There is no doubt that Melon Plus/Primelogix Marketing Inc. is a pyramid scheme.
There is also not doubt that Mono Mall has forged its certificate of incorporation that the Securities and Exchange Commission has labelled as fake.
Melon Plus, the SEC said, is registered with the Companies Registry of Hongkong and operates in the Philippines under Primelogix Marketing Inc. headed by John Jerico Hayagan Operio and Jerwin Hayagan Operio.
It said a video presentation circulating online show one Reiner Cadiz, an incorporator of iWatch.ph, is one of the bad boys explaining the fraudulent marketing scheme to unwitting investors and forcing the regulator to revoke its registration as a corporation.
Melon Plus operates a drop shipping platform that allows it to sell various products without actually handling inventory, a membership card club, and an affiliate rewards system offering discounts and vouchers.
The pyramid scam begins with a P2,990 subscription by an unwitting affiliate attracted by a 40 percent discount on Melon Plus factory-priced products, access to Melon Plus Mall promos, free vouchers with Melon Plus partner brands, free pass to Melon Plus exclusive events and access to Melon Plus affiliate rewards.
“Records of the commission show that while Primelogix Marketing Inc. is registered with the commission as a corporation, it is not authorized to solicit investments from the public as it did not secure prior registration and/or license to solicit investments from the commission,” the SEC said.
As for Mono Mall, it ostensibly promotes and helps merchants increase product sales by selling them online “in cooperation” with major online shopping companies as Lazada, Shopee, Zalora and Tiktok, among others.
Its merchants are offered work by following Tiktok users and complete assigned tasks divided into mall tasks and common tasks.
Based on information gathered by the commission, individuals or group of persons claiming to represent Mono Mall entice the public to invest.
Their tasking and recharging scheme works by luring unsuspecting victims to participate in fake online jobs, supposedly in partnership with large e-commerce platforms such as Lazada. Participants complete tasks such as helping complete e- commerce orders to earn commissions, the SEC said.
