DTI reiterates warning on quick-rich schemes

CEBU, Philippines — The Department of Trade and Industry (DTI) has reiterated its warning to the public to be cautious about quick-money investment lures following the controversy surrounding

Kapa-Community Ministry International Inc. (Kapa) after it was ordered close by no less than President Duterte.

DTI Secretary Ramon Lopez said investments that promise “too good to be true” returns should be questioned and not patronized.

Despite the constant warning from the government to be cautious of quick-money scheme, a lot of Filipinos are still falling prey to these illegal activities due to greed, and the desire to get rich instantly.

The only cultural revolution can put a stop on people from falling into these financial scams, he said is to change the mindset that money is earned through hard work.

The secretary further explained that as an entity to operate investment activities, it should seek proper permits from the Securities and Exchange Commission (SEC) or if it is a bank, it should need the Bangko Sentral ng Pilipinas’ (BSP) approval.

While the government only has to warn people of illegal activities, such as investment scams Lopez said it takes a change of mindset and attitude for people not to be easily lured of quick money making offers.

Kapa’s founder Pastor Joel Apolinario was already challenged by the law enforcement agencies to “show the numbers” and prove how he can sustain delivery of the promised 30% monthly return for life.

For six years now, Kapa has been enticing its members to make a donation of P10,000 to P2 million.

Meanwhile, SEC announced over the weekend that it has secured more than P100 million worth of assets linked to Kapa under a freeze order issued by the Court of Appeals.

Besides bank deposits, the freeze order also covers insurance policies, cryptocurrency holdings and other assets, the SEC said.

The SEC said it secured the freeze order on June 4 through the Anti-Money Laundering Council, and added that it is also working on securing other Kapa assets. (FREEMAN)