THE Seashore Beach Club, Inc., a company that sells membership shares, has entered into a settlement agreement with the Securities and Exchange Commission (SEC), the corporate regulator said.
The settlement comes after the commission in July 2020 issued an advisory against Seashore, warning the public against investing as it did not have a secondary license to sell shares of the membership beach club.
In Nov. 2020, Seashore submitted to the SEC a settlement offer amounting to P3.67 million, which is equal to 50% of the imposable penalty for its unauthorized investment solicitation activities.
The settlement offer was approved by the commission the following month.
“The approved proposal of Seashore states that the 30% down payment shall be paid immediately upon approval of the offer of settlement. The remaining 70% balance of the approved settlement offer amounting to P2,545,000.00 shall be paid in 6 equal monthly installments through the issuance of post-dated checks (PDCs) dated every last Monday of the month,” the commission said.
Seashore completed the 30% downpayment of the settlement agreement on Feb. 9, which amounted to P1.13 million. The balance will be paid through monthly payments of P424,166.67 from March until August this year.
The agreement will be effective once Seashore fully pays the amount due and upon the announcement of the SEC on its official website, the commission said.
“The above-captioned case is now deemed settled without determination of guilt on the part of The Seashore Beach Club, Inc. Accordingly, the SEC advisory issued against The Seashore Beach Club, Inc. is hereby lifted,” the SEC said.
BusinessWorld sought a comment from Seashore officials regarding the development, but representatives have not replied as of press time.
However, a resort manager said on a phone call on Sunday morning that the selling of the company’s shares will resume once the commission gives Seashore a certification. — Keren Concepcion G. Valmonte
