2 Cebu-based execs detained in US maintain innocence, dispute $44-million scam allegations

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EXECUTIVES of a Cebu-based business process outsourcing firm, currently implicated in a scam, have disputed the $44 million figure presented by the U.S. Department of Justice (DOJ).

They argue that the company operates legitimately, with the actual value of the transaction in question amounting to just over $2 million.

This includes $1.6 million for services completed and a $140,000 refund.

During a press conference on Monday, May 5, Innocentrix’s CEO, Mike Sordilla, and Vice President, Bryan Tarosa, who are both currently detained in the U.S., maintained their innocence through their spokesperson, Atty. Oliver Baclay.

Baclay emphasized that Innocentrix does not participate in fraudulent activities and rejected allegations that the company targeted elderly authors. He pointed out that while the publishing industry traditionally attracts older individuals with life experience, younger authors are also welcome.

Regarding the $44 million claim, Baclay expressed frustration that no evidence had been presented to back up the accusation, despite the fact that the company had been waiting for over a month.

"Not a scam"

Baclay clarified that the actual transaction amount is just over $2 million, including $1.6 million for completed services and a $140,000 refund.

He noted that Innocentrix has actively worked to address customer complaints, referencing the company’s customer service hotlines and bank records showing refunds issued.

He argued that Innocentrix’s efforts to refund customers directly contradict the claims of fraudulent activity.

Baclay also rejected the DOJ’s allegations, pointing out the lack of concrete evidence to support the claim of a $44 million scam. He highlighted that trial dates had been postponed, with the next hearing set for August.

Despite these delays, Baclay expressed confidence that the evidence would eventually clear Sordilla and Tarosa and called on the media and other sectors to help facilitate their return to the Philippines.

Company's Status

When asked about the company’s closure, Baclay explained that while Innocentrix is no longer operating under its current structure, it is not linked to other imprints, such as WP Lighthouse.

He also addressed the issue of the 800 authors allegedly involved in the $44 million figure.

Baclay clarified that only nine authors were involved in the actual transactions, which totaled just over $2 million.

He questioned the basis for the 800-author claim and said that while Innocentrix had requested additional information, it had not received any supporting details.

Baclay reiterated that the company’s operations were legitimate, with contracts, grievance procedures, and a refund process in place, factors that would not align with a scam.

Impact on Employees

Atty. Mark Opada, Innocentrix’s external counsel, added that despite the company’s temporary closure, all employees were fully compensated, including 13th-month pay and separation benefits.

He emphasized that there were no complaints filed with the Department of Labor and Employment (DOLE), assuring that employees' rights had been respected.

Opada clarified that around 30 to 40 employees were affected by the company’s closure, but all received proper compensation.

He also explained that while Innocentrix operations had ceased, other, unrelated operations continued without interruption.

In addition to Innocentrix, Sordilla is the founder and CEO of MSordilla Builders, a construction firm, and MCS Studio, a photography and videography business.

He is also involved in the hospitality industry as the owner of Serene Oasis Resort in Cebu.

Also, Sordilla serves as the chairman of Hiyas ng Pilipinas, a national beauty pageant that focuses on charitable causes.

Background

In December 2024, U.S. authorities arrested Sordilla, Tarosa, and their U.S.-based associate, Gemma Traya Austin, in connection with an alleged $44 million book publishing scam.

The scheme is said to have targeted elderly authors, convincing them to pay for services under the pretense of publication or film adaptation.

Sordilla and Tarosa are facing charges of conspiracy to commit mail and wire fraud, as well as money laundering.(MyTVCebu)