A Bislig City court in Surigao del Sur has issued warrants of arrest against the founder and other officials of KAPA Community Ministry International Inc. for operating a Ponzi scheme, the Securities and Exchange Commission (SEC) on Wednesday said.
Regional Trial Court Branch 29 issued the warrants of arrest on February 11 against the Ponzi scheme perpetrators led by its founder and president Joel Apolinario.
Others named in the warrant were trustee Margie Danao, corporate secretary Reyna Apolinario, and promoters Marisol Diaz, Adelfa Fernandico, Moises Mopia and Reniones Catubigan.
The Ponzi scheme refers to attracting investors with “highly impossible returns” to be paid out from contributions of other investors, SEC said.
The arrest orders were sought and issued after the Department of Justice filed criminal charges against the religious group for violating Republic Act 8799 or the “Securities Regulation Code.”
In December last year, a Quezon City court issued an arrest warrant against Fernandico and Mopia for enticing people to invest money in the form of “donation” for a 30-percent monthly return for life.
SEC revoked the formerly registered nonstock corporation on April 13, 2019 after finding out that it solicited investments for the public amid the absence of a secondary license.
On June 4, 2019, SEC secured a freeze order from the Court of Appeals to “preserve assets linked to KAPA.”
The SEC filed a criminal complaint on June 18, 2019 against the religious group.
“It is about time that the people behind KAPA answer the criminal charges filed against them,” SEC Chairman Emilio Aquino said.
“May this serve as a reiteration of the Commission’s resolve to stamp out investment scams and shield the investing public from fraud and other abuses in the corporate sector,” he added.