Philippines SEC Warns Against Investment and Lending Fraud Schemes

The Securities and Exchange Commission has intensified its crackdown on illegal investment and lending activities, warning the public against fraudulent entities and scammers posing as legitimate financial firms to deceive investors and borrowers.

In a recent advisory, the Philippine SEC warned the public against individuals and groups soliciting investments for “Xelora,” an entity that is not registered as either a corporation or partnership with the regulator. According to the SEC, Xelora also lacks the secondary license required to offer, sell, or distribute securities to the public.

The regulator also flagged scammers impersonating Aurora Securities Inc. by allegedly using the company’s name, logo, and identities of its personnel to solicit investments online. Authorities said fraudsters have been sending deceptive messages through messaging applications, falsely claiming that recipients hold investment portfolios with the company and must first pay taxes or fees before withdrawing funds.

The SEC said the scheme resembles a classic “advance-fee scam,” where victims are persuaded to send upfront payments in exchange for a promised larger payout. After payment is made, victims are often asked for additional fees or are completely cut off from communication.

Separate advisories were also issued against entities allegedly misusing the identities of Value Quest Finance Corp. and Glimms Credit Inc. to conduct unauthorized online lending activities. According to the SEC, the fraudulent operators promoted loan offers through websites and social media platforms, including “glimmscreditincorporation.com”.

The regulator reiterated that it remains committed to combating illegal investment-taking and unauthorized lending activities through enforcement actions, public advisories, and financial literacy campaigns. The SEC urged the public to verify whether companies offering