The Securities and Exchange Commission (SEC) said Wednesday it revoked the registration papers of Bagong Bansang Maharlika (BBM) International Inc. for operating as a non-government organization (NGO) without the necessary licenses, while using the president’s name to lure members.
It said in an order dated Nov. 14, BBM International was found to have been collecting membership fees from residents of various local communities, promising to provide food security, free education, free hospitalization, cash assistance and livelihood to all Filipinos aged one year and above worldwide.
The SEC said while BBM International is a duly registered corporation with the SEC, its activities such as coordinating welfare programs and collecting investments require secondary licenses from the appropriate government agencies.
It said the NGO’s modus operandi violated Section 44 of Republic Act No. 11232, or the Revised Corporation Code (RCC), which provides that no corporation should possess or exercise corporate powers other than those conferred by the RCC or by its articles of incorporation (AOI).
The SEC said BBM International is only allowed to exercise powers inherent to its existence as provided in the RCC and those conferred in its AOI.
Dealings which are irrelevant to the purposes mentioned in its AOI are considered unauthorized, it said.
“These activities were clearly ultra vires acts or acts beyond the corporation’s authority. Evidently, [BBM International]’s SEC registration was obtained only for the purpose of giving a semblance of legitimacy to the corporation and that the corporation’s activities were sanctioned by the government,” the order read.
The SEC said BBM International has also been found to be using President Ferdinand Marcos Jr.’s image as part of its marketing materials, creating a false impression that its programs are legitimate and sanctioned by the current administration.
“Worse, the use of the President’s picture in the identification cards, tarpaulins and other materials and paraphernalia of [BBM International] was done with palpable intent to mislead and deceive the public that the activities undertaken by the corporation are legitimate and are sanctioned by or with the imprimatur of the President or the Marcos administration,” according to the order.