G.R. No. 181311 - PROVINCE OF BATAAN, HON. ENRIQUE T. GARCIA, JR., EMERLINDA S. TALENTO, AND AMELITA E. ABAD, VS. HON. REMIGIO M. ESCALADA, JR., IN HIS CAPACITY AS PRESIDING JUDGE OF THE REGIONAL TRIAL COURT BRANCH 3, BALANGA CITY, BATAAN, VICTOR G. GAWTEE, AND CAMERON GRANVILLE 2 ASSET MANAGEMENT,

Ruling

WHEREFORE, judgment is hereby rendered: 1. Declaring invalid and illegal the warrant of levy made by the Province of Bataan on January 2, 2003 and the notice of sale on August 29, 2003 of the subject machinery and equipment enumerated in Annex "1" of the petition for injunction (which are the same properties purchased by intervenor Victor G. Gawtee at the execution sale in Civil Case No. 7973) and of the lots on which they are located in Dona, [sic] Orani, Bataan, covered by Transfer Certificates of Title Nos. T-210559 and T-210560 of the Registry of Deeds of Bataan, and the subsequent tax auction sale thereof on February 17, 2004; 2. Declaring Transfer Certificates of Title Nos. T-246955 and T-246956 of the Registry of Deeds for the Province of Bataan as falsified and invalid and ordering the Registry of Deeds for the Province of Bataan to cancel said titles and, in lieu thereof, to revive and re-issue Transfer Certificates of Title Nos. 210559 and T-210560, without the invalid annotations of warrant of levy and tax auction sale in behalf of the Provincial Government of Bataan referred to in the preceding paragraph, and annulling the compromise agreement dated June 14, 2005 entered into by the Province of Bataan and Sunrise Paper Products Industries, Inc. relative to the subject machinery and equipments [sic], as well as any sale, contract, transaction or agreement entered into by the Provincial Government of Bataan and Sunrise relative to said machinery and equipment, and the mortgaged lots, pursuant to said auction sale and compromise agreement, for being illegal; 3. Declaring the demolition, taking out and disposition of aforesaid properties unauthorized, illegal and invalid, and ordering the respondents Province of Bataan and Sunrise Paper Products Industries, Inc., as well as Amelia E. Abad, Provincial Governor Enrique T. Garcia, Jr. and Provincial Treasurer Emerlinda S. Talento, in their official and personal capacities, to be jointly and severally liable therefor to intervenor Victor G. Gawtee, and ordering all said respondents, in view of the special circumstance that the prayer of intervenor Gawtee of restoration to him of the subject machinery and equipment is no longer feasible, to jointly and severally pay to said intervenor actual or compensatory damages in the amount of One Hundred Twenty Million Pesos (P120,000,000.00), Philippine Currency, with interest thereon at the legal rate of six percent (6%) per annum, plus interest on the legal interest from date of judicial demand as provided in Article 2212 of the Civil Code, until fully paid, subject to a lien on said award for the payment of any deficiency in the docket and other lawful fees due on said award; 4. Ordering all the respondents, except the respondent incumbent Register of Deeds for the Province of Bataan, and the petitioner, jointly and severally, to reimburse and return to intervenor Victor G. Gawtee the amount received from the sale and disposition of subject machinery