The Securities and Exchange Commission (SEC) has recently issued an advisory (as seen below) on MAXI TRENDY SALES CORPORATION, TRENDY UNLIMITED TRADING CORPORATION or “TRENDY”, 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 MAXI TRENDY SALES CORPORATION, TRENDY UNLIMITED TRADING CORPORATION or “TRENDY” are enticing the public to invest/subscribe their money in said entities.
Remarkably, Trendy promises that a member paying an entry fee of P750 for the Starter Package or P1,500 for Gold Package can earn 100 to 1500 per day and up to 45,000 per month of commission bonus.
Investigation disclosed that members of the organization are directed to use and create an account in its website: https://trendy.com.ph/main/home. Below are the ways to earn:
1. By watching videos and earn bonus (500Php):
a. Starter package allows a member to watch 10 videos per day, 10 pesos per 1 minute video. P100 per day x 5 days = Php 500.
b. Gold package allows a member to watch 10 videos per day, 10 pesos per 1 minute video. P100 per day x 10 days = Php 1,000. (soon unlimited/no expiration)
2. Global profit sharing. To enjoy, a member has to reach P3,000 from 10% repeat order profit share, 5% Upline Support, 5% Downline Support and 5%Crossline support
3. Direct referral
4. Pairing Bonus
5. Reactivation Referral Bonus/ Unlireferral commission
Examination of its “watch & earn” scheme shows that a member is required to use and log at https://trendy.com.ph/. Thereafter, to earn, members are directed to watch TRENDYCorp.TV Youtube channel videos where they are instructed not to skip an advertisement in order for the company to earn and be paid by Youtube.com.
Evidently, what was being offered by the company is actually the potential of earning income, ultimately through direct recruitment or through recruitment of others. The income that is promised to its investors or the expected profit of the investors does not come from the outcome of a legitimate business activity.
Further, the aforementioned schemes involve the sale of securities to the public, the Securities Regulation Code (SRC) requires that these securities are duly registered 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 verification records of the Commission showed that MAXI TRENDY SALES CORPORATION is not registered with this Commission either as a corporation or as a partnership.
Meanwhile, TRENDY UNLIMITED TRADING CORPORATION is registered with the Commission with SEC Registration No. CS202003930 issued on 27 May 2020. Said certificate clearly states that: “THIS CERTIFICATE DOES NOT AUTHORIZE INVESTMENT SOLICITATION AND INVESTMENT-TAKING WITHOUT A SECONDARY LICENSE FROM THIS COMMISSION.”
Records of the Commission showed that MAXI TRENDY SALES CORPORATION and TRENDY UNLIMITED TRADING CORPORATION have not been issued secondary license by this Commission.
Hence, those who act as salesmen, brokers, dealers or agents or claim to act as such for MAXI TRENDY SALES CORPORATION and TRENDY UNLIMITED TRADING CORPORATION 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 MAXI TRENDY SALES CORPORATION and TRENDY UNLIMITED TRADING CORPORATION 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 firstname.lastname@example.org.
For the guidance of the public.
Pasay City, 23 July 2020.