The Securities and Exchange Commission (SEC) warned the public against investing in three companies engaged in unauthorized selling of investment contracts.
The SEC said in separate advisories posted on its website Upsolution Online Shop International, Bonnie Mall and Grind O’ Clock Corp. were offering securities without the necessary regulatory licenses.
It said these firms’ investment schemes or actions resemble a pyramid/Ponzi scheme, where investors earn through recruitment fees instead of the sale of actual products/services, and investors are paid using the contribution of new members.
Based on the investigation, Upsolution entices the public to purchase “shares of stock” by investing a minimum of P3,500 to P87,500 for a promise of ownership of one to 34 shares of stock and guaranteed earnings of P6,000 to P204,000, respectively, after 37 days.
It also requires the victims to re-invest their prior investment within three days or they will be blacklisted and banned from further investing.
The SEC said Bonnie Mall is also engaged in a scheme known as “tasking and recharging”, where the public is offered online jobs by accomplishing tasks for a promise of receiving monetary rewards or what they call “commissions.”
Once a certain task is completed, the victim will be given another task to perform, with the promise of receiving higher commissions, according to the SEC.
The SEC said the company also uses fake incorporation papers to make it appear that it is legitimate.
Meanwhile, it said Grind O’ Clock, was luring the public to invest in the company, which is claiming to be a talent and entertainment company focused on developing talents and connecting brands and businesses to their audience through media properties.
It said the entity entices the public to invest up to P100,000 for a lock-in period of six months to receive a return up to 10-percent monthly interest.
The SEC said while the entity is registered with the agency, it has no authority to issue, sell or offer securities.
The Securities Regulation Code (SRC) requires the offer and/or sale of securities ot be duly registered with the SEC and that the concerned entity and/or its agents should have the appropriate registration and/or license to sell such securities to the public.
