SEC FLAGS NEW SET OF FIRMS ENGAGED IN INVESTMENT SCAMS

The Securities and Exchange Commission (SEC) has warned the public against a new set of entities illegally soliciting investments, including those selling alleged cryptocurrency trading and online selling opportunities.

In separate advisories issued on June 30, the SEC urged the public to exercise caution in dealing with Forsage, Rcashonline and The Saint John of Jerusalem Knights of Malta Foundation of the Philippines Inc.

Forsage, headed by Lado Okhotnikov, is not registered with the SEC and lacks the necessary license to solicit, accept or take investments from the public or issue investment contracts and other forms of securities.

Rcashonline, which claims to represent one Royale Business, is also not registered with the SEC. It neither possesses a secondary license to solicit investments from the public. Meanwhile, the certificate of registration of Saint John of Jerusalem Knights of Malta Foundation has been revoked as early as Feb. 3, 2003, for noncompliance with reportorial requirements.

A maximum fine of P5 million or imprisonment of 21 years or both await those who act as salesmen, brokers, dealers or agents of entities engaged in unauthorized investment schemes, for violation of Republic Act No. 8799, or the Securities Regulation Code, among others.

Republic Act No. 11469, or the Bayanihan to Heal As One Act, also punishes those participating in cyberincidents that make use or take advantage of the current crisis arising from the COVID-19 outbreak to prey on the public through scams, phishing, fraudulent emails or other similar acts.

Forsage uses a crowdfunding international platform or a crypto-earning program using the ethereum blockchain technology, promising long-term active and passive income to investors through a crowdfunding referral system.