GenSan court junks Kapa’s petition for injuction vs. SEC

Kapa-Community Ministry International Inc.’s petition for an injunction against the Securities and Exchange Commission (SEC) has been dismissed by a regional trial court in General Santos City, the commission said on Wednesday.

“The court dismissed the petition for injunction as it resolved the motion for issuance of a show cause order subsequently filed by KAPA against the SEC for the revocation of the former’s corporate registration despite the then-pending court proceedings,” the SEC said in a statement.

The court decision ruled by Presiding Judge Oscar P. Noel, Jr. was issued on June 17, 2019, according to the commission.

The SEC also reiterated Section 179 of the Revised Corporation Code of the Philippines which states that, “No court below the Court of Appeals shall have jurisdiction to issue restraining order, preliminary injunction, or preliminary mandatory injunction in any case, dispute, or controversy that directly or indirectly interferes with the exercise of powers, duties and responsibilities of the Commission that falls exclusively within its jurisdiction.”

Last month, President Rodrigo Duterte ordered the National Bureau of Investigation and the Philippine National Police-Criminal Investigation and Detection Group to shut down Kapa for alleged investment scam.

The SEC said that as early as March 2017 an advisory has been released against Kapa for “for enticing the public to ‘donate’ at least P10,000 in exchange for a 30% monthly ‘blessing’ or ‘love gift’ for life, without having to do anything other than invest and wait for the payout.”

It has issued an order to revoke Kapa’s corporate registration on April 3, 2019.

The Court of Appeals also issued a freeze order last month to preserve the assets linked to Kapa, according to the commission.

A criminal complaint against Kapa was filed by the SEC against Kapa operators and promoters before the Department of Justice on June 18, 2019.

No Kapa officer showed up during the first hearing of the DOJ’s preliminary investigation in the first week of July.

A Davao City court has already issued a precautionary hold departure order (PHDO) against the officers of Kapa.

The legal counsel of the religious organization’s founder previously said that donations to Kapa are invested in legitimate businesses. —VDS, GMA News