THE Securities and Exchange Commission (SEC) has warned the public against investing in SGP Dragon Trading Corp., a company allegedly offering investment products that promise as much as a 2.5% interest rate per day.
In an advisory posted on its website, the commission found SGP Dragon to be offering investment packages that will yield an interest of 1-2.5% a day, depending on the package.
SGP Dragon is said to be advocating for foreign exchange trading. Packages start from as small as P1,000 to P300,000 for starters, which can earn an interest of 1-1.5% per day within a 45-day lock trade. The capital and interest can then be withdrawn after this period.
The SEC said that while SGP Dragon has been duly incorporated at the commission, it does not have the authority to solicit investments from the public. It also noted that the group’s investment schemes are considered as securities, which should be regulated by the commission.
Entities offering securities or investment products must register them with the commission so that they can be issued a secondary license.
“The public is hereby advised to exercise caution before investing in these kinds of activities and to take the necessary precaution in dealing with SGP Dragon Trading Corp. or its representatives,” the SEC said.
Those who act as salesmen, brokers, dealers, or agents of the companies could be held criminally liable under the Securities Regulation Code, with a maximum fine of P5 million and up to 21 years of imprisonment or both. — Arra B. Francia
