The Securities and Exchange Commission (SEC) has recently issued an advisory (as seen below) on I Earn 01 Trading Inc. or iEarn, 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 not to invest or stop investing in any investment scheme offered by the said entity, its representatives or any entities engaged in schemes which promises ridiculous rates of return with little or no risks.
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, a number of individuals or group of persons claiming to represent I EARN 01 TRADING INC. (“iEarn”) headed by Ms. Madelaine Sakay, are enticing the public to invest their money in said entity.
As posted online, iEarn is offering investments to the public by availing of either its Basic Package worth Php899.00 or Premium Package worth Php1,000.00:
Remarkably, the Php1,000.00 investment shall turn into Php2,200.00 in just twenty (20) days, on top of the other ways to earn.
Below are the ways to earn:
- By watching videos, a basic package shall earn a total maximum of Php1,100.00 in 10 days or a 100% return in 10 days, while a premium package shall earn a total maximum of Php2,200.00 in 20 days or 100% return in 20 days. A member, by watching the very same video earns Php22.00 per video play for a maximum of 5 times per day;
Note: The maximum earning of Php1,100.00 and Php2,200.00 is on a per account basis. A member may avail up to a maximum of 31 accounts.
- By direct selling where a member shall earn 30% discount for every product sale; and
- By direct referral, where a member shall earn an unlimited direct referral bonus equivalent to
10% from the package availed of by his direct recruit, that is, Php90.00 for basic package and
Php100 for premium package. Note: A member shall only be entitled to referral bonus provided that they have availed of the same package.
- By matching where a member shall earn the following sales match bonus for every matched downline in his structure:Note: Upon reaching the maximum pair, a member is required to reactivate his account by paying either Php899.00 or Php1,000.00 according to the package intended to be reactivated.
- By recruitment where a member shall earn unilevel bonus either Php10.00 (for basic) or Php20.00 (for premium) from the recruit of his direct recruit up to the 5th level.
As the aforementioned schemes involve the offer and sale of securities to the public, the Securities Regulation Code (SRC) requires that these securities are 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 pursuant to Section 8 of the SRC.
Per records of the Commission, I EARN 01 TRADING INC. is registered with the Commission as a corporation, however, such registration specifically provides that the same DOES NOT AUTHORIZE INVESTMENT SOLICITATION AND INVESTMENT-TAKING WITHOUT A SECONDARY LICENSE FROM THIS COMMISSION and verily, the corporation has not secured prior registration and/or license from the Commission as prescribed under Sections 8 and 28 of the SRC.
Hence, those who act as salesmen, brokers, dealers or agents or claim to act as such for I EARN 01 TRADING INC. in selling or convincing people to invest in the investment scheme being offered by said entity including solicitations and recruitment through the internet may 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 public is advised NOT TO INVEST or STOP INVESTING in any investment scheme being offered by any individual or group of persons allegedly for or on behalf of I EARN 01 TRADING INC. and to exercise caution in dealing with any individuals or group of persons soliciting investments for and on behalf of it.
Violators are further warned that aside from the strict penalties imposed by the Commission for violations of the Securities Regulation Code, the Revised Corporation Code, and such other rules and regulation it enforces, the Bayanihan to Heal as One Act (Republic Act No. 11469) also punishes those participating in cyber incidents that make use or take advantage of the current crisis situation to prey on the public through scams, phising, fraudulent emails, or other similar acts.
Should you have any information regarding the operation of the subject entity, please call the Enforcement and Investor Protection Department at telephone numbers (02) 8818-6047 or send your report to the EIPD at email@example.com.
For the guidance of the public.
Pasay City, 21 May 2020.