Wealthness AM Global Corp.

July 2, 2020 SEC ADVISORY Based on the information gathered by the Commission, a number of individuals or group of persons claiming to represent WEALTHNESS AM GLOBAL CORPORATION ("WEALTHNESS GLOBAL") headed by Ma. Fatima Espejon Teofilo, are enticing the public to invest their money in said entity. As posted online, WEALTHNESS GLOBAL is offering investments to the public by availing either: Retailer Package (worth Php270.00); Distributor Package (worth Php1,850.00); or Elite Package (worth Php3,600.00). The banner activity of the company is captcha-typing where a member shall be given a batch of captchas (30 captchas per batch) that are required to be solved and shall have an equivalent points ranging from 200 to 350 points. Accordingly, a member shall earn the following: Accumulated Points Equivalent Peso Earnings 10,000 points Php8.00 20,000 points Php20.00 45,000 points Php50.00 90,000 points Php100.00 Such captcha-typing facility is operational for 24 hours a day with only 15 seconds interval, and unlimited as the account is for lifetime. The minimum earning of Php8.00 shall be earned by a member in about 40 minutes. Given the scenario that a member shall perform his bogus captcha typing in such a number of minutes, he shall earn a minimum of Php240.00 per month. And at the maximum earning of Php100.00, a member is only required to do the captcha-typing in just six (6) hours in a day and earn Php3,000.00 in a month. Below are its other ways to earn: 1. Direct Selling A member shall earn up to 50% discount for every product sale. 2. Direct Referral Rewards A member shall earn an unlimited direct referral rewards amounting to Php100.00 for every direct recruit. However, in a different video presentation, a member shall earn the direct referral bonus below. Package Referral Bonus Retailer Php70.00 1st level; Php10.00 2nd to 6th level Distributor Php180.00 Elite Php360.00 3. Super Binary Rewards A member shall earn Php100.00 for every matched 10 points on his/her left and right structure whenever a downline recruits and/or purchases a product. Below are the equivalent points: Recruitment 10 points Lemon Sulfur Soap 1 point Gluta Kojic Soap 1 point Yuki Glutathione 5 points Nensho Slimming Capsule 6 points 4. Leadership Rewards A member shall earn a leadership reward amounting to Php400.00 for his/her every 4th direct recruit. 5. Indirect Rewards A member shall earn an indirect reward amounting to Php5.00 for every recruits up to the 10th level. 6. Distributor Rewards A member shall earn: Php180.00 whenever he/she recruits members who avail of the Distributor Package; and Php360.00 whenever he/she recruits members who avail of the Elite Package. 7. Cycle Rewards A member shall earn cycle rewards amounting to Php150.00 per matched point on his/her structure. Package Equivalent Point Maximum Pairing per day Maximum Earning per day Distributor 1 20 pairs Php3,000.00 Elite 2 30 pairs Php4,500.00 8. Leveling Cycle Rewards A member shall earn a leveling cycle rewards amounting to Php400.00 from 1st level up to the 10th level. 9. Pass Up Rewards A member shall earn a pass up rewards amounting to Php50.00 for every first two distributor starting from the 4th distributor. 10. Profit Sharing A qualified member shall be entitled to a proportionate share from the 10% earnings from the package and product sales of the company. Member Type Requirement No. of share Distributor With at least 5 direct distributors 1 share Elite With at least 3 direct distributors 2 shares 11. Team Products Sales Rewards A member shall earn from the repeat purchase orders [1 point value (PV) = P1.00]. Below are the respective equivalent PV for each product. Yuki Glutah 10 PV Nencho Slimming Capsule 12 PV Glutha Kojic Soap 2PV Lemon Sulfur Bar 2 PV Note: To be entitled, a member must maintain 50-point value every month. Available only for Distributor and Elite Packages. There are schemes 1 involving the sale of securities to the public, the Securities Regulation Code (SRC) requires that these securities are duly registered and that the concerned corporation and/or its agents have appropriate registration and/or license to sell such securities to the public pursuant to Section 8 of the SRC. Per records of the Commission, WEALTHNESS AM GLOBAL CORPORATION is registered with the Commission as a corporation with a primary purpose of: "To engage in the business of buying, selling, and importing of food supplement, cosmetics, and electronic gadgets. Provided that the corporation shall not solicit, accept or take investments/placements from the public neither shall it issue investment contracts. " (emphasis ours) Corollarily, such registration specifically prohibits the company TO ISSUE, SELL OR OFFER FOR SALE TO THE PUBLIC, SECURITIES x x x without a prior Registration Statement approved by the Securities and Exchange Commission; nor to undertake business activities requiring a Secondary License from this Commission x x x and verily, the corporation has not secured prior registration and/or license from the Commission as prescribed under Sections 8 and 28 of the SRC. Hence, those who act as salesmen, brokers, dealers or agents or claim to act as such for WEALTHNESS AM GLOBAL CORPORATION in selling or convincing people to invest in the investment scheme being offered by said entity including solicitations and recruitment through the internet may be prosecuted and held criminally liable under Section 28 of the SRC and penalized with a maximum fine of Five Million pesos (P5,000,000.00) or penalty of Twenty-one (21) years of imprisonment or both pursuant to Section 73 of the SRC. Also, those who invite or recruit others to join or invest in such venture or offer investment contracts or securities to the public may incur criminal liability, or otherwise be sanctioned or penalized accordingly as held by the Supreme Court in the case of Securities and Exchange Commission vs. Oudine Santos (G.R. No. 195542, 19 March 2014). 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 WEALTHNESS AM GLOBAL CORPORATION and to exercise caution in dealing with any individuals or group of persons soliciting investments for and on behalf of it. Violators are further warned that aside from the strict penalties imposed by the Commission for violations of the Securities Regulation Code, the Revised Corporation Code, and such other rules and regulations it enforces, the Bayanihan to Heal as One Act (Republic Act No. 11469) also punishes those participating in cyber incidents that make use or take advantage of the current crisis situation to prey on the public through scams, phishing, fraudulent emails, or other similar acts. Should you have any information regarding the operation of the subject entity, please call the Enforcement and Investor Protection Department at telephone numbers (02) 8818-6047 or send your report to the EIPD at [emailprotected] . For the guidance of the public. Pasay City, July 2, 2020. Footnotes 1. Others were possibly a violation of Section 53 of the Consumer Act of the Philippines (R.A. 7394) prohibiting the use of "chain distribution schemes."