(Eagle News)–The Court of Appeals has frozen the bank accounts and assets of Kapa Community Ministry frozen after it was found operating a Ponzi scheme.
A Ponzi scheme exists if high returns are promised to investors, who are paid with capital given by subsequent investors.
The CA issued the freeze order upon the petition of the Anti-Money and Laundering Council and the Securities and Exchange Commission.
The SEC had questioned the current setup of giving a 30 percent monthly return for life to each of its members, who each donated at least P10,000 upon recruitment.
The SEC has said there was no way Kapa, led by their pastor Joel Apolinario, could sustain its operations, with assets of only P465,000 as of 2017.
