January 30, 2023

Xpat Pinoy

XPAT PINOY – World News for Pinoys

SEC, Investment Attorney’s NBI Search Office in Zamboanga City

The Securities and Exchange Commission (SEC) announced that it has cleared the operations of Silverlion Livestock Trading Corp. in Zamboanga City for violating the Cybercrime Prevention Act (Republic Act 10175).

In a joint operation on November 26, the combined forces of the SEC Zamboanga Extension Office and the National Bureau of Investigation (NBI) Region IX executed a search warrant against Silverlion at its offices in Apolinario Loop, Barangay Guiwan and along the Green Valley National Highway. Barangay Manicahan, both in Zamboanga City.

Branch 15 of the Zamboanga City Regional Court issued the search warrants against Silverlion for violations of the Securities Regulation Code relating to Republic Act No. 10175, also known as the Cybercrime Prevention Act of 2012.

The SEC and NBI Region IX were able to seize bundles of cash, vouchers and other devices from Silverlion’s office that were allegedly going to be used for the forthcoming profit distribution to existing investors.

The SEC filed criminal complaints against Silverlion’s founders, officers and agents for violating the SRC. They have been identified as: Ryan Cagod Ladoing; Renan Lara Ladoing; Rosemarie Alvarez Guzman; Neña Ewayan Algoy; John Paul Dellara Lopez; and Michael Villalobos Berja. They were named before the investigating prosecutor of the Zamboanga City Prosecutor’s Office.

Ryan Ladoing was also implicated in the RGS World Marketing investment scam, which was the subject of an injunction and SEC recommendation earlier this year.

At the request of the Enforcement and Investor Protection Department (EIPD), the Commission en banc issued a CDO against Silverlion on November 17, urging the group to stop soliciting investments from the public without the necessary licenses from the Commission.

The order was served on the Company at the same time as a Show Cause Order (SCO) issued by the EIPD. The SCO asks the company to explain why its incorporation should not be revoked for serious misrepresentation of what it can or does do, to great detriment or harm to the public.

SEC investigations revealed that Silverlion had offered and sold investment packages with guaranteed returns of 35 percent to the public in just 15 days. So investments in the range of P1,000 to P100,000 promise returns of P1,300 to P130,000.

The system involves the sale and offering of securities to the public in the form of investment contracts, in which a person invests their money in a common enterprise and, according to the SEC, is made to expect profits primarily from the efforts of others.

Section 8 of the SRC provides that securities may not be sold, offered for sale or distribution within the Philippines absent a registration statement duly filed with and approved by the SEC.

So far this year, the regulator has issued 82 warnings against groups and individuals found to be soliciting investment from the public without the necessary license from the Commission.