Saturday, December 9, 2023

Raffy Tulfo vs. People, G.R. No. 187113, January 11, 2021 [Case Digest]

 Raffy Tulfo vs. People,

G.R. No. 187113, January 11, 2021

Third Division [Leonen, J.]




Facts:

The bulk of the Informations accuses Tulfo of writing columns that, allegedly, maliciously impute Atty. So for his "shady dealings in the Bureau of Customs"; particularly, his reported extortion activities against brokers and shippers. Tulfo also wrote about Atty. So allegedly having an affair with a married woman.

Assistant City Prosecutor Abdulkalim A. Askali issued a Joint Resolution finding probable cause against the three accused for 14 counts of libel.  

For his defense, Tulfo contended that the statements he used in his articles were merely reported to him by brokers-complainants whose identities he could not reveal. He said that he verified these statements from "other sources" who were Bureau of Customs employees and KCJS staff members, among others. He claimed that his column serves as the voice of those with complaints but who are at a disadvantage against those being complained of. He argued lack of malicious intent to publish as both he and Atty. So had not known each other before the complaints were filed.

For their part, Macasaet and Quijano insisted that the law does not mention a publisher and managing editor as those liable for libel.

Regional Trial Court found Tulfo, Macasaet, and Quijano guilty beyond reasonable doubt of 14 counts of libel. Court of Appeals affirmed the conviction. On motion for reconsideration, Court of Appeals issued its Amended Decision; it acquitted the three accused on eight counts of libel, but sustained their conviction for Criminal Case Nos. 99-1463, 99-1465, 99-1471, 99-1473, 99­1474, and 99-1475.

Acquitted the three accused on eight counts of libel, but sustained their conviction for Criminal Case Nos. 99-1463, 99-1465, 99-1471, 99-1473, 99­1474, and 99-1475.

Petitioners argue that the prosecution failed to prove the falsity of the allegations subject of Criminal Case No. 99-1463, much less actual malice in making these imputations. They further argue that, contrary to the Court of Appeals' ruling, the imputations in the other five cases relate to Atty. So's public functions, and thus, fall within the ambit of qualified privileged communications.

Petitioners add that the allegations on Atty. So's immorality and impropriety of conduct involve his failure to meet the standards of conduct required of public officials under Article XI, Section 1 of the Constitution, Republic Act No. 6713, the Administrative Code, the Civil Service Law, and the Lawyer's Oath,among others.

Respondent contends that the attacks on Atty. So's personal life, such as being a disgrace to the Iglesia Ni Cristo and allegedly having an illicit affair, cannot be considered as privileged communication under Articles 354 and 361 of the Revised Penal Code.

 

Issue 1:

Whether or not petitioner Raffy T. Tulfo is liable for libel under Article 353 in relation to Article 355 of the Revised Penal Code.

 

Held:

No; in construing libel laws, regard must always be made to the guarantees provided by our Constitution. Criminal prosecutions for libel must undergo the rigorous and exacting standard of ensuring that they do not violate the right to free expression and the press. Our libel laws must not be broadly construed as to deter comments on public affairs and the conduct of public officials. Courts must examine libel cases involving a public officer's exercise of official functions within the context of these constitutional guarantees.

Unless the prosecution proves that the defamatoiy statements were made with actual malice—that is, "with knowledge that it was false or with reckless disregard of whether it was false or not" — a criminal case for libel involving a public officer's exercise of official functions cannot prosper.

Freedom of the press rests its philosophical basis within the larger scope of the right to free discussion and expression. Freedom of the press "is the sharpest weapon in the fight to keep government responsible and efficient. Without a vigilant press, the mistakes of every administration would go uncorrected and its abuses unexposed."

However, the freedoms of speech and of the press are not absolute, but subject to certain restrictions, such as laws against libel. The recognition of libel as a limitation is rooted in one's right to protect their reputation from malicious attacks.

The interest of society and the maintenance of good government demand a full discussion of public affairs. Complete liberty to comment on the conduct of public men is a scalpel in the case of free speech. The sharp incision of its probe relieves the abscesses of officialdom. Men in public life may suffer under a hostile and an unjust accusation; the wound can be assuaged with the balm of a clear conscience. A public officer must not be too thin-skinned with reference to comment upon his official acts. Only thus can the intelligence and dignity of the individual be exalted. Of course, criticism does not authorized defamation. Nevertheless, as the individual is less than the State, so must expected criticism be born for the common good. Rising superior to any official, or set of officials, to the Chief Executive, to the Legislature, to the Judiciary — to any or all the agencies of Government — public opinion should be the constant source of liberty and democracy.

The guaranties of a free speech and a free press include the right to criticize judicial conduct. The administration of the law is a matter of vital public concern. Whether the law is wisely or badly enforced is, therefore, a fit subject for proper comment. If the people cannot criticize a justice of the peace or a judge the same as any other public officer, public opinion will be effectively muzzled. Attempted terrorization of public opinion on the part of the judiciary would be tyranny of the basest sort. The sword of Damocles in the hands of a judge does not hang suspended over the individual who dares to assert his prerogative as a citizen and to stand up bravely before any official. On the contrary, it is a duty which every one owes to society or to the State to assist in the investigation of any alleged misconduct. It is farther the duty of all know of any official dereliction on the part of a magistrate or the wrongful act of any public officer to bring the facts to the notice of those whose duty it is to inquire into and punish them. In the words of Mr. Justice Gayner, who contributed so largely to the law of libel. "The people are not obliged to speak of the conduct of their officials in whispers or with bated breath in a free government, but only in a despotism."

The right to assemble and petition is the necessary consequence of republican institutions and the complement of the right of free speech. Assembly means a right on the part of citizens to meet peaceably for consultation in respect to public affairs. Petition means that any person or group of persons can apply, without fear of penalty, to the appropriate branch or office of the government for a redress of grievances. The persons assembling and petitioning must, of course, assume responsibility for the charges made.

In sustaining a conviction for libel, the prosecution must prove the existence of four elements: "(a) the allegation of a discreditable act or condition concerning another; (b) publication of the charge; (c) identity of the person defamed; and (d) existence of malice."

In determining whether a statement is defamatory, the words used are to be construed in their entirety and should be taken in their plain, natural and ordinary meaning as they would naturally be understood by persons reading them, unless it appears that they were used and understood in another sense.

In determining whether the specified matter is libelous per se, two rules of construction are conspicuously applicable: (1) That construction must be adopted which will give to the matter such a meaning as is natural and obvious in the plain and ordinary sense in which the public would naturally understand what was uttered. (2) The published matter alleged to be libelous must be construed as a whole.

In applying these rules to the language of an alleged libel, the court will disregard any subtle or ingenious explanation offered by the publisher on being called to account. The whole question being the effect the publication had upon the minds of the readers, and they not having been assisted by the offered explanation in reading the article, it comes too late to have the effect of removing the sting, if any there be, from the words used in the publication.

Insulting words are not actionable as libel per se, and a consequent personal embarrassment does not mean this is automatically equivalent to defamation. The court must still be satisfied that, from the entirety of the impugned writing, it is defamatory.

Malice exists when the prosecution proves that the author made the defamatory statement knowing it was false, or even if true, there is no showing of good intention and justifiable motive. It "implies an intention to do ulterior and unjustifiable harm" and exists when "the offender is prompted by personal ill-will or spite and speaks not in response to duty, but merely to injure the reputation of the person defamed."

The requisite of malice has evolved, there being a distinction between libel cases involving private persons and those involving public officers and public figures. Thus, whether the complainant is a private or public person is a factor that must be considered.

As early as 1918, this Court in Bustos emphasized the need for full discussion of public affairs and how those in public positions should not be too thin-skinned when comments are made on their official functions.

The United States Supreme Court in New York Times vs. Sulivan went on to introduce the "actual malice" test. Under this test, a public official cannot recover damages for a defamatory falsehood on their official conduct unless they prove "that the statement was made . . . with knowledge that it was false or with reckless disregard of whether it was false or not."

In our jurisdiction, this Court adopted with approval the actual malice test and has since applied it to several cases involving libel. In Ayer Productions Pty. Ltd. v. Hon. Capulong, this Court extended the "actual malice" requirement in libel cases involving public officers to "public figures." It decreed that owing to the legitimate interest of the public in his or her affairs "the right of privacy of a 'public figure' is necessarily narrower than that of an ordinary citizen."

Article 354 of the Revised Penal Code provides that except for privileged communications, every defamatory imputation is deemed malicious. On the other hand, Article 361 recognizes the truth of an imputation as a defense in a criminal prosecution for libel. Proof of the truth of an imputation of an act or omission not constituting a crime shall not be admitted, unless the imputation shall have been made against Government employees with respect to facts related to the discharge of their official duties.

As an exception to the presumption that every defamatory imputation is malicious, privileged communication has two kinds: absolute and qualified. The distinction between these two was discussed in Orfanel v. People, where this Court decreed: A privileged communication may be either absolutely privileged or conditionally privileged. A communication is said to be absolutely privileged when it is not actionable, even if its author has acted in bad faith. This class includes statements made by members of Congress in the discharge of their functions as such, official communications made by public officers in the performance of their duties, and allegations or statements made by the parties or their counsel in their pleadings or motions or during the hearing of judicial proceedings, as well as the answers given by witness in reply to questions propounded to them, in the course of said proceedings, provided that said allegations or statements are relevant to the issues, and the answers are responsive or pertinent to the questions propounded to said witnesses. Upon the other hand, conditionally or qualifiedly privileged communications are those which, although containing defamatory imputations, would not be actionable unless made with malice or bad faith. It has, moreover, been held that there is malice when the defamer has been prompted by ill-will or spite and speaks not in response to duty, but merely to injure the reputation of the person defamed.

In Borjal vs. Court of Appeals, this Court recognized that the enumeration of qualified privileged communications under Article 354 of the Revised Penal Code is not exclusive. It decreed that "fair commentaries on matters of public interest" are likewise deemed privileged by reason of the constitutional guarantee of freedom of the press.

To reiterate, fair commentaries on matters of public interest are privileged and constitute a valid defense in an action for libel or slander. The doctrine of fair comment means that while in general every discreditable imputation publicly made is deemed false, because every man is presumed innocent until his guilt is judicially proved, and every false imputation is deemed malicious, nevertheless, when the discreditable imputation is directed against a public person in his public capacity, it is not necessarily actionable. In order that such discreditable imputation to a public official may be actionable, it must either be a false allegation of fact or a comment based on a false supposition. If the comment is an expression of opinion, based on established facts, then it is immaterial that the opinion happens to be mistaken, as long as it might reasonably be inferred from the facts.

In Vasquez v. Court of Appeals, this Court reiterated the actual malice test and discussed Article 361 on the defense of truth: In denouncing the barangay chairman in this case, petitioner and the other residents of the Tondo Foreshore Area were not only acting in their self-interest but engaging in the performance of a civic duty to see to it that public duty is discharged faithfully and well by those on whom such duty is incumbent. The recognition of this right and duty of every citizen in a democracy is inconsistent with any requirement placing on him the burden of proving that he acted with good motives and for justifiable ends.

For that matter, even if the defamatory statement is false, no liability can attach if it relates to official conduct, unless the public official concerned proves that the statement was made with actual malice – that is, with knowledge that it was false or with reckless disregard of whether it was false or not. This is the gist of the ruling in the landmark case of New York Times v. Sullivan, which this Court has cited with approval in several of its own decisions. This is the rule of "actual malice.

A rule placing on the accused the burden of showing the truth of allegations of official misconduct and/or good motives and justifiable ends for making such allegations would not only be contrary to Art. 361 of the Revised Penal Code. It would, above all, infringe on the constitutionally guaranteed freedom of expression. Such a rule would deter citizens from performing their duties as members of a self-governing community. Without free speech and assembly, discussions of our most abiding concerns as a nation would be stifled. As Justice Brandeis has said, public discussion is a political duty and the greatest menace to freedom is an inert people.

Even assuming that the contents of the articles are false, mere error, inaccuracy or even falsity alone does not prove actual malice. Errors or misstatements aire inevitable in any scheme of truly free expression and debate. Consistent with good faith and reasonable care, the press should not be held to account, to a point of suppression, for honest mistakes or imperfections in the choice of language. There must be some room for misstatement of fact as well as for misjudgment. Only by giving them much leeway and tolerance can they courageously and effectively function as critical agencies in our democracy.

Every prosecution for libel, therefore, must undergo the rigorous and exacting standard of ensuring that it does not violate the fundamental right to free speech and the press. Unless the prosecution proves that the defamatory statements were made with actual malice, a criminal case for libel against critics of a public officer's exercise of official functions cannot prosper.

Contrary to the Court of Appeals' findings, the prosecution failed to prove that petitioner Tulfo acted with malice, or with reckless disregard in determing the truth or falsity of the imputations.

"Ayon sa aking mga impor[m]ante ay nagyayabang pa si So matapos kong bombahin. Ipinagmamalaki niya na hindi siya apektado sa kahit na anumang batikos dahil kaibigan daw niya si Boy Manalo(,) na kamag-anak ninyo, at ito raw ang pader na sinasandalan niya sa INC. Kaya walang sin urn an daw ang puwedeng gumalaw sa kanya;" "Kaya naman, ayon sa aking source, naging arogante lalo si So at palagi nitong bukambibig na (malakas) siya sa INC;" "Matagal na siyang nasibak pero nabalik din dahil tumatakbo ito sa INC at ito an[g] ipinagmamalaki niya kapag natatanggal siya sa puwesto diyan sa Customs;" "Isa pang INC member na nakakakilala rin kay Ding So ang nagsabi naman na 'ikinahihiya namin siya (So). Kasi alam naman sa NAIA na pinapatos niya ang babaing may-asawa." "Nagtanong-tanong ngayon ang mga (tauhan ng mga) Laurel sa mga brokers at sa ibang Customs employees para ikumpirma ang sinulat ko. Nagagalak naman ang mga brokers na galit (na galit) sa abusadong si Ding So sa pagkumpirma sa mga tauhan ng mga Laurel. Sinasabi nila na totoo nga ang umano'y pakikialam ni (Ding) So kay Gemma;" "[N]akipag[-]ugnayan sa akin si Gemma. Umiiyak ito at nakikiusap na linawin ko ang panig nya. Ayon kay Gemma, hindi toto[o]ng may kaugnayan siya kay So. Okey, kung nabanggit ko man ang pangalan mo rito ay hindi ko intensiyon na siraan ka. Ang layunin ko kung bakit ibinu[bu]lgar ko ang mga kawalanghiyaan ni So ay para masibak na ito sa Customs at matigil na ang kanyang pagkaabusado. Wala sa intensiyon ko na ibulgar pati ang personal na aktibidad ni So."

From these, it can be deduced that the impugned articles fall within the purview of qualified privileged communications. These columns relate to Atty. So's exercise of his official functions. His alleged actuations refer to matters of public interest which the citizenry ought to know. As an official of the Bureau of Customs, Atty. So is subject to a closer scrutiny by members of the media, who act as sentinels of the public.

Having established the privileged nature of the Abante Tonite articles, the burden shifts to the prosecution to prove that actual malice exists. The prosecution is duty bound to show that the alleged defamatory statements were made "with knowledge that it was false or with reckless disregard of whether it was false or not." The reason for this rule is based on the New York Times doctrine, which provides: To require critics of official conduct to guarantee the truth of all their factual assertions on pain of libel judgments would lead to self-censorship, since would-be critics would be deterred from voicing out their criticisms even if such were believed to be true, or were in fact true, because of doubt whether it could be proved or because of fear of the expense of having to prove it.

The "reckless disregard" standard "cannot be fully encompassed in one infallible definition" and must be applied depending on the facts of each case. Nevertheless, in Flor v. People, this Court decreed that the existence of reckless disregard cannot be based on "whether a reasonably prudent [person] would have published, or would have investigated before publishing." Instead, it depends on whether sufficient evidence has been adduced "to permit the conclusion that the defendant in fact entertained serious doubts as to the truth of [their] publication."

Here, petitioner Tulfo's testimony on cross-examination does not show that the allegations were false, or that they were made with reckless disregard of ascertaining whether the statements were false or not. His testimony that no administrative case was filed against Atty. So does not mean that the statements in the articles were false.

That petitioner Tulfo has never bothered obtaining Atty. So's side of the story, as respondent insists, cannot amount to malice. While substantiatiating facts does play an important role in reporting standands, a reporter may rely on a lone source's information, even if such information only shows one side of the story, for as long as the reporter "does not entertain a 'high degree of awareness of [its] probable falsity.'"

Public officers are accountable to the people, and must serve them "with utmost responsibility, integrity, loyalty, and efficiency, act with patriotism and justice, and lead modest lives." Speech that guards against abuses of those in public office should be encouraged. Petitioner Tulfo should be acquitted.

 

Issue 2:

Whether or not petitioners Allen A. Macasaet and Nicolas V. Quijano, Jr., as publisher and managing editor of Abante Tonite, are also liable for libel under Article 360 of the Revised Penal Code.

 

Held:

No; since the author of the impugned articles himself is not guilty of libel, it follows that petitioners Macasaet and Quijano, the publisher and managing editor of the Abante Tonite columns, must likewise be acquitted.

"According to the legal doctrines and jurisprudence of the United States, the printer of a publication containing libelous matter is liable for the same by reason of his direct connection therewith and his cognizance of the contents thereof. With regard to a publication in which a libel is printed, not only is the publisher but also all other persons who in any way participate in or have any connection with its publication are liable as publishers."

"The question then recurs as to whether the manager or proprietor of a newspaper can escape criminal responsibility solely on the ground that the libelous article was published without his knowledge or consent. When a libel is published in a newspaper, such fact alone is sufficient evidence prima facie to charge the manager or proprietor with the guilt of its publication.

"The manager and proprietor of a newspaper, we think ought to be held prima facie criminally for whatever appears in his paper; and it should be no defense that the publication was made without his knowledge or consent.

"We think, therefore, the mere fact that the libelous article was published in the newspaper without the knowledge or consent of its proprietor or manager is no defense to a criminal prosecution against such proprietor or manager."

Nevertheless, since this Court did not find petitioner Tulfo, who authored the allegedly libelous articles, to be liable, neither should liability attach to those persons enumerated in Article 360. Petitioners Macasaet and Quijano must likewise be acquitted.

 

 

Issue 3:

Should petitioners be found guilty, whether or not the penalty of fine should be imposed instead of imprisonment, pursuant to Administrative Circular No. 08-2008, or the Guidelines in the Observance of a Rule of Preference in the Imposition of Penalties in Libel Cases.

 

Held:

Of course, since this Court finds that the articles are not libelous, petitioners should be acquitted, and Administrative Circular No. 08-2008 finds no application.

Nevertheless, the constitutionally protected freedoms enjoyed by the press cannot be used as a shield to advance the malicious propagation of false information carried out by unscrupulous entities to injure another's reputation.

The acquittal meted out to petitioners does not mean that journalists have unbridled discretion in publishing news and information below the standards expected of them. These standards are prominently provided under the Philippine Press Institute's (PPI) Journalist's Code of Ethics and the Society of Professional Journalists (SPJ) Code of Ethics.

Under the PPI's Code of Ethics, journalists and members of the press shall scrupulously report news while avoiding the suppression and distortion of facts. In disseminating news, they "shall refrain from writing reports which will adversely affect a private reputation unless the public interests justifies it." Moreover, they shall not "ridicule ... or degrade any person by reason of sex, creed, religious belief, political conviction, cultural and ethnic origin."

Friday, December 1, 2023

Civil Liberties Union v. Exec. Sec., 194 SCRA 317 (Case Digest)

 Civil Liberties Union v. Exec. Sec., 

194 SCRA 317

Facts:

            These two (2) petitions were consolidated per resolution dated August 9, 1988 and are being resolved jointly as both seek a declaration of the unconstitutionality of Executive Order No. 284 issued by President Corazon C. Aquino on July 25, 1987. The pertinent provisions of the assailed Executive Order are: Sec. 1. Even if allowed by law or by the ordinary functions of his position, a member of the Cabinet, undersecretary or assistant secretary or other appointive officials of the Executive Department may, in addition to his primary position, hold not more than two positions in the government and government corporations and receive the corresponding compensation therefor; Provided, that this limitation shall not apply to ad hoc bodies or committees, or to boards, councils or bodies of which the President is the Chairman.

            Petitioners maintain that this Executive Order which, in effect, allows members of the Cabinet, their undersecretaries and assistant secretaries to hold other government offices or positions in addition to their primary positions, albeit subject to the limitation therein imposed, runs counter to Section 13, Article VII of the 1987 Constitution, which provides as follows: Sec. 13. The President, Vice-President, the Members of the Cabinet, and their deputies or assistants shall not, unless otherwise provided in this Constitution, hold any other office or employment during their tenure. They shall not, during said tenure, directly or indirectly practice any other profession, participate in any business, or be financially interested in any contract with, or in any franchise, or special privilege granted by the Government or any subdivision, agency, or instrumentality thereof, including government-owned or controlled corporations or their subsidiaries. They shall strictly avoid conflict of interest in the conduct of their office.

            The constitutionality of Executive Order No. 284 is being challenged by petitioners on the principal submission that it adds exceptions to Section 13, Article VII other than those provided in the Constitution. According to petitioners, by virtue of the phrase "unless otherwise provided in this Constitution," the only exceptions against holding any other office or employment in Government are those provided in the Constitution, namely: (1) The Vice-President may be appointed as a Member of the Cabinet under Section 3, par. (2), Article VII thereof; and (2) the Secretary of Justice is an ex-officio member of the Judicial and Bar Council by virtue of Section 8 (1), Article VIII.

 

Issue:

            Whether E.O 284 is Constitutional.

 

Held:

            Negative. It is quite notable that in all these provisions on disqualifications to hold other office or employment, the prohibition pertains to an office or employment in the government and government-owned or controlled corporations or their subsidiaries. In striking contrast is the wording of Section 13, Article VII which states that "(T)he President, Vice-President, the Members of the Cabinet, and their deputies or assistants shall not, unless otherwise provided in this Constitution, hold any other office or employment during their tenure." In the latter provision, the disqualification is absolute, not being qualified by the phrase "in the Government." The prohibition imposed on the President and his official family is therefore all-embracing and covers both public and private office, and employment.

            Going further into Section 13, Article VII, the second sentence provides: "They shall not, during said tenure, directly or indirectly, practice any other profession, participate in any business, or be financially interested in any contract with, or in any franchise, or special privilege granted by the Government or any subdivision, agency or instrumentality thereof, including government-owned or controlled corporations or their subsidiaries." These sweeping, all-embracing prohibitions imposed on the President and his official family, which prohibitions are not similarly imposed on other public officials or employees such as the Members of Congress, members of the civil service in general and members of the armed forces, are proof of the intent of the 1987 Constitution to treat the President and his official family as a class by itself and to impose upon said class stricter prohibitions.

            Thus, while all other appointive officials in the civil service are allowed to hold other office or employment in the government during their tenure when such is allowed by law or by the primary functions of their positions, members of the Cabinet, their deputies and assistants may do so only when expressly authorized by the Constitution itself. In other words, Section 7, Article I-XB is meant to lay down the general rule applicable to all elective and appointive public officials and employees, while Section 13, Article VII is meant to be the exception applicable only to the President, the Vice- President, Members of the Cabinet, their deputies and assistants.

            This being the case, the qualifying phrase "unless otherwise provided in this Constitution" in Section 13, Article VII cannot possibly refer to the broad exceptions provided under Section 7, Article I-XB of the 1987 Constitution. To construe said qualifying phrase as respondents would have us do, would render nugatory and meaningless the manifest intent and purpose of the framers of the Constitution to impose a stricter prohibition on the President, Vice-President, Members of the Cabinet, their deputies and assistants with respect to holding other offices or employment in the government during their tenure. Respondents' interpretation that Section 13 of Article VII admits of the exceptions found in Section 7, par. (2) of Article IX-B would obliterate the distinction so carefully set by the framers of the Constitution as to when the high-ranking officials of the Executive Branch from the President to Assistant Secretary, on the one hand, and the generality of civil servants from the rank immediately below Assistant Secretary downwards, on the other, may hold any other office or position in the government during their tenure.

            The prohibition against holding dual or multiple offices or employment under Section 13, Article VII of the Constitution must not, however, be construed as applying to posts occupied by the Executive officials specified therein without additional compensation in an ex-officio capacity as provided by law and as required by the primary functions of said officials' office. The reason is that these posts do no comprise "any other office" within the contemplation of the constitutional prohibition but are properly an imposition of additional duties and functions on said officials. To characterize these posts otherwise would lead to absurd consequences, among which are: The President of the Philippines cannot chair the National Security Council reorganized under Executive Order No. 115 (December 24, 1986). Neither can the Vice-President, the Executive Secretary, and the Secretaries of National Defense, Justice, Labor and Employment and Local Government sit in this Council, which would then have no reason to exist for lack of a chairperson and members. The respective undersecretaries and assistant secretaries, would also be prohibited.

            To reiterate, the prohibition under Section 13, Article VII is not to be interpreted as covering positions held without additional compensation in ex-officio capacities as provided by law and as required by the primary functions of the concerned official's office. The term ex-officio means "from office; by virtue of office." It refers to an "authority derived from official character merely, not expressly conferred upon the individual character, but rather annexed to the official position." Ex-officio likewise denotes an "act done in an official character, or as a consequence of office, and without any other appointment or authority than that conferred by the office." An ex-officio member of a board is one who is a member by virtue of his title to a certain office, and without further warrant or appointment. To illustrate, by express provision of law, the Secretary of Transportation and Communications is the ex-officio Chairman of the Board of the Philippine Ports Authority, and the Light Rail Transit Authority.

            It being clear, as it was in fact one of its best selling points, that the 1987 Constitution seeks to prohibit the President, Vice-President, members of the Cabinet, their deputies or assistants from holding during their tenure multiple offices or employment in the government, except in those cases specified in the Constitution itself and as above clarified with respect to posts held without additional compensation in an ex-officio capacity as provided by law and as required by the primary functions of their office, the citation of Cabinet members (then called Ministers) as examples during the debate and deliberation on the general rule laid down for all appointive officials should be considered as mere personal opinions which cannot override the constitution's manifest intent and the people' understanding thereof.

            In the light of the construction given to Section 13, Article VII in relation to Section 7, par. (2), Article IX-B of the 1987 Constitution, Executive Order No. 284 dated July 23, 1987 is unconstitutional. Ostensibly restricting the number of positions that Cabinet members, undersecretaries or assistant secretaries may hold in addition to their primary position to not more than two (2) positions in the government and government corporations, Executive Order No. 284 actually allows them to hold multiple offices or employment in direct contravention of the express mandate of Section 13, Article VII of the 1987 Constitution prohibiting them from doing so, unless otherwise provided in the 1987 Constitution itself.

            The Court is alerted by respondents to the impractical consequences that will result from a strict application of the prohibition mandated under Section 13, Article VII on the operations of the Government, considering that Cabinet members would be stripped of their offices held in an ex-officio capacity, by reason of their primary positions or by virtue of legislation. As earlier clarified in this decision, ex-officio posts held by the executive official concerned without additional compensation as provided by law and as required by the primary functions of his office do not fall under the definition of "any other office" within the contemplation of the constitutional prohibition. With respect to other offices or employment held by virtue of legislation, including chairmanships or directorships in government-owned or controlled corporations and their subsidiaries, suffice it to say that the feared impractical consequences are more apparent than real. Being head of an executive department is no mean job. It is more than a full-time job, requiring full attention, specialized knowledge, skills and expertise. If maximum benefits are to be derived from a department head's ability and expertise, he should be allowed to attend to his duties and responsibilities without the distraction of other governmental offices or employment.

            Finding Executive Order No. 284 to be constitutionally infirm, the court hereby orders respondents Secretary of Environment and Natural Resources Fulgencio Factoran, Jr., Secretary of Local Government Luis Santos, Secretary of National Defense Fidel V. Ramos, Secretary of Health Alfredo R.A. Bengzon and Secretary of the Budget Guillermo Carague to immediately relinquish their other offices or employment, as herein defined, in the government, including government-owned or controlled corporations and their subsidiaries. With respect to the other named respondents, the petitions have become moot and academic as they are no longer occupying the positions complained of.

Pichay, Jr. v. Office of the Deputy Executive Secretary for Legal Affairs-IAD, G.R. No. 196425, [July 24, 2012] Case Digest

 Pichay, Jr. v. Office of the Deputy Executive Secretary for Legal Affairs-IAD,

G.R. No. 196425, [July 24, 2012]. 

Facts:

            On April 16, 2001, then President Gloria Macapagal-Arroyo issued Executive Order No. 12 (E.O. 12) creating the Presidential Anti-Graft Commission (PAGC) and vesting it with the power to investigate or hear administrative cases or complaints for possible graft and corruption, among others, against presidential appointees and to submit its report and recommendations to the President.

            On November 15, 2010, President Benigno Simeon Aquino III issued Executive Order No. 13 (E.O. 13), abolishing the PAGC and transferring its functions to the Office of the Deputy Executive Secretary for Legal Affairs (ODESLA), more particularly to its newly-established Investigative and Adjudicatory Division (IAD).

            On April 6, 2011, respondent Finance Secretary Cesar V. Purisima filed before the IAD-ODESLA a complaint affidavit for grave misconduct against petitioner Prospero A. Pichay, Jr., Chairman of the Board of Trustees of the Local Water Utilities Administration (LWUA), as well as the incumbent members of the LWUA Board of Trustees, namely, Renato Velasco, Susana Dumlao Vargas, Bonifacio Mario M. Pena, Sr. and Daniel Landingin, which arose from the purchase by the LWUA of (445,377) shares of stock of Express Savings Bank, Inc.

            Petitioner filed a Motion to Dismiss Ex Abundante Ad Cautelam manifesting that a case involving the same transaction and charge of grave misconduct entitled, “Rustico B. Tutol, et al. v. Prospero Pichay, et al.”, and docketed as OMB-C-A-10-0426-I, is already pending before the Office of the Ombudsman.

                        Now alleging that no other plain, speedy and adequate remedy is available to him in the ordinary course of law, petitioner has resorted to the instant petition for certiorari and prohibition upon the following grounds:

    I. E.O. 13 IS UNCONSTITUTIONAL FOR USURPING THE POWER OF THE LEGISLATURE TO CREATE A PUBLIC OFFICE.

    II. E.O. 13 IS UNCONSTITUTIONAL FOR USURPING THE POWER OF THE LEGISLATURE TO APPROPRIATE FUNDS.

    III. E.O. 13 IS UNCONSTITUTIONAL FOR USURPING THE POWER OF CONGRESS TO DELEGATE QUASI-JUDICIAL POWERS TO ADMINISTRATIVE AGENCIES.

    IV. E.O. 13 IS UNCONSTITUTIONAL FOR ENCROACHING UPON THE POWERS OF THE OMBUDSMAN.

    V. E.O. 13 IS UNCONSTITUTIONAL FOR VIOLATING THE GUARANTEE OF DUE PROCESS.

    VI. E.O. 13 IS UNCONSTITUTIONAL FOR VIOLATING THE EQUAL PROTECTION CLAUSE.

            In assailing the constitutionality of E.O. 13, petitioner asseverates that the President is not authorized under any existing law to create the Investigative and Adjudicatory Division, Office of the Deputy Executive Secretary for Legal Affairs (IAD-ODESLA) and that by creating a new, additional and distinct office tasked with quasi-judicial functions, the President has not only usurped the powers of congress to create a public office, appropriate funds and delegate quasi-judicial functions to administrative agencies but has also encroached upon the powers of the Ombudsman.

 

Issue:

            Whether or not EO 13 is unconstitutional.

 

Held:

            No; the President has Continuing Authority to Reorganize the Executive Department under E.O. 292. E.O. 292 sanctions the following actions undertaken for such purpose:

    (1) Restructure the internal organization of the Office of the President Proper, including the immediate Offices, the Presidential Special Assistants/Advisers System and the Common Staff Support System, by abolishing, consolidating, or merging units thereof or transferring functions from one unit to another;

    (2) Transfer any function under the Office of the President to any other Department or Agency as well as transfer functions to the Office of the President from other Departments and Agencies; and

    (3) Transfer any agency under the Office of the President to any other Department or Agency as well as transfer agencies to the Office of the President from other departments or agencies.

            Clearly, the abolition of the PAGC and the transfer of its functions to a division specially created within the ODESLA is properly within the prerogative of the President under his continuing “delegated legislative authority to reorganize” his own office pursuant to E.O. 292.

            Generally, this authority to implement organizational changes is limited to transferring either an office or a function from the Office of the President to another Department or Agency, and the other way around. Only Section 31(1) gives the President a virtual freehand in dealing with the internal structure of the Office of the President Proper by allowing him to take actions as extreme as abolition, consolidation or merger of units, apart from the less drastic move of transferring functions and offices from one unit to another. Again, in Domingo v. Zamora he Court noted:   "However, the President's power to reorganize the Office of the President under Section 31 (2) and (3) of EO 292 should be distinguished from his power to reorganize the Office of the President Proper. Under Section 31 (1) of EO 292, the President can reorganize the Office of the President Proper by abolishing, consolidating or merging units, or by transferring functions from one unit to another. In contrast, under Section 31 (2) and (3) of EO 292, the President's power to reorganize offices outside the Office of the President Proper but still within the Office of the President is limited to merely transferring functions or agencies from the Office of the President to Departments or Agencies, and vice versa."

            The distinction between the allowable organizational actions under Section 31(1) on the one hand and Section 31 (2) and (3) on the other is crucial not only as it affects employees' tenurial security but also insofar as it touches upon the validity of the reorganization, that is, whether the executive actions undertaken fall within the limitations prescribed under E.O. 292. When the PAGC was created under E.O. 12, it was composed of a Chairman and two (2) Commissioners who held the ranks of Presidential Assistant II and I, respectively, and was placed directly “under the Office of the President.” On the other hand, the ODESLA, to which the functions of the PAGC have now been transferred, is an office within the Office of the President Proper. Since both of these offices belong to the Office of the President Proper, the reorganization by way of abolishing the PAGC and transferring its functions to the ODESLA is allowable under Section 31 (1) of E.O. 292.

            There is no usurpation of the legislative power to appropriate public funds: In the chief executive dwell the powers to run government. Placed upon him is the power to recommend the budget necessary for the operation of the Government, which implies that he has the necessary authority to evaluate and determine the structure that each government agency in the executive department would need to operate in the most economical and efficient manner. Hence, the express recognition under Section 78 of R.A. 9970 or the General Appropriations Act of 2010 of the President’s authority to “direct changes in the organizational units or key positions in any department or agency.” The aforecited provision, often and consistently included in the general appropriations laws, recognizes the extent of the President’s power to reorganize the executive offices and agencies under him, which is, “even to the extent of modifying and realigning appropriations for that purpose.”

            Thus, while there may be no specific amount earmarked for the IADODESLA from the total amount appropriated by Congress in the annual budget for the Office of the President, the necessary funds for the IADODESLA may be properly sourced from the President's own office budget without committing any illegal appropriation.  After all, there is no usurpation of the legislature's power to appropriate funds when the President simply allocates the existing funds previously appropriated by Congress for his office.

            The IAD-ODESLA is a fact- finding and recommendatory body not vested with quasi- judicial powers.

            The IAD-ODESLA does not encroach upon the powers and duties of the Ombudsman. Contrary to petitioner's contention, the IAD-ODESLA did not encroach upon the Ombudsman's primary jurisdiction when it took cognizance of the complaint affidavit filed against him notwithstanding the earlier filing of criminal and administrative cases involving the same charges and allegations before the Office of the Ombudsman. The primary jurisdiction of the Ombudsman to investigate and prosecute cases refers to criminal cases cognizable by the Sandiganbayan and not to administrative cases. It is only in the exercise of its primary jurisdiction that the Ombudsman may, at any time, take over the investigation being conducted by another investigatory agency.

            Since the case filed before the IAD-ODESLA is an administrative disciplinary case for grave misconduct, petitioner may not invoke the primary jurisdiction of the Ombudsman to prevent the IAD-ODESLA from proceeding with its investigation. In any event, the Ombudsman's authority to investigate both elective and appointive officials in the government, extensive as it may be, is by no means exclusive. It is shared with other similarly authorized government agencies.

            While the Ombudsman's function goes into the determination of the existence of probable cause and the adjudication of the merits of a criminal accusation, the investigative authority of the IAD-ODESLA is limited to that of a fact-finding investigator whose determinations and recommendations remain so until acted upon by the President. As such, it commits no usurpation of the Ombudsman's constitutional duties.

            Executive Order No. 13 Does Not Violate Petitioner's Right to Due Process and the Equal Protection of the Laws. Substantial distinctions clearly exist between elective officials and appointive officials. The former occupy their office by virtue of the mandate of the electorate. They are elected to an office for a definite term and may be removed therefrom only upon stringent conditions. On the other hand, appointive officials hold their office by virtue of their designation thereto by an appointing authority. Some appointive officials hold their office in a permanent capacity and are entitled to security of tenure while others serve at the pleasure of the appointing authority.

            Also, contrary to petitioner's assertions, his right to due process was not violated when the IAD-ODESLA took cognizance of the administrative complaint against him since he was given sufficient opportunity to oppose the formal complaint filed by Secretary Purisima. In administrative proceedings, the filing of charges and giving reasonable opportunity for the person so charged to answer the accusations against him constitute the minimum requirements of due process, which simply means having the opportunity to explain one’s side.