Facts:

The case involves Miguel Cosme, Jr. as the petitioner and the People of the Philippines as the respondent. The events leading to the case unfolded between September 12, 1994, and October 13, 1994, in the City of Manila, Philippines. An Information was filed against Cosme on January 16, 1996, accusing him of committing estafa against Paul P.A. Bunda. The allegation stated that Cosme received a total of P1,800,000.00 from Bunda under the express obligation to settle the accrued real estate taxes for a property located in Almanza, Las Pinas, Metro Manila. However, instead of fulfilling this obligation, Cosme misappropriated the funds for his personal use, despite repeated demands for payment from Bunda.

During the trial, it was revealed that Bunda had initially met Cosme in August 1994, who presented himself as the overseer of the property. Subsequently, Bunda was convinced to entrust Cosme with the payment for the real estate taxes, claiming he had connections with local gove...

Facts:

Background of the Case

• Miguel Cosme, Jr. (petitioner) was charged with Estafa under Article 315 (1)(b) of the Revised Penal Code.
• The Information alleged that between September 12, 1994, and October 13, 1994, in Manila, petitioner received P1,800,000.00 from Paul P.A. Bunda (private complainant) under the obligation to settle the accrued real estate taxes for a property in Las Piñas.
• Petitioner failed to settle the taxes and instead misappropriated the funds for his personal use.

Transactions Between the Parties

• In April 1993, Judith Rodriguez and private complainant Paul Bunda entered into a Memorandum Agreement regarding two lots in Las Piñas. Bunda agreed to pay the accrued real estate taxes in exchange for a 40% interest in the property.
• In September 1994, petitioner, who represented himself as the overseer of the property, convinced Bunda to entrust him with P2,000,000.00 to pay the taxes, claiming he had connections with the Las Piñas Mayor’s Office and the Treasurer’s Office.
• Bunda gave petitioner P100,000.00 in cash on September 12, 1994, and another P100,000.00 on September 14, 1994. These payments were not receipted.
• On September 28, 1994, and October 13, 1994, Bunda issued two checks totaling P1,600,000.00, which petitioner encashed but did not use to pay the taxes.

Petitioner’s Defense

• Petitioner claimed the P1,600,000.00 was for hiring security guards, building a fence, facilitating tax computations, and titling the property.
• He admitted receiving the checks but denied receiving P200,000.00 in cash.
• Petitioner failed to provide evidence of hiring security guards or building a fence.

Issue:

• (Unlock)

Ruling:

• (Unlock)

Ratio:

1. Credibility of Witnesses: The Court upheld the credibility of the private complainant’s testimony, emphasizing that the trial court’s assessment of witness credibility is binding unless there is evidence of arbitrariness or oversight.
2. Elements of Estafa: The Court found that all elements of Estafa under Article 315 (1)(b) were present:
   • Petitioner received money in trust to pay real estate taxes.
   • He misappropriated the funds for personal use.
   • The misappropriation caused damage to Bunda.
3. Demand Letter: The Court ruled that demand is not an essential element of Estafa. Misappropriation alone suffices for conviction.
4. Penalty and Interest: The Court applied the penalty under Article 315, considering the amount defrauded (P1,600,000.00). Interest was imposed in accordance with the guidelines in Eastern Shipping Lines, Inc. v. Court of Appeals.

Conclusion:

The Supreme Court affirmed the conviction of Miguel Cosme, Jr. for Estafa, modifying the penalty and imposing civil liability for the return of the defrauded amount with interest.