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In another wave of advisories sent out by the Securities and Exchange Commission (SEC) on December 13, the Commission warned the public against individuals or groups of individuals representing Vertex Evo Trading for unauthorized solicitation of investments.
The SEC has specifically named a certain Carlos Jeff Z. Bayan as the Chief Executive Officer of the said entity, which entices the public to invest in foreign exchange and cryptocurrency trading.
The Commission noted that, as per its database, Vertex is found to not be registered with the SEC as a corporation, OPC, or even a partnership. Accordingly, the entity does not have any SEC-issued license or permit to sell or offer securities to the public or to conduct any activities regulated by the Commission.
According to the regulatory agency, Vertex entices the public to invest online with an amount ranging from ₱500.00 to ₱500,000.00 for a guaranteed profit of 50%, 100%, and 200% for a ten-day, fifteen-day, and twenty-day investment term, respectively. Aside from investment, Vertex also offers a direct referral bonus and an indirect referral bonus equivalent to 15% and 1%, respectively.
Following these violations, the Commission ruled that the entity is engaged in a fraudulent scheme of offering and selling unregistered securities in the form of investment contracts in violation of Sections 8 and 26 of the Securities Regulation Code:
“Accordingly, the Commission warns all unscrupulous individuals and/or entities that strict penalties are imposed for violations of the Securities Regulation Code, the Revised Corporation Code of the Philippines, and such other laws, rules, and regulations enforced by the Commission.”
Likewise, the SEC warned those who act as salesmen, brokers, dealers, agents, representatives, promoters, recruiters, uplines, influencers, endorsers, and enablers of Vertex Evo Trading and Bayan may be prosecuted and held criminally liable under Section 28 of the SRC and penalized with a maximum fine of ₱5,000,000 or a penalty of 21 years of imprisonment or both pursuant to Section 73 of the SRC (G.R. No. 195542, 19 March 2014).
“In view thereof, the public is advised not to invest or stop investing in any investment scheme being offered by Vertex Evo Trading vis-à-vis Carlos Jeff Z. Bayan as well as to any other entities having the same or similar schemes, and to exercise caution in dealing with any individuals or group of persons soliciting investments or recruiting investors for and on behalf of Vertex Evo Trading vis-à-vis Carlos Jeff Z. Bayan,” the Commission reminded through a media release.
Currently, the SEC still seeks specific regulations regarding digital assets in the Philippines. Last September, the SEC (as well as the Bangko Sentral ng Pilipinas (BSP)) asked the Senate to draft legislation addressing these issues and loopholes within the current regulations. (Read more: SEC: Law Focusing on Digital Assets Needed)
Find more SEC advisories here: https://bitpinas.com/tag/sec-advisory/
This article is published on BitPinas: SEC Releases Public Advisory vs Vertex Evo Trading for Soliciting Public to Invest in Forex, Crypto Trading Without Proper License
Disclaimer: BitPinas articles and its external content are not financial advice. The team serves to deliver independent, unbiased news to provide information for Philippine-crypto and beyond.