Davao City: There are illegal investment schemes which prey upon the unwitting public amidst the Corona Virus Disease 2019 (COVID-19) crisis, warns the Securities and Exchange Commission Davao Extension Office.
According to Atty. Katrina Jamilla Ponco-Estares, SEC Davao Extension Office OIC Director there are some unscrupulous entities that are deceiving individuals into patronizing their supposed investment products even if they do not have legal personalities.
“We call on the public to be on guard for a surge of illegal investment taking activities. Protect your hard-earned money by first studying the company offering the product or investment. Ensure that these companies have secondary licenses from SEC aside from having primary licenses,” Estares said.
Atty. Estares said these illegal entities, their agents or brokers are attempting to capitalize on the current climate surrounding the virus outbreak as this provides them with an opportunity to prey on people when they are most susceptible.
“These scams can take various forms. Some are using Ponzi scheme while others are focused on recruiting in the guise of multilevel marketing, networking or cryptocurrency ventures. We are also monitoring those who offer foreign exchange trading, which is illegal in the Philippines,” said Atty. Estares.
She reminded the public on the tell-tale signs of these schemes which includes the need to recruit members and promises of high returns in such a short period of time. (PIA RG Alama with reports from SEC Davao Extension Office)