The Securities and Exchange Commission (SEC) has revoked the corporate registration of Cyfle OPC, marking a significant regulatory action against unauthorized investment solicitation in the Philippines. The agency’s Enforcement and Investor Protection Department (EIPD) found that the company, despite being registered in 2022 for management consultancy services, engaged in unauthorized public investment offerings without the requisite SEC approval.
According to the SEC, Cyfle violated the Revised Corporation Code and the Securities Regulation Code by operating an investment scheme that promised a 30 percent return over one year for a minimum investment of ₱50,000—a structure identified as a Ponzi scheme. The Commission emphasized that Cyfle misrepresented its authority to sell securities, misleading the public and causing financial harm to investors.
The SEC imposed a ₱1 million fine on Cyfle and an additional ₱1 million in administrative sanctions on its sole stockholder-director-president and nominees. The Commission further said that Cyfle had been warned through a public advisory in July 2024, yet continued its investment activities, often using social media and affiliates to present and promote the illegal scheme.
By revoking Cyfle’s primary corporate franchise, the SEC underscored the seriousness of unauthorized securities activities and reinforced its commitment to investor protection and corporate accountability.
