THE Securities and Exchange Commission (SEC) has ordered AlphanetWorld Corp. to stop soliciting investments from the public via an entity known as “NWorld.”
In a statement on Thursday, the regulator said the Commission, sitting en banc, issued a cease-and-desist order against AlphanetWorld and NWorld on Feb. 23.
AlphanetWorld is registered as a corporation but does not have a license to collect investments from the public, as required under the Securities Regulation Code.
“(T)he Commission holds that the act of NWorld in selling/offering unregistered securities operates as a fraud to the public which, if unrestrained, will likely cause grave or irreparable injury or prejudice to the investing public,” according to the order.
AlphanetWorld was found to have offered investment programs for P4,750 to P19,000 while offering NWorld products through the company’s website.
The investments carried a promise of monthly returns of up to P127,000.
Members were also entitled to 30% discounts on buying NWorld products, and can earn referral bonuses for new investors.
The SEC said securities must first be registered with the commission before being offered to the public.
AlphanetWorld President Juluis Allan G. Nolasco and other representatives were also ordered to terminate their online presence.
The company has also been ordered to freeze bank transactions to ensure the preservation of client funds. — Keren Concepcion G. Valmonte
