CASH KONEK, Inc

Securities and Commission Exchange HILI PINE

BAGONG PILIPINAS

FINANCING AND LENDING COMPANIES DEPARTMENT

IN THE MATTER OF: FLCD CDO Case No. Series of 2025. 0

CASH KONEK Respondent. FOR: VIOLATION OF SEC MEMORANDUM CIRCULAR NO. 19, SERIES OF 2021,AND FINANCIAL PRODUCTS AND SERVICES CONSUMER PROTECTION ACT MEMORANDUM CIRCULAR NO.1O,SERIES 0F2019

CEASEANDDESISTORDER

Platform ("OLP") named CASH KONEK (the "Respondent"). ("Commission" or "SEC") concerning the alleged operation of an unrecorded Online Lending This refers to the information received by the Securities and Exchange Commission

ANTECEDENTS

which requires the reporting of any OLPs. disclosure was filed in accordance with Memorandum Circular No. 19, Series of 2019 ("MC 19") A review of the Respondent's records on file with the Commission reveals that no

Respondent has been operating the OLP without proper disclosure, in violation of the following: Additionally, verified information received by the Commission confirms that the

MC 19 -- Disclosure Requirements on Advertisements and Reporting of Online Lending Platforms;

Memorandum Circular No. 10, Series of 2021 ("MC 10" Platforms; Moratorium on the Registration of New Online Lending

Products and Services Consumer Protection Act ("FCPA"). Republic Act No. 11765, otherwise known as the Financial

ISSUE

violations of MC 19, MC 10, and the FCPA? Whether a Cease and Desist Order (CDO) should be issued against the Respondent for its

RULING

Order against the Respondent is warranted and necessary. After due consideration, the Commission finds that the issuance of a Cease and Desist

of the above-cited regulations. By operating an unregistered and undisclosed online lending platform, the Respondent effectively circumvents the Commission's regulatory and supervisory The Respondent's failure to disclose the operation of its OLP constitutes a clear violation

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RE: Cease and Desist Order Page 2 of 3 CASH KONEK

authority. Consequently, the general public particularly borrowers are exposed to potential risks, including:

Abusive and unfair debt collection practices;

Unjust interest rates;

Violation of data privacy rights.

No. 5, Series of 2023, the Commission is empowered to issue a CD0 without the necessity of a the FCPA or its Implementing Rules and Regulations (IRR), or may unjustly cause grave or irreparable injury to financial consumers. prior hearing if, in its judgment, the act or practice, unless restrained, constitutes fraud, violates Pursuant to Section 6(d)(4) of the FCPA, as implemented by SEC Memorandum Circular

"RULE 6

Powers of the SEC

Section 1. Powers of the Commission - The Commission shall, in the implementation of these Rules and the provisions of the FCPA, have the authority to impose enforcement actions FCPA, its IRR, and other applicable laws. against financial service providers for noncompliance with the

Such enforcement actions may include:

service provider without the necessity of a prior hearing if, in injury or prejudice to financial consumers. A CDo is immediately executory upon service or publication on the Commission's website." (Emphasis supplied) the Commission's judgment, the act or practice, unless the SEC FCPA IRR, or may unjustly cause grave or irreparable restrained, amounts to fraud or a violation of the FCPA and/or "Issuance of a cease and desist order ('CDO) to a financial

lending companies. finds it necessary to issue this Cease and Desist Order in order to prevent further harm or prejudice to the public, and to safeguard the integrity of the regulatory framework governing In light of the Respondent's continued unauthorized operation of its OLP, the Commission

hereby DIRECTED TO IMMEDIATELY CEASE AND DESIST from engaging in, conducting platforms or applications, whether online or offline, without the necessary registration and approval from the Commission. promoters, representatives, agents, and any and all persons claiming or acting on its behalf, are promoting, or facilitating any lending-related activities or through any similar or related WHEREFORE, premises considered, CASH KONEK including its owners, operators,

KONEK". In view thereof, the public is hereby strongly advised NOT to transact with "CASH C

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X--- CASH KONEK Page 3 of 3 RE: Cease and Desist Order

publication on the Commission's official website. Let this Order be served immediately and be deemed executory upon service or

SO ORDERED. August 2025, Makati City.

FILBERT CATALINO/F.VLORES JI, MNSA, CESO IV birector

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