SEC Facebook

In response to
numerous
reports
and inquiries
received by the
Commission
on
SCET COLLEENS CORPORATION
(
SCET
)
by
SHARA JANE
CASAO
CHAVEZ
,
KAY ANNE
CUIZON
LEYSON
,
EDITH FRANCISSE VILLEGAS TABL
ANTE
,
EARN STA, RITA SAGUINDEL
,
and
ARTEMIO TARONA PONCE
,
JR
.,
the
Commission wish
es
to inform the public
that
SCET COLLEENS CORPORATION
is
NOT AUTHORIZED
to solicit, accept or take investments/placements from the public
nor to issue investment contracts a
nd other forms of securities defined of the
Securities Regulation Code (SRC)
because it
DOES NOT HAVE A SECONDARY
LICENSE
from the Commission
for that purpose
contrary to its supposed claim
.
To
wit
:
FAKE
Based on what we have ga
thered,
SCET COLLEENS CORPORATION
is
offering a number of investment packages
and promos ranging from Three
Thousand Eight Hundred Pesos (Php 3,800.00) to One Million Eighty Thousand
Pesos (Php 1,080,000.00)
promising
guaranteed
lucrative
passive
return
s
o
f Five to
Eight Percent Return of Investment (5
–
8% ROI) per month
and
other
bonuses
with
little or no risk. These include the
SUB
–
RESELLER DISTRIBUTOR
,
RESELLER
DISTRIBUTOR
,
CITY
DISTRIBUTOR
,
PRO
VINCIAL DISTRIBUTOR
,
REGIONAL
DISTRIBUTOR
,
STARTER
,
JUMPSTART
,
DELUXE
,
PRO
,
ELITE
, and
DIAMOND
compensation plans / packages
.
Hence, s
ince
the scheme of
SCET COLLEENS CORPORATION
involves the
offering and sale of securities, in the form of investment contracts, to the public
where
investors are deemed investing
in
it
s
enterprise
and are led to expe
ct profits
therefrom even without doing anything,
the SRC requires
that such
securities
must
be duly registered with the Commission and that
SCET COLLEENS CORPORATION
must
also
secure the necessary registration and/or l
icense
to offer
and/or sell the same
as well.
However, as mentioned earlier,
the
SCET COLLEENS CORPORATION
FAILED TO SECURE A
SECONDARY LICENSE
from the Commission
.
It must be emphasized that its primary registration
with the Commission does
not carry wi
th it the license to solicit investments from the public.
T
he issuance of a
Certificate of In
corporation only grants an entity a
juridical
personality but
it
does not constitute an authority or license for the corporation to
engage in activities that req
uire a secondary license from the SEC
.
To put it simply, prior registration with the Commission does not automatically
legitimize all activities of an entity specially if securing further licenses and/or permits
are
mandatory for their operations.
The pu
blic is reminded that any offer or promise of ridiculous rate
s of
return
with little or no risk similar to what
SCET COLLEENS CORPORATION
is offering
is
an indication of a possible
Ponzi Scheme
where returns to early investors are likely
to be paid out fro
m the investments of new investors and not out of the companies’
profits
similar to those already flagged by the Commission as sc
ams.
Entities engaged in such operation tend to close or to shut down
operations
once they cannot gather enough investments to
fund their schemes due to the
scarcity of new investors.
The public is again
informed that
the
offering and sale of
such
securities in the
form of investment contracts using the
“Ponzi Scheme”
is fraudulent and
unsustainable and
is
NOT a registrable secu
rity
.
The Commission will NOT
ISSUE a License to Sell Securities to the Public
to persons or entities that are
engaged in this business or scheme
.
M
ay this serve as a fair warning to the public to
always
exercise extreme
caution
before
makin
g or placing t
heir monies on
entities that offers “too good to be
true” investment packages
similar to
SCET COLLEENS CORPORATION
especially
during this pandemic
.
Accordingly, the Commission
warn
s
all unscrupulous individuals and/or entities
that
strict penalties are im
posed for v
iolations of the
Securities Regulation
Code, the Revised Corporation Code, and such other rules and regu
lation
enforced by the it
.
T
hose who act as salesmen, brokers, dealers or agents of
unauthorized entities
in selling or convincing people to
invest in the
ir
investment scheme
offered
including
solicitations and recruitment through the internet
,
may
likewise be criminally
prosecuted
and penalized with a
maximum fine of Five Million pesos
(P5,000,000.00) or a penalty of Twenty
–
one (21) years of
imprisonment or both
pursuant to Section
s 28 and
73 of the SRC.
Similarly, t
hose who invite or recruit others to join or invest in such venture or
offer investment contracts or securities to the public
ma
y incur criminally liability, or
otherwise be sanc
tioned or penalized accordingly
as held
by the Supreme Court in
the case of
S
EC
vs. Oudine Santos
(G.R. No. 195542, 19 March 2014).
T
he names of all those involved will
also
be reported to the Bureau of Internal
Revenue (BIR) so that the appropriate penal
ties and/or taxes be assessed
correspondingly.
Should you have any information regarding any investment solicitation activity
by any individual or group of individuals representing
SCET COLLEENS CORPORATION
, please send your report to the EIPD at epd@sec.
gov.ph.
For the guidance of the public.
Pasay City, 02 September
2021