MANILA, Philippines – A Davao City regional trial court has issued a hold departure order (HDO) against 8 officers and board members of the Kapa-Community Ministry International who were accused of operating the largest investment scam in recent Philippine history.
This was revealed by Justice Secretary Menardo Guevarra past 6 pm Monday, July 1. He said the HDO issued by the Davao City Regional Trial Court Branch 16 also covers Kapa founder and president Pastor Joel Apolinario.
A new rule allowed the DOJ to apply for precautionary HDO despite the fact that no charge had been filed yet against Kapa. The DOJ earlier issued an immigration lookout bulletin order against Apolinario and 14 others.
The Securities and Exchange Commission earlier filed before the DOJ 3 criminal complaints against Apolinario and 7 others for violating the Securities Regulation Code (SRC).
The SEC accused the Kapa officers of violating sections 8, 26, and 28 of the SRC or Republic Act No. 8799. The cited sections deal with the rules on selling or distributing securities in the Philippines, setting requirements such as registration and prior approval of the commission.
The SEC categorized Kapa's investment scheme as dealing securities without complying with the law.
Aside from Apolinario, other respondents in the complaint include trustee Margie Danao, corporate secretary Reyna Apolinario, Marisol Diaz, Adelfa Fernandico, Moises Mopia, Catherine Evangelista, and Rene Catubigan.
The Court of Appeals has since frozen Kapa's assets following a petition by the SEC and the Anti-Money Laundering Council.
The commission found Kapa to be recruiting members to donate a minimum amount of P10,000 in exchange for a 30% monthly return for life, a clear Ponzi scheme according to the SEC. – with reports from Lian Buan/Rappler.com