The Securities and Exchange Commission (SEC) warned the public anew against investing in cosmetics company, One Lighting Corp, which promises huge returns on what it claims as “a revolutionary compensation plan.
In a public advisory posted on its website, the SEC said the company lures investors with a promise to share 70 percent of the company’s profit, which is basically an investment contract and should be registered with the Commission.
“One Lightning Corp. is offering product packages which will give investors referral awards for sponsoring new investors, a maturity reward for each matured package of their referrals, uni-level rewards or bonuses for up to the third level of referrals upon maturity of their shares, and a share in the company’s profits,” SEC said.
It said the “product packages” should be registered with the SEC before offering or selling it to the public pursuant to Securities Regulation Code (SRC) Section 8.1 and 12.
The law provides penalties of up to a P5 million fine and maximum imprisonment of 21 years for violators, the SEC said.
Last month, the SEC also warned the public against an online money scam by Emgoldex Philippines that enticed investors by promising triple returns for their money. Emgoldex is an unregistered firm or partnership that operated pyramid money transactions scheme via Facebook.