A CHINESE businessman is now in legal trouble after his partner filed an estafa case against him for allegedly using corporate funds to benefit another company of whom he is also a stockholder and who annexed to himself related deals.
Assistant City Prosecutor Myrna Binalay of Pasig City Prosecutor’s Office sitting in San Juan recommended that Jerry Tan Lao—owner of the popular “Henry Penny Cafe”—be charged with one count of estafa for misappropriation or conversion under the Revised Penal Code with the Pasig City Regional Trial Court.
Binalay said that Lao, as manager of Subarashii, violated the trust and confidence of his partner, Nelson Ong, and the corporation when he used the funds of Subarashii to pay the obligations of another corporation (Aomori) of whom he is a stockholder.
Surabeshii, where both Ong and Lao are stockholders, is doing business under the name and style of “Yumemiya,” and is engaged in establishing and maintaining restaurants and coffee shops, among others.
Previously, Ong also accused Lao of disloyalty, acquiring a conflict of interest and bad faith in directing the affairs of the corporation by controlling companies in direct competition with Surabeshii such as Aomori, one of Subarashii’s coffee suppliers, and Shinwa Food Co. Ltd, more popularly known as “Henny Penny Cafe.”
Ong accused Lao of issuing checks in the name of Subarashii as payment for Aomori’s expenses in the uniform of its employees amounting to P22,795.60; electric bills, P24,161.60; and, plumbing and sanitary works amounting to P98,120.78.
NEIL A. ALCOBER