On January 2, 2024, Su Mou, the person in charge of a company in Gansu, came to the Zezhou County Public Security Bureau to report a case, stating that company employee Li Moulin, during the contracted construction project, had taken advantage of his position to privately take 30 boxes of photovoltaic modules from the project and dispose of all of them, and had not returned them to date. The Zezhou County Public Security Bureau opened a case for investigation on January 15.

Public security authorities found through investigation that in February 2023, Li Moulin signed an Employment Agreement with a company in Gansu and officially served as the materials clerk and construction team leader of a Phase II photovoltaic project in Jincheng City, fully responsible for core matters such as the receipt and safekeeping of project materials. However, Li Moulin's financial situation deteriorated sharply due to his addiction to online gambling. To fill his funding gap, he decided to privately sell for profit the project assets under his custody—brand-new, unopened photovoltaic modules.

From April to May 2023, Li Moulin contacted Xu Mouyou, who specialized in recycling photovoltaic modules. Xu Mouyou arranged transportation vehicles and went twice to the project site warehouse to haul away 30 boxes of photovoltaic modules. Afterwards, Xu Mouyou paid Li Moulin more than 620,000 yuan in total. Appraisal showed that the actual value of the batch of photovoltaic modules exceeded 860,000 yuan, causing major losses to the company's property.

On March 27, 2024, the public security authority applied to the Zezhou County Procuratorate for approval of arrest on suspicion of occupational embezzlement against Li Moulin and on suspicion of concealing and disguising proceeds of crime against Xu Mouyou. After accepting the case, the handling prosecutor interrogated Li Moulin and Xu Mouyou in accordance with the law, and both acknowledged the facts as determined by the public security authority. Upon review, the procuratorate found that the evidence in the case proved the existence of criminal facts and that the conditions for arrest were met, and therefore approved the arrest of both.

On May 20, 2024, the case was transferred to the Zezhou County Procuratorate for review and prosecution. During the review period, Li Moulin retracted his previous guilty statements, arguing that the sale of the modules was to offset expenses such as workers' wages and electricity bills that he had previously advanced for the project; the defense submitted records of Li Moulin's transfers to Su Mou and, on that basis, denied that Li Moulin had the subjective intent of illegal possession, arguing that the case was a civil economic dispute between Li Moulin and Su Mou and did not constitute a criminal case.

At the same time, co-defendant Xu Mouyou also argued thatduring the transaction, he had sent an electronic sales contract to Li Moulin, believing that this was a lawful second-hand equipment recycling business, and stated that he had no knowledge whatsoever that Li Moulin had illegally obtained the photovoltaic modules.

During the review and prosecution period, the procuratorial authority received an application from the victim for filing supervision. The victim stated that Li Moulin had borrowed money from him multiple times in the name of fuel for the construction site, payment of workers' wages, and similar reasons, totaling more than 170,000 yuan. In addition, 6 other people had encountered the same situation and provided Li Moulin with loans totaling more than 200,000 yuan.

By reviewing the materials provided by the victim and examining the case files of private lending disputes in which Li Moulin was the defendant, the handling prosecutor analyzed and concluded that Li Moulin's conduct was suspected offraud. The procuratorate then依法监督 the public security authority to open a case for investigation against Li Moulin on suspicion of fraud.

In response to Li Moulin's defense of “advancing funds to offset debts” and Xu Mouyou's defense of lack of subjective knowledge, the procuratorial authority re-examined the transaction details of Li Moulin's multiple bank accounts, WeChat, and Alipay, questioned Su Mou regarding the fund transfers between Li Moulin and Su Mou, and verified the WeChat chat records between Li Moulin and Xu Mouyou,discovering that the situation described in Xu Mouyou's defense about having sent an electronic contract did not exist.

In June 2024, the procuratorial authority decided to return the case for supplementary investigation, requiring the public security authority to further verify whether a creditor-debtor relationship existed between Li Moulin and Su Mou, and to conduct data recovery on the chat records between Li Moulin and Xu Mouyou.

Evidence obtained through the supplementary investigation by the public security authority and the supplementary investigation conducted independently by the procuratorial authority confirmed that there were fund transfers between Li Moulin and Su Mou, and that it was not, as shown by the evidence submitted by the defense, a one-way transfer from Li Moulin to Su Mou. Su Mou also confirmed thathe had once asked Li Moulin to assist with temporary fund circulation, that the fund transfers between them were not a lending relationship, that his company had already paid Li Moulin his wages in full, and that there was no situation in the relevant project where Li Moulin had advanced funds.The chat records between Li Moulin and Su Mou further showed that after the incident,when Su Mou requested Li Moulin to return the privately sold photovoltaic modules, Li Moulin did not raise any claim regarding debt offset.The procuratorial authority held that the existing evidence was sufficient to prove that there wasno creditor-debtor relationship between Li Moulin and Su Mou, and that Li Moulin privately sold the photovoltaic modules under his custody to others and appropriated the sales proceeds for himself, thereby constituting the crime of occupational embezzlement.

Upon review, the prosecutor found thatXu Mouyou had made a guilty statement during the investigation stage, and as a professional engaged in photovoltaic module trading,after the case came to light, he asked Li Moulin to cancel his bank card to evade investigation, and the price at which he acquired the photovoltaic modules involved in the case was obviously lower than the market price.Based on the evidence in the case, the prosecutor concluded thatXu Mouyou clearly knew that the property involved was proceeds of an upstream crime, yet still purchased, concealed, and disguised it, and his conduct constituted the crime of concealing and disguising proceeds of crime;moreover, during the review and prosecution stage, Xu Mouyou retracted his confession without justified reason, and his defense contradicted the evidence in the whole case, while his guilty statement in the investigation stage could mutually corroborate with other evidence, and should be accepted in accordance with the law.

Given that the case of Li Moulin suspected of fraud was still under investigation, on August 16, 2024, the procuratorial authority initiated public prosecution against Li Moulin for suspected occupational embezzlement and against Xu Mouyou for suspected concealing and disguising proceeds of crime.

On October 22, 2024, the case was heard in court. After the court of first instance rendered its judgment, Li Moulin and Xu Mouyou refused to accept it and filed appeals. Because Li Moulin's suspected fraud case needed to be tried together with this case, after hearing the matter, the court of second instance ruled to remand the case to the court of first instance for retrial.

After receiving the remand ruling, the Zezhou County Procuratorate carried out further independent supplementary investigation into the case. Investigation found that Li Moulin had long been listed by the court at his place of household registration as a dishonest judgment debtor. From the bank transaction records of Li Moulin's account, the handling prosecutor found that after receiving funds from the victims, he used the money for gambling, personal consumption, and repayment of earlier debts,and that during the period when he was privately selling the photovoltaic modules, he was still continuing to defraud the victims of funds. It was believed that this evidence was sufficient to prove that Li Moulin subjectively had the purpose of illegally possessing other people's funds, and that he was in fact committing fraud under the guise of borrowing.

On June 5, 2025, the procuratorial authority, in accordance with the law, filed a supplementary prosecution against Li Moulin for suspected fraud. On July 25, the case was again heard publicly in court, and the defense lawyers for both defendants argued not guilty. Centering on the alleged facts, the public prosecutor presented evidence and cross-examined it in accordance with the law, and conducted a well-structured and logically rigorous courtroom debate, effectively refuting the not-guilty defenses. In the end, the court upheld the procuratorial authority's guilty charges and rendered the above judgment in accordance with the law.