The Securities and Exchange Commission (SEC) has issued eight warnings to the public against firms suspected of conducting investment scams or otherwise unauthorized sale of securities.
The SEC's latest warnings were issued against Cardlinks Teleconn Insurance Agency Inc., Future Net- Networking Marketing Association of the Philippines Inc., JustBeenPaid, OK's Global Wellness Inc., Evergreen Company, 1Riders Power Team Inc., Finance Global Marketing Services/Finasia Global Marketing Services, and an unknown group in Marinduque.
Cardlink is engaged in the business of providing telemarketing services for credit cards, loans, non-life insurance, insurance and different types of business services "items of commercial value" but has not been licensed by the Insurance Commission (IC) to act as an Insurance agency.
Future Net is reportedly engaged in networking, promising huge profits or sky-high returns; including direct and indirect referral commissions, net loan commission, and satellite referral commission; within a short period of time - depending on the number of recruits or level of participation.
However, the SEC said that, since FutureNet is a non-stock and non-profit organization, it cannot engage in investment taking business, whether on its own or in conjunction with its affiliate.
Meanwhile, the SEC said a group has been recruiting students from the Negros Oriental State University in Dumaguete City to join "JustBeenPaid," an on-line activity that could be a possible investment scam.
The students are allegedly enticed to initially invest P950.00 with a guaranteed earning between 10 to 20 percent of the initial investment per day, and to join a profit clicking activity by liking a certain page three times a day.
OK's Global employs a monolining scheme and while authorized by the SEC to sell goods, it is not a registered issuer of securities to the public.
Evergreen is not registered with the SEC but is recruiting applicants for employment under a scheme that requires them to sell a product and pay certain fees.
1Riders is engaged in a multi-level marketing scheme to sell food, toiletries and automotive products but has no license from the Food and Drugs Administration to distribute food and cosmetic products.
Finance Global/ Finasia allegedly use a credit card company to apply/avail of their services offering lower package cost for any travel that may be desired. Once a customer agrees, he may no longer retract and recover the money paid.
Meanwhile, a group of persons in Marinduque representing themselves to be a corporation with five branches, offers loans to barangay officials and employees to be paid through salary deduction.
Said group or corporation is selling pre-need/memorial plans and insurance plans without the necessary license from the Insurance Commission or the SEC. They induce people to invest with a promise of high return on their investment.
"As a precautionary measure, the public is advised to exercise due diligence before investing in a risky business venture. Investigate and check the personal background of the people behind the scheme," the SEC said.
It added that the public should "consider the value of the goods or products offered and whether there are real goods and sales involved in the deal. If the income depends on the number of recruits to the program, don't invest, as it is likely a pyramiding scam bound to collapse."