Is PFEC illegal?
by James Ryan Jonas
Original article:
Is PFEC illegal?
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What we know: the National Bureau of Investigation (NBI) raided the offices of PFEC (Performance Foreign Exchange Corporation or Performance Forex) at the Enterprise Building in Makati yesterday.
Why the NBI raided PFEC
The NBI's reasons for conducting the raid:
(1) some investors reported they have been scammed by PFEC; and
(2) that the company is suspected of operating illegally (that is, against the stated purposes in its SEC registration).
From an Inquirer article regarding the PFEC raid:
* * * * *[An NBI official] said the raid was prompted by complaints filed by several investors who claimed to have fallen victim to an investment scam perpetrated by the firm.
"We received information that the firm was illegally operating as a foreign currency trader," the NBI source said.
* * * * *If you were one of these PFEC investors who claimed to have been scammed, we encourage you to post on the PFEC Discussion Thread in the forum so that other people, including fellow PFEC investors, would know about your plight.
If the NBI, however, is acting because of the supposed relation of PFEC with the "other investment scam," Performance Investments Products Corporation (PIPC), the raid appears to be premature because they themselves claimed they have not established a link yet between PFEC and PIPC.
If the NBI is able to prove that PFEC was illegal because the latter operated outside the purposes stated in its Securities and Exchange Commission (SEC) registration, then the NBI has enough reasons to conduct the raid.
But one problem lies ahead. It would have to again contend with the previous Supreme Court decision that struck down a 2001 NBI Cease and Desist Order against PFEC.
Related Discussions in the PMT Forum:
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James Ryan Jonas | Pinoy Money Talk is an online portal and discussion forum for people who want to make money online and offline.
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