G.R. No. 196637 - FAR EAST BANK AND TRUST COMPANY, V. UNION BANK OF THE PHILIPPINES [NOW SUBSTITUTED BY BAYAN DELINQUENT LOAN RECOVERY 1 (SPV-AMC), INC.].

Ruling

Accordingly, this Court ordered the SEC "to drop from the petition for suspension of payments filed before it the names of Eulogio O. Yutingco, Caroline Yutingco-Yao and Theresa T. Lao without prejudice to their filing a separate petition in the Regional Trial Court." [18] On December 18, 1998, the SEC issued an Order [19] adopting the Unsolicited Rehabilitation Proposal submitted by Strategies and Alliances Corporation ( SAC ) which was granted a period of six months within which to complete the groundwork for the effective implementation of the early "all-debt payment plan." As described by the SEC, the SAC plan proposed to settle and extinguish all financial obligations of EYCO to its creditors, secured and unsecured, amounting to P5.2 Billion - P4 Billion by banks and P1.2 Billion by non-banks. The repayment of principal and interest thereon on stated due dates were guaranteed to be paid in cash by the Republic of the Philippines through the Home Insurance Guaranty Corporation ( HIGC ). The SEC Order further barred all creditors from pursuing their respective claims until further orders. The Consortium appealed the December 18, 1998 Order to the SEC En Banc . On September 14, 1999, the SEC En Banc rendered its Decision [20] finding the SAC plan not viable and feasible for the rehabilitation of EYCO. Accordingly, the SAC plan and suspension of payment proceedings were ordered terminated, the committees created dissolved and discharged. The SEC further ordered the dissolution and liquidation of the petitioning corporations. Subsequently, a Liquidator was appointed pursuant to the provisions of the Rules of Procedure on Corporate Rehabilitation. [21] On October 10, 2000, the SEC issued an Order [22] directing all creditors claiming against EYCO to file their formal claims with the Liquidator. It likewise declared that all such claims shall be deemed barred if not filed within 30 days after publication of the said order in two newspapers of general circulation in the Philippines. Due to disagreement on Liquidator's fee, a Liquidation Committee was formed to assume the duties of the Liquidator originally appointed by the SEC. On May 31, 2001, the said committee was dissolved and the SEC finally appointed Atty. Danilo L. Concepcion ( Atty. Concepcion ) as Liquidator pursuant to the provisions of the Rules of Procedure on Corporate Recovery. [23] In March 2002, Atty. Concepcion submitted a proposed Liquidation Plan. Finding the said Liquidation Plan meritorious, the SEC approved it on April 11, 2002. [24] Motions to Dismiss Civil Case No. 66477 The Spouses Yutingco filed a Motion to Dismiss on the ground of pendency of the proceedings in the SEC which had acquired prior jurisdiction over the subject matter of the case. [25] FEBTC also filed a motion to dismiss on the ground of Union Bank's failure to implead NIKON, which are indispensable parties. Accordingly, the court should suspend the trial until such parties are made either as plaintiffs or def