SEC belies KAPA registration claims

The order came after the commission established that KAPA solicited investments from the public without the necessary license to do so.

The Securities and Exchange Commission (SEC) has released a new advisory against KAPA Community Ministry International Inc. belying claims that KAPA has registered as a crowd-funding entity.

The corporate regulator said the claims were spread via YouTube and Facebook videos by Roger Abing Camingawan and Daniel Flash Villas, who, among other claims, said KAPA will not be subjected to a raid by the National Bureau of Investigation (NBI) since it has registered with the SEC.

“To set the record straight, KAPA is not registered with the commission under SEC Memorandum Circular 14, Series of 2019 or the Rules and Regulation Governing Crowd Funding either as a crowdfunding intermediary or funding portal, nor has it a pending application before the Commission under said rules. Thus, KAPA is not licensed to engage in crowd funding,” SEC said in the advisory posted on its website.

On 14 February this year, the SEC issued a cease and desist order against KAPA, its leader Joel A. Apolinario and other individuals acting in behalf of KAPA.

The order came after the commission established that KAPA solicited investments from the public without the necessary license to do so.

KAPA was also found to be engaged in an unsustainable Ponzi scheme, where the payout for existing members were sourced from the funds contributed by newly-recruited members.

The SEC noted that the cease and desist is still in full force and effect to date, and applies to all other individuals claiming and acting for, and in behalf of, KAPA.

KAPA’s certificate of registration has been revoked since 3 April this year.

The SEC has also filed a criminal complaint against KAPA and its directors, officers and other agents including Joel A. Apolinario, Reyna L. Apolinario and Margie A. Danao for violation of the Securities Regulation Code.