Recharging and Tasking Scam

July 12, 2022 ENFORCEMENT AND INVESTOR PROTECTION DEPARTMENT SEC ADVISORY This ADVISORY is prompted by reports and information gathered by the Commission concerning the activities of individuals or group of persons enticing the public through social media platforms or through their own independent websites, to invest in their platform in a scheme known as " RECHARGING AND TASKING SCAM ." Based on the information gathered by this Commission, RECHARGING AND TASKING SCAMS are conducted as follows: Individuals or group of persons are posting their scheme or modus operandi in their independent websites. They offer purported online jobs through their E-Commerce Platforms like grabbing orders as the identified task. Then they will discus/introduce to investors that the latter can also invest in the said platform by registering/enrolling first through their platforms. Investors then choose from any PACKAGES, LEVELS or VIP Levels ranging from Php100.00 up to Php50,000.00 and simply "Recharge" or pay, deposit or remit money. The investor can earn 2% up to 8% commission rate/bonus and the investor can also earn through invitation reward amounting to Php10,000.00 to Php100,000.00, depending on how many they will be able to invite or those eventually availing of the said packages, levels or VIP levels. These individuals or group of persons are using/copying the E-Commerce Platforms of known online players such as AMAZON, SHOPEE, LAZADA, EBAY and the like and they pretend that they are connected with these entities by presenting I.Ds. and DTI Certificates of Authorization. This kind of scam will last just up to a month. Thereafter, the websites or links used by perpetrators for operation cannot be accessed anymore. Then these individuals or group of persons will change the name of their entities and websites. RECHARGING AND TASKING SCAMS involve the offering and sale of securities in the form of "investment contracts" as defined under Section 3.1 of the Securities Regulation Code. An investment contract exists in RECHARGING AND TASKING SCAMS as there is an investment or placement of money (minimum amount of Php100.00 to a maximum of Php50,000.00 pesos) in a common enterprise with a reasonable expectation of profits to be derived from the efforts of others. As such, the Securities Regulation Code (SRC) requires that said offer and sale of securities must be duly registered with the Commission and that the concerned entity and/or its agents should have the appropriate registration and/or license to sell such securities to the public. Further, RECHARGING AND TASKING SCAMS , shows indication of a possible "Ponzi Scheme" where monies from new investors are used in paying "fake profits" to prior investors and is designed mainly to favor its top recruiters and prior risk takers and is detrimental to subsequent members in case of scarcity of new investors. The offering and selling of securities in the form of investment contracts using the "Ponzi Scheme" which is fraudulent and unsustainable, is NOT a registrable security. The Commission will not issue a License to Sell Securities to the Public to persons or entities that are engaged in this business or scheme. In view thereof, the public is hereby advised to NOT TO INVEST or STOP INVESTING in this RECHARGING AND TASKING SCAMS and its representatives . Those who act as salesmen, brokers, dealers or agents of RECHARGING AND TASKING SCAMS , in selling or convincing people to invest in the aforementioned investment scheme including soliciting investments or recruiting investors through the internet may be held criminally liable under Section 28 of the SRC and penalized with a maximum fine of Five Million Pesos (Php5,000,000.00) or imprisonment of Twenty One (21) years or both pursuant to Section 73 of the SRC (SEC vs. Oudine Santos, G.R. No. 195542, 19 March 2014) . Furthermore, the names of all those involved will be reported to the Bureau of Internal Revenue (BIR) so that the appropriate penalties and/or taxes be correspondingly assessed. Should you have any information regarding the operation of these RECHARGING AND TASKING SCAMS , and its representatives, please send your report through email at [emailprotected] . For the information and guidance of the public. Makati City, July 12, 2022.