CTA Case No. O-74 (Resolution)

REPUBLIC OF THE PHILIPPINES COURT OF TAX APPEALS QUEZON CITY FIRST DIVISION ********* PEOPLE OF THE PHILIPPINES, CTA CRIM. CASE No. 0 - 074 Plaintiff, (I.S. No. 05-6004) -versus- For: Violation of Sec. 27 in relation to Sec. 255 of the National Internal Revenue Code Members: MELCHOR P. TAN, JR./ Acosta, Chairman, MICHAEL RAY QUIMPO, Bautista, and c/o 52-D Cruz Warehouse, DFS Casanov a, JL Compound, F. Halili Avenue, Bagbaguin, Sta. Maria Bulacan, Promulgated: (BOTH AT-LARGE) APR 04 2008 i .?:~PI~ Accused I -~- X - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -X RESOLUTION The "Compliance With Entry of Appearance" filed on March 27, 2008 in conformity with this Court's March 5, 2008 Resolution, by the special prosecutors of the Bureau of Internal Revenue is hereby NOTED. Attached thereto as Annex "A" is a certified machine copy of the Amended Articles of Incorporation of Mannequin International Corporation. The Amended Articles of Incorporation of Mannequin International Corporation show that a person named Melchor P. T an is the president of the said

RESOLUTION CTA CRIM CASE No. 0-074 Page 2 of2 corporation. However, accused in this case is Melchor P. Tan, Jr. Moreover, nothing in the said attachment show the participation and connection to the erring corporation of the other accused, Michael Ray Quimpo. As held in this Court's March 5, 2008, before penal liability can attach on the responsible officers, the prosecution must show proof of their participation, direct or otherwise, on the acts or omissions of the erring corporation. In this regard, the prosecutors failed. In view of this failure, the criminal case against MELCHOR P. TAN, JR. and MICHAEL RAY QUIMPO is hereby DISMISSED for lack of probable cause, without prejudice. SO ORDERED. L- ~- ~ ERNESTO D . ACOSTA Presiding Justice Associate Justice cU CAESAR A. CASANOVA Associate Justice