FMD Logistics Trucking Corp./FMD Logistics International Corp.

September 2, 2021 ENFORCEMENT AND INVESTOR PROTECTION DEPARTMENT SEC ADVISORY The Commission has received numerous reports and inquiries that FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION headed by JOHN EDWARD OBATAY VICTORIO, MARK ANTHONY BALLESTEROS and RONEL JOVEN LAPIRA is engaged in investment-taking activities in the Philippines which is NOT AUTHORIZED by the Commission. FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION is apparently offering a business opportunity where a prospective investor will make an initial investment of P11,000.00 to P315,000.00 with a promise of profit of up to 55% in just 6 months . FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION advertise their investment taking scheme through their Facebook page where they offer four types or levels of initial investment. As each level increases, the amount of initial investment as well as the promised profit also increases. To wit: Based on the foregoing, FMD LOGISTICS TRUCKING CORPORATION's so-called co-partnership program is an investment contract because it involves the offering and sale of securities to the public where their investors need not exert any effort other than to invest or place money in its scheme in order to earn profit. Briefly, an "investment contract" exists when there is an investment or placement of money in a common enterprise with a reasonable expectation of profits to be derived from the efforts of others which are prominent on FMD LOGISTICS TRUCKING CORPORATION's scheme. Therefore, FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION must not only be duly registered with the Commission and that any person or entity intending to offer and sell its investment contract are required to secure the necessary registration and/or license from the Commission as well. However, per our record, FMD LOGISTICS TRUCKING CORPORATION is NOT REGISTERED with the Commission as a corporation, while FMD LOGISTICS INTERNATIONAL CORPORATION is registered under Company Registration No. 2021010005900-01. NONETHELESS, BOTH OF THEM OPERATE WITHOUT THE NECESSARY LICENSE AND/OR AUTHORITY to solicit, accept or take investments/placements from the public nor to issue investment contracts and other forms of securities defined under Section 3 of the Securities Regulation Code (SRC) . Hence, the public is advised NOT TO INVEST or STOP INVESTING in any scheme offered by FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION or such other entities engaged in investment-taking schemes such as co-partnership and co-ownership programs that are not registered with the Commission. The public is again reminded that investing in such an unregulated entity lacks investor protection because it is not covered by prudential and market conduct requirements applicable to licensed and authorized operations. Accordingly, the Commission warns all unscrupulous individuals and/or entities that strict penalties are imposed for violations of the Securities Regulation Code, the Revised Corporation Code, and such other rules and regulations enforced by the Commission . Those who act as salesmen, brokers, dealers or agents of such unauthorized entities like the operators of the Facebook Page of FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION in selling or convincing people to invest in their investment scheme offered including solicitations and recruitment through the internet may likewise be criminally prosecuted and penalized with a maximum fine of Five Million pesos (P5,000,000.00) or a penalty of Twenty-one (21) years of imprisonment or both pursuant to Sections 28 and 73 of the SRC. In the same manner, those who invite or recruit others to join or invest in such venture or offer investment contracts or securities to the public similar to the operators of the FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION , may incur criminal liability, or otherwise be sanctioned or penalized accordingly as held by the Supreme Court in the case of SEC vs. Oudine Santos (G.R. No. 195542, 19 March 2014). Should you have any information regarding any investment solicitation activity by any individual or group of individuals representing FMD LOGISTICS TRUCKING CORPORATION/FMD LOGISTICS INTERNATIONAL CORPORATION please send your report to the EIPD at [emailprotected]. For the guidance of the public. Pasay City, September 2, 2021.