DOJ orders withdrawal of $3.7M theft case vs Taiwanese Airbus aircraft dealer
THE Department of Justice (DOJ) has ordered a Pasay City prosecutor to withdraw a criminal case filed against a Taiwanese aircraft dealer that repossessed a $3.7-million Airbus helicopter over alleged violations of contractual obligations.
In an 11-page joint resolution handed down last June 27, the DOJ directed the Pasay City state prosecutor to withdraw the complaint lodged by CAPP Industries Inc. against Ricardo Liao, Molly Tseng, Hunto Chang, and Jack Pang, officials of the Chailease Financial Services Co. based in Taiwan.
The CAPP also cited Robert Reguero of Philjet Aero Charter Corp. as a respondent in the qualified theft case.
“In the absence of a clear proof that complainant-appellant is the lawful owner of the aircraft, respondents cannot be charged for Qualified Theft. For failure of the complainant-appellee to prove that there were misrepresentations committed by the respondents. We also cannot find probable cause for Estafa,” the resolution stated.
The decision, signed by Justice Undersecretary Nicholas Felix Ty, practically brought CAPP’s case back to square one.
The DOJ upheld Chailease’s argument that under its financial lease agreement with complainant CAPP, Chailease was the owner-lessor of the aircraft while the CAPP was the lessee until the sale was consummated.
However, CAPP allegedly defaulted in some of its contractual obligations under the lease agreement, prompting Chailease to repossess the Airbus chopper “to protect its rights.”
Chailease cited CAPP’s alleged delinquencies consisted of failure to maintain and pay insurance premium on time, failure to maintain insurance coverage on the aircraft as required by the Civil Aviation Authority of the Philippines, late or delayed payment of rentals, unauthorized rental payment by non-related parties, failure to assume maintenance costs to Airbus; and failure to pay management fees to Philjet.
CAPP opposed the repossession and lodged its criminal complaint in September last year against the Taiwanese businessmen, along with Reguero of Philjet, the designated “operator” or maintenance service provider for the aircraft.
Records of the case showed that sometime in mid-2016, Chailease was advised by Airbus Helicopters Philippines. Inc. that CAPP wanted to acquire one H-130 Airbus Helicopter to be shipped to the Philippines, and asked whether Chailease would be interested in offering a financial leasing policy to the CAPP.
But the helicopter model being eyed by CAPP was already reserved for Starline Global Industries Pte Ltd. However, Starline was willing to give up its order provided CAPP refunds $700,000 down payment it has made for the aircraft.
A purchase agreement was subsequently sealed between CAPP and Starline. A five-year financial lease contract was also forged between CAPP and Chailease for the remaining $3 million to be paid to Airbus.
