CIDG-7 implements crackdown on investment scams; raids Cebu offices of Organico and ADA

Personnel from the Criminal Investigation and Detection Group (CIDG) in Region 7 raid the Organico office in Barangay Kasambagan, Cebu City on Tuesday morning, June 11, 2019. | CDN Digital Photo / Gerard Vincent Francisco

CEBU CITY, Philippines — The Criminal Investigation and Detection Group in Central Visayas (CIDG-7) said the closure of the Cebu offices of companies allegedly involved in get-rich-quick scams is only the start of the police campaign against these agencies.

The CIDG-7 implemented search warrants in the main offices of Organico Agribusiness Venture in Cebu City and ADA Farm Agri-Ventures in Mandaue City on Tuesday, June 11, following the directives of President Rodrigo Duterte to close down agencies involved in investment scams.

The Securities and Exchange Commission (SEC) earlier revealed that Organico was not authorized to accept investments even though it is registered with them.

Organico is an investment company that promises a 30 percent return of investments for its members as they use the money in growing hogs and poultry, which allegedly does not exist.

On the other hand, ADA was named by SEC in an advisory posted on its website last May 31, as one of the investment agencies unregistered with the Commission as a corporation or partnership.

According to SEC, ADA Farm Agri Ventures (ADA FARM) entices the public to invest by purchasing a minimum of 10 chicks worth Php 500.00 with a guaranteed profit of 80% in 60 days.

SEC declared that ADA is not authorized to offer, solicit, sell, or distribute any investment/securities.

The CIDG-7 implemented separate search warrants from a court in Manila for the agencies for the confiscation of documents, files, logs, and electronic data pertaining to the transactions of these alleged investment scammers.

Police Major Niño Briones of the CIDG-7 said that in both raids, they were able to confiscate computers, documents, receipts, cash vouchers, laptops, and other devices used in transactions although both offices were already closed upon inspection.

Briones said no one was arrested because the offices were “abandoned” by the time of the raid.

The confiscated materials will be used as evidence on the alleged illegal transactions made by these agencies to convict the owners for violation of the SEC guidelines.

However, Briones said this is only the start of the investment scram crackdown because they have identified more than five persons of interest who work for Organico.

“We don’t stop with raiding the offices, we also look for the people involved in these scams and hold them liable to the law,” said Briones in Filipino.

Briones said he cannot reveal the identity of these persons of interest but he assured the public the police are going after them.

As of now, he said CIDG-7 will continue to implement search warrants and close down agencies allegedly involved in investment scams.

Briones hopes that victims will provide information on the system of these agencies and file charges against them. / celr