Metro Manila (CNN Philippines, June 20) — The Securities and Exchange Commission is going after online lending and business process outsourcing (BPOs) companies that allegedly harass and humiliate clients.
SEC Enforcement and Investor Protection chief Oliver Leonardo said complaints were filed against four online lending companies, two BPOs, and 28 individuals.The companies included in the complaint were FESL Lending Investor Corp., FESL Business Process Outsourcing Services, Realm Shifters Business Process Outsourcing Services, U-Peso.ph Lending Corporation, Philippine Microdot Financing Corp. and Armorak Lending Inc. Leonardo explained the companies violated the Financial Products and Consumer Protection Act, the Lending Company Regulation Act, and the Data Privacy Act.
“Pinagbabawal sa batas, Section 8, ang mga pamamahiya, paglapastangan sa karapatan ng ating mga mangungutang, yung pag-share ng contact details, pambabastos,” Leonardo explained.
[Translation: The law, Section 8, prohibits lending companies from harassing and taking advantage of debtors, and of sharing their contact details.]
This is a criminal offense with fine of up to ₱2 million and five years imprisonment, he added.
Also among those tagged as respondents are five Chinese nationals who are supposedly running online lending platforms.CNN Philippines is trying to get the comment of those named in the complaints, which stemmed from a raid conducted last month in Pasig.
The complaints came a week after Sen. Joel Villanueva said the government should look into unregistered online lending platforms victimizing people through abusive collection practices.
