Case Summary (A.C. No. 11304)
Transaction and Misrepresentation
In 2013, Sarmiento and Halili met respondent Fernando, who proposed the sale of a 374-square meter parcel of land in Parañaque City, purportedly owned by him through a Special Power of Attorney (SPA) dated April 14, 2012. The respondent falsely claimed that he was the absolute owner of the subject land, despite it being titled in the names of his parents. He represented that his parents conveyed the land to him to avoid tax payments associated with the property transfer.
Subsequent Legal Issues
The complainants agreed to purchase the land for P3,740,000.00, leading to the execution of a Deed of Absolute Sale. However, the legitimacy of the transaction was called into question when respondent's mother, Natividad Fernando, along with his siblings, filed a complaint against the complainants and the respondent, seeking to nullify the SPA and the sale. It was revealed that the SPA was falsified, as the respondent's father had died in 1997, years before the SPA was allegedly signed, and evidence suggested forgery of his mother’s signature.
Financial and Administrative Impact
Faced with the lawsuit, complainants Sarmiento and Halili settled with Natividad Fernando and her heirs for P2,992,000.00 to formalize their ownership, which they were later compelled to share. Following this financial burden and the failure of respondent to reimburse them, complainants filed criminal charges for estafa and a petition for disbarment against Fernando.
Disciplinary Proceedings
The Integrated Bar of the Philippines (IBP) issued an order requiring the respondent to answer the complaint, which he dismissed as harassment and failed to substantively address. When the hearing occurred, the respondent was absent, leading the IBP to consider the case as submitted for decision. Subsequent to his answer, the IBP-CBD found sufficient evidence to recommend disbarment, concluding that the respondent had committed several acts of deceit, including pocketing the sale proceeds and using the falsified SPA to mislead the complainants.
Ruling on Disbarment
The Supreme Court adopted the findings of the IBP, concluding that the respondent's actions constituted gross violations of the Code of Professional Responsibility, specifically those prohibiting unlawful and dishonest conduct. The Court emphasize
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Case Background
- This case involves a disbarment petition filed by complainants Leonardo L. Sarmiento and Richard G. Halili against respondent Atty. Gregorio C. Fernando, Jr.
- The complainants are business partners in the real estate sector.
- The respondent was introduced to the complainants in 2013 during a meeting arranged by a broker friend.
Sale of Property
- Respondent proposed to sell a 374-square meter parcel of land in Parañaque City, covered by Transfer Certificate of Title (TCT) No. 68952.
- To persuade the complainants, he made several misrepresentations:
- Claimed to be the absolute owner of the subject land, despite TCT No. 68952 being in the names of his parents.
- Asserted that the land was conveyed to him through a Special Power of Attorney (SPA) dated April 14, 2012, intended to avoid taxes.
- Stated that his parents were alive and their signatures on the SPA were genuine.
- Claimed he was the sole heir, implying no one else could contest the sale.
Execution of Sale
- The complainants agreed to purchase the land for PHP 3,740,000.00.
- A Deed of Absolute Sale was executed between the respondent, acting as attorney-in-fact, and Sylvia Sarmiento, wife of complainant Leonardo Sarmiento.
- Following the sale, TCT No. 68952 was canceled and replaced with TCT No. 010-2013000507 in Sylvia's name.
Legal Complications Arise
- Shortly after the transaction, a complaint was filed by respondent's mother Natividad Fernando and the heirs of his father Gregorio Fernando, seeking to nullify the SPA, Deed of Sale, and the new TCT.
- This complaint, docketed as Civil Case No. 14-040, revealed the falsit