EVEN as Repa (Repa Paluwagan) was declared as a "Ponzi scheme," an official from the Securities and Exchange Commission (SEC) revealed that they had not received a single complaint against its administrators.
SEC-Davao Director Katrina Estares said in a virtual presser that they are monitoring the activities of Repa's administrators, who are illegally soliciting financial transactions.
Estares admitted that it is difficult to monitor Repa’s transactions since it is conducted in secret through online group chats.
"Walang dumulog pa sa kanilang tanggapan para magreklamo about sa Repa. Patago ito at hindi lantaran (No one is going to our office to file a complaint against Repa. Their transaction is done privately) unlike previous schemes," the SEC official said.
She added, "Repa is enticing people na sumali sa kanila (to join) through group chat or mga (through) PMs [personal message] kaya mahirap i-monitor (that is why it’s hard to monitor them)."
Estares said they already sought the assistance from the Davao City Anti-Scam Unit (ASU) to follow-up on the complaints.
"Dahil walang nagko-complain sa office [SEC-Davao] (Since no one is filing a complaint to our office), so we are asking Anti-Scam Unit for assistance kung ano na ang nangyayari (what is happening)," she said.
The SEC official said they are asking the public's cooperation in stopping the proliferation of illegal investment schemes.
"Tulungan lang ito para ma-stop itong mga scams. Kung hindi man ito ma-stop totally at least mabawasan ang maging biktima nito (Let us help in stopping these scams. If we can’t stop it, at least we could lessen the number of victims)," Estares said.
SEC declared Repa a Ponzi scheme and "does not appear as a registered corporation or partnership" on October 13, 2021,
SEC issued an advisory after receiving reports and inquiries from the public asking whether Repa's operations in Bohol, Davao, Bukidnon and Cebu are registered with the Commission and if it can solicit investments from the public.
The commission said that based on reports, the persons behind the scheme acting as “administrators” (admins) and “sellers” communicate with their victim-buyers through Facebook, Messenger or other chat groups and personal transactions and offering them “limited slots” for investment packages, where one may invest P50,000 promising a return of P20,000 or an equivalent of 40 percent interest rate of return in just a short period of two weeks.
"For the information and guidance of the public, Repa/Repa Paluwagan does not appear as a registered corporation or partnership," the agency said.
SEC added "it is not authorized to solicit investments/placements from the public nor to issue investment contracts and other forms of securities since it has not secured prior registration and/or license from the Commission as prescribed under Sections 8 and 12 of the Securities Regulation Code."
Repa's "lack of juridical personality and registration pertaining to its securities with the Commission make its activities illegal, fraudulent and injurious to the investing public," SEC said.
The agency advised the public not to invest or stop investing in any scheme offered by Repa without prior registration from the commission.
Administrators and persons behind the operation of such institutions can be criminally prosecuted and penalized with a maximum fine of P5 million or a penalty of 21 years of imprisonment or both pursuant to Sections 28 and 73 of the Securities Regulation Code.