SEC lifts investor warning vs DV Boer
THE Securities and Exchange Commission (SEC) has lifted its investor warning against DV Boer Farm International Corp. after it agreed on the company’s P3.015-million settlement offer.
In a Jan. 31 order posted on its website, the SEC said it had approved the settlement from the farming investment company and has received a partial payment of P300,000 last week. The remaining P2.715 million must be paid within the next three months.
DV Boer also submitted an affidavit stating it will stop selling investment contracts through its “Paiwi Program” until it obtains a separate registration from the SEC, and it will allow the SEC to send representatives to inspect its farm in Batangas for at least a three-month period.
“…(the) case is now deemed settled without any determination of fault or guilt on the part of DV Boer Farm International Corp.,” the SEC said.
To recall, the SEC issued in April 2019 an advisory against investing in DV Boer as it found the company operating an investment scheme called “Paiwi Program.” It involves goat leasing for dairy and meat, cattle raising, and other similar programs for rabbit and chicken, with packages costing between P10,000 and P2.06 million.
The SEC said the program is not registered with the commission and the company is not authorized to sell securities. Without a secondary license and without registering the securities with the SEC, the company is illegally operating the investment scheme as it violates the Securities Regulation Code.
The SEC initially imposed a P6.03-million fine on DV Boer in November, derived from 578 Paiwi Partners multiplied by P10,000 and five directors multiplied by P50,000. The company filed its first settlement offer in December, which was denied by the SEC in January.
In its second attempt at a settlement, DV Boer explained it cannot pay the original fine because of a “liquidity problem” from difficulty accessing banks and increasing losses as a result of animal deaths in its farm as affected by the Taal Volcano’s eruption.
The SEC then approved in a meeting on Jan. 23 reducing the fine on DV Boer to P3.015 million. The settlement offer is made effective upon public disclosure of the order. — Denise A. Valdez
