Cease and Desist Order Issued Against Fake Ayala Firms

2 mins read

The Securities and Exchange Commission (SEC) has taken decisive action against unauthorised investment activities conducted by several companies impersonating the Ayala Group. In a move to protect investors, the SEC issued a cease-and-desist order on February 22 against entities operating under names such as Ayala Corp. Group Inc., Ayala Corp. Budgetarian Online Shop, Global Online Ayala Corp., Bellavita Ayala Corp., and Ayala Corp. E-Commerce, collectively known as the “Bogus AC Group.”

The 12-page order from the commission en banc directs the immediate cessation of all unauthorised investment activities and the online presence associated with the fraudulent scheme. Individuals involved in the scheme are instructed to refrain from transacting any business involving investor funds and to preserve all assets for the benefit of investors.

The investigation into the Bogus AC Group was prompted by reports and complaints received by the SEC Enforcement and Investor Protection Department (EIPD) in June. The group was found to be engaged in a deceptive “tasking and charging” scheme, enticing investors with online job opportunities in exchange for monetary compensation. The SEC highlighted the exploitation of investors, where additional investments were demanded as conditions for the return of original investments.

Utilising the “Ayala Investment App” and claiming affiliation with Ayala Corp., the group misrepresented its operations as legitimate investment activities. However, the corporation, has explicitly denied any involvement in the fraudulent scheme and has alerted the public to the deceptive practices of the impostor group.

The SEC’s cease-and-desist order serves as a crucial step in safeguarding investors from fraudulent schemes and underscores the importance of due diligence in financial transactions. Investors are urged to exercise caution and verify the legitimacy of investment opportunities to mitigate the risk of falling victim to fraudulent activities.