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Editing by Nathaniel Cajuday
- In another dose of SEC Advisories, the Commission has halted S&C Shamai Cloverleaf Group of Companies Inc., and Camacho Trading due to enticing the public into an investment solicitation, which the law requires to be licensed.
- S&C Shamai Cloverleaf Group of Companies, Inc., consists of Shamai Best Food Hub, Shamai Burger, Shamai Best Pizza, Clover Leaf Realty Development, Clover Leaf Administration of Financial Marketing, Broom Broom Express, and Shamai Tech Computer Trading, is encouraging the public to invest a minimum of ₱10,000.00 for the promise of receiving a guaranteed return of 10% to 25% interest per month.
- While the Commission noted that the offer of Camacho Trading qualifies as an investment contract, which is a kind of security. Prospective investors can put in any amount as there is no minimum investment fee, and in return, Camacho Trading promises a 10% ROI per month.
In line with their continuous efforts to protect Filipino investors against scams and bad actors in the industry, the Securities and Exchange Commission (SEC) recently published advisories against two investment schemes, namely S&C Shamai Cloverleaf Group of Companies Inc., and Camacho Trading.
According to the Commission, these two entities are engaging the public in illegal investment solicitation, as both have not secured the license or necessary documents to do so. The regulatory agency also noted that the entities are enticing the public with high return rates on their initial investments, with most of their advertisements on social media networks.
S&C Shamai Cloverleaf Group of Companies, Inc.
As per the SEC advisory, S&C Shama Cloverleaf Group of Companies Inc. is owned and operated by a certain Glaiza Gutierrez Lopez and Conrad Velasco Hue.
They allegedly have several subsidiaries and affiliated entities, all of which are encouraging the public to invest a minimum of ₱10,000.00 for the promise of receiving a guaranteed return of 10% to 25% interest per month:
- Shamai Best Food Hub
- Shamai Burger
- Shamai Best Pizza
- Clover Leaf Realty Development
- Clover Leaf Administration of Financial Marketing
- Broom Broom Express
- Shamai Tech Computer Trading
The commission noted that the group’s express cargo delivery service, Broom Broom Express, offers a guaranteed return of 25% monthly interest—for a renewable period of six months—for a capital of ₱89,000.00.
While Shamai Tech offers a minimum capital of ₱10,000.00 for an interest rate ranging from 10% to 25% for short-term investments of either 30 or 45 days. Shamai Best Food Hub also offers its co-franchisee program, promising a guaranteed 15% monthly interest.
“The public is hereby informed that S&C SHAMAI CLOVERLEAF GROUP OF COMPANIES INC., including its above-mentioned subsidiaries/affiliate-companies are not authorized to solicit investments from the public, not having secured prior registration and/or license to sell securities or solicit investments as prescribed under Section 8 of the Securities Regulation Code (SRC),” the Commission wrote.
The SEC warning states that this entity brands itself as a business involved in newspaper packaging supplies, trading imported Korean newspapers to be used to wrap vegetables, fruits, dried fish, flowers, and many more.
However, the company still accepts investments. Prospective investors can put in any amount as there is no minimum investment fee, and in return, Camacho Trading promises a 10% ROI per month.
Consequently, the Commission noted that the offer of Camacho Trading qualifies as an investment contract, which is a kind of security. As prescribed by the Securities Regulation Code (SRC), an entity offering such securities is required to be duly registered with the SEC, and the concerned entity and/or its agents should have the appropriate registration and/or license to sell such securities to the public.
“Based on the Commission’s database, CAMACHO TRADING is NOT REGISTERED as a corporation or partnership and OPERATES 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,” the SEC stated.
Accordingly, the public is advised not to invest in or to stop investing in the investment schemes being offered by Camacho Trading, S&C Shamai Cloverleaf Group of Companies Inc., and its representatives.
Aside from financial literacy campaigns and advisories to the public on initiatives of the SEC to stamp out illegal investment-taking activities, the Commission also recently released a draft version of the implementing rules and regulations (IRR) of the Financial Products and Services Consumer Protection Law (Republic Act 11765) that will put stricter penalties on scammers and Ponzi schemes.
This article is published on BitPinas: SEC Flags Down S&C Shamai Cloverleaf Group of Companies, Camacho Trading for Unlicensed Investment Schemes
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