PHI SEC Investment Scams

On Jun. 11, PHI SEC penalized investment scams issued warnings.

  • Continues to intensify efforts in protecting investing public from fraudulent schemes and abuses through its all-out campaign against various forms of investment scams.


  • As part of this all-out campaign, a total of 24 search warrants were implemented in connection with the investment-taking activities of six entities in violation of rules.
  • The combined teams of the SEC and the National Bureau of Investigation and
    Philippine National Police-Criminal Investigation and Detection Group were involved.
  • On the offices of Rigen Marketing in Tagum City, Ada Farm Agriventures in Mandaue, Cebu and Ever Arm Any Marketing in Tagum City on Jun. 11 as per search warrants.
  • Also searched the offices of Organico Agribusiness Ventures Corp. in Cebu City, Bohol, Tacloban City, Davao City and Butuan and Alabel-Maasim Small Scale Mining Coop.
  • Similar operations were carried out at the offices of Kapa-Community Ministry Intl.


  • The raiding teams were able to seize large numbers of documents/cash together with other equipment and paraphernalia used by scammers in enticing investors to invest.
  • Despite not having necessary license or permit for investment-activities/securities sales.
  • Evidence gathered by the SEC indubitably shows that the entities were scam operators who were offering “get rich quick” schemes to the public attracted by the huge profits.
  • In the case of Kapa, it was established that it was selling or offering a scheme in which “donations” given are rewarded with “blessings” amounting to a 30% monthly return.
  • With the evidence gathered, the SEC is poised to file criminal charges against the
    operators, owners, agents, officers and directors of said entities.


  • Prior to the implementation of the search warrants, SEC has flagged the unauthorized investment-taking activities of Kapa, Rigen, Organico, ALMAMICO/ALAMCCO, Ada Farm.
  • Such activities constituted the sale and offering of securities in the form of investment contracts, which required a secondary license from the Commission.
  • Worse, the groups employed a Ponzi scheme or an investment program where investors are lured with impossibly high returns, paid out of capital contributed by later investors.
  • SEC recently issued separate cease and desist orders against Organico, Ada Farm and Ever Arm along with their partners, officers, agents, representatives, assigns, others.
  • Also ordered the groups to cease from promoting their investment schemes through internet and/or remove promotional presentations from their websites immediately.
  • In the interest of investors, the SEC further barred the groups from transacting any business involving the funds in their depositary banks and from transferring/disposing.
  • Meanwhile, the Commission earlier revoked registration of Kapa and is now preparing criminal charges against Kapa and all persons involved in fraudulent investment scheme.


  • Reiterated its warning against any and all persons acting for and in behalf of groups engaged in such fraudulent activities amid intensified crackdown on investment scams.
  • Those acting as salesman, broker or agent may be prosecuted and held criminally liable.
  • They may also face a maximum fine of P5 million or imprisonment of 21 years or both.
  • Those who sell or offer securities to the public may likewise be held criminally liable or accordingly sanctioned or penalized pursuant to the decision of the Supreme Court.
  • Furthermore, the names of all those involved will be reported to the Bureau of Internal Revenue so that the appropriate penalties and/or taxes be correspondingly assessed.
  • Chairperson Aquino warned there will be no letup in campaign against scam operators, as the SEC is poised to file criminal charges and run after the officers, directors, agents.