MWSS V. CA
143 SCRA 20
FACTS:MWSS had an account from PNB. Its treasurer, auditor, and General Manager are the ones authorized to sign checks. During a period of time, 23 checks were drawn and debited against the account of petitioner. Bearing the same check numbers, the amounts stated therein were again
debited from the account of petitioner. The amounts drawn were deposited in the accounts of the payees in PCIB. It was found out though that the names stated in the drawn checks were all fictitious. Petitioner demanded the return of the amounts debited but the bank refused to do so. Thus, it filed a complaint.
There was no categorical finding that the 23 checks were signed by persons other than those authorized to sign. On the contrary, the NBI reports shows that the fraud was an “inside job” and that the delay in the reconciliation of the bank statements and the laxity and loss of records
control in the printing of the personalized checks facilitated the fraud. It further doesn’t provide that the signatures were forgeries.
Forgery cannot be presumed. It should be proven by clear, convincing and positive evidence. This wasn’t done in the present case.
The petitioner cannot invoke Section 23 because it was guilty of negligence not only before the questioned checks but even after the same had already been negotiated.