Is it illegal to pay social security for affiliated companies?

First, there are huge risks in the "payment" and "hanging" of social security.

Risk 1: rights and interests cannot be guaranteed.

If you ask a company to "pay" or "affiliate" social security, the affiliate company not only has to pay a high service fee, but also has no factual labor relationship with the affiliate company. The information such as the payment base for paying social security is fictitious, which will have an impact on the insured's application for pension insurance, unemployment insurance, work injury insurance and other benefits.

Risk 2: the company runs away, and people and money are empty.

Some companies cheat under the guise of "paying" and "attaching" social security and issue false payment vouchers. In fact, they did not go through the insurance formalities, nor did they pay social security fees for the insured. In the end, the company ran away with money, and individuals faced the risk of being cheated and property losses.

Risk 3: leaking personal information and causing online fraud.

Social security "payment" and "affiliation" need to provide real information such as my name and ID number, which means that I may face the risk of personal information disclosure, and criminals may use personal information, leading to hidden dangers of online fraud.

Risk 4: affecting personal credit information

The Interim Measures for the Administration of the List of Serious Untrustworthy Persons in the Field of Social Insurance clearly stipulates that those who participate in social insurance in violation of regulations, handle social insurance business in violation of regulations, or defraud social insurance benefits or social insurance funds will be included in the list of serious untrustworthy persons in social insurance.

Risk 5: being punished by multiple departments.

The Memorandum of Cooperation on Joint Punishment of Enterprises and Their Related Personnel in the Field of Social Insurance signed by 28 departments, including the National Development and Reform Commission, the People's Bank of China and Ministry of Human Resources and Social Security, clearly stipulates that 32 disciplinary measures will be taken against nine kinds of social insurance dishonesty behaviors, such as participating in and applying for social insurance, and defrauding social insurance fund expenditures or social insurance benefits by fraud, forgery of certification materials or other means.

Two, social security "payment" and "affiliated" is illegal.

This year, Ministry of Human Resources and Social Security officially promulgated the Measures for Administrative Supervision of Social Insurance Funds, which will be implemented on March 18, 2022.

Fraud and infringement of social insurance funds should bear legal responsibility.

Article 31 of the Measures for Administrative Supervision of Social Insurance Funds stipulates that if a social insurance service institution commits one of the following acts, it shall be handled in accordance with the provisions of Article 87 of the Social Insurance Law of People's Republic of China (PRC):

1. Medical institutions with work-related injury insurance agreements, work-related injury rehabilitation agreements, work-related injury insurance assistive devices configuration agreements, and work-related injury prevention project implementation units defrauded work-related injury insurance funds by providing false certification materials and related reimbursement bills;

2. Training institutions defraud unemployment insurance training subsidies by providing false training materials and other means;

3. Other acts of defrauding social insurance fund expenditures by means of fraud or forgery of certification materials.

legal ground

People's Republic of China (PRC) social insurance law

Article 88 Anyone who defrauds social insurance benefits by fraud, forgery of certification materials or other means shall be ordered by the social insurance administrative department to return the defrauded social insurance benefits, and shall be fined at least two times but not more than five times the amount defrauded.