SEC-EIPD Advisory

August 31, 2020 ENFORCEMENT AND INVESTOR PROTECTION DEPARTMENT SEC ADVISORY The Commission has received reports that there has been a proliferation of paramilitary/pseudo-law enforcement civic-oriented organizations-associations in the Philippines without authority and deputation from the Philippine National Police (PNP), Armed Forces of the Philippines (AFP), Philippine Center on Transnational Crime-INTERPOL National Central Bureau Manila and the United Nations (UN) and its affiliates or other relevant government agencies or international organizations. Based on the investigation conducted by the Department, these individuals or entities appear to have been using military affiliations/positions and appropriating military ranks to engage in activities or undertakings pertaining to the functions/mandates of the PNP, AFP, INTERPOL, the United Nations (UN) and its affiliates. It must be emphasized that some of these entities are flaunting their SEC registration as a non-stock corporation to lend a color of legitimacy to their operations, while others are not registered with the Commission at all. Based on the investigation conducted by the Commission common identification from these entities is the use of the following badge in their uniform: Other badges, logos, insignias, symbols, emblem or coat-of-arms used by these entities are the following: The Commission informs the public that the Certificate of Registration as a corporation does not grant a license or authority to conduct these paramilitary activities without approval from the relevant government agencies. These activities or functions are outside the scope that can be conferred by the Revised Corporation Code of the Philippines or by the Commission, nor can their paramilitary/law-enforcement activities be considered as incidental to or part of their express powers as corporations. Further, the certificate of registration issued by this Commission cannot confer rights or authority to use the name and logo of the UNITED NATIONS, INTERPOL and other international organizations . The use thereof is subject to the consent/authority of these international organizations. Neither can the certificate of incorporation be used to create another form of government, state or international organization. Considering that these acts and practices blatantly constitutes misrepresentation and could advance fraudulent purposes or can be reasonably expected to cause significant, imminent, and irreparable danger or injury to public safety and welfare, the public is hereby warned that the Commission shall not tolerate the use of the corporate vehicle in proliferating these kinds of paramilitary activities/scheme . The Commission shall not hesitate to impose corresponding penalties under the Revised Corporation Code for violations committed by these corporations, without prejudice to liabilities individuals representing these corporations/entities may face for violations of the Revised Penal Code of the Philippines. The public is hereby advised to exercise caution in dealing with these entities or persons purporting to be its representatives or supporters of such activities. Should you have any information regarding these entities, please send your report to the ENFORCEMENT AND INVESTOR PROTECTION DEPARTMENT (EIPD) at [emailprotected] . For the guidance of the public. Pasay City, August 31, 2020.