Professional Documents
Culture Documents
Besides, the
164 SCRA 247 actuations of appellants were clearly seen by the witnesses who
FACTS: "saw a Fiat Bantam Car-Fiat Car, a small car and about three or four
Peoples Bank and Trust Co (PBTC) extrajudicially foreclosed the persons hurrying; they were carrying goods coming from the back
chattel mortgage executed by Syvel Inc portion of this store of Syvels at the Escolta, between 5:30 and 6:00
on its stocks of goods, personal properties and other materials o'clock in the evening." (Record on Appeal, pp. 45-46). Therefore,
owned by it. The chattel mortgage was in connection with a credit "the act of debtor (appellant) in taking his stock of goods from the
commercial line in the amount of P900,000.00 granted by PBTC to rear of his store at night, is sufficient to support an attachment
Syvel Inc. upon the ground of the fraudulent concealment of property for the
purpose of delaying and defrauding creditors." (4 Am. Jur., 841
Antonio V. Syyap and Angel Y. Syyap executed an undertaking in cited in Francisco, Revised Rules of Court, Second Edition, 1985, p.
favor of the PBTC whereby they both agreed to guarantee 24).
absolutely and unconditionally and without the benefit of
excussion the full and prompt payment of any indebtedness to be INTENT TO DEFRAUD MAY BE AND USUALLY IS INFERRED FROM
incurred on account of the said credit line. In view of the failure of THE FACTS AND CIRCUMSTANCES OF THE CASE; IT CAN RARELY BE
the defendant corporation to make payment in accordance with PROVED BY DIRECT EVIDENCE. It may be gleaned also from the
the terms and conditions agreed upon in the Commercial Credit statements and conduct of the debtor, and in this connection, the
Agreement the PBTC started to foreclose extrajudicially the chattel principle may be applied that every person is presumed to intend
mortgage. However, because of an attempt to have the matter the natural consequences of his acts (Francisco, Revised Rules of
settled, the extra-judicial foreclosure was not pushed thru. As no Court, supra, pp. 24-25), In fact the trial court is impressed "that
payment had been paid, this case was eventually filed in this Court. not only has the plaintiff acted in perfect good faith but also on
facts sufficient in themselves to convince an ordinary man that the
On petition of the plaintiff based on the affidavits executed by Mr. defendants were obviously trying to spirit away a port;.on of the
Leopoldo R. Rivera, Assistant Vice President of the plaintiff bank stocks of Syvel's Incorporated in order to render ineffectual at least
and Atty. Eduardo J. Berenguer on January 12, 1967, to the effect, partially anyjudgment that may be rendered in favor of the
among others, that the defendants are disposing of their properties plaintiff." (Decision; Civil Case No. 68095; Record on Appeal, pp. 88-
with intent to defraud their creditors, particularly the plaintiff 89). Appellants having failed to adduce evidence of bad faith or
herein, a preliminary writ of attachment was issued. As a malice on the part of appellee in the procurement of the writ of
consequence of the issuance of the writ of attachment, the preliminary attachment, the claim of the former for damages is
defendants, in their answer to the complaint set up a compulsory evidently negated. In fact, the allegations in the appellee's
counterclaim for damages. complaint more than justify the issuance of the writ of attachment.
(KC )
Appellants contend that the affidavits of Messrs. Rivera and
Berenguer on which the lower court based the issuance of the writ
of preliminary attachment relied on the reports of credit
investigators sent to the field and not on the personal knowledge
of the affiants.
It is evident from said affidavit that the prayer for attachment rests
on the mortgage by petitioners of 11 parcels of land in Cebu, which
encumbrance respondent Aboitiz considered as fraudulent
concealment of property to its prejudice. We find, however, that
there is no factual allegation which may constitute as a valid basis
for the contention that the mortgage was in fraud of respondent
Aboitiz. xxx"[T]he general rule is that the affidavit is the foundation
of the writ, and if none be filed or one be filed which wholly fails to
set out some facts required by law to be stated therein, there is no
jurisdiction and the proceedings are null and void."Bare allegation
that an encumbrance of a property is in fraud of the creditor does
not suffice. Factual bases for such conclusion must be clearly
averred.
Neither can the Court accept the theory that the omission by the
banks in their petition for involuntary insolvency of an explicit and
categorical statement that they are "residents of the Philippine
Islands," is fatal to their cause. In truth, in light of the concept of
resident foreign corporations just expounded, when they alleged in
that petition that they are foreign banking corporations, licensed
to do business in the Philippines, and actually doing business in this
Country through branch offices or agencies, they were in effect
stating that they are resident foreign corporations in the
Philippines.
It is our judgment that the court below erred in dismissing the case
and dissolving the attachment; and it is ordered that, upon petition
of the plaintiff, it issue a new writ of attachment and then proceed
to trial.