SEC warns public against investing in Paysmart Ltd. PHL
THE Securities and Exchange Commission ( SEC) has issued a warning to the public against investing in Paysmart Ltd. Philippines, a company which claims to be involved in offshore trading of stocks.
“Per records of the Securities and Exchange Commission, Paysmart is not registered as a corporation or partnership and is not authorized to solicit investments from the public as the abovementioned entity did not secure prior registration and/or license to solicit investment from the Commission,” the SEC said in an advisory posted on its website.
The SEC said Paysmart has been offering 30% return on investment ( ROI) within 15 days for its customers, and 60% ROI in 60 days. Paysmart only requires a minimum investment of $23
It said, the company allows for a minimum investment of $23 (around P1,200) and a maximum of $ 9,000 ( around P480,000).
“The public is hereby advised to exercise caution in investing their money in these types of schemes which may turn out to be fraudulent investment schemes, involving the sale of unregistered securities,” the SEC said.
The corporate regulator reiterated the Securities Regulation Code requires that the issuing entity must be a SEC-registered corporation, and receive a license or permit to sell securities to the public.
The SEC said criminal charges may be filed against perpetrators of fraudulent investment transactions.
It also reminded the public that before investing in corporations, individuals may first check through the SEC’s Corporate Governance and Finance Department or its Market and Securities Regulation Department if the securities sale is registered. —