The Securities and Exchange Commission said it moved closer to putting the officers and promoters of Kapa-Community Ministry International behind bars with the filing of criminal charges against them.
“We are committed to see the criminal proceedings against KAPA through to the end,” SEC chairperson Emilio Aquino said in a statement.
“We will pursue everyone involved in the investment scam that played havoc with the future of our fellow Filipinos, including those who continue to attempt to perpetuate it,” Aquino said.
The criminal proceedings stemmed from the complaint filed by the SEC on June 18, 2019 against KAPA for alleged unauthorized sale or offering for sale or distribution of securities to the public.
It said KAPA enticed the public to invest at least P10,000 in exchange for a 30-percent monthly return for life, without having to do anything other than invest and wait for the payout. The SEC said KAPA allegedly employed a Ponzi scheme, an investment program that offers impossibly high returns and pays investors using the money contributed by later investors.
The SEC said the Department of Justice filed separate charges with the Bislig City Regional Trial Court Branch 29 against KAPA founder and president Joel Apolinario, trustee Margie Danao and corporate secretary Reyna Apolinario for alleged violations of Sections 8(8.1), 26.1 and 28 of Republic Act No. 8799 or the Securities Regulation Code (SRC).
The DOJ also indicted Marisol Diaz, Adelfa Fernandico, Moises Mopia and Reniones Catubigan for alleged violation of Section 26.1 of the SRC.
It accused KAPA of “willfully, unlawfully and criminally” engaging in the selling or offering for sale or distribution of securities to the public without a registration statement duly filed with and approved by the SEC.
The DOJ also sued Diaz before the Rizal Regional Trial Court for alleged violation of Section 28. It filed similar informations against Mopia and Fernandico with the Quezon City Regional Trial Court Branch 93.
“The concerned judges, upon finding of sufficient probable cause for the issuance of warrants of arrest, shall order the arrest of the indicted officers and promoters of KAPA, in accordance with the Revised Rules of Criminal Procedure,” the SEC said.
It said a warrant of arrest was issued by the Quezon City Regional Trial Court on Dec. 2, 2019 against Fernandico.