The Securities and Exchange Commission (SEC) has recently issued an advisory (as seen below) on NEXTGEN GLOBAL ALLIANCE CORPORATION (NEXTGEN), warning the public of the individuals and groups involved in such activities. The advisory defines the activities behind the scheme, and advises the public to take extreme precautions in joining or investing in these groups.
In support of this view, Coins.ph does not endorse or is affiliated in any way with such activities or products. Moreover, we have a zero tolerance policy on fraudulent activities and potentially scamming practices. In a separate article, we have enumerated tips on how you can avoid investment schemes and other online scams. We urge our customers to be extra diligent with their funds and to act within our User Agreement.
Based on the information gathered by the Commission, the entities operating under the names, NEXTGEN GLOBAL ALLIANCE CORPORATION (NEXTGEN) and NEXTGEN ORGANIC FARMERS COOPERATIVE (NOFACO), operated by Reynate C. Lascoňa, Miralyn A. Yasol, Rene C. Lascoňa, Arvin M. Evangelista, and Shirly A. Pareňas, with principal office at No. 381, Jade St. corner Topaz St., Gem Village, Ma-a, Davao City and a satellite office at Unit 1401, 14th floor, AIC Burgundy Empire Tower corner Garnet Road, ADB Ave. Ortigas Center, 1800 Pasig, are engaged in investment-taking activities not authorized by the Commission.
Primarily, NEXTGEN and NOFACO appears to be engaged in the manufacturing, distributing, and/or selling of health and wellness products, fertilizers, and other livestock solutions but also uses their Facebook pages as a marketing tool in proliferating their investment taking activities.
As posted online, NEXTGEN and NOFACO offers a number of investment packages guised as franchise programs. These includes the Bronze, Silver, Gold, and Platinum Packages with corresponding profit sharing and other incentives such as:
- Car, house and lot, and travel incentives;
- Upline Support Bonuses;
- Leadership Bonuses;
- Group Sales Rebates or Unilevel Bonuses;
- Matching Point Bonuses; and 6. Direct Selling Bonuses.
Other investment packages are also offered for as low as One Hundred Pesos (Php 100.00) per day with a return of Seventy-Two Pesos (Php 72.00) after Ten (10) days.
NEXTGEN and NOFACO even promise a higher profit with the introduction of their FAST TRACK BOOSTER PROGRAM which promises a return of Twenty-Eight Thousand Pesos (Php 28,000.00) after Twenty-Five to Thirty (25-30) days for an initial investment of Two Thousand Pesos (Php 2,000.00). To illustrate:
Basically, investors are offered One Thousand Three Hundred Percent (1,300%) interest per month or a total of Fifteen Thousand Six Hundred Percent (15,600%) interest annually.
Based on the foregoing, the scheme of NEXTGEN and NOFACO involves the offering and sale of securities, in the form of investment contracts, to the public where investors are deemed investing in a common enterprise without the need to exert any effort other than to invest or place money in the said companies in order to earn.
Hence, Section 8 of the Securities Regulation Code (SRC) requires that all offers and sales of securities, including those involving digital assets, must be duly registered with the Commission and that the concerned corporation and/or its agents have appropriate registration and/or license to sell such securities to the public.
Per record of the Commission, only NEXTGEN is registered as a corporation under Company Registration No. CS201431624 but is not authorized to undertake business activities requiring a secondary license from the Commission in accordance with Sections 8 and 28 of the SRC.
NOFACO, on the other hand, has no record of prior registration and/or authorization from the Commission to likewise engage in the aforementioned purposes.
The public is advised to exercise extreme caution in dealing with any individuals or group of persons acting or soliciting investments for and on behalf of NEXTGEN and NOFACO or any entities engaged in similar investment solicitation activities.
The public must be wary that such dealings may be Ponzi schemes guised as investment contracts that promises ridiculous rates of return with little or no risk.
Those who act as salesmen, brokers, dealers or agents of NEXTGEN and NOFACO in selling or convincing people to invest in the investment scheme being offered by these entities including solicitations and recruitment through the internet
may likewise be prosecuted and held criminally liable under Section 28 of the SRC and penalized with a maximum fine of Five Million pesos (P5,000,000.00) or penalty of Twenty-one (21) years of imprisonment or both pursuant to Section 73 of the SRC.
Also, those who invite or recruit others to join or invest in such venture or offer investment contracts or securities to the public may incur criminally liability, or otherwise be sanctioned or penalized accordingly as held by the Supreme Court in the case of Securities and Exchange Commission vs. Oudine Santos (G.R. No. 195542, 19 March 2014).
The names of all those involved will also be reported to the Bureau of Internal Revenue (BIR) so that the appropriate penalties and/or taxes be correspondingly assessed.
Should you have any information regarding any investment solicitation activity by any individual or group of individuals representing NEXTGEN and NOFACO, please call the Enforcement and Investor Protection Department (EIPD) at telephone number (02) 8818-6047 or send your report to the EIPD at email@example.com.
For the guidance of the public.
Pasay City, 12 March 2020.