The Securities and Exchange Commission (SEC) has successfully prosecuted the incorporators of Phil86 Gurunanak Lending and Trading Corp. for submitting false documents in the registration of the business.
The Pasay City Regional Trial Court found Nicanor Borong, Nelson Henson, Irene Romero, Michael Ligaray, Regina Elizon, Gurjant Singh, Harnaib Singh and Gurmeet Kaur guilty for the violation of Republic Act No. 9474, or the Lending Company Regulation Act (LCRA) and ordered each to pay a fine of P10,000.
The group submitted a Banco de Oro certificate of deposit for P1 million to cover the minimum capital requirement of their lending business that the SEC verified as false.
Their court conviction is the agency’s 10th, bringing the individual conviction under the LCRA to 86. The SEC secured two convictions under the Revised Penal Code against 12 other individuals.
To date, the SEC has cancelled the license of 39 financing or lending companies. Another 58 online lending applications have also been ordered to cease operations for lack of authority to operate.
The SEC also revoked the primary registration of 2,084 lending companies for non-compliance with the LCRA.
