Fraud refers to the act of defrauding a large amount of public or private property by fabricating facts or concealing the truth for the purpose of illegal possession. The basic structure of this crime is: the actor commits fraud for the purpose of illegal possession → the victim has a wrong understanding → the victim disposes of the property based on the wrong understanding → the actor obtains the property → the victim suffers property losses.

Article 61 of the Criminal Law stipulates that when deciding the punishment for criminals, the punishment shall be imposed in accordance with the relevant provisions of this Law and according to the facts, nature and circumstances of the crime and the degree of harm to society.

Article 65 of the Criminal Law stipulates that a criminal sentenced to fixed-term imprisonment or more who commits a crime that should be sentenced to fixed-term imprisonment or more within five years after the execution of the punishment or pardon is a recidivist and should be given a heavier punishment, except for negligent crimes and crimes committed by people under the age of 18.