PIPC execs indicted anew for multimillion-dollar scam

MANILA, Philippines - The Department of Justice (DOJ) has again approved the indictment of officers of Performance Investment Products Corporation (PIPC), this time for allegedly illegally collecting money from investors amounting to some $250 million.

In two resolutions, the task force on business scam of the DOJ has found probable cause to indict respondents Michael H.K. Liew, a Singaporean national, chairman and president of PIPC; Cristina Tuason, PIPC general manager; and Janice Silvestre, an agent of the firm, for estafa or violation of Article 315 of the Revised Penal Code, in relation to Section 1 of Presidential Decree 1689.

The DOJ found that the separate complaints filed by spouses Nestor and Milagros Jalandoni and Jose Sio were sufficient to establish that the PIPC was engaged in the sale of securities or investment fund without prior clearance from the Securities and Exchange Commission (SEC).

It noted that the PIPC was organized only for the purpose of providing general or special management services and/or specific technical, consultancy or advisory services including research and allied services.

“Clearly, the amount invested by complainants was received by PIPC Corp., as evidenced by the official receipt issued…When respondents failed to return the principal sum invested by the complainants, there was clearly misappropriation which resulted to their damage and prejudice,” the DOJ resolution said.

Article 315, paragraph 1 (b) punishes any person “who shall defraud another misappropriating his or her money, personal property received in trust or for administration, or under any other obligation involving the duty to make delivery of or return the same, even though such obligation is totally or partially guaranteed by a bond; or by denying having received such money, goods or other property.”

Under P.D. 1689, the accused may be meted a maximum penalty of life imprisonment if found guilty.

Earlier, the DOJ had approved the indictment of Liew and other officers, brokers and agents of PIPC in connection with its alleged multi-million-dollar financial scam.

The charges stemmed from the syndicated estafa complaint filed by the National Bureau of Investigation against the said PIPC officers and brokers.

The NBI said that based on its investigation there was a “grand conspiracy” on the part of the officers and agents of PIPC to defraud its investors.

Under the PIPC’s financial scheme, investors were required to shell out a minimum of $40,000 with a promised return of 12 to 15 percent annually.

Those who cannot produce the minimum investment were allowed to have partners.

The investor is then asked to identify a pair of currencies where he or she would like to place the investments.

However, the investors later learned that Liew had allegedly salted away their funds amounting to $250 million. – Edu Punay