The leased vehicle as collateral is a fraud, will be subject to criminal penalties. According to the relevant provisions of the crime of fraud, the parties to the implementation of deception, so that the other party to produce a false understanding, based on the false understanding of the disposition of property, the parties and to obtain the property belongs to fraud, and the rented car used as collateral, belongs to the fraud, so as long as the latter conditions are met, can be recognized as a crime of fraud. A chattel mortgage is a form of collateralization in which the debtor or a third party pledges a chattel for security without transferring possession. In the event of the debtor's default, the mortgagor takes possession of the mortgaged movable property and is liquidated for the sale price in preference to other claims. Enterprises in the form of movable assets to raise funds in reality is relatively common, does not necessarily mean that the business operation problems.
Legal Basis: The People's Republic of China and the National Code Article 395 The debtor or the third party has the right to dispose of the following property can be mortgaged:
(1) Buildings and other land attachments;
(1) The debtor or third party has the right to dispose of the following property can be mortgaged:
(1) Buildings and other land attachments;
(1) Buildings and other land attachments;
(ii) the right to use land for construction;
(iii) the right to use sea areas;
(iv) production equipment, raw materials, semi-finished products, and products;
(v) buildings, ships, and aircrafts under construction;
(vi) means of transportation;
(vii) other properties not prohibited from being mortgaged by laws or administrative regulations.
The mortgagor may mortgage the properties listed in the preceding paragraph together.
I. Which properties can be mortgaged:
1. Houses and other ground fixations owned by the mortgagor.
2. Machinery, means of transportation and other property owned by the mortgagor.
3. State-owned land use rights, houses and other aboveground fixtures which the mortgagor has the right to dispose of in accordance with the law.
4, the mortgagor has the right to dispose of state-owned machinery, means of transportation and other property in accordance with law.
5. The land use rights of barren mountains, barren ditches, barren hills, barren beaches and other barren lands contracted by the mortgagor in accordance with the law and agreed to be mortgaged by the contracting party.
6. Other properties that can be mortgaged according to law.
Two, which property can not be mortgaged
1, land ownership.
2, arable land, residential land, self-reserved land, self-reserved mountains and other collectively owned land use rights, but Article 34, paragraph 5, and Article 36, paragraph 3, that is, "the township (township), the village enterprises of the land use rights shall not be mortgaged separately. If a building such as a factory building of a township (township) or village enterprise is mortgaged, the land-use right within the area of its occupation shall be mortgaged at the same time".
3, schools, kindergartens, hospitals and other public institutions, social organizations for the purpose of public welfare, educational facilities, medical and health facilities and other public welfare facilities.
4. Property whose ownership or right of use is unknown or disputed.
5. Property that has been seized, detained or supervised in accordance with the law.
6, other property that cannot be mortgaged according to law.