03/12/2024
๐๐๐ ๐๐๐ฏ๐๐จ ๐๐๐ซ๐ง๐ฌ ๐๐ ๐๐ข๐ง๐ฌ๐ญ ๐๐ง๐ฏ๐๐ฌ๐ญ๐ฆ๐๐ง๐ญ ๐๐จ๐ฅ๐ข๐๐ข๐ญ๐๐ญ๐ข๐จ๐ง๐ฌ ๐๐ฒ ๐๐จ๐ง-๐๐ญ๐จ๐๐ค ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง๐ฌ, ๐๐จ๐ง-๐๐ซ๐จ๐๐ข๐ญ๐ฌ
DAVAO CITY โ The Securities and Exchange Commission-Davao Extension Office (SEC DavEO) is warning the public about non-stock, non-profit organizations, including foundations, that are ๐ฎ๐ง๐ฅ๐๐ฐ๐๐ฎ๐ฅ๐ฅ๐ฒ ๐จ๐๐๐๐ซ๐ข๐ง๐ ๐ข๐ง๐ฏ๐๐ฌ๐ญ๐ฆ๐๐ง๐ญ๐ฌ without the required secondary license from the Commission.
The SEC DavEO emphasized that it has received reports from local government units about certain non-profit groups in the region using their SEC registration certificates to legitimize unauthorized investment-taking activities, urging individuals to pay membership fees in exchange for financial gains, scholarships, housing, or livelihood assistance.
The Commission clarified that non-stock, non-profit corporations, including foundations, are ๐ฌ๐ญ๐ซ๐ข๐๐ญ๐ฅ๐ฒ ๐ฉ๐ซ๐จ๐ก๐ข๐๐ข๐ญ๐๐ from soliciting investments from the public without a secondary license.
Under Section 8 of Republic Act No. 8799, also known as The Securities Regulation Code, selling or offering securities without an SEC Certificate of Permit to Offer Securities for Sale.
Violators of the Securities Regulation Code who act as salesmen, brokers, dealers, or agents in unauthorized investment schemes face penalties of up to PHP 5 million in fines, 21 years in prison, or both.
The Commission urges the public to report any unauthorized investment solicitations to the Enforcement and Investor Protection Department at [email protected].
