SEC flags Adscent International scheme
Local regulators warned the public against investing in Adscent International, citing its promise of high returns despite having no authority to offer securities.
In a document posted on its website, the Securities and Exchange Commission (SEC) said it found that the company was supposedly offering investment plans ranging from P1,000 to P30,000.
It then promised unusually high gains of 120 percent, 300 percent and 350 percent for a period of seven days to 15 days.
Investors were also promised to earn 10 percent of the total investment of their referral.
According to the commission, this scheme, in the form of an “investment contract,” was being done via Adscent International’s website or Facebook groups.
It noted that it is considered an investment contract when “an investment or placement of money in a common enterprise with a reasonable expectation of profits to be derived primarily from the efforts of others…”
These securities, as well as agents offering them, must be licensed.
However, the SEC said the firm had no existing registration or permit to implement such investment activities.
“The public is advised not to invest or to stop investing in the investment scheme of Adscent International and its owner,” the SEC said.
Those who act as salesmen, brokers, dealers, recruiters, influencers, endorsers or agents of the company may also be held criminally liable.
If found guilty, they may face a maximum fine of P5 million or be put behind bars for 21 years.
