SEC Warns Public Against Recharging and Tasking Scams
The Securities and Exchange Commission (SEC) warns the public against Recharging and Tasking Scams where individuals or groups of people post their schemes on independent websites.
They lure unsuspecting individuals into the schemes by offering online jobs such as grabbing orders. Afterwards, they inform these individuals that they may also invest in several packages or levels which range from PHP 100 to PHP 50,000 and then “recharge” or pay, deposit, or remit the money. These investors can then earn a 2% to 8% commission rate or invitation rewards amounting to PHP 10,000 to PHP 100,000.
The individuals behind these schemes often pretend that they are connected with known e-commerce platforms like Amazon, Shopee, Lazada, or eBay by presenting fake IDs and Certificates of Authorization. Often these scams last up to a month and afterwards pack up their operations by making their websites and links inaccessible.
More importantly, the SEC has warned that these schemes show indications of a Ponzi Scheme where money from new investors is used to pay “fake profits” to older investors and top recruiters. As a fraudulent and unsustainable scheme, it is not a registrable security. Salesmen, brokers, dealers, or agents of these scams may be held criminally liable under Section 28 of the Securities Regulation Code (SRC) with a maximum fine of five million pesos (PHP 5,000,000) or imprisonment of 21 years or both pursuant to Section 73 of the Code.
The full advisory can be found here.