The Davao City Prosecutor’s Office has filed estafa charges against six people who are directly involved in the operation of a multi-level pyramid scam that solicits investments from people.
- Indicted in the charges are as follows:
- Isagani Ubaldo – Lanang, Davao City
- Maria Rheoleen Espanola – Ma.a, Davao City
- Llendi Byshe D. Espanola – Ma.a, Davao City
- Reynaldo Cleto – Ma.a, Davao City
- Czean Kline Dante – Ma.a, Davao City
So far over 200 investors have filed complaints against Dragon One Network Trends, also known as “Dragon One.”
The six suspect will have a large number of estafa cases filed against them – so far 60 documented complaints have been filed against the company before the City Prosecutor’s Office.
The Securities and Exchange Commission warned investors to stay away from ‘Dragon One’ in early April of this year – The pyramid type investment system was just one of many that the SEC named in its list for investors to stay clear of.
Prosecutors say ‘Dragon One’ is engaged in illegal investments where they taken investors money, ranging from 1,800-360,000 pesos, and give four company post-dated checks equivalent to a 34.72% gain in their investment to be payable in intervals of 15 days each over a total of two month payout.
Dragon One entices investors into the system by telling them that they can cash their first check in just six days.
SEC Issues Formal Complaint Against Dragon One
The SEC advisory said the company is not allowed to solicit investments as it did not have the necessary permits from the agency. The SEC also said the company was not licensed, nor were any of their agents or owners.
One complainant who invested 260,000 pesos said she received nothing from the company as it supposedly closed its doors April 18 due to a failure to comply with the license issue from the SEC.
Several complainants said they waited for months as the owners of ‘Dragon One’ made promises to the National Bureau of Investigation after several summons were launched against the company. They told NBI officials that they would pay the investors by batches.
While the owners fended off investors in Davao, they opened offices in Tagum City and General Santos City to continue their investment taking-scheme.
Sources say that after Ubaldo appeared at NBI after being issued the summons on July 18, he promised investors that he would make their payments by August 1. Those promises did not come through, prompting authorities to file an indictment against the company and six people listed as owners.