Is Cartasia Marketing Services, OPC Legit or Scam?

Is Cartasia Marketing Services Legit or Scam

Another money-making company was born. It is called Cartasia Marketing Services, OPC (One Person Corporation). It seems this new company is promising its members to be millionaires in 3-5 months. See that post from its founder below.

Cartasia Marketing Services OPC

Can Cartasia Marketing Services make you a millionaire in 3-5 months? What is Cartasia? What are its products and services?

Is Cartasia legit or scam? Find out in this article.

Company Profile

According to its website (cartasiainternational.com), Cartasia, or sometimes called Cartasia International, is a one-stop destination for your shopping needs and other profitable business opportunities.

Furthermore, its website says the company also offers other brands from a third-party enterprise, such as electronics, household goods, toys, fashion, sports equipment, and groceries. It is said to have multiple payment methods with FREE shipping services, a comprehensive affiliate support team, and a customer’s friendly website.

Founder

Norrymel Niez is the founder of Cartasia Marketing Services. Our background checking of Mr. Niez reveals that he was once of a promoter of Yeheey iTraffic System, Inc. Yeheey is an investment scam and no longer exists.

Norrmel Niez, the founder of Cartasia Marketing Services, OPC

Products and Services

The founder of this company promotes Cartasia as a one-stop-shop. It is said to offer the following services.

  1. E-loading Services.
  2. Ticketing Services.
  3. Bills Payment.
  4. Call Cards and E-Pins Services.
  5. E-Gift Services.
  6. E-cash Services.
  7. Remittance Services.
  8. Social Media.
  9. Ecommerce.
  10. Direct Selling.
  11. Food Cart Franchising.

As of October 31, 2019, we cannot verify whether the above services are indeed offered by Cartasia. Its website is still under construction. Yet its founder and promoters are very active in social media promoting this company.  

Legalities of Cartasia Marketing Services

Based on this Facebook post from the founder himself, there seems to be a problem with Cartasia’s SEC registration.

Legalities Issues of Cartasia.

The SEC did not register the company yet because its proposed Articles of Incorporation says that Cartasia offers bills payment and remittance. The Articles of Incorporation was endorsed to the Bangko Sentral ng Pilipinas (BSP) for comments and recommendations.

Since Cartasia offers remittance services, then we can conclude and that it is a Remittance and Transfer Company. BSP Circular No. 942 Series of 2017 requires a Remittance and Transfer Company to register with the BSP before it can operate.

As of this writing, we doubt if Cartasia has secured the necessary license from the BSP.

Compensation Plan

Cartasia Marketing Services claims it is not an MLM company. However, our verifications of its compensation plan tell otherwise.

 Here are ways to make money with this company.

  1. Dealer’s Bonus. After signing up, you will earn Php300 automatically (FYI: minimum withdrawal is Php1,500). After that, you can access their social media and e-commerce platform where you can make a certain percentage of each product you can sell.
  2. Dealer Incentive. Earn 20% rebate for every product you sold at Cartasia Shopping Mall, either for business or personal use. Upgraded accounts can access their electronic system business, such as e-loading, bills payment, ticketing, and remittance business.
  3. Direct Referral. Earn unlimited Php100 in every direct referral you made.
  4. Matching Bonus. It’s a binary system. Earn Php150 in every pair from your left and right sales team.
  5. Leveling Reward. Earn Php200 for every first pair from your left and right sales per level (Up to the 20th level).
  6. Profit Shares. All franchisees (members) will receive unlimited 5% shares per company’s earnings from affiliate and shopping mall income.
  7. Good Samaritan.
  8. Company Reward. Earn a 5% share from the company’s total binary income per week.
  9. Loyalty Reward. Earn unlimited Php50 for every sale of your direct referral in the company’s e-commerce platform from the 1st direct referral up to infinity.
  10. Group Sales Incentive. Earn 5% shares of your crossline group sale.
  11. Royalty Reward. Awarded to qualified affiliates in the form of cellphones, laptops, travel abroad, and cars to reward their performance.
  12. Advertiser Scout Reward. Earn 30% of the contract price from the advertiser you referred to Cartasia.
  13. Distributor Incentive. Get a huge discount when a member availed of the distributor program.
  14. Reseller Incentives. Earn Php50 for every franchise package you sold with a minimum of 50 activation pin.
  15. Food Cart Commission. Earn commission for every food cart you sold.

Based on its compensation plan, we believe that Cartasia is an MLM company with an emphasis on the recruitment scheme. Making money with this company is what the members care about.

Membership Packages

Cartasia Marketing Services calls its membership package as franchise package. We disagree with this because buying their franchise package is essentially purchasing an account. You need an account with the company to participate in their compensation plan. Hence, it should be called a membership package.

Membership packages in this company are bundled with soaps and coffee products. Cartasia offers the following membership package:

  1. Insider. 1 account with 2 soaps. The price is Php1,500.
  2. VIP. 3 accounts with 2 soaps and 1 coffee. Cost Php4,500.
  3. Elite. 7 accounts with 4 soaps and 2 coffees. Buy it for Php10,500.
  4. Pro. 15 accounts with 8 soaps and 4 coffees. The price is Php22,500.

Each account costs Php1,500.

Membership packages of Cartasia.

Is Cartasia Marketing Services Selling an Investment Contract?

An investment contract, according to the Amended Implementing Rules and Regulations (IRR) of Securities and Regulations Code (R.A. No. 8799), is a transaction or scheme whereby a person invests his money in a common enterprise. Then, he is led to expect profits primarily from the efforts of others.

In our opinion, the scheme used by Cartasia Marketing Services meets all the elements of an investment contract.

First, as to the first requisite, there is an investment in money when an investor commits money to an enterprise. Cartasia sells the packages for cash at various prices (see membership packages).

Second, there is a common enterprise when two or more investors “pool” their resources.  In this case, the invested money is under the control of Cartasia, which decides as to what to do with the amount. The company uses part of the money while a portion is paid to pay the promised returns to its members.

Third, investors or members of this company are attracted primarily by the prospects of a return on his investment. The investment in money is made with a view of receiving profits from Cartasia.

The following evidence shows how much your gain will be if you will invest in the said company.

Last, expected profits in Cartasia Marketing Services arise primarily from the efforts of others. Under the scheme, the accumulated amount received by the investor comes mainly from the efforts of his recruits.

An investment contract must be registered with the SEC before it can be sold or offered for sale to the public. Besides, a company must secure a Secondary License from the SEC so that it can legally sell an investment product.

Conclusion

We believe Cartasia Marketing Services is a scam. First, it is not clear whether the company has complied with all the requirements of the SEC and BSP.

Second, its products and services are similar to scam companies we have reviewed, such as Paysbook and Yeheey.

Third, we think the company is selling an unregistered investment contract. The investment must be registered with the SEC before it is sold or offered for sale to the public. Also, a company selling such an investment product must secure a Secondary License from the SEC.

We recommend that you avoid Cartasia Marketing Services, OPC at all costs. Furthermore, we suggest that you report this company to the SEC, DTI, NBI, and BSP.