G.R. No. 204755 , September 17, 2014
SOLEDAD TRIA, Petitioner, vs. PEOPLE OF THE PHILIPPINES, Respondent.

FACTS

Petitioner Soledad Tria was charged with estafa under Article 315(1)(b) of the Revised Penal Code. The information alleged that on or about March 8, 2000, in Valenzuela City, she received assorted jewelry worth ₱23,375.50 from Seven Sphere Enterprises, represented by Gertrudes Meneses, under the express obligation to sell the same and account for and deliver the proceeds or return the unsold items within six days. Once in possession, she misappropriated or converted the jewelry or its value to her own use, despite repeated demands, to the damage and prejudice of Seven Sphere Enterprises.
The prosecution evidence established that on March 8, 2000, Tria received 22 pieces of jewelry on consignment valued at ₱47,440.00. She returned eight unsold pieces worth ₱16,380.00 and issued four post-dated Banco Filipino checks, each for ₱7,765.00, to cover the balance of ₱31,060.00. All checks were dishonored upon presentment with the reason “account closed.” After being informed of the dishonor, Tria returned three more pieces valued at ₱7,684.50, leaving an unpaid balance of ₱23,375.50. A demand letter was sent, but Tria failed to pay. The defense failed to present any evidence despite opportunities given by the trial court and was declared to have waived its right.
The Regional Trial Court (RTC) found Tria guilty beyond reasonable doubt of estafa and sentenced her to an indeterminate penalty of four years and two months of prision correccional, as minimum, to eight years of prision mayor, as maximum, and ordered her to indemnify the private complainant ₱23,370.00. The Court of Appeals (CA) affirmed the RTC decision. Tria appealed to the Supreme Court, arguing the absence of fraud, claiming partial payments and an arrangement with the complainant, and contesting the correctness of the penalty imposed.

ISSUE

1. Whether the prosecution proved all elements of estafa under Article 315(1)(b) of the Revised Penal Code beyond reasonable doubt.
2. Whether the penalty imposed by the lower courts was correct.

RULING

The Supreme Court DENIED the appeal and AFFIRMED the conviction with MODIFICATION of the penalty.
1. On the Elements of Estafa: All elements of estafa under Article 315(1)(b) were present. First, Tria received the jewelry in trust or on commission, with a duty to return the proceeds or the unsold items, as evidenced by the “Receipt of Goods on Consignment.” Second, she misappropriated or converted the property by failing to account for the proceeds or return the jewelry after demand, and by issuing dishonored checks. Her subsequent partial payments and claims of selling on credit or an arrangement with the complainant do not negate misappropriation; conversion is presumed from her failure to fulfill her obligation upon demand. Third, such misappropriation caused prejudice to Seven Sphere Enterprises. Fourth, a demand was made through a formal letter. The Court upheld the factual findings of the lower courts, finding no reason to deviate from them.
2. On the Penalty: The Supreme Court modified the penalty. Applying the Indeterminate Sentence Law and relevant jurisprudence, the penalty for estafa where the amount defrauded exceeds ₱22,000.00 is prision correccional maximum to prision mayor minimum (4 years, 2 months, and 1 day to 8 years). The amount involved was ₱23,370.00. The minimum term of the indeterminate sentence should be within the range of the penalty next lower to that prescribed by law (arresto mayor maximum to prision correccional minimum, or 4 months and 1 day to 2 years and 4 months). The maximum term is the maximum period of the prescribed penalty, plus an additional one year for each additional ₱10,000.00 in excess of ₱22,000.00. Since the excess is ₱1,370.00 (less than ₱10,000.00), no additional year is added. Thus, the maximum term is within the range of prision mayor minimum (6 years and 1 day to 8 years). The Court imposed an indeterminate sentence of six months and one day of prision correccional, as minimum, to six years, eight months, and twenty-one days of prision mayor, as maximum.