SEC refutes MMG notice

The Securities and Exchange Commission (SEC) refuted yesterday the notice issued by the group of pseudo-investment firm MMG International Holdings Co. Ltd., saying the measures being undertaken by the group towards its rehabilitation are being pursued without the corporate watchdog’s approval.

In its notice to the public, the SEC said: "As of the present date, there has been no communication whatsoever from MMG to the SEC concerning any rehabilitation plan much less seeking approval of the same, and therefore said notice misleads the public."

The SEC pointed out that the policy of the task force on business scam, headed by the Department of Justice, is to ensure that there is facilitation on the filing of appropriate court cases for recovery on the part of the investors victimized by the issuers of unregistered securities.

The advisory was issued by the SEC in response to queries made by the public concerning the rehabilitation plan.

In a newspaper notice, the MMG group has called on all its legitimate business partners to join and support them in the filing of the rehabilitation plan.

The group said it is now in the process of preparing the requirements of MMG’s rehabilitation program pursuant to the rules of procedure on corporate rehabilitation.

The SEC earlier urged MMG investors to group themselves and file a class suit against the owners of the pseudo-investment firm. The filing a class suit will ensure an airtight case against the responsible officers of the MMG, the SEC said.

The Mateos of the MMG group have over 100 businesses ranging from gasoline service to real estate development.

To prevent MMG from further defrauding the public, the SEC had denied the company’s plan to regularize its operations by registering P30 million worth of investment contracts.

Formerly known as Mateo Management Group Holding Co., MMG was issued a cease-and-desist order on April 1, 2002 for selling shares without prior registration with the SEC in violation of the Securities Regulation Code. The firm’s motion to lift the CDO was denied by the SEC on April 18, virtually making the order permanent. – Zinnia dela Peña