REPUBLIC OF THE PHILIPPINES

REGIONAL TRIAL COURT

NATIONAL CAPITAL JUDICIAL REGION
Makati City

XXXXXX
Complainant,

-versus- Civil Case No. 11336

For:

MYBANK, N.A. (Formerly First

National Bank) and
INVESTORS’ FINANCE
CORPORATION
Respondents,
x-----------------------------------------------------x

JOINT STIPULATION OF FACTS

Parties, through their respective counsels, do hereby stipulate and admit the
following facts:

1. The petitioner, MODESTA R. XXXXXX (hereinafter referred to as

“XXXXXX”), was a client of both MYBANK and FNCB Finance.

2. The respondent, MYBANK N.A. (hereinafter referred to as “MYBANK”)

is a banking corporation duly authorized and existing under the laws of the
United States of America. MYBANK is licensed to do commercial banking
activities and perform trust functions in the Philippines
3. The respondent, INVESTORS’ FINANCE CORPORATION (hereinafter
referred to as “FNCB Finance”), is an affiliate of MYBANK handling
MYBANK’s money market placements.

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 4. XXXXXX has deposits and money market placements with MYBANK.
This includes dollar accounts in the MYBANK Branch in Geneva,
Switzerland (MYBANK-Geneva).

5. On December 6, 1976, XXXXXX made a money market placement with

MYBANK, covered by Promissory Note (PN) No. 20773 with Php
500,000.00 as principal amount.

6. Upon maturity of her December 6, 1976 investment on January 13, 1977,

XXXXXX did not claim the proceeds of the placement but re-invested the
amount of Php 508,444.00 on January 14, 1977. The re-investment was
covered by PN No. 21686. This investment matured on February 8, 1977.

7. XXXXXX further reinvested the proceeds of her January 14, 1977 money
market placements by splitting the amount of Php 513,952.59 into two
separate money market placements. The first money market placement
amounted to Php 313,952.59 covered by PN No. 22526 and the second
amounted to Php 200,000 covered by PN No. 22528.

8. XXXXXX reinvested the proceeds of the two money market placements

upon their maturity on March 16, 1977 in two other money market
placements. The first amounted to Php 318,897.34 and the second
amounted to Php 203,150.00. These placements are covered by PN No.
23356 and 23357 respectively. Upon the maturity of the placements
covered by PN No. 23356 and 23357, MYBANK paid the proceeds
amounting to Php 628,659.20.

9. During the period of July 20, 1978 until January 30, 1979, XXXXXX
obtained the following loans from MYBANK amounting to Php 1,150,000.
PN No. Date of Date of Principal Date of Manager’s
Issuance Maturity Amount Release Check No.
33751 October December Php 100,000 October 220703
13, 1978 12, 1978 13, 1978
33798 October November Php 100,000 October 226285
19, 1978 3, 1978 19, 1978
34025 November January 15, Php 150,000 Novembe 226439

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 15, 1978 1979 r 15, 1978
34192 December January 18, Php 100,000 Decembe 228057
4, 1978 1979 r 4, 1978
34402 December February Php 300,000 Decembe 228203
26, 1978 23, 1979 r 26, 1978
34609 January March 19, Php 150,000 January 228357
17, 1979 1979 17, 1979
34740 January March 30, Php 220,000 January 228400
30, 1979 1979 30, 1979
Total Php
1,150,000

10.XXXXXX secured her loans through a Declaration of Pledge over her

dollar deposits in MYBANK-Geneva and Deeds of Assignment covering
her money market placements with FNCB Finance.

11. Further, XXXXXX took out the following loan:

PN No. Date of Date of Principal Date of Manager’s
Issuance Maturity Amount Release Check No.
34534 January 9, March 9, Php 150,000 January 228270
1979 1979 9, 1979

12.The documents under paragraphs 5, 6, 7, and 8 were personally executed

by XXXXXX.

13.The PNs under paragraphs 9 and 11 were seen by Ms. Dondoyano, the
processor who recorded them in the General Ledger.

14.The proceeds of the loan were received by XXXXXX through Manager’s

Checks, processed by Attys. Cleofe and Fernandez, MYBANK’s legal
counsel, and witnessed by Mr. Pujeda.

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 15.MYBANK set-off XXXXXX’s money market placement with petitioner
FNCB Finance when she failed to pay the loan due, thus, resulting to the
payment of her debt, leaving no outstanding balance;

16.Six (6) years later, XXXXXX sought to withdraw her deposits from
MYBANK. However, she was informed of the debit to her accounts to
satisfy her outstanding loans with MYBANK.

17.It was shown that MYBANK N.A., debited from her account in MYBANK
Geneva the amount of her remaining obligation to compensate the
outstanding loans with her deposits and money market placements, an
amount of $149,632.99, pursuant to the Declaration of Pledge and the
Deeds of Assignment, but not inclusive of any of her banking arrangements
with third party banking institutions, executed by XXXXXX in
MYBANK’s favor.

From the foregoing, both parties hereby agree to rely upon this Joint Stipulation
of Facts. The parties further agree that, subject to the approval of the Court, the
scope of the Hearing shall be limited to the sole issue of whether MYBANK
validly set-off XXXXXX’s loan obligations with her money market
placements and existing deposits.

IT IS SO STIPULATED.

Makati City, October 1, 2018

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