Manila Times

The Supreme Court (SC) has ordered the Pasig City Regional Trial Court (RTC) to continue with the proceedings against Delfin Lee’s Globe Asiatique Realty Holdings Corp and Filmal Realty Corp in connection with a loan worth more than P1bn with the Philippine National Bank (PNB).

In a decision written by associate justice Martin Villarama, the SC granted the petition filed by Aida Padilla as it ordered the Pasig City RTC to proceed with the presentation of evidence in support of the compulsory counterclaim of the petitioner.

“The orders dated November 12, 2012 and May 8, 2013 of the Regional Trial Court of Pasig City, Branch 155 in [the Civil Case] are hereby reversed and set aside…” the SC ruling said.

Concurring with the ruling were chief justice Maria Lourdes P Aranal Sereno and associate justices Lucas Bersamin, Bienvenido Reyes and Jose Catral Mendoza.

Records of the case showed that from 2005 to 2008, the PNB entered into several Contracts to Sell (CTS) facility agreements with respondents Globe Asiatique and Filmal represented by Delfin S Lee and Dexter L Lee, president and vice president, respectively, of the two corps.

The PNB agreed to make available to Globe Asiatique and Filmal CTS facility in the amount not exceeding Php 200mn to finance the purchase of certain accounts receivables or the in-house installment receivables of the respondents stemming from the sale of subdivision houses in their real estate/housing projects as evidenced by contracts to sell.

These availments were later increased to a total amount of P1.2bn.

Pursuant to and as a condition for the CTS facility availments, the respondents executed in favour of PNB several Deeds of Assignment covering accounts receivables in the aggregate amount of P1,195,926,390.72.

In the instruments, the respondents acknowledged the total amount of P1,395,665,564.69 released to them by the PNB in consideration of the accounts receivables.

In the first quarter of 2010, the respondents defaulted in the payment of their outstanding balance and delivery to the PNB of transfer certificates of title corresponding to the assigned accounts receivables, for which the PNB declared them in default under the CTS Facility Agreements.

Subsequently, the respondents made partial payments and made proposals for paying in full its obligation to the PNB as shown in the exchange of correspondence between the respondents and the PNB.

On August 5, 2010, the PNB made a formal and final demand upon the respondents to pay the total amount of P974,377,159.10 representing their outstanding obligation.

In the course of credit monitoring and verification, the PNB claimed it discovered 231 out of 240 Contracts to Sell to have either inexistent addresses of buyers or the names of the buyers are non-existent or both.

The case eventually reached the RTC.

In their complaint against judge Pedro De Leon Gutierrez and Padilla, the respondents claimed that Globe Asiatique and Filmal are well-known and successful real estate developers whose projects were “being continuously supported by various banks and other financial institutions prior to the malicious and devastating unfounded civil action” filed by Padilla which wrought havoc to their businesses and lives.

 

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