MANILA, Philippines — The Securities and Exchange Commission has issued a Cease and Desist Order against investment firm Alphanetworld Corp.
In a motion issued by the Commission En Banc on Wednesday, Alphanetworld Corp., which operates under the name NWorld, was ordered to immediately cease “from further engaging in the sale of unregistered securities, and to remove or take down their online posts and offerings.”
Oliver Leonardo, SEC Enforcement Director, explained that NWorld has been selling securities without the necessary permit from the SEC.
“Mayroon tayong batas na ipinatutupad na ‘pag ang isang korporasyon nagaalok ng financial product na securities sa pamamagitan ng investment contract… dapat silang magsecure ng permit to offer securities under Section 8 ng Securities Regulation Code, wala pong permit itong si NWorld,” Leonardo told the INQUIRER.
Alphanetworld is headed by its president Julius Allan Nolasco.
A probe conducted by the Enforcement and Investor Protection Department (EIPD) of the SEC showed that NWorld is selling investment packages consisting of the “Silver Package” worth P4,750, “Gold Package” worth P9,500 and “Platinum Package” worth P19,000.
“‘Yung kikitain daw ay aabot sa P127,000,” said Leonardo.
The packages come with a number of skin care, consumer care products, but Leonardo said NWorld has been enticing investors through their referral bonuses.
“Kung tutuusin mo napalaki ng entry fee. Sa P20,000 ilang sabon lang ang makukuha mo doon. So papaano ka kikita? So magrerecruit ka,” said Leonardo.
Leonardo said that if Alphanetworld continues with its investment scheme, the SEC will be forced to file a criminal case against the firm.
“It will be considered a criminal offense. Magfafile tayo ng kaso ng paglabag ng securites regulation code at na parusang pagkakakulong na aabot ng 21 years,” he said.