about the turnover of food, alcohol and tobacco products stated in article 171.1, parts 3-6.

In that case, if a businessman commits a turnover without the mandatory information on the product or causes the marking, the punishment will be of the following types:

1. Large size:

— a fine of up to 400 thousand rubles;

— forced labor activities up to 3 years;

— time in a correctional facility for up to 3 years plus a fine up to 80 thousand rubles;

2. Extra large size:

— a fine of up to 700 thousand rubles;

— forced labor up to 5 years;

— the serving of a measure of restraint in the colony up to 6 years with the penalty to 1 million rubles.

In this code, in the notes to article 171.1, designation of size in terms of money in parts. For the 3rd and 4th parts of a large-250 thousand roubles, especially large — 1 million rubles.

Special products

In regard to alcohol and cigarettes the legislator has envisaged punishment for trafficking in such goods without special marks in the form of excise stamps. Thus the large size to be released in the amount of 100 thousand rubles, and particularly large — 1 million rubles.

If the entrepreneur is aware of the need to label so products liquor and tobacco factories, does not, he faces a sentence:

— a fine of up to RUB 500 thousand (800 thousand rubles. with an especially large size);

— forced labor of up to 3 years (up to 6 years, respectively);

— the colony for a period of up to 3 years with fine up to 120 thousand rubles (6 years and 1 million in especially large size).

Gambling

Earn money for everyone. Someone goes to work, and someone is engaged in illegal activities with the prospect of gaining huge revenue.

In connection with the law on prohibition of gambling organizations on the territory of many countries, including in Russia, not too honest businessmen already clandestinely continued their activities, or create a new place for entertainment like this. It is no secret that the income from this type of business is very palpable, though he's pretty risky.

Article 171 of the criminal code of Russian Federation illegal business

Together with the prohibition appeared in this article, which stipulates a certain punishment for undertaking such illegal activities — 171.2. This provision in more detail considering the violation of article 171 of the criminal code. The offense is almost the same, there are important specific activity.

In the disposition of (description of act) says that the criminal is this entrepreneurial activity that is based on the organization and/or gambling. It is noted that games can be carried out using special equipment or by use of any means of communication. If the businessman has organised similar entertainment is permitted the play area, but have not received a license, he is also criminally liable.

In such cases it would be possible to say that the actions of the entrepreneur fall under a description that contains the article 171, part 1 of the criminal code, but the lawmaker specifically singled out the activity in a separate provision.

Sanctions

Punishment 172.1 slightly, but more:

— a fine of up to 500 thousand rubles;

— the compulsory labour of up to 240 hours;

— restriction of freedom up to 4 years, deprivation — up to 2 years.

Given that the gaming zones in Russia, only two, not everyone can afford to engage in gambling. One area is located in the Krasnodar territory ("Azov-city"), the second — on the Altai ("Siberian coin").

Punishment for sustainable groups and officials

When a crime is committed by several persons in collusion, or employed individually commercialized in a fairly large size, article 171.2 of the criminal code in part 2 include the following sanctions:

— a fine of up to 1 million rubles;

— real-time in correctional institution up to 4 years with a fine up to 500 thousand rubles.

The presence of especially aggravating circumstances (the organised group, the use of official position or very large size), the penalty to a fine of 1.5 million rubles, as well as serving time in prison to 6 years with the penalty to 1 million rubles.

In addition, if the act committed by the officer or person who has a high (or not) position, the perpetrator may prohibit to do in the future their activities and take the appropriate position for a period of 5 years. This part of the punishment is implemented jointly with the deprivation of liberty and a fine, while sanctions can be just in the form of imprisonment in the colony. It should be noted that article 171 of the criminal code does not contain such details.

Like act

Thus, in respect of entrepreneurs who carry out illegal business (without registration or without a permit on certain activities), there are several articles in which the activity itself is divided by product type or product.

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BE: https://tostpost.com/be/zakon/19376-artykul-171-kk-rf-nezakonnae-pradprymal-n-ctva.html

DE: https://tostpost.com/de/das-gesetz/19388-artikel-171-des-strafgesetzbuches-der-russischen-f-deration-das-ungese.html

ES: https://tostpost.com/es/la-ley/19398-el-art-culo-171-del-c-digo-penal-la-empresa-ilegal.html

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PL: https://tostpost.com/pl/prawo/19334-artyku-171-kodeksu-karnego-nielegalne-przedsi-biorczo.html

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UK: https://tostpost.com/uk/zakon/19371-stattya-171-kk-rf-nezakonne-p-dpri-mnictvo.html

ZH: https://tostpost.com/zh/the-law/11617-171.html






Alin Trodden - author of the article, editor
"Hi, I'm Alin Trodden. I write texts, read books, and look for impressions. And I'm not bad at telling you about it. I am always happy to participate in interesting projects."

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