The Securities and Exchange Commission (SEC) has suspended the license of Jia Financing Inc. for 60 days for operating an illegal website and for failing to disclose to the agency its new loan products and services.
The SEC’s Financing and Lending Companies Department (FinLend) also ordered Jia Financing to take down its website, jia.ph, as it violates the SEC’s moratorium for new online lending platforms since 2021.
FinLend also noted that despite submitting a business plan, Jia Financing failed to disclose that it would operate the website and lend amounts ranging from $50,000 to $200,000 per client. This practice violates the SEC’s rule that financing companies should submit a business plan indicating the company’s loan products and services as well as the applicable pricing parameter.
“The non-disclosure of these material changes in its operations warrants the suspension of its certificate of authority,” the SEC said.
Apart from the order to remove the jia.ph website, the SEC also fined Jia Financing for P10,000.
