FOR some reason, there has been a recent boom in questionable investment schemes like those of Kapa Community Ministry International (Kapa), Rigen Marketing, and Almamico.
These so-called money-generating firms promise huge returns if you "invest" or "donate" a certain amount to them.
To date, the Securities and Exchange Commission (SEC) has revoked the certificate of corporate registration of Kapa Community Ministry International (Kapa), which was previously registered as a religious organization, for "serious misrepresentation as to what the corporation can do or is doing to the great prejudice of or damage to the general public."
According to SEC, Kapa "soliciting investments to its members is neither essential nor necessary to carry out" its purpose as a religious organization. Kapa promises investors a 30% interest income at the end of the month.
There is also a standing cease and desist order by SEC against Kapa.
Meanwhile, SEC has issued an advisory on Almamico (Alabel-Maasim Small Scale Mining Cooperative)/Alamcco (Alabel-Maasim Credit Cooperative). SEC said "the scheme is to offer 35 percent interest per month of the invested money, a promised interest rate that is too high to sustain their claims that every member will receive as long as the cooperative operates."
In SEC's April 30, 2019 advisory, Almamico/Alamcco is neither registered as a corporation nor as a partnership.
"Thus, not being registered with this Commission as a corporation nor as a partnership, it is with more reason that they are not allowed to offer, solicit, sell or distribute any investment/securities from the public as the same requires a secondary license for such activity," SEC said.
While it has not yet got the attention of SEC, Rigen Marketing was issued a cease and desist order from the Anti-Scam Unit of Davao City for not having a business permit.
All of these schemes claim to provide huge investment returns, which are too good to be true. However, there are also testimonies of those who enjoyed these huge returns.
Wherever you want to invest your money it is up to you. It is your money and you worked hard for it. However, you also have to think about your financial security in the long run. These investment schemes may give you fast money but there are not any safeguards in place to ensure that whatever you invest will return to you if something unfortunate happens to those operating these.
Some of the "investors" of Kapa, Rigen, and Almamico say that they are taking a risk in investing to get the huge returns. The risk may be worth it in the short run but in the long run, it may do more harm than good.
There are legal investments and insurance companies out there that will assure you that whatever you invest in them will grow and you will benefit from it.
It is up to you where you want to invest your money. However, you should be smart where you put it. Better be safe than be sorry.