ZAMBOANGA CITY – The Securities and Exchange Commission (SEC) said that the Department of Justice (DOJ) has filed criminal charges against Silverlion Livestock Trading Corporation and its officers for its unauthorized solicitation of investments from local residents.
In a resolution dated Dec. 2, state prosecutors found probable cause to charge Silverlion Livestock Trading Corporation, its chief executive officer Ryan Cagod Ladoing, incorporator Renan Lara Ladoing its officers and agents identified as Rosemarie Alvarez Guzman, Neña Ewayan Algoy, John Paul Dellara Lopez and Michael Villalobos Berja, for violations of several provisions under Republic Act No. 8799, or the Securities Regulation Code (SRC).
In a statement Tuesday, the SEC sai state prosecutors also found probable cause to charge Ryan Ladoing for violation of Section 28.b.g in relation to Sec. 218.c of R.A. 10591, otherwise known as the Comprehensive Firearms and Ammunition Regulation Act.
“(Silverlion) falsely represented to the public that it is engaged in the business of trading gold and sale of processed meats, beauty products and other products which are in demand in the market to generate profits to be used as payment for the return of capital to investors together with its high return of interest,” the DOJ resolution reads.
“But in truth and in fact, the high returns paid to the early investors are sourced from the capital contributed by later investors, to the damage and prejudice of later investors,” it added.
Section 8 of the SRC provides that securities shall not be sold or offered for sale or distribution within the Philippines, without a registration statement duly filed with and approved by the agency, according to SEC.
Investigations by the SEC-Zamboanga Extension Office (SEC-ZEO) showed that Silverlion had been offering and selling investment packages to the public with guaranteed returns of 35 percent within just 15 days.
With this, investments ranging from PHP1,000 to PHP100,000 could yield returns worth PHP1,300 to PHP130,000, respectively.
Meanwhile, Section 26.3 of the SRC states that it shall be unlawful for any person, directly or indirectly, in connection with the purchase or sale of any securities, to engage in any act, transaction, practice, or course of business which operates or would operate as a fraud or deceit upon any person.
Section 28 further adds that no person shall engage in the business of buying or selling securities in the country as a broker or dealer, or act as a salesman or an associated person of any broker or dealer unless registered as such with the Commission.
On Nov. 28, the SEC-ZEO, together with the National Bureau of Investigation (NBI), filed a criminal complaint against Silverlion Livestock Trading Corporation before the DOJ for its unregistered offering of securities to the public.
The filing of the complaint followed the successful implementation of a search warrant against Silverlion by the combined forces of SEC-ZEO and NBI, where they were able to seize from its offices in Barangays Guiwan and Manicahan, this city, bundles of cash, vouchers, and other devices that were allegedly supposed to be used for the upcoming payout of profits to its existing investors.
The SEC said Silverlion incorporators Ryan Cagod Ladoing and Renan Lara Ladoing remain at-large while charges have been filed against the company and its officers and agents. (PNA)
