DOJ orders filing of raps vs Modesto OPC 

The Department of Justice (DOJ) has ordered the filing of criminal charges against Modesto Cardano Market Cap Tr3ding Services OPC and its officers for soliciting investments from the public without the required registration. This followed a complaint lodged by the Securities and Exchange Commission (SEC).

In a resolution dated Nov. 19, state prosecutors found prima facie evidence to hold Modesto OPC liable for violating Section 8 of Republic Act No. 8799 or the Securities Regulation Code (SRC). This is in relation to Section 6 of Republic Act No. 10175 or the Cybercrime Prevention Act of 2012.

The DOJ said the company illegally offered securities to the public using online platforms.

Also ordered charged were the company’s sole stockholder, director and president Modesto Clidoro Miravalles as well as nominees Tonio Miravalles and Karissa Alviar.

Prosecutors said the officers violated Sections 8 and 28 of the SRC, also in relation to the Cybercrime Prevention Act. The law increases penalties for crimes committed through information and communications technology.

The SEC said its Enforcement and Investor Protection Department began monitoring Modesto OPC in March 2024. This was after the firm failed to submit hard copies of its articles of incorporation.

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Further investigation showed that the company was offering investment opportunities to the public through social media.

Based on the findings, Modesto OPC allegedly offered various investment plans. These include so-called compensation profit and expert plans, promising guaranteed monthly returns of up to 10 percent.

Prosecutors noted that such offers constitute investment contracts, which must be registered with the SEC before being sold to the public.