SEC warns public about investing in four entities

THE Securities and Exchange Commission (SEC) warned the public against investing in four entities that sell unregistered securities through unlicensed agents.

It identified the entities as 88Dragons Nest Franchising Corp., AADragon’s Franchising Corp., 88Dragon’s Franchising Corp., and Phil Maritime and Ocean Institute of Technology, Inc. (PMOIT).

In an advisory on Wednesday, the regulator said that 88Dragons Nest, AADragon’s, and 88Dragon’s are offering investments to the public through a “co-partnership agreement.”

The regulator said 88Dragons Nest and AADragon’s are both registered with the commission, while 88Dragon’s is not, neither as a corporation nor as a partnership.

The SEC said the three entities offer their investment contract through a company representative or a franchise consultant with a guaranteed 4%-9% monthly income payout for six months.

In the sixth month, the investor is promised to receive the dividend along with the invested capital.

Meanwhile, PMOIT invites the public to invest as its “venture capitalist” for a minimum capital of P350,000, promising a potential annual income of at least P206,000 or a quarterly income of at least P51,000.

Investors of PMOIT are promised to receive a return on investment within two years with a 60:40 profit sharing.

The company’s sources of revenue are said to be from a school, training center, dormitory, and commercial center.

In a document sent to the SEC, PMOIT guarantees that a venture capitalist will receive a deed of assignment and a stock certificate. A venture capitalist has to make a capital contribution of P350,000 while receiving 40% as a profit of the net monthly revenue of the school and the training center.

Meanwhile, all the earnings from the dormitory and the commercial establishment of PMOIT are said to be distributed every three months to the investors.

“Cleary, the above-described scheme involves the sale and/or offer of securities to the general public where the Securities Regulation Code (SRC) requires that these securities must be duly registered and that the concerned corporation and/or its agents must have the appropriate registration and/or license to sell such securities to the public,” SEC said.

The SEC said that the entities are not authorized to solicit investments and warned the public to be cautious. — Justine Irish D. Tabile

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Most Popular

Your daily news source covering investing ideas, market stocks, business, retirement tips from Wall St. to Silicon Valley.

Disclaimer:, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice.
The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 TheProficientInvestor. All Rights Reserved.

To Top