Title
Rivac vs. People
Case
G.R. No. 224673
Decision Date
Jan 22, 2018
Cecilia Rivac convicted of Estafa for failing to return or remit proceeds from consigned jewelry, despite recantation by complainant. Penalty modified under RA 10951.

Case Summary (A.M. No. RTJ-12-2333)

Key Dates

Alleged receipt of jewelry: August 4, 2007. RTC Judgment of conviction: September 30, 2010. Motion to reopen filed October 14, 2010; RTC Order partly granting reopening: January 6, 2011; RTC Order affirming judgment: April 18, 2011. CA Decision affirming conviction: January 11, 2016; CA Resolution denying reconsideration: April 14, 2016. Supreme Court decision resolving the petition: January 22, 2018.

Applicable Law and Procedural Rules

Substantive crime charged: Estafa under Article 315(1)(b) of the Revised Penal Code. Procedural rule on reopening criminal proceedings: Section 24, Rule 119 of the 2000 Revised Rules on Criminal Procedure. Relevant jurisprudence cited includes Cabaries v. Maceda on the parameters for reopening and Cheng v. People on the elements of estafa. Penal modification statute: Republic Act No. 10951 (adjustment of values and penalties), applied retroactively insofar as it is favorable to the accused. The 1987 Philippine Constitution is the governing charter applicable to this case.

Factual Allegations and Documentary Basis

The Information alleges that on August 4, 2007 petitioner received several pieces of jewelry on consignment from FariAas with an aggregate value of P439,500.00, under an express obligation to remit proceeds of sale or return unsold items not later than August 11, 2007. A document described as a jewelry consignment agreement bearing Rivac’s signature was introduced by the prosecution. After the agreed period lapsed, the prosecution alleges Rivac failed to return the jewelry or remit proceeds despite repeated demands; FariAas sent a demand letter and, upon an attempted debtor offer of a titled parcel as partial payment, rejected it because the property was involved in a dispute.

Petitioner’s Version and Trial Plea

At arraignment Rivac pleaded not guilty and asserted that her liability, if any, was civil rather than criminal. Her account, consistently maintained at trial and in later proceedings, was that she obtained a loan from FariAas for her husband’s dialysis: she allegedly delivered Original Certificate of Title No. 0-936 and supporting documents as collateral, received P150,000, and signed a blank consignment document as security. She contended she paid interest for several months but did not repay the principal; she was later demanded to pay P280,000 plus interest and informed that the collateral might be foreclosed.

RTC Proceedings, Findings and Initial Judgment

The RTC, in its September 30, 2010 Judgment, convicted Rivac of Estafa under Article 315(1)(b), sentencing her to an indeterminate term of imprisonment and ordering payment of P439,500.00 plus costs. The RTC reasoned that the prosecution established the essential elements: receipt of the jewelry under consignment (as evidenced by the consignment document with Rivac’s signature) and failure to return the jewelry or remit proceeds after the seven-day period, to the prejudice of FariAas. The RTC rejected Rivac’s explanation that the document reflected a loan transaction subject to collateral, invoking the parol evidence rule to bar evidence attempting to modify the written consignment document.

Motion to Reopen and Re-taken Testimony

Before the judgment became final, Rivac moved to reopen the proceedings to present additional witnesses. The RTC, by order dated January 6, 2011, partially granted the motion to the extent of allowing FariAas to clarify her testimony, on account of an apparent revision in recollection, but denied reopening as to another witness for lack of justification for nonproduction at trial. Upon recall, FariAas purportedly “clarified” that the consignment document never became effective because she had not allowed Rivac to take the jewelry pending repayment of the outstanding loan, effectively offering a recantation of her earlier testimony.

Legal Framework for Reopening Criminal Proceedings

Section 24, Rule 119 permits reopening of criminal proceedings at any time before finality of the judgment of conviction to avoid a miscarriage of justice, subject to hearing and termination of additional proceedings within thirty days. Cabaries v. Maceda and related jurisprudence set forth that reopening may be allowed even after promulgation but before finality, provided it serves the paramount interest of justice and is exercised without abuse of discretion. The requirements include that the reopening be before finality, be ordered after hearing, aim to prevent miscarriage of justice, and that further evidence presentation be completed within the statutory period.

Court of Appeals’ Ruling and Its Reasoning

The CA affirmed the conviction in its January 11, 2016 Decision. The CA opined preliminarily that the RTC erred in reopening the proceedings because its judgment had already been promulgated, equating such reopening to a prohibited new trial. On the merits the CA nonetheless found that all elements of Estafa under Article 315(1)(b) were present and regarded FariAas’s subsequent recantation as inherently unreliable and insufficient to overturn her earlier testimony.

Supreme Court’s Assessment of the Reopening

The Supreme Court held that the CA erred in concluding the RTC improperly reopened the proceedings. Emphasizing the plain language and purpose of Section 24, Rule 119 and the Cabaries formulation, the Court confirmed that a motion to reopen is permissible after promulgation and before finality of judgment when necessary to avoid a miscarriage of justice. The RTC therefore acted within the parameters of the rule in allowing FariAas to clarify her testimony.

Elements of Estafa Under Article 315(1)(b) and Their Application

Article 315(1)(b) penalizes misappropriation or conversion to the prejudice of another of money, goods, or other personal property received in trust, on commission, for administration, or under an obligation to return. The elements are: (a) receipt of property under such trust, commission, administration, or other obligation; (b) misappropriation or conversion, or denial of receipt; (c) prejudice to another; and (d) demand by the offended party for return. Applying these elements, the Court found: (a) the consignment document and circumstances established receipt of jewelry by Rivac on consignment; (b) Rivac failed to return the items or remit proceeds after the agreed seven-day period and gave no satisfactory account, which raises the legal presumption of misappropriation; (c) FariAas suffered prejudice in the aggregate amount of P439,500.00; and (d) FariAas made demand for compliance.

Credibility of Recanted Testimony and Its Effect

The Court applied settled principles regarding recantation: retractions of testimony given solemnly in court are viewed with disfavor because they are often unreliable and may be induced by improper motives after conviction. Jurisp

...continue reading

Analyze Cases Smarter, Faster
Jur helps you analyze cases smarter to comprehend faster, building context before diving into full texts. AI-powered analysis, always verify critical details.