The Securities and Exchange Commission (SEC) is urging the public not to engage with Bagong Bansang Maharlika (BBM) International Inc., a group whose corporate registration has already been revoked due to its illegal solicitation of investments.
The Commission reiterated this warning after finding that BBM International continued its operations in certain parts of Visayas and Mindanao, despite the issuance of a revocation order from the SEC Enforcement and Investor Protection Department as early as November last year.
BBM International’s corporate registration was revoked due to its collection of membership fees from residents, promising to provide food security, free education, free hospitalization, cash assistance, and livelihood to all Filipinos one year and above worldwide, the SEC said in a statement Aug. 10.
It also made use of President 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.
BBM International’s actions are in violation of Section 44 of Republic Act 11232, or the Revised Corporation Code (RCC), which provides that no corporation shall possess or exercise corporate powers other than those conferred by the RCC or by its articles of incorporation.
The SEC issued an advisory against BBM International as early as Aug. 28, 2023, warning the investing public to exercise caution when dealing with the group.
Those who act as salesmen, brokers, dealers or agents, representatives and promoters of unauthorized investment activities may be held criminally liable under Section 11 of RA 11765, or the Financial Products and Services Consumer Protection Act, as well as under Section 28 of RA 8799, or the Securities Regulation Code, which are penalized separately up to P5 million, or imprisonment of up to 21 years, or both, the SEC stressed. ||
