The Securities and Exchange Commission has just released a SEC advisory cautioning the public against what is says “obviously a Ponzi Scheme” operated by Extreme Hataw Enterprises.
This advisory was posted on the official SEC website yesterday, June 13, 2018.
We checked the DTI website and there is indeed a business name registered with them as “EXTREMEHATAW ENTERPRISES”. However, you have to know that if a business is soliciting investment, it MUST BE REGISTERED with SEC and got the appropriate secondary licenses, which Extreme Hataw does not have.
ABOUT PONZI SCHEMES
Ponzi schemes rewards the early adapters, then malas na sa huling papasok.
Invest. Wait. Payout for the promise return. Sounds familiar?
A legit investment does not offer “sure”, “guaranteed” interest earning. It is the same with stocks, mutual funds, insurance investments, walang guarantee ang mga yan. Ang puedeng magbigay lang ng guarantee sa investment return is the government, example: Retail Treasury Bonds or RTB, fix 5% interest with 5 years maturity.
If ang sinalihan mo gives you a guarantee like invest P300 earn P10K in 1 month with 3 downlines, think twice, think thrice about sa pagsali.
Yung sinalihan mo gusto lang makuha yung pera na investment mo at pera ng downlines mo. Tapos papa-ikutin ito. Yung investment mo, parte nun ibibigay dun sa mag-e-exit, malaking parte mapupunta dun sa mga “leader”. Tapos ikaw naman mag-aantay ng new investors, para maka-exit. Walang totoong product or service na binenta ang “business” kaya walang REAL SALES, therefore walang source of big profit.
Ask yourself.. kung wala ng ma-recruit na bagong member ang business, may pera pa din ba na pam-pay-out sa lahat na pasok na member?
Although, there are other elaborate ponzi schemes that have product or service offering, example cosmetic line, but upon closer inspection, the product is not the main business model. Ang main business model pala is investor recruitment. Front lang ang ‘product’.
Ang perang ipang-pay-out ay galing mismo sa mga myembro, pa-ikot-ikot. Kaya pag wala ng new investor, thank you nalang makukuha nung huling pumasok.
“Eh, totoo eto, naka-payout nga ako ng ilang beses” sabi ng iba…
To those who are already inside and have received actual pay-out, that is normal. Mag pa-pay-out talaga lalo na if bago pa lang. All the early entrants will get the payout as promised because this is the only way that maenganyo ang iba pang mga tao na sumali.
But because the business does not offer REAL PRODUCT, NO REAL SERVICE, or kung meron man, it’s not the main business model, mauubos at mauubos ang marerecruit na bago. Once there are no more new recruits, malas sa huling dumating.
This is what happened with AMAN SCAM. Remember that? Yung former mayor and asawa ng mayor sa Pagadian are in prison right now related to the Aman Investment. Yung founder and brain behind it, hindi nahuli ng gobyerno. Wala silang product or service na for sale, nag rerecruit lang ng “mag-iinvest”. Ang daming masaya nung una kasi limpak-limpak na pera ang nakuha nila pero at the end of the end, iyak ang karamihan.
Now, ask yourself, what is the product or service na benebenta ng sinalihan mo? Wala? Meron? Gaano kalaki ang benta ng producto? Hindi klaro ang info na binibigay sa inyo? Atras ka na.
Learn more how to spot a potential investment scam.
See the content of this SEC Advisory below, it clearly mentioned that the Commission has received information that individuals or groups of persons representing Extreme Hataw Enterprises are enticing the public to invest in what is OBVIOUSLY A “PONZI SCHEME”.
READ THE FULL ADVISORY:
ENFORCEMENT AND INVESTOR PROTECTION DEPARTMENT SEC ADVISORY
The Commission has received information that individuals or groups of persons representing Extreme Hataw Enterprises are enticing the public to invest in what is obviously a “Ponzi Scheme” in the guise of “Online Paluwagan” or “Onpal”. Based on report received from the public, Extreme Hataw Enterprises is an entity engaged in Online Paluwagan scheme in which potential members are required to give 300 pesos investment.
In its Facebook Account, Extreme Hataw Enterprises claimed that their operation is legitimate and have been in operation since 2015. They further announced that they are registered with the Department of Trade and Industry and was founded by Ms. Jenefer Lim Tuazon. In the same Facebook Account, Extreme Hataw Enterprises is inviting the public to join them, promising prospective members that they may become a cellphone load dealer for all networks and will have a lifetime income for only 300 pesos investment.
In the facebook account of one of the Extreme Hataw Enterprises associate, the latter is enticing the public to join the said entity with a promise of turning their 300 pesos investment into 10,000 pesos, subject to the following compensation plan, to wit:
- 1 slot (Php 300 pay in) + 2 invites = Php 10,000.00 pay out;
- 1 slot (Php 300 pay in) + 1 invite = Php 6,500.00 pay out;
- 1 slot (Php 300 pay in) + o invite = Php 3,500.00 pay out
In the same Facebook Account, it was posted and announced that Extreme Hataw Enterprises is registered with the DTI and is the longest operating online paluwagan.
The public is hereby informed that Extreme Hataw Enterprises is not registered with the Commission as a corporation or partnership and is not authorized to solicit investments from the public, not having secured prior registration and/or license to solicit investment as prescribed under Section 8 of the Securities Regulation Code (SRC).
Those who act as salesmen, brokers, dealers or agents of Extreme Hataw Enterprises in selling or convincing people to invest in the investment scheme being offered by Extreme Hataw Enterprises including solicitations or recruitment through the internet may likewise be prosecuted and held criminally liable under Section 28 of the Securities Regulation Code and penalized with a maximum fine of Five Million pesos (P5,000,000.00) or imprisonment of Twenty One (21) years or both pursuant to Section 73 of the SRC.
Accordingly, those who invite or recruit other people to join or invest in this venture or offer investment contracts or securities to the public may be held criminally liable or accordingly sanctioned or penalized in accordance with the Supreme Court decision in the case of SEC vs. Oudine Santos (G.R. No. 195542, March 19, 2014).
Furthermore, the names of all those involved will be reported to the Bureau of Internal Revenue (BIR) so that the appropriate penalties and/or taxes be correspondingly assessed.
In view thereof, the public is hereby advised to exercise prudence before investing in these kinds of activities and to take the necessary precaution in dealing with Extreme Hataw Enterprises or its representatives.
Should you have any information regarding the operation of the subject entity, please call the Enforcement and Investor Protection Department at telephone numbers 818-6047.
For the guidance of the public.
SEC ADVISORY EXTREME HATAW ENTERPRISES
Protect your money. Iwas sa Ponzi schemes!
Share this post to those who are encouraging you to join this online paluwagan. You may also report them to authorities.