G.R. No. 226140 . February 26, 2020.
PEOPLE OF THE PHILIPPINES, PLAINTIFF-APPELLEE, VS. ANNA ESPIRITU AND ELLEN MABBORANG, ACCUSED, ISABEL RIOS Y CATAGBUI, ACCUSED-APPELLANT.

FACTS

Accused-appellant Isabel Rios y Catagbui, along with Anna Espiritu and Ellen Mabborang, was charged with Large Scale Illegal Recruitment under Section 6(m) of Republic Act No. 8042 and eight counts of Estafa under Article 315(2)(a) of the Revised Penal Code. The charges stemmed from accusations that they, operating through Green Pastures International Staffing Incorporated, promised overseas employment in Taiwan and Singapore to multiple complainants, collected varying amounts as placement and documentation fees from July 2007 to December 2008, but failed to deploy them and refused to reimburse the fees. Rios pleaded not guilty. The case proceeded only against her as her co-accused remained at-large. Before trial, Rios submitted a Confession of Judgment regarding the civil aspect for five complainants, admitting Green Pastures received money from them but denying liability for three others who dealt directly with Mabborang. The prosecution presented the complainants as witnesses, who testified to paying fees but not being deployed and not being reimbursed. The defense presented Rios, who claimed she was merely an employee, not the owner, and that the complainants dealt with Mabborang, a sub-agent who did not remit all payments. The Regional Trial Court convicted Rios. The Court of Appeals affirmed the conviction with modification, deleting the subsidiary imprisonment. Rios appealed to the Supreme Court.

ISSUE

The main issue is whether the prosecution proved beyond reasonable doubt that accused-appellant Isabel Rios is guilty of Large Scale Illegal Recruitment and eight counts of Estafa.

RULING

The Supreme Court DENIED the appeal and AFFIRMED the Decision of the Court of Appeals with MODIFICATION. The Court found Rios guilty beyond reasonable doubt of Large Scale Illegal Recruitment and eight counts of Estafa.
On Illegal Recruitment: The Court ruled that the elements of illegal recruitment in large scale were proven: (1) Rios undertook recruitment activities without a license or authority from the POEA; (2) she committed these acts against three or more persons individually. The evidence, including her own admission and POEA certification, showed she had no valid license at the time of the recruitment. Her defense of being a mere employee was rejected, as she acted as the owner/manager, receiving payments and directing operations. The fact that some complainants dealt with a sub-agent does not exonerate her, as she created the impression of a partnership in the recruitment scheme.
On Estafa: The Court ruled that the elements of Estafa under Article 315(2)(a) were proven for all eight counts: (1) Rios made false pretenses or fraudulent acts by representing she could deploy workers abroad; (2) such pretenses were made prior to or simultaneously with the commission of the fraud; (3) the complainants were induced to pay placement fees due to these misrepresentations; (4) the complainants suffered damage. Her liability extends to transactions conducted by her sub-agent, Mabborang, as the complainants were led to believe Mabborang was acting for her agency.
The Court modified the penalty for Estafa, ordering Rios to suffer the indeterminate penalty for each count based on the amounts defrauded, and to pay interest on the amounts due at the rate of six percent per annum from the date of finality of judgment until full payment. The subsidiary imprisonment was correctly deleted by the CA.