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The Commission has received numerous reports and complaints against a certain RONNIE JOHN DOHINA BARRIENTOS a.k.a.RONNIE BARRIENTOS, an active supporter and recruiter of CROWD1 ASIA PACIFIC INC. (CROWD1).Information gathered from online sources and reportsfrom the public show that RONNIE BARRIENTOS is publicly inviting people to invest in CROWD1. He is reported to be residing in General Santos City and has a status of a “President” in CROWD1 with huge followers all over the Philippines.RONNIE BARRIENTOS continues to solicit investmentsforand in behalf ofCROWD1 despite the issuance of Advisoryand Cease and Desist Orderby the Commission against the subject entity. He even showed his support to CROWD1 by issuing a statement in reply to the Commission’s Advisoryand posted the same in his Facebook (FB) account.Further, RONNIE BARRIENTOS has posted several promotional videos in YouTube explaining the marketing plan of CROWD1 and enticing people to invest in its investment scheme. In video presentations entitled CROWD1 Presentationhttps://www.youtube.com/watch?v=YR23IkBHCw0&t=785sposted on 27 March 2020 and The Crowd1 Binary System-How does it work?https://www.youtube.com/watch?v=Z_5fEVnbVs0&t=143sposted on 05 April 2020, RONNIE BARRIENTOS introduced himself as the youngest leader in the Philippines. He stated that he is earning Ten Million Pesos (PhP10,000,000.00) since he joined the company eight (8) months ago, aside from the bonuses he earned thru the Binary System.Such invitation to invest which is publicly made through social mediaamounts to public offering of securities as defined under the 2015 Implementing Rules and Regulations (IRR) of the Securities Regulation Code (SRC), to wit: Rule 3.1.17 -“Public Offeringis any offering of securities to the public or to anyone who willbuy, whether solicited or unsolicited. Any solicitation or presentation of securities for sale through any of the following modes shall be presumed to be a public offering:i.Publication in a newspaper, magazine or printed reading material which is distributed within the Philippines or any part thereof;ii.Presentation in any public or commercial place;iii.Advertisement or announcement in any radio, telephone, electronic communications, information communication technology or any other forms of communication;oriv.Distribution and/or making available flyers, brochures or any offering material in a public or commercial place, or to prospective purchasers through the postal system, information communication technology and other means of information distribution.” (Emphasis supplied.)
Further, said IRR defines solicitationas the act of seeking or asking for business or information which includes the act of providing information about a security or investment product being offered for sale with the view of making another person a client or closing or bringing in a sale or purchase of security or investment product. The solicitor need not be a signatory to any contract relative to such offer or sale of the security.The investment schemes being publicly offered through social media by RONNIE BARRIENTOSare considered as securitiesas definedin Section 3, paragraph 3.1 of the SRC, as follows:“SEC.3Definition of Terms. –3.1. “Securities”are shares, participation or interest in a corporation or in a commercial enterprise or profit-making venture and evidenced by a certificate, contract, instrument, whether written or electronic in character. It includes:xxx(b). Investment contracts, certificates of interest or participation in a profit sharing agreement, certificates of deposit for a future subscription; xxx.” (Emphasis supplied)The public is herebywarned that RONNIE JOHN DOHINA BARRIENTOS a.k.a.RONNIE BARRIENTOShas NOTbeen issued a license by the SEC as an Associated Person, Compliance Officer, Salesman and/or Certified Investment Solicitor of a Broker Dealer in Securities, Investment House, Underwriter of Securities, Investment Company Adviser and/or Mutual Fund Distributor.RONNIE BARRIENTOS is undoubtedlyengaged in soliciting investmentsfrom the publicwithout authority from the Commission.Moreover, the public is hereby reminded that the Commission has issued an Advisory against CROWD1 ASIA PACIFIC INC. on 28 April 2020. Further, the SEC has issued a Cease a Desist Orderdated 12 May 2020ordering CROWD1 ASIA PACIFIC INC., its managers, leaders, officers, agents, representatives, conduits, assigns, and any and all persons claiming and acting for and in their behalf to IMMEDIATELY CEASE AND DESISTfrom engaging in activities of selling and/or referring for sale securities in the form of investment contracts or any others of the same nature until the requisite registration statement is duly filed with and approved by the Commission, among others.Those who act as salesmen, brokers, dealers or agents in selling or convincing people to invest in CROWD1’s businessincluding soliciting investments or recruiting investorsthrough the internet maybe held criminally liable under Section 28 of the SRCand penalized with a maximum fine of Five Million Pesos (Php5,000,000.00) or imprisonment of Twenty-One (21) years or both pursuant to Section 73 of the SRC (SEC vs. Oudine Santos, G.R. No. 195542, 19 March 2014).
In view thereof, the public is hereby advised to exercise caution in dealing with RONNIE JOHN DOHINA BARRIENTOS a.k.a.RONNIE BARRIENTOSand any individual or group of persons soliciting investments for and in behalf of CROWD1 ASIA PACIFIC INC.The public is further advised NOT TO INVESTor to STOP INVESTINGin the investment schemebeing offered by RONNIE JOHN DOHINA BARRIENTOS a.k.a.RONNIE BARRIENTOSor his representatives through CROWD1 ASIA PACIFIC INC.Violators are further warned that aside from the strict penalties imposed by the Commission for violations of the Securities Regulation Code, the Revised Corporation Code, and such other rules and regulation it enforces, the Bayanihan to Heal as One Act (Republic Act No. 11469) also punishes those participating in cyber incidents that make use or take advantage of the current crisis situation to prey on the public through scams, phising, fraudulent emails, or other similar acts. Should you have any information regarding the operationand activities of RONNIE JOHN DOHINA BARRIENTOS a.k.a.RONNIE BARRIENTOSandthe subject entity,please call the Enforcement and Investor Protection Department (EIPD) at telephone number 8818-6047 or email at epd@sec.gov.phor visit the EIPD at Ground Floor, North Wing Hall, Secretariat Building, PICC Complex, Pasay City.For the guidance of the public.Pasay City. 09 June 2020