SEC-Cebu warns public against investment scams

CEBU CITY, Philippines — The Securities and Exchange Commission (SEC)- Cebu Extension Office has warned the public against unauthorized investments brokered by individuals and entities operating without license and permits.

In a letter to various local government units in Cebu, dated Tuesday, June 9, 2022, SEC-Cebu informed the LGUs of the advisories it issued last May against the following unregistered entities and individuals:

  1. Leefire/Leefire Limited/Leefire PH/Leefire Philippines;
  2. Crowd1 Asia Pacific, Inc.;
  3. Multi Fortune Stake
  4. Borrego Solar Inc.
  5. Sengre
  6. Dragonfly Philippines, Inc. (known on social media as “DRAGONFLYTECH”)

The Enforcement and Investor Protection Department of the SEC said the investor alerts they issued are prompted by the numerous reports regarding the illegal operations of these entities.

For instance, SEC said, DRAGONFLYTECH entices the public to invest online by paying P500 to P100,000 supposedly in exchange for products. However, the supposed products are in reality an investment scheme.

“The schemes of DRAGONFLYTECH fall within the definition and category of Ponzi scheme. There is clearly no legitimate source of income from where the promised earnings to its members shall be generated except from the investments of incoming members,” SEC said.

Vanessa Almeda, SEC-Cebu Extension Office information officer, said with the illegal operations of these entities being done online, they could not yet tell the extent of these scam activities.

“Ang nature man gud nila is online, so even if registered sila for example in a different place, we could not automatically say nga diha ra jud sila mag operate. Also, these entities, just so to clarify, some are not even registered sa SEC and the more reason for people to be wary and mindful of the people who ask for solicitation,” she told CDN Digital when asked if any of the above entities are already operating.

SEC urged those who have any information regarding individuals or entities engaging in this kind of illegal activity to report to them through 032-4169339 or through their email address at seccebu@sec.gov.ph.       /rcg

ALSO READ: 

SEC warns public vs 4 firms soliciting online investments

 

Read more...