Davao registrar of deeds sacked for grave misconduct

The Office of the President has dismissed from government service the acting registrar of deeds of Mati, Davao Oriental, whom the Department of Justice found to have committed "grave misconduct" in 1999 during her stint as registrar of deeds of Davao City.

In Administrative Order No. 50, Malacañang also forfeited all retirement pay and benefits of lawyer Aludia Gadia.

Based on the findings of the Land Registration Authority (LRA), the Davao City registry of deeds only received the amount of P12,023 as payment of registration fees, notably lower than the sum of money that Gadia got from a representative of DSG Sons Group Inc.

The LRA also found out that Gadia "signed the titles of DSG without the required payment of capital gains tax."

In March 1999, lawyer Jesus Dureza, then representing DSG, presented for registration to the Davao City registry of deeds copies of the conditional deed of sale, special power of attorney and affidavit of waiver of rights and the relinquishment of interest, all executed in favor of DSG by spouses Antonio and Elsie Diaz, for properties in Davao City covered by Transfer Certificate of Title Nos. T-30740 and T-30741 in the Diazes’ name.

According to AO No. 50, Dureza, on March 15, 1999, entrusted to Gadia, then the Davao City registrar of deeds, the amount of P400,000 as payment of expenses for the registration of the properties concerned, for which Gadia issued a handwritten receipt.

Gadia subsequently cancelled the titles and issued in lieu thereof TCT Nos. T-309058 and T-309059 in the name of DSG.

On. Nov. 10, 1999, lawyer Ellen Veza, counsel for DSG, wrote the LRA to inquire whether or not the documents earlier submitted to the Davao City registry of deeds were sufficient for the registration of the properties’ transfer.

In its reply dated Nov. 17, 1999, the LRA said new titles were regularly issued assuming that all the registration fees and taxes have been paid.

The LRA, however, said the DSG had not paid the necessary capital gains tax on the transfer of the properties.

Antonio Diaz questioned the LRA opinion, and requested an inquiry into irregularities committed by Gadia and alleged graft and corruption in the registry of deeds.

Lawyer Florenda F.T. Patriarca, acting registrar of deeds, informed the LRA on Jan. 6, 2000 that her office had no record of payment of capital gains tax on the Diazes’ properties.

Diaz subsequently filed a complaint with the Office of the Ombudsman-Mindanao against Gadia, Dureza and Francisco Gaisano for alleged violation of the Anti-Graft and Corrupt Practices Act. The complaint was dismissed on July 26, 2000.

Gadia was administratively charged based on findings of the LRA’s investigation into Diaz’s complaint that:

• Four days before the DSG titles were issued, Gadia pulled out the original TCT Nos. T-30740 and T-30741 from the vault section of the registry of deeds;

• The documents and transactions between DSG and Antonio Diaz involving the land titles concerned were not, as office procedure dictated, recorded in the registry’s office record book before they were endorsed to a land registration examiner for examination;

• Gadia signed the titles of DSG without the required payment of capital gains tax; and

• The registry of deeds received only P12,023 as payment of registration fees, "notably lower" than the P400,000 that Gadia got from Dureza.

In her reply dated Sept. 16, 2000, Gadia admitted that Dureza left P400,000 with her for the payment of transfer and registration fees and other expenses but not for capital gains tax.

She added that it was the first time she agreed to such an arrangement, saying Dureza, a fellow lawyer, was then leaving for the Netherlands to represent the country in some negotiations.

The LRA, in its resolution dated Sept. 24, 2001, cited its Circular No. 95-09 that bars all registrars of deeds from engaging in so-called "package deal" where an interested party entrusts to an official or employee the payment of capital gains and documentary taxes and other fees.