THE Securities and Exchange Commission (SEC) has ordered several companies using the name and logo of the Ayala Group to "immediately cease and desist" from engaging in unauthorized investment activities.

The SEC issued a cease-and-desist order, promulgated on February 22, against Ayala Corp. Group Inc., Ayala Corp. Budgetarian Online Shop, Global Online Ayala Corp., Bellavita Ayala Corp., and Ayala Corp. E-Commerce, which were collectively referred to as the "Bogus AC Group."

In a 12-page order, the commission en banc directed the group and its representatives, agents, salesmen and enablers to cease their internet presence relating to the transactions and investment scheme covered by the case.

It had also prohibited the Bogus AC Group and individuals involved in the scheme from "transacting any business involving the funds... and transferring, disposing, or conveying in any manner all assets ... to ensure the preservation of the assets for the benefit of the investors.

In June, the SEC Enforcement and Investor Protection Department (EIPD) started receiving several reports and complaints about the group's alleged solicitation activities, prompting the department to investigate for possible violations.

Following the probe, the group was found engaging in a "tasking and charging" scheme, which offers online jobs to potential investors who would be asked to perform tasks in exchange for monetary compensation.

"Under this scheme, an investor who successfully completes a task is given another task, which will entitle him or her to receive additional commissions if completed. The investor can withdraw the commissions earned upon payment of a so-called tax charge," the SEC explained.

The Bogus AC Group also used an online application called the "Ayala Investment App," which it claimed to be the "largest commercial intermediary platform in the Philippines."

"The unauthorized investment scheme of the [group] essentially involves soliciting money from the investing public, which it requires to be sent directly to the accounts of its managers and operators," the agency said.

"The evidence on record shows that in some instances, the member-investor is held hostage by the Bogus AC Group, which demands additional investment as a condition for the return of the original investment."

Ayala Corp. in September, the SEC said, sought guidance from the regulator to address the misrepresentation, which deceived the public into believing that the "bogus" group's operations were legitimate.

"Ayala Corp. [has] expressly disclaimed and denied any involvement in the investment solicitation activities of the Bogus AC Group and has advised the public that Ayala Corp. does not have any application or a website dedicated to investments."