Two officers of Tagum City-based Rigen Wellness Product Marketing have been convicted of syndicated estafa by the Tagum City Regional Trial Court Branch 2.
The court found Rico John Colorines Garcia and King Paul Bryan guilty of engaging in unauthorized investment-taking activities, in line with earlier findings by the Securities and Exchange Commission (SEC).
Garcia, the chief executive officer, and Bryan, the auditor of Rigen Marketing, received a life imprisonment sentence in both cases. Additionally, they were ordered to pay P2.01 million in actual damages, P120,000 in moral damages, and an interest of 6% per annum.
However, their co-accused Rosenda Colorines Garcia, Christine Palijo, Romen Samuel Wabina, and Jemeilyn Tacay remain fugitives.
The charges against the individuals were filed based on complaints from two investors who were lured into investing in Rigen Marketing with the promise of income returns of up to 400% within 30 days.
Rigen Marketing claimed that the profits were generated through investments in cryptocurrency and foreign exchange trading.
The court ruled that the statements made by Rigen Marketing constituted fraud as they falsely represented future profits while knowing they would not materialize or would be significantly lower.
The court cited the case of People v. Balasa, noting that Rigen Marketing engaged in fraudulent activities by pretending to have the authority to solicit investments from the public, despite lacking the necessary authorization.