The Supreme Court disbarred Atty. Aurelio Jesus V. Lomeda for violating the lawyer’s oath and the Code of Professional Responsibility. Lomeda misrepresented himself as a corporate secretary and executed a false Secretary’s Certificate, facilitating a fraudulent transaction. This decision underscores the high ethical standards required of lawyers and the severe consequences for dishonesty and deceit.

Fabrication and Fraud: When a Lawyer’s Deceit Leads to Disbarment

This case originated from an accommodation mortgage involving Big “N” Corporation, Lantaka Distributors Corporation, and United Coconut Planters Bank (UCPB). Atty. Aurelio Jesus V. Lomeda submitted documents to UCPB, including a purported Memorandum of Agreement and a notarized Secretary’s Certificate. The certificate falsely stated that Lomeda was the corporate secretary of Big “N” and that the corporation had authorized a real estate mortgage. Based on these documents, UCPB extended a credit line to Lantaka, secured by Big “N”‘s property. Later, UCPB assigned its rights to Philippine Investment One, the complainant in this case.

However, Big “N” filed a civil case alleging that it never authorized the mortgage and that Lomeda was not its corporate secretary. The Regional Trial Court (RTC) approved a Compromise Agreement in which Lomeda admitted he was not and had never been the corporate secretary of Big “N,” and that the certificate was part of a ploy by a certain Ric Raymund F. Palanca. This admission prompted Philippine Investment One to file an administrative case against Lomeda, arguing that his false statements constituted a criminal act and a violation of his oath as a lawyer. Despite being notified, Lomeda did not participate in the IBP proceedings.

The IBP-CBD found Lomeda guilty of engaging in unlawful, dishonest, immoral, or deceitful conduct. It recommended a one-year suspension, but the IBP Board of Governors increased the penalty to three years. The Supreme Court, while agreeing with the IBP’s findings, ultimately decided to disbar Lomeda, emphasizing that good character is essential for practicing law. The Court highlighted the provisions of the CPR:

CANON 1 – A LAWYER SHALL UPHOLD THE CONSTITUTION, OBEY THE LAWS OF THE LAND AND PROMOTE RESPECT FOR LAW AND LEGAL PROCESSES.

Rule 1.01 – A lawyer shall not engage in unlawful, dishonest, immoral or deceitful conduct.

The Supreme Court emphasized that Lomeda violated his oath and the CPR by misrepresenting himself, executing a false certificate, and knowingly participating in a fraudulent scheme. The Court found Lomeda’s excuse—that he was merely a tool in Palanca’s ploy—unacceptable. The Court stressed that the CPR requires not only respect for the law but also utmost good faith in all professional and personal dealings. Moreover, Lomeda’s failure to participate in the IBP proceedings demonstrated disrespect for the Court’s authority. Section 27, Rule 138 of the Rules of Court, allows for disbarment or suspension for willful disobedience of a lawful order.

Furthermore, the Supreme Court considered Lomeda’s prior misconduct when he served as a judge. In A.M. No. MTJ-90-400 entitled Moroño v. Judge Lomeda, Lomeda was dismissed from the Judiciary for gross negligence and false testimony. The Court noted that these prior actions, combined with the current case, revealed a pattern of dishonesty and disregard for the consequences of his lies. As the Supreme Court stated:

To this Court’s mind, there is no necessity for members of the bar to be repeatedly reminded that as instruments in the administration of justice, as vanguards of our legal system, and as members of this noble profession whose task is to always seek the truth, we are expected to maintain a high standard of honesty, integrity, and fair dealing.^[23]

The Court concluded that Lomeda’s actions demonstrated an unworthiness to continue practicing law. Given the severity of his offenses, his disregard for the Court’s orders, and his prior misconduct, the Supreme Court found disbarment to be the appropriate penalty. The decision serves as a stern reminder to all lawyers of their duty to uphold the highest ethical standards and to act with honesty and integrity in all their professional dealings. The Court referenced the lawyer’s oath, emphasizing its importance:

In fact, before being admitted to the practice of law, we took an oath “to obey the laws as well as the legal orders of the duly constituted authorities” and to “do no falsehood.” Of all classes and professions, the lawyer is most sacredly bound to uphold the laws. For a lawyer to override the laws by committing falsity, is unfaithful to his office and sets a detrimental example to the society.^[24]

This case underscores the judiciary’s commitment to maintaining the integrity of the legal profession and ensuring that lawyers are held accountable for their actions. The disbarment of Atty. Lomeda sends a clear message that dishonesty and deceit will not be tolerated, and that lawyers must adhere to the highest ethical standards in their practice.

FAQs

What was the key issue in this case?	The key issue was whether Atty. Aurelio Jesus V. Lomeda should be disciplined for misrepresenting himself as a corporate secretary and executing a false Secretary’s Certificate. These actions facilitated a fraudulent transaction, violating the lawyer’s oath and the Code of Professional Responsibility.
What did Atty. Lomeda do wrong?	Atty. Lomeda misrepresented himself as the corporate secretary of Big “N” Corporation, a role he never held. He then issued a false Secretary’s Certificate, which was used to secure a mortgage on Big “N”‘s property without their consent.
What was the basis for the disbarment?	The disbarment was based on Lomeda’s violation of the lawyer’s oath and the Code of Professional Responsibility, specifically Canon 1, Rule 1.01, which prohibits lawyers from engaging in unlawful, dishonest, immoral, or deceitful conduct. His prior misconduct as a judge also contributed to the decision.
What is a Secretary’s Certificate?	A Secretary’s Certificate is a document certified by the corporate secretary attesting to certain resolutions or actions taken by the corporation’s board of directors or stockholders. It is often required for legal and business transactions to verify the authority of individuals acting on behalf of the corporation.
What is the significance of the lawyer’s oath?	The lawyer’s oath is a solemn promise made by every lawyer upon admission to the bar, committing them to uphold the law, do no falsehood, and conduct themselves with honesty and integrity. It serves as a fundamental ethical guide for their conduct as legal professionals.
What is the Code of Professional Responsibility (CPR)?	The CPR is a set of ethical rules that govern the conduct of lawyers in the Philippines. It outlines the duties and responsibilities of lawyers to their clients, the courts, and the public, aiming to maintain the integrity and competence of the legal profession.
What does disbarment mean?	Disbarment is the most severe form of disciplinary action against a lawyer, resulting in the permanent revocation of their license to practice law. A disbarred lawyer is no longer authorized to represent clients or engage in any legal practice.
Why did the Supreme Court increase the penalty from suspension to disbarment?	The Supreme Court increased the penalty due to the gravity of Lomeda’s offenses, his disrespect for the Court’s orders by not participating in the proceedings, and his prior misconduct as a judge. The Court determined that his actions demonstrated an unfitness to continue practicing law.

This case reinforces the importance of ethical conduct for lawyers and the serious consequences of engaging in dishonest or deceitful behavior. The Supreme Court’s decision serves as a reminder that lawyers must uphold the highest standards of integrity and maintain the public’s trust in the legal profession.

For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: PHILIPPINE INVESTMENT ONE (SPV-AMC), INC. VS. ATTY. AURELIO JESUS V. LOMEDA, A.C. No. 11351, August 14, 2019