THE SECURITIES and Exchange Commission (SEC) has issued cease-and-desist orders against six financing and lending companies for failing to comply with government requirements.
The orders were issued under Republic Act No. 11765, also known as the Financial Consumer Protection Act, the SEC said in a statement on Tuesday.
The companies covered by these orders are 9F Lending Philippines Inc., Elending Lending Inc., Hovono Lending Corp., Makati Loan, Inc., Second Pay Financing Inc., and Tekwang Lending Corp.
The SEC said these companies did not adhere to several memorandum circulars (MCs) and orders.
Specifically, they failed to submit the required impact evaluation report by Jan. 15 annually starting in 2023 (MC No. 3, Series of 2022), provide an official e-mail and contact number (MC No. 28, Series of 2022), and disclose advertisements, and report online lending platforms (MC No. 19, Series of 2019), the commission said.
The SEC also noted non-compliance with orders requiring the establishment of a complaints handling mechanism, registration with the credit information corporation, and submission of a list of third-party service providers.
“These financing and lending companies, including their owners, operators, promoters, representatives, and agents are directed to immediately cease and desist from engaging in, carrying out, promoting, which includes offering and advertising their lending business through the internet and/or any other media, and facilitating any lending activity or transaction,” the SEC said.
BusinessWorld tried to reach out to the companies for comments. — Revin Mikhael D. Ochave
