Police: Suspects in 'online investment scam' identified

CEBU, Philippines — The Cebu City Police Office (CCPO), in coordination with the Police Regional Office 7 (PRO-7), successfully identified the individuals behind the  viral alleged fraudulent investment website.

The city police force said, in a statement, that formal  charges are set to be filed against the suspects, following an intensive investigation and sustained intelligence operations.

The CCPO and PRO-7 have launched a decisive crackdown against a fraudulent investment website that recently gained online traction through viral social media videos.

Earlier, the Cebu City Government’s Business Permit and Licensing Office issued a show cause order against the operators of the alleged illicit website, giving them 72 hours to respond and address multiple regulatory violations.

PRO-7 Director Redrico A. Maranan emphasized the commitment of law enforcement to uphold justice and safeguard the public from fraudulent schemes.

“We will ensure that these scammers are held accountable. The protection of our citizens and the integrity of public trust remain our top priorities,” he said.

Acting CCPO Director Enrico Figueroa reiterated his appeal to the victims to come forward and help the police in the investigation.

“Your cooperation is vital in our pursuit of justice. If you’ve been affected by this scheme, we encourage you to report your experience,” he said.

Meanwhile, the Department of Labor and Employment in Central Visayas (DOLE-7) headed by Atty. Roy L. Buenafe has assigned a Quick Response Team (QRT) from its Tri-City Field Office to investigate and assess a developing labor-related situation in the area.

DOLE-7 Information Officer Roberto Cabardo said that the building administration, security personnel, and some law enforcement officers are currently cooperating in the investigation.

The QRT is currently processing the data it has gathered. Once completed, a detailed report will be submitted to Buenafe for appropriate evaluation and action, said Cabardo.

He said that the labor department is ready to extend assistance to the affected workers.

“Without prejudice to any ongoing law enforcement actions or potential legal concerns, we encourage affected employees to come forward. If eligible, they may be assisted through DOLE’s existing programs. The department would be glad to help," Cabardo stated.

The Department of Information and Communications Technology in Central Visayas (DICT-7), on the other hand, confirmed that its Central Office has started an investigation into an alleged investment scam in Cebu City that was exposed in a viral video by a content creator who admitted to hacking into its operation.

DICT-7 Director Frederick DC. Amores, clarified in an interview that while they are aware of the incident, investigations of this nature are primarily handled by the Cybercrime Investigation Coordination Center (CICC), an attached agency of the DICT based in Manila.

"We are looking into this. But normally, an investigation like this is done by the Cybercrime Investigation Coordination Center (CICC). We are lucky here in Region 7 nga naay representation,” Amores said.

He added that their regional office is still waiting for the official report from the DICT Central Office, where a specialized unit conducts investigations into cybersecurity breaches and digital fraud.

The video in question reportedly showed an operation offering an unsustainable 30 percent return on investment (ROI) per week, which Amores thought was already a red flag.

“If someone promises 30 percent ROI per week, there's probably something wrong. But unfortunately, many of our citizens namasin lang, hoping it might be true,” he said.

Amores said that the DICT does not have police powers nor the technological capacity in the region to conduct deep cyber investigations.

As for the YouTuber who posted the exposé, Amores noted that the content creator admitted to hacking an act that is illegal unless authorized.

“Hacking per se is illegal unless authorized as a white-hat hacker. If he’s not officially authorized, there is liability. But we still don’t know where the YouTuber is now,” he explained.

The DICT-7 also clarified that it has not received any communication from the YouTuber or its representatives.

Amores also commented on the growing stereotype that Cebu has become a hub for scams, especially with the presence of many business process outsourcing (BPO) companies in the province.

"The BPO industry here in Cebu is big. There may be operators who appear to be legitimate BPOs but are not, legally speaking. If they don’t have proper licenses, that’s already a red flag,” Amores said.

He called on the BPO industry to also police its own members and to report dubious operations to authorities.

“If it's here in Cebu, you can always come to my office. The CICC is there to present your evidence” he added.

The DICT is also working closely with local government units to raise public awareness about investment scams and cyber fraud.

“Let’s raise awareness with the community and those who might be hired by these organizations. We avoid scams by exercising critical thinking. If it’s too good to be true, it probably is,” Amores said.

Meanwhile, Florentino B. Somera Jr., Investigation Agent II at the CICC Cebu Field Office, confirmed that their office is actively coordinating with law enforcement to address the incident.

“Rest assured we are doing our best to coordinate with law enforcement agencies to address this important matter,” Somera said.

He explained that the CICC’s main office in Manila has a forensic laboratory that assists in digital forensics for cybercrime cases, especially those that involve scamming, hacking, and fraud.

He added that the CICC, along with the PNP Anti-Cybercrime Group and the NBI Cybercrime Division, are mandated under Republic Act 10175, or the Cybercrime Prevention Act to respond to such threats.

Engr. Royden Rusiana, DICT-7 Cebu Provincial Officer and Cybersecurity Focal, said a task force has been created by the central office to focus on this particular type of investment scam.

“Ang central office nag-create og task force para mo-further investigate sa kani nga style sa scamming,” Rusiana said.

Authorities are also urging scam victims or those with knowledge of illegal operations to come forward and report to DICT or CICC.(CEBU NEWS)