The Securities and Exchange Commission (SEC) stated that a cease and desist order for Kapa Community Ministry International, Inc. on Tuesday, February 19 was a necessity to protect the interest of the investing public.
The organization, founded by Joel Apolinario, was registered as an Independent Religious Corporation on March 4, 2017. It has enticed some investors for its KAPA Kabus Padatuon (enrich the poor) program.
The Enforcement and Investor Protection Department (EIPD) of the Commission ordered the petition for revocation of Kapa's Certificate of Incorporation which means that Kapa will be refrained from selling and/or offering for sale of securities with a promise of a 30 percent return of investment monthly.
“The subject entities and individuals are directed to cease from promoting its investment scheme through the internet and delete immediately the promotional presentation of such investment scheme from the websites,” stated in the cease and desist order of the SEC.
“The petitioner EIPD adduced sufficient evidence to support its allegations that Kapa is engaged in offering for sale securities to the public through indiscriminate or random online via videos promoting its investment scheme to potential investor’s without prior registration,” it added.
The Commission warned that Kapa is operating as a fraud if it will continue soliciting investments to the public without license or permit.
“[This] is likely to cause grave or irreparable injury or prejudice to the investing public,” it stated.
Last week, Davao City Mayor Sara Duterte-Carpio warned anew the public about financial scams that promise hefty returns, adding that such scams are not new in the city as there were incidents before of pyramiding scheme.