Starting from July 2017, Zhang and Wu (handled separately) conspired to recruit personnel under the names of Beijing Qingmou Network Technology Co., Ltd. (hereinafter referred to as Qingmou Company), Beijing Jiemou Technology Co., Ltd., etc., to jointly carry out the operation of audio-visual works aggregation apps, and agreed that Zhang would be responsible for the actual operation and management, and Wu would be responsible for introducing investment. Afterwards, Zhang appointed Sun as the head of the product department of Qing Company and the CEO of Beijing Shimou Technology Co., Ltd., specializing in the aggregation of audiovisual works.

Between the end of 2017 and January 2023, Zhang, Sun, and others organized personnel to develop and operate multiple audiovisual aggregation apps, including the "Pure Edition of Film and Television Encyclopedia" and "Today's Film and Television". They also affiliated these apps with six "shell" companies, including Qinmou Network Technology Co., Ltd., which is actually controlled by Zhang. During this period, Zhang, Sun, and others, in order to obtain illegal benefits, downloaded popular audiovisual works from the internet and uploaded them to their rented cloud storage servers (hereinafter referred to as "download upload") without the permission of rights holders such as Beijing iQiyi Technology Co., Ltd. (hereinafter referred to as "iQiyi Company"), as well as purchased technical analysis services from Nanjing Fen Company (handled separately) (i.e. writing code to request the network platform of rights holders such as iQiyi Company to make the network platform believe that the request was made by a real user and obtain the real playback address of the audiovisual works, and removing the request package of the advertisement from the request code, so that the advertisement on the network platform can be removed. This method is commonly known as "chain stealing" in the industry), making the public aware of Need to redirect to the online platforms of rights holders such as iQiyi Company, You can obtain audiovisual works from multiple apps at your chosen time and location. The defendants Zhang, Sun, and others made profits by posting paid advertisements and collecting advertising promotion fees within the app.

From January 2018 to January 2023, Zhang, Sun, and others distributed over 83000 audio-visual works through the aforementioned methods, including over 72000 through "chain stealing" and over 11000 through "downloading and uploading". From January 2018 to January 2023, more than 16000 audiovisual works were disseminated through "stolen links" with a click through rate of over 405 billion. In January 2023, more than 2000 audiovisual works were disseminated through "download upload" with a click through rate of over 48 million. Zhang, Sun, and others collected over 392 million yuan in advertising and promotion fees through an app.

Performance of Procuratorial Organs

On June 15, 2022, the directly affiliated branch of Wuxi Public Security Bureau in Jiangsu Province filed an investigation after receiving a report from the right holder. At the request of the public security organs, the People's Procuratorate of Xinwu District, Wuxi City (hereinafter referred to as Xinwu District Procuratorate) has launched a mechanism for soliciting opinions on major difficult cases. It is suggested that the public security organs focus on the following investigation and evidence collection work: firstly, investigate all the equity information, related relationships, and personnel structure of the companies involved, and clarify the status, role, and criminal circumstances of the persons involved. The second is to investigate the technical details of the involved app, extract code and data from the client, work library, backend management system, etc., distinguish between methods such as "downloading and uploading" and "stealing links", and identify the means of dissemination used by the involved app. The third is to investigate the number of audio and visual works involved in the case, the number of clicks, the number of app members involved, the business model, etc., and to synchronously carry out the work of recovering stolen goods and losses. Fourthly, in response to Zhang et al.'s argument that they have already signed a drainage agreement with the rights holder, investigate the background, purpose, content, and performance of the drainage agreement.

On April 12, 2023, the Xinwu District Procuratorate approved the arrest of Zhang and Sun. On July 12, 2023, the directly affiliated branch of Wuxi Public Security Bureau transferred Zhang and Sun to the Xinwu District Procuratorate for examination and prosecution on suspicion of copyright infringement. From December 2023 to April 2024, the branch directly under the Wuxi Public Security Bureau transferred another 13 suspect to the Xinwu District Procuratorate for investigation and prosecution. The procuratorial organs focus on the following tasks: firstly, accurately grasping the behavior of information network dissemination. To address the technical issues in the dissemination of audiovisual works through "chain stealing", listen to the opinions of the technical personnel of the rights holder, understand the technical measures taken by the rights holder, invite experts to provide technical assistance and provide opinions, and clarify the technical principles and implementation methods of "chain stealing". After examination, it has been determined that the act of Zhang and others spreading others' works through "chain stealing" allows app users involved to obtain audiovisual works at their personally selected time and location, which constitutes the act of disseminating works to the public through information networks. The second is to accurately identify the criminal circumstances. Conduct a comprehensive review of the electronic data in the backend management system of the company involved, eliminate duplicate items, and determine the quantity and click through rate of infringing audiovisual works. Due to the fact that Zhang actually controls numerous companies, in order to accurately identify illegal advertising revenue, the procuratorial organs commissioned judicial audits, combined with evidence such as advertiser backend data, bank transaction details, and invoicing details, to comprehensively identify illegal advertising revenue. The third is to strengthen the interpretation and reasoning of the law to promote confession and punishment. Listen to the opinions of obligees, suspect and defenders, do a good job in legal interpretation and reasoning, and promote Mr. Zhang and Mr. Sun to voluntarily plead guilty and accept punishment, and withdraw the illegal gains of 6 million yuan. It is suggested that the public security organs seal the property of the involved company and freeze more than 14 million yuan in 11 bank accounts. The fourth is to implement the reverse connection work of execution. For the 13 individuals transferred for review and prosecution by the public security organs, the procuratorial organs implemented the criminal policy of balancing leniency and severity, and made a non prosecution decision in accordance with the law for 10 of them who committed minor crimes, had little effect, and voluntarily returned their stolen goods and compensation. Carry out reverse execution and transfer to administrative authorities for administrative penalties after review. Due to the fact that the individuals involved are located in multiple places such as Jiangsu and Hainan, and their work locations frequently change, in order to prevent them from escaping legal sanctions, the Jiangsu Provincial Copyright Administration has submitted a request to the National Copyright Administration to designate jurisdiction over this case. At present, the copyright law enforcement department in Jiangsu has imposed administrative penalties on 9 defendants who were not prosecuted.

The prosecutor appeared in court to support the prosecution.

On January 10, 2024, the Xinwu District Procuratorate prosecuted Zhang and Sun for copyright infringement. On June 14, 2024, the People's Court of Xinwu District, Wuxi City sentenced the defendant Zhang to five years and six months in prison and a fine of RMB 20 million for the crime of copyright infringement; The defendant Sun was sentenced to three years' imprisonment and fined RMB 4 million. Both defendants have not appealed and the verdict has taken effect.

11 Internet cultural enterprises jointly signed the Declaration on Anti "Piracy".

After the case was settled, in order to maintain the cultural market order of fair competition and strengthen the collaborative protection of copyright, the Wuxi procuratorial organ, the public security organ and the copyright law enforcement department established a working mechanism to link administrative law enforcement with criminal justice, and facilitated 11 Internet related cultural enterprises, including iQiyi, Youku, Tencent Video, to jointly issue the Declaration on Anti "Piracy", guide industry self-discipline, and promote the construction of a pattern of copyright protection in the cultural industry.

Typical significance

（1） Accurately identify the legal nature of "chain theft" behavior and punish copyright infringement crimes in accordance with the law. The procuratorial organs handling cases of copyright infringement crimes through the use of the internet should comprehensively evaluate whether it belongs to "dissemination to the public through information networks" based on the investigation of communication technology means, providing behavior, and obtaining works, combined with the two key elements of "providing works to the public" and "obtaining works at a time and place chosen by individuals". For network service providers who use technical means to "steal" the address of a work and provide it to end users through their own set web pages or clients, and end users can obtain the work at their chosen time and place, according to the relevant provisions of the Copyright Law on the right of information network dissemination, it shall be deemed as the act of disseminating works to the public through the information network, in accordance with Article 217 of the Criminal Law, and shall be held criminally responsible for the crime of copyright infringement.

（2） Give equal importance to cracking down on the entire chain in accordance with the law and handling it in a hierarchical and classified manner. In handling criminal cases involving numerous individuals involved in online copyright infringement, the procuratorial organs should implement the criminal policy of balancing leniency and severity, and handle them in a hierarchical and classified manner based on factors such as the status, role, degree of participation, and subjective malice of the individuals involved in the joint crime. For cases where a non prosecution decision has been made in accordance with the law, the procuratorial organs shall simultaneously review whether administrative penalties need to be imposed on the non prosecuted person. If it is necessary to impose administrative penalties, procuratorial opinions shall be put forward in accordance with the law and the case shall be transferred to the relevant administrative organs. For cases involving a wide range of areas and a large number of non prosecuted individuals, communication and consultation with administrative authorities should be strengthened on jurisdictional issues, punishment scope, etc., to ensure seamless connection between criminal justice and administrative law enforcement.