BAGUIO CITY – On Friday, August 30, 2024, a group of team leaders, partners, branch managers, and representatives from the North Luzon branches of the Farm to Market (F2M) “Paalaga System” voiced their growing frustration with F2M Corporation owner, Kono Maximo Lazaro Salinas.
The group, led by Baguio branch manager Terence Tauli, publicly demanded that Salinas address their concerns and provide a clear update on the status of their investments after the company abruptly halted payouts.
According to Tauli, the group has been left in the dark, with no substantial communication from Salinas regarding the halted payouts.
Despite a message from Salinas in a group chat promising refunds, no concrete actions have been taken, leaving the group anxious and uncertain.
The investors have given Salinas until the first week of September to fulfill his promise to refund their capital, warning that some are already considering legal action to recover their funds.
F2M Corporation, which began its operations in March 2023, promised participants in the “Paalaga System” a guaranteed return on their investments.
The system involved investors purchasing piglets for Php5,000 each, with a commitment from the company to pay Php2,600 per piglet after three months.
However, after a year and two months of operation, the company stopped releasing payouts, triggering widespread concern among investors.
Tauli highlighted the gravity of the situation, revealing that the refundable capital investments made by members in the Baguio City branch alone amount to more than Php500 million.
With approximately 100 to 150 branches nationwide engaged in the F2M Paalaga System, the total financial exposure could be staggering.
The situation is further complicated by regulatory issues.
Earlier this year, the Securities and Exchange Commission (SEC) issued a warning that F2M was not authorized to solicit investments from the public, as it had not secured the necessary registration or license under the Securities Regulation Code (SRC).
Despite this, Salinas reportedly assured investors that the company had submitted all required documents to the SEC and that business operations were legitimate.
He also claimed that the SEC had inspected the hog farm multiple times, which led many to believe the company was operating within legal boundaries.
However, operations came to a sudden halt in the last week of July, just before the SEC issued a Cease and Desist Order (CDO) on August 20, 2024.
This development has left investors in a state of uncertainty and financial distress, as many relied on the promised payouts to support their families.
The group’s plea for Salinas to meet with them and address their concerns underscores the urgency of the situation.
As the deadline for the promised refunds approaches, the future of F2M Corporation and the hard-earned money of its investors remains in jeopardy.