Over 100 Lending Companies Nationwide Suspended By SEC
The Securities and Exchange Commission (SEC) suspends more than 100 lending companies nationwide due to alleged law violations.
Last month, 84 lending companies have been suspended by SEC for failing to obtain a Certificate of Authority (CA), which is necessary for the operations of lending companies. CA is required under the Republic Act 9474 or the Lending Company Regulation Act of 2007.
On Friday (April 07, 2017), SEC suspends another 20 lending corporations, who also fails to obtain a CA as their secondary license prompting the suspension of their primary licenses to operate.
The lending firms allegedly violated the Republic Act No. 9474, Section 4 stating that “No lending company shall conduct business unless granted an authority to operate by the SEC.”
The suspension of over 100 lending companies is a part of President Rodrigo Duterte’s aggressive move to eliminate all informal lenders such as “five-six” lenders, which charges a 20 percent interest. When a borrower borrows P50, he needs to pay an amount of P60, where P10 is the interest rate for the amount borrowed from the lender.
As of now, SEC has suspended a total of roughly 104 lending companies.
Here are the names of 84 lending companies suspended by SEC last month:
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Here are the names of the 20 lending companies suspended by SEC on April 07, 2017:
- Angeles Lending Investor Inc.
- Champion Lending Corp.
- Charton Lending Corp.
- CLIA Lending Investor Inc.
- Eminence Lending Investor, Inc.
- ExpressAdvance Inc.
- Green Hope Credit Corp.
- Kiangan Credit Resources and Trading Corp.
- Lending Markets of Cebu Corp.
- LKT Lending Co., Inc.
- Metro Asia Pacific Credit Corp.
- Metro Sunrise Lending Investor Inc.
- Multiplier Lending Corp.
- Peso and Cents Credit Resources, Inc.
- Prisunic Lending Corp.
- Prosperity Link Inc.
- PS Lending Investors Inc.
- RSN Punjab Trading and Lending Corp.
- Benedict Lending Investor Co., Inc.
- The Quantum Link Lending Corp.
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