On June 9, the Supreme People’s Court (SPC) highlighted its commitment to enhancing legal safeguards for private enterprises by unveiling five exemplary criminal cases. This move underscores the judiciary’s dedication to nurturing a robust law-based business environment for private sector development. 

As a key pillar of China’s socialist market economy and high-quality development, the private sector received a major boost with the adoption of the Private Sector Promotion Law in April. To implement this law and further improve the legal environment for the private sector, courts nationwide have continued to enhance judicial protection and provide strong support for private businesses. 

The five cases released by the SPC exemplify the judiciary’s efforts to crack down on crimes that infringe upon the legitimate rights and interests of private enterprises, disrupt market order, and cause economic losses.

In one case, two company board members were found guilty of accepting over 560 million yuan ($77 million) in bribes, causing significant losses to the enterprise. In another, an employee of an internet company received illegal payments and embezzled company property, while a third case involved a chain store manager who misappropriated company funds for personal use. The courts handling the cases punished corrupt employees within private enterprises in accordance with the law, effectively protecting the property rights and lawful interests of private enterprises.

In addition to combating internal corruption, courts have demonstrated a firm stance against crimes that undermine market order. In one case, a defendant was convicted of coercive trading practices, forcing businesses to engage in transactions under unfair terms. Another case involved contract fraud carried out through falsified financial information, resulting in significant financial losses for the victim company. These judgments reflect the judiciary’s commitment to maintaining a fair, orderly, and just market environment.

Courts have also intensified efforts to recover criminal proceeds and mitigate losses suffered by private enterprises. In the bribery and fraud cases, the courts actively pursued asset recovery in coordination with relevant departments, ensuring that illicit gains were confiscated and returned to the affected companies. These actions reflect the commitment of the judiciary to ensuring that illegal gains are not retained by perpetrators and that enterprises suffer minimum harm.

The release of these cases demonstrates the guiding, educational, and deterrent functions of typical cases in judicial practice. Courts in the country will continue to fully implement the Private Sector Promotion Law, uphold the principles of equal protection and legal fairness, and further improve the law-based environment for private businesses. These efforts aim to empower the private economy to play a greater role in national development and contribute more significantly to the realization of Chinese modernization.