MANILA, Philippines – The Department of Justice (DOJ) recommended the filing of criminal charges against Kapa-Community Ministry International (KAPA) for allegedly defrauding investors, as it affirmed the findings of the Securities and Exchange Commission (SEC).

In an emailed statement on Tuesday, October 22, the SEC said that state prosecutors found probable cause to charge KAPA’s founder and president Joel Apolinario, trustee Margie Danao, and corporate secretary Reyna Apolinario for violating several sections of the Securities Regulation Code. (READ: EXPLAINER: How Kapa Ministry took advantage of investors)

The DOJ also indicted Marisol Diaz, Adelfa Fernandico, Moises Mopia, and Reniones Catubigan for promoting and participating in the unlawful public offering and selling of securities by KAPA.

The SEC said that KAPA’s registration did not involve investment-taking activities, yet the organization enticed the public to invest at least P10,000 in exchange for 30% returns for life.

Investors also did not have to do anything other than wait for the payout. The SEC described the scheme as one of the biggest scams in Philippine history.

“The indictment of KAPA along with its founder, officers, and promoters is an affirmation of our unwavering commitment to championing investors and tackling abuses in the corporate sector,” SEC Chairperson Emilio Aquino said.

If found guilty, individuals involved will face a maximum fine of P5 million and an imprisonment of at most 21 years.

The SEC already issued a cease and desist order against KAPA last February and revoked its certificate of incorporation last August. However, reports said that KAPA has been operating again under a similar name and scheme.

KAPA officers are also facing a tax evasion complaint. – Rappler.com