The Law Offices of

TENDERO MENDOZA PAGTEILAN BABIERA & DELEA

Atty. Ernesto V. Tendero

Atty. Richie Gay T. Mendoza
Tel. No. (062) 992-3568
Atty. John Paul S. Pagteilan
Atty. Jan Christian M. Babiera
Atty. Ryan B.
Delea
Rm.4, Park Pavilion Bldg.,

La Purisima St., Zamboanga City

April 18, 2016

Mr. RYAN SUMALINOG
DC Tech Building
P. Reyes Street., Davao City
Philippines
Dear Mr. Sumalinog:
This is in relation to the business venture agreement you have with our client, Charlemagne Tan,
concerning the hauling and sale of the scrap tin cans and cartons from DOLE Philippines. To refresh
you, the agreement you had with our client includes the following:
a. DC TECH, through you, shall enter into a memorandum of agreement with DOLE
Philippines Inc. DC TECH to provide internet services to the residential houses and other
company facilities of DOLE at the Kaisangi Housing Area. In exchange for the services
being offered by DC TECH, DOLE Philippines shall grant DC Tech the concession to
purchase and haul its scrap tin plates and cartons.
b. Considering that our client has been engaged in the business in the selling of scrap tins
and/metals, it was agreed that the scrap tin plates hauled by DC TECH shall be sold by
our client to his buyers;
c. The expenses for the operation shall be shared equally by our client, you and DC Tech.
Our client shall share one third (1/3) in the expenses, you shall share one third (1/3), and
DCTech shall also share one third (1/3);
d. All net proceeds from the sale of tin scrap shall be divided equally between the three of
you. Our client shall get one third (1/3), you shall get one third (1/3), and DC TECH shall
also get one third (1/3);
Our client has opened and ATM Account with United Coconut Planters Bank Zamboanga City
Branch and he deposited in the said account the total amount of NINETY TWO THOUSAND NINE
HUNDRED AND EIGHTY THREE PESOS AND TWENTY NINE CENTAVOS (Php 92,983.29)
from March 8, 2004 to March 22, 2004 to jump start the operation of the business venture.
On March 2004, the hauling of the scrap tin plates started. However, starting November 2007, You and
DC tech have refused to communicate with our client. Our client did not anymore receive any updates
from you and DC Tech regarding the status of your business venture with DOLE. Also, our client did
not anymore receive any share in the proceeds from the business.
Per our computation based on existing records on hand, the amount of Php 21,919,163.24 as the
unremitted income of the business venture tour client from the period November to December 2007
and for the years 2008 to 2015 the amount of which is computed as follows:
For the period (Nov 2007 Dec 2015)
Sales

Php 275,282,497.22

The Law Offices of

TENDERO MENDOZA PAGTEILAN BABIERA & DELEA

Atty. Ernesto V. Tendero

Atty. Richie Gay T. Mendoza
Tel. No. (062) 992-3568
Atty. John Paul S. Pagteilan
Atty. Jan Christian M. Babiera
Atty. Ryan B.
Delea
Rm.4, Park Pavilion Bldg.,

La Purisima St., Zamboanga City

Expenses:
Cost of Scrap Tins
PEZA Processing Fee
Internet Billing
Shipping Cost
Forklift Operators
Supervisor
Truck Drivers
Net Sales

Php 162,111,888.00
1,081,185.00
5,820,000.00
38,164,320.00
509,600.00
1,729,896.00
108,111.50

(209,525.007.50)
Php 65,757,499.72

Considering that our Client will get 1/3 of the net proceeds, he is entitled to the amount of Php
21,919,163.72. This is inclusive of the amount of P2,600,000 representing the unfunded checks you
have issued our client. In sum, our client has the total amount of P24,519,163.24 to be collected from
you.
Included in the foregoing amounts are the number of checks you have pre-signed in my favour from the
International Exchange Bank Account No. 702-03-0-01059-3 with Account Name Scrap Metal
Business where you will deposit my share in the income of the business. The checks are as follows:
Check No.
6001327409
6001327410
6001327411
6001327412
6001327413
6001327414
6001327418
6001327419
6001327420
6001327421
6001327422
6001327423
6001327424
6001327425
6001327426
Total

Payee
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan

Amount
Php 100,000.00
100,000.00
100,000.00
100,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
Php 2,600,000.00

Aside from the Scrap Metal Business, you have also made a new business proposal to our client
regarding the SIM Card Telephone Lines that will receive calls from the USA at a much lesser cost than
what is being offered by PLDT. Our client agreed and sent the following checks to you:
International Exchange Bank Account No. 708-02-00109-8
Account Name: Charlemahne C. Tan or Edita T. Tan
Check No.
14291
14595
14292
14392

Payee
DC Tech
Ryan Sumalinog/Charlie Tan
DC Tech
DC Tech

Amount
Php 1,000,000.00
500,000.00
1,000,000.00
800,000.00

The Law Offices of

TENDERO MENDOZA PAGTEILAN BABIERA & DELEA

Atty. Ernesto V. Tendero

Atty. Richie Gay T. Mendoza
Tel. No. (062) 992-3568
Atty. John Paul S. Pagteilan
Atty. Jan Christian M. Babiera
Atty. Ryan B.
Delea
Rm.4, Park Pavilion Bldg.,

La Purisima St., Zamboanga City

Total
Php 3,300,000.00
The foregoing business indeed materialized but our client has not received any share in the proceeds of
the income from you.
Now therefore, DEMAND is being made from you to pay our client the total amount of
P27,819,163.24 within ten (10) days from receipt hereof. Your failure to settle this matter shall warrant
the filing of the appropriate cases against you in court.
Very truly yours,
Atty. RYAN B. DELENA

The Law Offices of

TENDERO MENDOZA PAGTEILAN BABIERA & DELEA

Atty. Ernesto V. Tendero

Atty. Richie Gay T. Mendoza
Tel. No. (062) 992-3568
Atty. John Paul S. Pagteilan
Atty. Jan Christian M. Babiera
Atty. Ryan B.
Delea
Rm.4, Park Pavilion Bldg.,

La Purisima St., Zamboanga City

April 18, 2016

THE MANAGER
DC TECH MICROSERVICES, INC.
DC Tech Building
P. Reyes Street., Davao City
Philippines
Sir:
This is in relation to the business venture agreement you have with our client, Charlemagne Tan,
concerning the hauling and sale of the scrap tin cans and cartons from DOLE Philippines. To refresh
you, the agreement you had with our client includes the following:
a. DC TECH, through Ryan Sumalinog, shall enter into a memorandum of agreement with
DOLE Philippines Inc. DC TECH to provide internet services to the residential houses
and other company facilities of DOLE at the Kaisangi Housing Area. In exchange for the
services being offered by DC TECH, DOLE Philippines shall grant DC Tech the
concession to purchase and haul its scrap tin plates and cartons.
b. Considering that our client has been engaged in the business in the selling of scrap tins
and/metals, it was agreed that the scrap tin plates hauled by DC TECH shall be sold by
our client to his buyers;
c. The expenses for the operation shall be shared equally by our client, Sumalinog and DC
Tech. Our client shall share one third (1/3) in the expenses, you shall share one third
(1/3), and DCTech shall also share one third (1/3);
d. All net proceeds from the sale of tin scrap shall be divided equally between the three of
you. Our client shall get one third (1/3), you shall get one third (1/3), and DC TECH shall
also get one third (1/3);
Our client has opened and ATM Account with United Coconut Planters Bank Zamboanga City
Branch and he deposited in the said account the total amount of NINETY TWO THOUSAND NINE
HUNDRED AND EIGHTY THREE PESOS AND TWENTY NINE CENTAVOS (Php 92,983.29)
from March 8, 2004 to March 22, 2004 to jump start the operation of the business venture.
On March 2004, the hauling of the scrap tin plates started. However, starting November 2007, You and
Ryan Sumalinog have refused to communicate with our client. Our client did not anymore receive any
updates from you and DC Tech regarding the status of your business venture with DOLE. Also, our
client did not anymore receive any share in the proceeds from the business.
Per our computation based on existing records on hand, the amount of Php 21,919,163.24 as the
unremitted income of the business venture tour client from the period November to December 2007
and for the years 2008 to 2015 the amount of which is computed as follows:

The Law Offices of

TENDERO MENDOZA PAGTEILAN BABIERA & DELEA

Atty. Ernesto V. Tendero

Atty. Richie Gay T. Mendoza
Tel. No. (062) 992-3568
Atty. John Paul S. Pagteilan
Atty. Jan Christian M. Babiera
Atty. Ryan B.
Delea
Rm.4, Park Pavilion Bldg.,

La Purisima St., Zamboanga City

For the period (Nov 2007 Dec 2015)

Sales
Expenses:
Cost of Scrap Tins
PEZA Processing Fee
Internet Billing
Shipping Cost
Forklift Operators
Supervisor
Truck Drivers
Net Sales

Php 275,282,497.22
Php 162,111,888.00
1,081,185.00
5,820,000.00
38,164,320.00
509,600.00
1,729,896.00
108,111.50

(209,525.007.50)
Php 65,757,499.72

Considering that our Client will get 1/3 of the net proceeds, he is entitled to the amount of Php
21,919,163.72. This is inclusive of the amount of P2,600,000 representing the unfunded checks you
have issued our client. In sum, our client has the total amount of P24,519,163.24 to be collected from
you.
Included in the foregoing amounts are the number of checks that Ryan Sumalinog has pre-signed in our
clients favour from the International Exchange Bank Account No. 702-03-0-01059-3 with Account
Name Scrap Metal Business where you will deposit his share in the income of the business. The checks
are as follows:
Check No.
6001327409
6001327410
6001327411
6001327412
6001327413
6001327414
6001327418
6001327419
6001327420
6001327421
6001327422
6001327423
6001327424
6001327425
6001327426
Total

Payee
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan
Charliemagne Tan

Amount
Php 100,000.00
100,000.00
100,000.00
100,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
200,000.00
Php 2,600,000.00

Aside from the Scrap Metal Business, you have also made a new business proposal to our client
regarding the SIM Card Telephone Lines that will receive calls from the USA at a much lesser cost than
what is being offered by PLDT. Our client agreed and sent the following checks to you:
International Exchange Bank Account No. 708-02-00109-8
Account Name: Charlemahne C. Tan or Edita T. Tan
Check No.
14291

Payee
DC Tech

Amount
Php 1,000,000.00

The Law Offices of

TENDERO MENDOZA PAGTEILAN BABIERA & DELEA

Atty. Ernesto V. Tendero

Atty. Richie Gay T. Mendoza
Tel. No. (062) 992-3568
Atty. John Paul S. Pagteilan
Atty. Jan Christian M. Babiera
Atty. Ryan B.
Delea
Rm.4, Park Pavilion Bldg.,

La Purisima St., Zamboanga City

14595
14292
14392
Total

Ryan Sumalinog/Charlie Tan

DC Tech
DC Tech

500,000.00
1,000,000.00
800,000.00
Php 3,300,000.00

The foregoing business indeed materialized but our client has not received any share in the proceeds of
the income from you.
Now therefore, DEMAND is being made from you to pay our client the total amount of
P27,819,163.24 within ten (10) days from receipt hereof. Your failure to settle this matter shall warrant
the filing of the appropriate cases against you in court.
Very truly yours,
Atty. RYAN B. DELENA