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  • Philippine Sentral Bank Warns of AI-Enhanced Scams on Social Media

    Philippine Sentral Bank Warns of AI-Enhanced Scams on Social Media

    The Philippine central bank warned Friday about the rising threat of AI-generated scams on social media, urging the public to be vigilant against increasingly convincing fake videos and audio.

    The Bangko Sentral ng Pilipinas (BSP) said scammers are using artificial intelligence to create manipulated content that spreads false information about organizations and officials, including the central bank itself.

    The BSP specifically denied that its governor, Eli M. Remolona, Jr., has endorsed any cryptocurrency projects, including one called “Tesler Code.”

    Misrepresenting the central bank or its officers is punishable by law, the BSP said.

    The bank advised the public not to share personal information with unverified entities and to confirm the authenticity of messages purportedly from BSP officials.

    Suspicious activities can be reported to the BSP at its Manila headquarters, by phone at (+632) 8811-1277, or by email at bspmail@bsp.gov.ph.

  • Sam SV Verzosa Reflects on Humble Beginnings in Sampaloc, Manila

    Sam SV Verzosa Reflects on Humble Beginnings in Sampaloc, Manila

    Prominent Filipino entrepreneur Sam SV Verzosa recently shared a poignant account of his journey from poverty to prosperity, highlighting his roots in Sampaloc, Manila.

    In a heartfelt Facebook post, Verzosa offered a glimpse into his challenging childhood and the valuable life lessons that shaped his success.

    Verzosa’s story begins in a modest three-unit apartment building in Sampaloc, where his family initially rented the middle unit.

    “Dati nirerent lang namin yung gitnang apartment dyan sa 3 unit na yan, 5 kami mgkakapatid mgkakatabi sa isang kama sa lapag kasama parents ko para tipid sa kuryente,” he recounted, describing the cramped living conditions that necessitated all seven family members sharing a single bed on the floor to save on electricity costs.

    Despite facing numerous hardships, Verzosa credits his family’s resilience and faith for overcoming their struggles.

    “Sobrang daming pagsubok na pinagdaanan pero nilaban lang namin at kinaya lahat ng problemang dumating samin, sa tulong ng Panginoon nalagpasan namin lahat ng pagsubok sa buhay namin dati,” he wrote.

    Over time, the family’s fortunes improved, allowing them to acquire the adjacent units. This expansion provided much-needed space for the siblings to have their own rooms, marking a significant improvement in their living conditions.

    Verzosa fondly remembers the streets of Sampaloc as his training ground, both in life skills and basketball.

    “Sa mga KALYE ng SAMPALOC ko natutunan karamihan ng Diskarte ko sa buhay,” he reminisced, adding that daily basketball games with stakes of ice water or soda honed his skills in the sport.

    Education played a crucial role in Verzosa’s journey. He recalls his parents’ emphasis on studying, quoting them: “Sammyboy mag aral ka mabuti kse yan lang maipapamana namin syo.” This motivation drove him to secure a scholarship at the University of the Philippines Diliman and later excel in business.

    Verzosa’s entrepreneurial success came early, as he notes, “I made my first Million nung 22 palang ako.” He attributes his achievements to hard work, business acumen, and divine guidance, often recalling his late father’s advice: “Anak, wag na wag ka makaka limot sa Kanya.”

    Now in a position to give back, Verzosa expresses joy in helping his former community.

    “Ngayon masaya ako na nasa position ako para maka tulong sa mga kalugar ko sa Sampaloc at buong Maynila,” he shared, emphasizing the importance of perseverance and faith in overcoming life’s challenges.

    Verzosa’s story serves as an inspiration to many, demonstrating how determination, hard work, and community support can lead to significant personal and professional growth. His journey from a crowded apartment in Sampaloc to becoming a successful businessman underscores the potential for upward mobility in Filipino society, while also highlighting the persistent challenges faced by many urban families in the Philippines.

    As Verzosa contemplates, “Sa Sipag at Diskarte at sa tulong ni God dadating dn panahon malalagpasan mo mga problema at makakatulong kadin hindi lang sa pamilya mo kundi pati nadin sa kapwa mo,” encapsulating his belief in the power of hard work, ingenuity, and faith to overcome adversity and ultimately help others.

  • Philippines Tops Global Investor Relations and Debt Transparency Ranking

    Philippines Tops Global Investor Relations and Debt Transparency Ranking

    (mikeligalig.com) – The Philippines has clinched the top spot in the 2024 Investor Relations (IR) and Debt Transparency Report, according to the Institute of International Finance (IIF), a Washington DC-based organization.

    The Southeast Asian nation improved its ranking from third place in 2023 to first among 50 countries this year, with its score rising to 48.88 out of 50 points from 47.8 last year.

    Indonesia followed closely with 48.75 points, while Turkey, Brazil, and Hungary rounded out the top five with scores of 48.38, 47.50, and 47.21 respectively.

    Bangko Sentral ng Pilipinas (BSP) Governor Eli M. Remolona, Jr. welcomed the recognition, stating, “We remain committed to working closely with the economic team in transparently communicating the country’s macroeconomic fundamentals and ongoing reforms.”

    The report highlighted the Philippines’ exceptional efforts in investor engagement and transparency, particularly in providing access to macroeconomic and environmental, social, and governance (ESG) data and policy information.

    The country’s IR program includes discussions between economic agencies and credit rating agencies, communication with global and local banks, and organizing investor briefings domestically and internationally.

    The IIF assessment, which sets standards for best practices in IR and data dissemination for emerging markets and developing countries, combines desk research with a survey of countries maintaining active IR programs. The evaluation determines the IR Country Score, Debt Transparency Score, and ESG Data and Policy Dissemination Score.

    The IR country score is based on 23 criteria, while the Debt Transparency Score and ESG Data and Policy Dissemination score are subsets focusing on sovereign borrowers’ data and policy dissemination practices.

    BSP said the achievement reflects the Philippines’ commitment to maintaining transparency and fostering strong relationships with investors, potentially boosting its attractiveness as an investment destination.

  • DPWH: New Senate Building Delays Increase Costs

    DPWH: New Senate Building Delays Increase Costs

    MikeLigalig.com – Delays and design changes in the construction of the New Senate Building have led to increased costs, officials from the Department of Public Works and Highways told a Senate committee Wednesday.

    Sen. Alan Peter Cayetano, chair of the Senate Committee on Accounts, said the project has been delayed by 852 days. The estimated cost now stands at P23 billion pesos.

    DPWH Project Director Soledad Florencio attributed the delays to variation orders and ongoing revisions.

    These have resulted in over P78 million pesos in extension of time charges, part of an estimated P800 million pesos for all variation orders.

    Cayetano questioned an additional P173 million pesos in design fees on top of the original P258 million peso fee.

    He suggested the delays and extra costs could have been avoided if DPWH had consulted the Senate Coordinating Team before finalizing designs.

    “You didn’t talk to the Senate before the detailed design, that’s why there was an extension of time,” Cayetano said. “If you had talked, there might not have been a need for revisions.”

  • US-based Squad.app Inks Partnership with WeAllNet of Vietnam

    US-based Squad.app Inks Partnership with WeAllNet of Vietnam

    A digital handshake across the Pacific.

    In a move that underscores the growing importance of Southeast Asian markets, Squad.App, an American influencer marketing startup, has inked a deal with Vietnam’s WEALLNET (WAN).

    The partnership, announced on July 5, 2024, aims to bridge the gap between global brands and Vietnam’s burgeoning digital consumer base.

    Squad.App, known for its algorithmic approach to matching brands with social media personalities, will bring its technological prowess to bear on Vietnam’s influencer landscape.

    WEALLNET, a homegrown digital platform founded in 2017, will provide the local expertise essential for navigating the country’s cultural and regulatory intricacies.

    The alliance comes at a time when Vietnam’s digital economy is experiencing rapid growth, with e-commerce and social media usage surging.

    For international brands eyeing this market of 97 million people, the partnership offers a turnkey solution to the perennial challenge of localization.

    “We’re not just exporting technology; we’re importing insight,” says Anthony Adamovich, Squad.App’s CEO.

    His counterpart at WEALLNET, Kevin Pham, speaks of “unparalleled synergy” – a phrase that, while well-worn, aptly describes the complementary strengths of the two firms.

    The venture is not without its challenges.

    Vietnam’s regulatory environment can be capricious, particularly when it comes to online content.

    WEALLNET’s role in ensuring compliance will be crucial. Moreover, the influencer market is notoriously fickle, with today’s viral sensation often becoming tomorrow’s forgotten face.

    Nevertheless, if successful, this East-West collaboration could serve as a template for similar partnerships across the region.

    As the digital silk road continues to expand, such alliances may become the new normal in the global marketing landscape.

  • Philippines Unveils P6.352 Trillion Budget Proposal for 2025

    Philippines Unveils P6.352 Trillion Budget Proposal for 2025

    The Philippine government is preparing to submit a 6.352 trillion peso ($114 billion) national budget proposal for fiscal year 2025, officials announced Tuesday.

    Budget Secretary Amenah F. Pangandaman presented the proposal to President Ferdinand Marcos Jr. and cabinet members. The budget, themed “Agenda for Prosperity: Fulfilling the Needs and Aspirations of the Filipino People,” represents a 10.1% increase from the 2024 budget.

    Pangandaman said the proposal aligns with the Philippine Development Plan 2023-2028 and focuses on economic growth and social transformation.

    The education sector will receive the largest allocation, as mandated by the constitution. Health spending will also see significant increases, particularly for hospitals in Metro Manila and regional facilities.

    Local government units and the Bangsamoro Autonomous Region in Muslim Mindanao are expected to receive increased funding.

    The president is required to present the budget to Congress within 30 days of his State of the Nation Address. Pangandaman aims to submit the proposal to lawmakers within a week of that speech.

    The administration hopes the budget will help the Philippines achieve upper middle-income status and reduce poverty to single digits by 2028.

  • Ceferino S. Paredes, Jr. and Mansueto J. Honrada v. The Honorable Sandiganbayan, Second Division, et al.

    Ceferino S. Paredes, Jr. and Mansueto J. Honrada v. The Honorable Sandiganbayan, Second Division, et al.

    Case Title: Ceferino S. Paredes, Jr. and Mansueto J. Honrada v. The Honorable Sandiganbayan, Second Division, et al.

    G.R. No. 108251, January 31, 1996

    Facts:

    • Teofilo Gelacio filed a complaint against petitioners Paredes and Honrada for falsification of public documents.
    • The complaint alleged that Honrada, in conspiracy with Paredes and Atty. Sansaet, falsely certified that an arraignment was held in Criminal Case No. 1393 when no such arraignment actually took place.
    • After preliminary investigation, the Office of the Ombudsman filed three informations for falsification against petitioners with the Sandiganbayan.
    • Petitioners moved to quash the informations and for reinvestigation, but these were denied.
    • Petitioners filed this petition for certiorari and prohibition to enjoin the trial of the criminal cases.

    Issues:

    1. Whether petitioners’ right to due process was violated during the preliminary investigation
    2. Whether the filing of the cases constitutes forum shopping
    3. Whether the cases were filed merely for political harassment and without probable cause

    Ruling:
    The Supreme Court dismissed the petition.

    1. There was no violation of due process. The fact that a different investigator made the resolution recommending prosecution does not violate due process, as long as the decision was based on the evidence on record. The investigators were not shown to be biased against petitioners.
    2. There is no forum shopping. Although several cases arose from the same incident (Paredes’ free patent application), they involve different facts, circumstances and causes of action. The dismissal of the administrative case does not bar the criminal prosecution.
    3. The claim of political harassment does not justify prohibition of prosecution if there is evidence to support the charges. A preliminary investigation was conducted where petitioners were heard. The Court will not interfere with the Ombudsman’s discretion unless clearly abused. Petitioners failed to show the prosecutors acted in bad faith or lent themselves to a scheme of persecution.

    The petition was dismissed as the Court found no grave abuse of discretion by the Ombudsman in finding probable cause to file the criminal cases.

  • Former Officers of Closed Sarangani Rural Bank Convicted by Courts

    Former Officers of Closed Sarangani Rural Bank Convicted by Courts

    General Santos City, South Cotabato — Three courts in General Santos City have convicted former officers of the closed Sarangani Rural Bank, Inc. (SRBI) for violating the Bangko Sentral ng Pilipinas’ (BSP) Manual of Regulations for Banks (MORB), the General Banking Law of 2000, and the Revised Penal Code.

    The city’s Regional Trial Court (RTC), Branch 60, found former SRBI President and Manager Francisco L. Laiz, Jr.; former Loans Bookkeeper Marydelle C. Arbilo; former Loans Clerk Annalyn C. Brumo; and former Account Officer Charity B. Villa guilty of participating in fraudulent transactions involving fictitious loans. The SRBI credit committee members, including former Loans Supervisor Arsenia C. Dela Cruz and former General Bookkeepers Mizpah C. Santos and Lilibeth B. Girado, were also convicted.

    The court sentenced each accused to six years’ imprisonment and ordered them to pay a fine of PHP50,000.00. Additionally, they face perpetual disqualification from employment in any of the BSP-Supervised Financial Institutions.

    Meanwhile, RTC Branch 55 convicted former Technical Assistant Justino G. Tamala, Jr. for violating provisions in the BSP’s MORB and for falsification of public and commercial documents. Tamala received a five-year prison sentence and a PHP50,000.00 fine for each of the five charges against him, with subsidiary imprisonment in case of insolvency.

    In a separate ruling, the Municipal Trial Court in Cities, Branch 2, also convicted Laiz, Arbilo, Brumo, Villa, Dela Cruz, and Santos for falsification of public and commercial documents. They were sentenced to one year and eight months’ imprisonment and fined PHP3,000.00 each.

  • BSP Statement on Medium-Term Inflation Path

    BSP Statement on Medium-Term Inflation Path

    The March 2024 inflation rate of 3.7 percent falls within the BSP’s projected range of 3.4 to 4.2 percent.

    The outcome aligns with the BSP’s expectations that inflation will likely remain within the target range during Q1 2024, primarily due to negative base effects.

    However, there is a possibility that inflation could temporarily exceed the target range in the next two quarters due to adverse weather conditions affecting domestic agricultural output and positive base effects.

    The inflation outlook carries upside risks. These risks may arise from increased transport charges, higher prices for food commodities facing supply constraints, elevated electricity rates, global oil price fluctuations, and the implementation of a legislated minimum wage increase.

    Looking forward, the Monetary Board will take the latest inflation data into account during its upcoming monetary policy meeting on April 8, 2024.

    Additionally, the BSP continues to support non-monetary measures by the National Government to address supply-side pressures on prices and maintain the disinflation process.


  • Two DOST Region 02 Women Certified as CagVal RPGRPs

    Two DOST Region 02 Women Certified as CagVal RPGRPs

    Tuguegarao City, Cagayan Valley — The Department of Science and Technology (DOST) Region 02 proudly announces that Ms. Aileen Gonzales and Ms. Rowena A. Guzman, both Science Research Specialists II, have become part of the historic first batch of the Regional Pool of Gender and Development Resource Persons (RPGRPs) for Cagayan Valley.

    Since September 2023, Ms. Gonzales and Ms. Guzman dedicated themselves to rigorous training sessions and workshops conducted by the Regional Gender and Development Committee (RGADC). Their unwavering commitment led to their certification as RPGRPs during a ceremony held at Batanes State College last June 4, 2024.

    This certification empowers Ms. Gonzales, Ms. Guzman, and six other certified RPGRPs to conduct Gender and Development (GAD) training across Cagayan Valley. Their expertise will play a crucial role in advancing gender equality and women’s empowerment throughout the region.

    The RGADC, the regional counterpart of the National Gender and Development Resource Program (NGRP), actively coordinates gender-related activities across various organizations in the region. It recommends policies to promote gender equality and women’s empowerment to the Regional Development Council and ensures effective coordination of efforts to mainstream GAD principles in regional programs, projects, and activities.

    Dr. Virginia G. Bilgera, Chair of the RGADC, hails from DOST Region 2, underscoring the agency’s commitment to GAD initiatives. By empowering individuals like Ms. Gonzales and Ms. Guzman, the RGADC strengthens its capacity to advocate for gender equality and amplify women’s voices in Cagayan Valley’s development plans.

  • DOST Launches Bluer and Smarter Eastern Visayas

    DOST Launches Bluer and Smarter Eastern Visayas

    TACLOBAN CITY, Philippines — The Department of Science and Technology’s Region VIII office launched its Regional Science, Technology, and Innovation Week, aiming to promote a “Bluer and Smarter Eastern Visayas” through sustainable development initiatives.

    The event, scheduled for July 25-27, 2024, at the People’s Center & Library in Tacloban City, will showcase collaborative efforts between DOST VIII and its partners.

    DOST Undersecretary for Regional Operations Sancho A. Mabborang emphasized the week’s importance in reshaping the region’s socioeconomic landscape.

    “By leveraging science, technology, and innovation, Eastern Visayas can unlock new potentials, foster innovations, and promote a more dynamic and progressive society,” Mabborang said.

    DOST Secretary Renato U. Solidum Jr. outlined initiatives aligned with the department’s strategic pillars: wealth creation, wealth protection, human well-being, and sustainability.

    The event will feature forums on technology investment, blue economy, and smart communities. A Research and Development Symposium will focus on building resilient communities and protecting marine resources.

    DOST VIII plans to unveil a modernized Regional Standards and Testing Laboratory and launch innovation centers to support regional growth.

    The week-long observance aims to elevate awareness about sustainability and responsible innovation while driving positive change in Eastern Visayas.

  • Japanese Artist Walks Panay Island Pulling Tire

    Japanese Artist Walks Panay Island Pulling Tire

    ROXAS CITY, Philippines — A Japanese performance artist is walking around Panay Island while pulling a tire, aiming to complete a loop through four provinces.

    Tappei Noguchi of Tokyo began his journey in Roxas City, Capiz, and has traversed parts of Iloilo and Antique provinces. He is currently in Sebaste, Antique, heading toward Aklan province.

    Noguchi has shared artwork with supporters along his route. He is expected to reach Aklan by June 30 before returning to Roxas City to finish the loop.

    If successful, Noguchi may be the first person to circle Panay Island entirely on foot.

  • San Miguel Corporation Warns Public of Job Scams

    San Miguel Corporation Warns Public of Job Scams

    San Miguel Corporation (SMC), one of the Philippines’ largest conglomerates, has issued a public advisory warning job seekers about fraudulent hiring practices.

    The company stated that neither SMC nor its subsidiaries require any form of payment from job applicants during the hiring process.

    The advisory aims to alert the public about individuals posing as SMC employees or representatives who are running scams that promise guaranteed employment in exchange for money. These scammers reportedly ask for various fees, including processing fees and medical fees.

    SMC emphasized that such practices are not part of their legitimate recruitment process.

    The company advises those interested in career opportunities within the San Miguel group to visit their official careers website at careers.sanmiguel.com.ph or follow their official Facebook page for accurate information.

    The advisory from SMC highlights the ongoing issue of job scams in the Philippines, where unsuspecting job seekers can fall victim to fraudulent schemes.

    SMC’s public statement serves as a reminder for job applicants to be vigilant and to verify employment opportunities through official channels.

  • ServerLIFT Partners with ByteBridge to Enhance Data Center Operations in China

    ServerLIFT Partners with ByteBridge to Enhance Data Center Operations in China

    ServerLIFT, a creator of certified data center lifts, has announced a strategic partnership with ByteBridge, a global provider of data center and IT solutions, to improve data center operations in China. The collaboration aims to increase efficiency and safety in the rapidly evolving data centers across the region.

    Key points of the partnership:

    1. ByteBridge will integrate ServerLIFT’s innovative server-handling solutions into its comprehensive data center infrastructure services.
    2. The partnership combines ByteBridge’s expertise in data center design, logistics, and IT implementation with ServerLIFT’s specialized equipment for safe server handling.
    3. ServerLIFT’s products are known for creating accident-free environments in data centers and meeting global safety standards.
    4. The collaboration is expected to address the increasing demands for AI and high computing in data centers while maintaining efficiency and safety.
    5. Both companies aim to set new benchmarks for safety and efficiency in the data center industry.

    Vivian Qi, General Manager of APAC at ByteBridge, and Ray Zuckerman, CEO of ServerLIFT, expressed excitement about the partnership and its potential to revolutionize data center management in China.

    The strategic alliance is set to provide integrated solutions that will help data center operators optimize their operations, increase productivity, and ensure the safety of both workers and IT equipment in the evolving digital landscape.

  • AI-Powered Dispatch Platform Set to Launch in September 2024

    AI-Powered Dispatch Platform Set to Launch in September 2024

    DispatchMVP.AI, a logistics technology company, has announced the upcoming launch of its AI-powered dispatch platform in September 2024. The platform aims to revolutionize trucking dispatch operations with advanced artificial intelligence and comprehensive fleet management solutions.

    Key features of the new platform include:

    1. AI-driven route optimization
    2. Real-time fleet monitoring and alerts
    3. Predictive maintenance scheduling
    4. Automated compliance and electronic logging
    5. Advanced analytics and reporting
    6. Streamlined document handling

    The platform is designed to cater to various roles within trucking companies, including dispatchers, drivers, fleet managers, and administrative staff. It promises to enhance efficiency, reduce operational costs, and contribute to sustainability in the transportation sector.

    DispatchMVP.AI, co-founded by Tony Harmon, is positioning itself as a game-changer in the industry with this innovative solution. The company aims to set a new standard in the trucking industry by combining technological innovation with practical solutions to meet the evolving needs of fleet operators and logistics managers.

    For more information, interested parties can visit the company’s website or contact Tony Harmon directly.

  • Associated Bank v. Court of Appeals, et al. (G.R. No. 107382, January 31, 1996)

    Associated Bank v. Court of Appeals, et al. (G.R. No. 107382, January 31, 1996)

    Case Title: Associated Bank v. Court of Appeals, Province of Tarlac and Philippine National Bank

    Facts:

    • The Province of Tarlac maintained a current account with Philippine National Bank (PNB) Tarlac Branch.
    • Checks issued by the Province for Concepcion Emergency Hospital were drawn to the order of “Concepcion Emergency Hospital” or “The Chief, Concepcion Emergency Hospital”.
    • In 1981, it was discovered that 30 checks amounting to P203,300 were encashed by Fausto Pangilinan, a retired hospital employee, with Associated Bank as the collecting bank.
    • Pangilinan had forged the signature of Dr. Adena Canlas, the hospital chief, to negotiate the checks.
    • The Province of Tarlac sued PNB, which impleaded Associated Bank.

    Issue: Who bears the loss for the checks with forged endorsements – the drawer (Province of Tarlac), the drawee bank (PNB), or the collecting bank (Associated Bank)?

    Ruling:

    1. The loss should be shared between the Province of Tarlac (50%) and Associated Bank (50%).
    2. The Province of Tarlac was negligent in:
    • Releasing checks to an unauthorized person (Pangilinan)
    • Allowing a retired employee to receive checks for 3 years
    • Not ascertaining why two people were collecting checks
    1. Associated Bank was liable as the collecting bank for:
    • Not verifying the genuineness of prior endorsements
    • Breaching its warranty as endorser of the checks
    1. PNB as drawee bank can seek reimbursement from Associated Bank, but is liable to the Province for 50% of the amount.
    2. The 24-hour return rule under CB Circular 580 does not preclude PNB from seeking reimbursement, as it gave prompt notice to Associated Bank.
    3. Legal interest of 6% per annum is imposed from the date of extrajudicial demand.

    The Court modified the lower court’s decision, ordering PNB to pay 50% of P203,300 to the Province, and Associated Bank to pay 50% of P203,300 to PNB, both with 6% interest from March 20, 1981.

  • Office of the Court Administrator v. Hon. Globert J. Justalero

    Office of the Court Administrator v. Hon. Globert J. Justalero

    Case Title: Office of the Court Administrator v. Hon. Globert J. Justalero

    Court: Supreme Court of the Philippines

    Date: April 3, 2024

    Facts:

    • Judge Globert J. Justalero was preventively suspended on January 20, 2016 as Presiding Judge of RTC Branch 32, Iloilo City pending investigation of administrative charges against him.
    • On January 18, 2023, the Supreme Court found Judge Justalero guilty of gross ignorance of the law and procedure and gross misconduct, imposing a penalty of one-year suspension without pay.
    • Judge Justalero filed letters seeking clarification on the computation of his suspension period and requesting back wages for the time he was preventively suspended.

    Issues:

    1. Whether the one-year suspension penalty should be deemed served given Judge Justalero’s prolonged preventive suspension
    2. Whether Judge Justalero is entitled to back salaries and benefits for the period of preventive suspension

    Ruling:

    1. The one-year suspension penalty is deemed served in view of Judge Justalero’s continued suspension from September 30, 2016 until his reinstatement.
    2. Judge Justalero is entitled to back salaries, allowances and other economic benefits from September 30, 2017 up to his reinstatement. The one-year period from September 30, 2016 to September 30, 2017 is deducted to account for the one-year suspension penalty.

    Ratio:

    • Under the amended Rule 140 of the Rules of Court, preventive suspension should not exceed 90 days unless extended by the Supreme Court for compelling reasons.
    • Delay in case resolution not attributable to the respondent judge should not extend the preventive suspension period.
    • Equity considerations warrant partial grant of back salaries/benefits when preventive suspension exceeds the imposed penalty period.

    The Court also laid down guidelines on awarding back salaries and benefits for respondents with pending administrative cases, based on the outcome and circumstances of each case.

  • Office of Administrative Services, Supreme Court v. Johnny R. Llemos A.M. No. SC-23-001 (Formerly JIB FPI No. 22-008-SC)

    Office of Administrative Services, Supreme Court v. Johnny R. Llemos A.M. No. SC-23-001 (Formerly JIB FPI No. 22-008-SC)

    Office of Administrative Services, Supreme Court v. Johnny R. Llemos
    A.M. No. SC-23-001 (Formerly JIB FPI No. 22-008-SC)
    April 30, 2024

    Facts:

    • Johnny R. Llemos, a Painter I in the Maintenance Division of the Supreme Court, tested positive for methamphetamine use in a random drug test conducted on July 11, 2022.
    • The positive result was confirmed by the National Bureau of Investigation.
    • Llemos admitted to using illegal drugs in his comment, but claimed it was not habitual. He apologized and asked for leniency for the sake of his work and children.

    Issue:
    Whether Llemos is guilty of gross misconduct and use of illegal drugs, and what the appropriate penalty should be.

    Ruling:

    1. The Court found Llemos guilty of gross misconduct constituting violations of the Code of Conduct for Court Personnel and use of illegal drugs or substances.
    2. While the Judicial Integrity Board recommended dismissal from service, the Court modified the penalty to suspension from office without salary and other benefits for one year.
    3. The Court considered the following mitigating factors:
    • Llemos readily admitted his liability
    • He displayed earnest remorse
    • He implored leniency for the sake of his children’s education
    1. The Court noted this approach aligns with the view that drug abuse is a complex health disorder best addressed through rehabilitation rather than retribution.
    2. The Court sternly warned Llemos that a repetition of a similar violation will result in dismissal from service.
    3. The Supreme Court Medical and Dental Services was directed to refer Llemos to a suitable drug rehabilitation facility at his own expense.

    The decision is immediately executory.

  • Felimon C. Torres v. Board of Trustees, Government Service Insurance System et al.

    Felimon C. Torres v. Board of Trustees, Government Service Insurance System et al.

    Facts:

    • In 1979, Second Lieutenant Dominador dela Cena Torres, Jr. entered into a Deed of Conditional Sale (DCS) with ARB Construction Co., Inc. for a low-cost housing unit, financed by a GSIS housing loan payable through salary deductions.
    • Less than a year later, on September 2, 1980, Dominador died in a helicopter crash while on a ferry mission. He died single and without issue, survived by his parents.
    • GSIS sent notices regarding unpaid amortizations and potential foreclosure to Dominador’s last address, unaware of his death.
    • Dominador’s brother, petitioner Felimon Torres, claimed the housing loan should be deemed paid through Sales Redemption Insurance (SRI). GSIS denied this, stating Dominador never underwent required medical exams or paid SRI premiums.
    • In 2005, GSIS issued a Notice of Cancellation of the DCS. Felimon filed a petition with the GSIS Board seeking consolidation of title in his name.
    • The GSIS Board, Court of Appeals, and Supreme Court all found the housing loan was not covered by SRI due to lack of medical exams and premium payments.

    Issue:
    Whether Dominador’s DCS was covered by SRI and whether cancellation of the DCS was warranted.

    Ruling:

    1. The Supreme Court affirmed that Dominador’s DCS was not covered by SRI, as he did not undergo required medical exams or pay premiums.
    2. However, the Court ruled that cancellation of the DCS was unwarranted. It directed that Felimon, as Dominador’s sole heir, be allowed to apply for restructuring of the outstanding loan under GSIS Board Resolution No. 48 and Policy and Procedural Guidelines No. 232-13 on Housing Loan Remedial and Restructuring Program.
    3. The Court emphasized the principles of good faith in contracts and the GSIS mandate to provide social security benefits. It noted both parties demonstrated good faith – GSIS in its patience before cancellation and offering remedial options, and Felimon in his willingness to pay the outstanding balance.
    4. The case was remanded to the GSIS Board to determine appropriate loan restructuring for Felimon to fully pay the outstanding obligations on Dominador’s housing loan account.
  • Miguel Kim v. Slimmers World International, Albert Cuesta, and Dinah Quinto (G.R. No. 206306 & G.R. No. 206321)

    Miguel Kim v. Slimmers World International, Albert Cuesta, and Dinah Quinto (G.R. No. 206306 & G.R. No. 206321)

    Facts:

    • Adelaida Kim, wife of Miguel Kim, was a 59-year-old member of Slimmers World fitness center.
    • In June 2000, Adelaida availed of a 12-visit personal training program at Slimmers World.
    • On July 25, 2000, during her 12th and last session, Adelaida complained of a headache and vomited after her workout.
    • The gym staff took her blood pressure, which was high, and brought her to a nearby hospital.
    • Three days later, on July 28, 2000, Adelaida died due to cerebral hemorrhage and severe hypertension.
    • Miguel Kim filed a complaint for damages against Slimmers World, trainer Albert Cuesta, and managing director Dinah Quinto, alleging their negligence caused his wife’s death.

    Issues:

    1. Whether Slimmers World et al. are liable for contractual negligence
    2. Whether Slimmers World et al. are liable for quasi-delict under Article 2176 of the Civil Code

    Ruling:
    The Supreme Court ruled that Slimmers World et al. cannot be held liable for either contractual negligence or quasi-delict:

    1. On contractual negligence:
    • Miguel failed to prove that Slimmers World et al. breached any contractual obligation.
    • The contract did not require the fitness center to take Adelaida’s blood pressure before every workout or have a doctor on site at all times.
    • Adelaida had declared she was not hypertensive when she availed of the program.
    1. On quasi-delict:
    • Miguel failed to establish the elements of quasi-delict, particularly:
      a) The act or omission constituting negligence
      b) The causal connection between the act and the damage sustained (proximate cause)
    • The fitness center took reasonable precautions given the circumstances.
    • There was insufficient evidence proving that Adelaida’s workout directly caused her death.

    The Court emphasized that while gyms have a duty of care, they are not mandated to guarantee safety from all risks. Miguel failed to discharge his burden of proof in establishing negligence and proximate causation.

    The Court therefore granted the petition of Slimmers World et al., reversed the Court of Appeals decision, and dismissed Miguel Kim’s complaint for damages.

  • San Miguel Foods, Inc. v. Spouses Ramon and Ma. Nelia Fabie, and Fresh Link, Inc.

    San Miguel Foods, Inc. v. Spouses Ramon and Ma. Nelia Fabie, and Fresh Link, Inc.

    Case Title:

    G.R. No.: 234849

    Date: June 30, 2024

    Ponente: Justice Hernando

    Facts:

    • Fresh Link, Inc., owned by Spouses Ramon and Nelia Fabie, entered into a Complementary Distributorship Agreement with San Miguel Foods, Inc. (SMFI) in 1992, which was renewed yearly.
    • In April 1999, the agreement was renewed again to expire on March 31, 2000.
    • On June 4, 1999, SMFI ceased delivery of products on credit to Fresh Link.
    • Fresh Link filed a complaint against SMFI for breach of contract and damages, alleging SMFI unilaterally terminated the agreement.
    • SMFI claimed Fresh Link had unpaid accounts and its letter of credit had expired.
    • The RTC ruled in favor of Fresh Link and awarded damages. The Court of Appeals affirmed with modifications.

    Issues:

    1. Whether SMFI is entitled to its counterclaims
    2. Whether SMFI unilaterally terminated the agreement with Fresh Link
    3. Whether respondents are entitled to damages

    Ruling:

    1. SMFI is not entitled to its counterclaims. The documents submitted were mere photocopies, inadmissible under the best evidence rule.
    2. Respondents failed to prove by preponderance of evidence that SMFI unilaterally terminated the agreement. Evidence showed SMFI only denied credit purchases, not terminated the agreement entirely.
    3. Respondents are not entitled to damages. They failed to sufficiently prove SMFI’s alleged breaches of contract beyond Nelia Fabie’s testimony and complaint letters.

    The Supreme Court reversed the CA decision and dismissed Fresh Link’s complaint for lack of merit.

    Dispositive Portion:
    The Petition is GRANTED. The May 18, 2017 Decision and October 18, 2017 Resolution of the Court of Appeals are REVERSED and SET ASIDE. The Complaint filed by respondents is DISMISSED for lack of merit.