Enrique M Garcia, et al. vs. Bernardo Diapo, et al.

[SEC-SICD * CASE NO. 2169. July 30, 1990.] ENRIQUE M. GARCIA, ET AL. , petitioners , vs . BERNARDO DIAPO, VIRGILIO M. GARCIA, ET AL. , respondents . D E C I S I O N For resolution is the joint motion for approval of the Compromise Agreement, filed by the petitioner and respondents through their respective counsel, praying for the approval of the said agreement and for the judgment to be rendered in accordance therewith. LexLib The terms and stipulations of the Compromise Agreement dated July 23, 1990 are as follows: COMPROMISE AGREEMENT "WHEREAS, the FIRST PARTY is one of the respondents, and the SECOND PARTY'S predecessor-in-interest, was the petitioner in SEC Case NO. 2169, entitled "Enrique M. Garcia, petitioner, versus Bernardo Diapo, Virgilio M. Garcia, et al., Respondents. WHEREAS, the aforementioned case refers to the accounting and liquidation of the properties and assets of the defunct Garcia, Diapo & Co. WHEREAS, parties hereto are desirous to settle the said case amicably under the terms and conditions contained in this Compromise Agreement. llcd NOW, THEREFORE, for and in consideration of the foregoing premises, the FIRST PARTY and the SECOND PARTY, have agreed, as they do hereby agree as follows: 1. Upon the execution of this Agreement, the FIRST PARTY shall pay to the SECOND PARTY the sum of FOUR HUNDRED THOUSAND PESOS (P400,000.00) in full payment of the value of the participating interest that SECOND PARTY and their predecessor-in-interest have or shall have on all the properties and other assets of the defunct Garcia, Diapo & Co., liquidated or unliquidated, registered in the name of said company or in the name of other persons or entities, such as the Kalibo Electric Light and Power Co., Inc. The aforementioned amount of P400,000.00 shall be paid by the FIRST PARTY to the SECOND PARTY in the following manner: 1) P200,000.00 in cash, upon the signing of this agreement. 2) P200,000.00 in two (2) checks, both dated September 20, 1990 under Allied Banking Corp. Check Nos. 3450490338 and 3450490330 both issued by Mr. Tito Garcia. In the event that the post-dated check mentioned in Item (2) above is not honored on the date it is dated, the amount of P200,000.00 already received by the SECOND PARTY under Item (1) above, shall be forfeited in favor of the SECOND PARTY as liquidated damages without prejudice to any right of action and other criminal and civil remedies that the SECOND PARTY may have against the FIRST PARTY and the issuer of said check. 2. For and in consideration of the aforementioned amount of P400,000.00, in cash and in checks, receipt of which is hereby acknowledged by the SECOND PARTY from the FIRST PARTY, the SECOND PARTY hereby assigns, transfers and conveys unto and in favor of the FIRST PARTY, all their rights, interests and participation in the properties and other assets, liquidated or unliquidated, of the defunct Garcia, Diapo & Co., whether registered in its name or in the name of other persons and entities. The SECOND PARTY further specifically absolves VIRGILIO M. GARCIA of any accountability and obligation, and waives any right of action against him arising from any transaction that he may have entered into in connection with the properties of the defunct Garcia, Diapo & Co. 4. The parties hereto agree to submit this Compromise Agreement to the Securities and Exchange Commission for the purpose of dismissing and terminating SEC Case NO. 2169, and for the cancellation from the titles, the Notice of Lis Pendens on any and all properties which may have been registered by the SECOND PARTY'S predecessor-in-interest in connection with the aforementioned case. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands on this 23rd day of July, 1990 at Quezon City, Metro Manila. FIRST PARTY SECOND PARTY VIRGILIO M. GARCIA ROBERTA L. G. GARCIA BY: (signed) (signed) TITO GARCIA MA. THERESA GARCIA-MADRIAGA Attorney -in-fact (In her Behalf and as Attorney in-Fact of BERNABE G. GARCIA) (signed) MA. ENRICA GARCIA-CRUZ (In her behalf and as Attorney in-Fact of VICTOR G. GARCIA III) ASSISTED BY: (signed) (signed) LORENZO P. MIRAVITE KENNEDY I. DUKA Counsel of First Party Counsel of Second Party Considering that the aforequoted terms and stipulations of the said agreement are not contrary to law, morals, and public policy, the same is hereby APPROVED and judgment is hereby rendered in accordance therewith. The parties are hereby directed to strictly comply with the terms and stipulations of the Agreement. LLjur SO ORDERED. (SGD.) JOSEFINA L. PASAY-PAZ Hearing Officer