PH SEC Warns Against Fraudulent Valero Energy Corporation Philippines Investment Scam

Background

In a recent development, it has come to light that an entity named 'Valero Energy Corporation Philippines is conducting unauthorized and potentially fraudulent activities. This entity, impersonating the legitimate 'Valero Energy Corporation' – a renowned American petroleum and energy company listed on the New York Stock Exchange – is allegedly soliciting investments from the public through social media and a website. The Philippines Securities and Exchange Commission (SEC) has issued a warning against this fake entity.

The Scheme

The fraudulent entity, under the guise of the legitimate Valero Energy Corporation, is promoting an investment scheme through its Facebook page and website. They offer three investment packages:

1. Econofill Collective - 0.8% daily interest for 160 days.

2. FuelShare Elite - 1% daily interest annually for 140 days.

3. PetroPlatinum Partners - 1.2% daily interest for 120 days.

Investors are enticed to sign up on their website and are then presented with a misleading partnership contract using the name of the legitimate Valero Energy Corporation.

Legal Status and Warning

The SEC has clarified that 'Valero Energy Corporation Philippines is neither registered as a corporation nor a partnership, nor is it authorized to solicit investments from the public. This is in violation of Sections 8 and 28 of the Securities Regulation Code (SRC). Furthermore, this entity has no relation or affiliation with the legitimate Valero Energy Corporation or its subsidiaries.

The act of offering unregistered securities to the public in the form of investment contracts under the guise of a co-partnership is considered fraudulent and in violation of the Securities Regulation Code.

Consumer Protection and Penalties

Under the Financial Products and Services Consumer Protection Act (FCPA), deceptive solicitation of investments without a secondary license or permit from the SEC constitutes investment fraud. The law imposes strict penalties for violations, including a maximum fine of Five Million Pesos (Php5,000,000.00) or up to Twenty-one (21) years of imprisonment.

Public Warning

The SEC strongly advises the public to avoid investing in any scheme offered by 'Valero Energy Corporation Philippines or similar entities. It also cautions the public against dealing with individuals or groups soliciting investments or recruiting investors on behalf of this entity. Those acting as salesmen, brokers, dealers, agents, promoters, or recruiters for this fraudulent entity may face criminal charges.

Conclusion

The public is urged to exercise extreme caution and conduct due diligence before investing in any schemes, especially those promoted on social media or the internet. Always verify the legal status and legitimacy of the entity and its investment offerings with the SEC. Remember, investing wisely requires not only looking at potential returns but also ensuring the legitimacy and legal standing of the investment opportunity.