THE Securities and Exchange Commission (SEC) has advised the public against dealing with Tabale Cacao Farms and Togachat Academy Philippines, Inc. for their unauthorized solicitation of investments.
In an advisory posted on its website, the country’s corporate regulator said a certain Japhet Tabale, also known as Sir Japhet, has been inviting people to invest in his cacao business, Tabale Cacao Farms, through social media accounts.
Citing Rule 3.1.17 of the 2015 Implementing Rules and Regulations of the Securities Regulation Code (SRC), the commission noted that such public invitation to invest constitutes the public offering of securities.
“Any solicitation or presentation of securities for sale through any of the following modes shall be presumed to be a public offering:…advertisement or announcement in any radio, telephone, electronic communications, information communication technology or any other forms of communication,” according to the SRC.
The SEC further found that Mr. Tabale promised a guaranteed 100% return of capital and share to prospective investors, despite his lack of permits or licenses to publicly offer or sell securities to the public.
Those who act as salesmen, brokers, dealers, or agents in Mr. Tabale’s business may also be held criminally liable under the SRC, with a maximum fine of P5 million or imprisonment of up to 21 years.
The SEC also noted how Mr. Tabale identified himself to be the former branch manager for General Santos City of alleged investment scam Kapa Community Ministry International, Inc., which has been charged with violations of the SRC.
Meanwhile, the commission also warned the public against Togachat Academy, which has been found to be enticing people to invest a minimum of P5,000 in exchange for high monetary rewards.
“The public is hereby informed that the subject entity registered with the Commission as a corporation, however, it is not authorized to solicit investments from the public, not having secured prior registration and/or license to sell securities or solicit investments as prescribed under Section 8 of the SRC,” the commission said.
Just like those involved in Tabale Cacao Farms, salesmen, brokers, dealers or agents of Togachat Academy may face a fine of up to P5 million, or imprisonment of up to 21 years as per the SRC. —Arra B. Francia
