THE Securities and Exchange Commission (SEC) has issued a warning to the public not to invest in individuals or groups representing 727-Tycoon/1Tycoon as it is not registered.

“The public is advised not to invest or stop investing in any investment scheme being offered by any individual or group of persons allegedly for or on behalf of 727-Tycoon/1Tycoon and to exercise caution in dealing with any individuals or group of persons soliciting investments for and on behalf of it,” it said in an advisory on Monday.

The SEC said 727-Tycoon/1Tycoon is masking itself as a marketing company offering four investment packages, but its operations are not authorized by the commission as it is not registered as a corporation nor partnership and does not have a license to solicit investments.

In a publicity material attached on SEC’s advisory, “1Tycoon Online Shop” called itself a “hybrid and innovative multilevel marketing company” that offers investment packages for as low as P500 and as high as P16,888.

Under the scheme, investors are asked to register and then purchase an “Activation Package” for rewards. Some of the products included in the packages are whitening soap, perfume, alkaline drops and moringa products.

It promises investors passive income from the pool of investments it collects. If they are able to recruit others, it promises to provide bonuses such as mobile phones, laptop, motorcycle, travel and tour packages, car and house and lot.

“Per record of the Commission, 727-Tycoon/1Tycoon is not registered either as a corporation or partnership. Further, it is not authorized to solicit investments from the public since it has not secured prior registration and/or license from the Commission…,” it said.

Anyone who acted or is acting as salesman, broker, dealer or agent in behalf of 727-Tycoon/1Tycoon may be penalized with a maximum fine of P5 million or 21 years of imprisonment, or both. The SEC said they may also incur criminal liability. — Denise A. Valdez

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