SEC warns public on ‘Broilerprenuer’

THE Securities Exchange Commission (SEC) has recently issued a public advisory against Broilerprenuer Corporation days after the commission released the certificate of incorporation of the said entity.

According to the records of SEC, the Broilerprenuer Corporation is registered in the Commission’s database as a stock corporation with its primary purpose to “engage in, conduct and carry on the business of consumer services, production, buying, selling, distributing, direct selling, and online marketing at wholesale and retail of chix, chicken and other related products.”

The certificate of incorporation was issued last May 27.

“However, Broilerprenuer Corporation is not authorized to solicit investments from the public as the abovementioned corporation did not secure prior registration and/or license to solicit investment from the commission as prescribed under Section 8 of the Securities Regulation Code,” the SEC said.

Broilerprenuer Corporation is engaged in the

poultry business employing the “farm to fork concept of broiler” and promises to the public 100 percent guaranteed return of investment.

The business concept runs for 60 days and divided to three days for the buying of chicks; 45 days breeding; and 12 days dressing plant and selling.

“Where the scheme involves the sale of securities to the public, the Securities Regulation Code (SRC) requires that the issuing person and/or entity must be a registered corporation with SEC, the said securities offered are duly registered and that the appropriate license and/or permit to sell securities to the public are issued to the corporation and/or its agents, pursuant to the provisions of section 8 and 28 of the SRC,” the SEC said.

The Commission added that those who act as salesman, broker or agents of Broilerprenuer Corporation in selling or convincing people to invest in the investment scheme being offered, including solicitations or recruitment may likewise be prosecuted and held criminally liable under Section 28 of the SRC.

They will also be penalized with a maximum fine of P5 million or imprisonment of 21 years or both pursuant to Section 73 of the SRC.

“Likewise, those who sell or offer securities the public, may be held criminally liable or accordingly sanctioned or penalized pursuant to the Supreme Court Decision in the case of Securities and Exchange Commission (SEC) Vs. Oudine Santos (G.R. No. 195542, 19 March 2014),” the SEC said.

The Commission advised the public to “exercise caution” in investing money in these types of schemes which may turn out to be Fraudulent Investment Schemes, involving the sale of unregistered securities. Jo Ann Sablad