A.C. No. 4566 - UNITY FISHING DEVELOPMENT CORPORATION, COMPLAINANT, VS. ATTY. DANILO G. MACALINO.R E S O L U T I O N - Supreme Court E-Library

Ruling

WHEREFORE, it is respectfully recommended that respondent be suspended from the practice of law for two (2) years and be ordered to account to complainant the amount of P50,000.00. Respondent should be warned that a similar offense will merit a more severe penalty. [13] On June 21, 2003, the IBP Board of Governors passed Resolution No. XV-2003-341, [14] adopting and approving the report and recommendation of the investigating commissioner with a modification as to the penalty, to wit: RESOLVED to ADOPT and APPROVE, as it is hereby ADOPTED, the Report and Recommendation of the Investigating Commissioner of the above-entitled case, herein made part of this Resolution/Decision as Annex A; and finding the recommendation fully supported by the evidence on record and the applicable laws and rules, with modification as to the penalty to conform to the evidence, and considering respondents failure to account for the funds received by him in trust from complainant in gross violation of Canon 16 of the Code of Professional Responsibility, as well as for respondents lax, remiss and untroubled attitude in this case, Atty. Danilo G. Macalino is hereby SUSPENDED from the practice of law for one (1) year and Ordered to account to complainant the amount of P50,000.00 with a Warning that a similar offense will merit a more severe penalty. This resolution is now before us for confirmation. The relationship between a lawyer and a client is highly fiduciary; it requires a high degree of fidelity and good faith. It is designed to remove all such temptation and to prevent everything of that kind from being done for the protection of the client. [15] So it is that the Code of Professional Responsibility provides: CANON 16 - A LAWYER SHALL HOLD IN TRUST ALL MONEYS AND PROPERTIES OF HIS CLIENT THAT MAY COME INTO HIS POSSESSION. Rule 16.01 - A lawyer shall account for all money or property collected or received for or from the client. Rule 16.02 - A lawyer shall keep the funds of each client separate and apart from his own and those of others kept by him. Rule 16.03 - A lawyer shall deliver the funds and property of his client when due or upon demand. However, he shall have a lien over the funds and may apply so much thereof as may be necessary to satisfy his lawful fees and disbursements, giving notice promptly thereafter to his client. He shall also have a lien to the same extent on all judgments and executions he has secured for his client as provided for in the Rules of Court. The Canon of Professional Ethics is even more explicit when it states: The lawyer should refrain from any action whereby for his personal benefit or gain he abuses or takes advantages of the confidence reposed in him by his client. Money of the client or collected for the client or other trust property coming into the possession of the lawyer should be reported and accounted for promptly, and should not under any circumstances be commingled with his own or be used by him. (par. 11) Here, w