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ELSA B. REYES vs. COURT OF APPEALS, SECRETARY OF JUSTICE, AFP-MUTUAL BENEFIT ASSOCIATION, INC., and
GRACIELA ELEAZEAR
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G.R. No. 120817 November 4, 1996
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I. FACTS

Elsa B. Reyes is the president of Eurotrust Capital Corporation (EUROTRUST), a domestic corporation engaged in credit financing. Graciela Eleazar, private respondent, is the president of B.E. Ritz Mansion International Corporation (BERMIC), a domestic enterprise engaged in real estate development. The other respondent, Armed Forces of the Philippines Mutual Benefit Asso., Inc. (AFP-MBAI), is a corporation duly organized primarily to perform welfare services for the Armed Forces of the Philippines.

Reyes petitioned two resolutions. On the resolution dated January 23, 1992 for the complaint against Graciela Eleazar in which both parties entered into a contract of loan being Reyes as the creditor and Eleazar as the debtor with no collateral but with a higher interest amounting to P216.053,126.80 for the construction of Condominium and Gold Business Park of Eleazar. In return, Eleazar issued 21 postdated checks to cover payments of the loan packages. However, when those checks were presented for payment, the same were dishonored by the drawee bank, Rizal Commercial Banking Corporation (RCBC), due to stop payment order made by Graciela Eleazar. Despite Eurotrust's notices and repeated demands to pay, Eleazar failed to make good the dishonored checks, prompting Reyes to file against her several criminal complaints for violation of B.P. 22 and estafa under Article 315, 4th paragraph, No. 2 (d) of the Revised Penal Code.
Meanwhile, respondent AFP-MBAI which invested its funds with Eurotrust, by buying from it government securities, conducted its own investigation and found that after Eurotrust delivered…...

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