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Facura v. Court Of Appeals

Roque C. Facura and Eduardo F. Tuason v. Court of Appeals, Rodolfo S. De Jesus and Edelwina DG. Parungao; Rodolfo S. De Jesus v. Office of the Ombudsman, et al.; Office of the Ombudsman v. Edelwina DG. Parungao and the Court of Appeals, G.R. No. 166495 (consolidated with G.R. Nos. 184129 and 184263), February 16, 2011

G.R. No. 166495GFebruary 16, 2011Ponente: MENDOZA, J.
  • Political Law
  • Procedural (Remedial Law)
  • Criminal Law
  • Ombudsman
  • administrative case
  • immediately executory pending appeal
  • preliminary mandatory injunction
  • conclusiveness of judgment
  • res judicata
  • falsification of public documents
  • dishonesty
  • simple neglect of duty
  • retroactive appointments
  • CSC accreditation program
  • LWUA
  • specialis derogat generali
  • Ombudsman rule-making power

Read the full decision

I. Facts of the Case

Rodolfo De Jesus (Deputy Administrator) and Edelwina Parungao (HRMD Manager) of the Local Water Utilities Administration (LWUA) were charged before the Ombudsman by Roque Facura and Eduardo Tuason. The charges concerned two sets of allegedly fraudulent retroactive appointments of confidential staff for the LWUA Board. The Ombudsman dismissed both from service, the Court of Appeals (CA) enjoined the dismissal and later affirmed it only as to De Jesus, and the consolidated petitions reached the Supreme Court.

  1. March 28, 2001

    LWUA dismissed De Jesus from service through Board Resolution No. 061. His motion for reconsideration was denied on April 17, 2001 through Board Resolution No. 069, which also barred him from acting as head of Administrative Services.

  2. April 18, 2001

    De Jesus appealed his dismissal to the Civil Service Commission (CSC) to nullify Board Resolution Nos. 061 and 069.

  3. August 20, 2001

    While his CSC appeal was pending, De Jesus petitioned a newly-reconstituted LWUA Board for reinstatement. The Board granted it on September 4, 2001 (Board Resolution No. 172), and he withdrew his CSC petition on September 5, 2001.

  4. September 25, 2001

    LWUA Administrator Jamora authorized De Jesus to sign and issue appointment papers under the CSC Accreditation Program (CSC Resolution No. 967701).

  5. November 20, 2001

    The CSC issued Resolution No. 011811, remanding De Jesus' dismissal case to LWUA for investigation within three months.

  6. December 11 and 18, 2001

    The DBM granted Jamora's request (made August 27, 2001) for authority to hire confidential staff for the LWUA Board. Board members then issued memoranda appointing nine confidential staff retroactively to June, August and October 2001. Parungao's staff prepared the appointment papers, which De Jesus signed as representative of the appointing authority.

  7. December 20, 2001

    Jamora ordered payment of the staff's back salaries. A Land Bank check for ₱624,570.00 was released as part of a ₱692,657.31 cash advance.

  8. January 8, 2002

    The appointments were reported to the CSC. On January 25, 2002, De Jesus and Parungao advised Jamora that the retroactive appointments violated CSC rules. With Jamora's approval, they re-issued the appointments dated December 12, 2001 and transmitted them to the CSC.

  9. February 28, 2002 to June 5, 2002

    Jamora asked the DBM on February 28, 2002 whether its approval had retroactive effect. On May 10, 2002, LWUA's Internal Control Office questioned the retroactive appointments and flagged overpayments. On June 5, 2002, the DBM replied that the authority could be implemented retroactively to the date of actual service.

  10. August 15, 2002

    CSC Resolution No. 021090 recalled De Jesus' reinstatement and declared it illegal and null and void. On May 5, 2003, CSC Resolution No. 030504 closed the dismissal case because LWUA failed to investigate within the allowed time.

  11. October 18, 2002

    Facura and Tuason filed a Joint Affidavit-Complaint with the Ombudsman against De Jesus and Parungao. They charged violation of Sec. 3(e) of R.A. 3019, dishonesty, grave misconduct, gross neglect of duty, falsification and related offenses over the allegedly fraudulent retroactive appointments. The complaint produced an administrative case (OMB-C-A-02-0496-J) and a criminal case (OMB-C-C-02-0712-J). De Jesus and Parungao answered that they were mere subordinates who followed the Board members' requests, that both sets of appointments were approved by Jamora, and that LWUA suffered no damage.

  12. September 30, 2003

    Graft Investigator Magsino-Gonzales recommended dismissal of the administrative complaint for lack of Ombudsman jurisdiction, since the matter belonged to the CSC. The Ombudsman disapproved this. Special Prosecutor Agagon then issued a Review and Recommendation (dated January 26, 2004) finding both guilty of grave misconduct, dishonesty, gross neglect of duty and falsification, and dismissing them from service with prejudice to re-entry.

  13. April 20, 2004

    The Ombudsman denied the motion for reconsideration. It found the appointments illegal because De Jesus had no authority to sign them while dismissed. It also found concealment from the DBM and a conspiracy between De Jesus and Parungao.

  14. Undated (criminal proceeding)

    In the criminal proceeding, the Ombudsman found probable cause and filed nine informations for falsification of public documents with the Sandiganbayan (Criminal Case Nos. 27894-27902). De Jesus' Motion to Quash was denied, and he went to the Supreme Court on certiorari (De Jesus v. Sandiganbayan, G.R. Nos. 164166 & 164173-80).

  15. July 5, 2004

    De Jesus and Parungao filed a petition for review with the CA (CA-G.R. SP No. 84902). LWUA implemented the dismissal effective July 23, 2004. The CA granted a TRO on August 12, 2004.

  16. September 22, 2004

    The CA denied the motion to dissolve the TRO and issued a writ of preliminary mandatory injunction reinstating De Jesus and Parungao. It relied on Lopez v. CA, holding that the right to appeal carries a stay of the decision. It denied reconsideration on January 4, 2005. Facura and Tuason then filed G.R. No. 166495.

  17. May 26, 2005

    The CA affirmed De Jesus' dismissal but exonerated Parungao and ordered her reinstated with back pay. It found that De Jesus misrepresented his authority, defied the CSC directive, and was dishonest in not submitting the first set of appointments to the CSC. It found that Parungao acted in good faith. Reconsideration was denied on August 6, 2008.

  18. October 17, 2007

    In De Jesus v. Sandiganbayan, the Supreme Court found no prima facie case, no probable cause, and no absolutely false narration of facts in the two sets of appointment papers. It granted De Jesus' Motion to Quash. The Sandiganbayan dismissed the criminal cases on March 14, 2008, and De Jesus submitted copies of the decisions to the CA on April 24, 2008.

  19. 2008

    De Jesus (G.R. No. 184129) and the Ombudsman (G.R. No. 184263) filed separate Rule 45 petitions from the CA decision. The Ombudsman, Tuason and LWUA argued that dismissal of the criminal case does not bar the administrative case, that only the absence of mens rea was resolved, and that res judicata does not apply to administrative matters. The three petitions were consolidated.

II. Issues

1
Political Law

Whether or not an appeal from the Ombudsman's decision in an administrative case stays the penalty imposed, such that the Court of Appeals could issue a writ of preliminary mandatory injunction reinstating respondents pending appeal.

2
Procedural (Remedial Law)

Whether or not petitioners Facura and Tuason were heard before the writ of preliminary mandatory injunction was issued.

3
Procedural (Remedial Law)

Whether or not the Supreme Court's decision in De Jesus v. Sandiganbayan binds the administrative case under the doctrine of conclusiveness of judgment or res judicata.

4
Criminal Law

Whether or not De Jesus and Parungao committed falsification of official documents in preparing and signing the two sets of appointment papers.

5
Political Law

Whether or not De Jesus' reinstatement was illegal such that he lacked authority to sign the appointment papers.

6
Political Law

Whether or not De Jesus is liable for failing to submit the first set of appointment papers to the CSC under the CSC Accreditation Program rules.

7
Political Law

Whether or not De Jesus and Parungao are guilty of dishonesty for the retroactive appointments and the submissions to the DBM and the CSC.

8
Political Law

Whether or not Parungao, as Human Resource Management Officer, is liable for simple neglect of duty.

III. Ruling

Issue 1Political Law

Whether or not an appeal from the Ombudsman's decision in an administrative case stays the penalty imposed, such that the Court of Appeals could issue a writ of preliminary mandatory injunction reinstating respondents pending appeal.

No

An appeal does not stop an Ombudsman decision in an administrative case from being executed. The CA therefore had no power to enjoin the dismissal and erred in issuing the writ, although its error was excusable.

How the Court reasoned

  1. Section 7, Rule III of the Ombudsman Rules, as amended by A.O. No. 17, says an appeal does not stop the Ombudsman's decision from being executory. The Constitution gives the Ombudsman the power to promulgate its own rules of procedure.
  2. Section 12, Rule 43 of the Rules of Court lets the CA stay an award pending appeal, but the Ombudsman's rule is a special rule. Under the principle specialis derogat generali (a special law prevails over a general one), it prevails over the Rules of Court.
  3. The CA therefore has no discretion to stay an Ombudsman decision, even on terms it considers just. An injunction against the penalty would encroach on the Ombudsman's constitutional rule-making power.
  4. An injunctive writ would also make Section 7, Rule III meaningless, because the penalty would never take effect while the appeal is pending.
  5. No one has a vested right in public office. A respondent who wins on appeal is treated as preventively suspended and is paid back salaries, so no irreparable injury results from immediate execution.
  6. The CA's reliance on Lopez v. CA was mistaken. The Court excused the error because its own earlier rulings (Laja and the initial Samaniego decision) were unclear on the point. The writ in CA-G.R. SP No. 84902 was dissolved and G.R. No. 166495 was granted.
“Hence, the dismissal of De Jesus and Parungao from the government service is immediately executory pending appeal.”

Rule applied

Section 7, Rule III of the Rules of Procedure of the Office of the Ombudsman, as amended by Administrative Order No. 17; Section 13(8), Article XI of the Constitution; Section 27 of R.A. No. 6770; Section 12, Rule 43, Rules of Court

Issue 2Procedural (Remedial Law)

Whether or not petitioners Facura and Tuason were heard before the writ of preliminary mandatory injunction was issued.

Not stated

The Court did not decide whether Facura and Tuason were heard before the writ issued. Because Ombudsman decisions are immediately executory, the point no longer mattered.

How the Court reasoned

  1. Petitioners also complained that the writ was issued without giving them a hearing.
  2. The Court had already held that the CA had no authority to issue an injunction against an immediately executory Ombudsman decision.
  3. The writ was therefore improper whether or not they had been heard.
  4. The Court found it unnecessary to resolve the question of notice and hearing.

Rule applied

Section 7, Rule III of the Rules of Procedure of the Office of the Ombudsman, as amended by A.O. No. 17

Issue 3Procedural (Remedial Law)

Whether or not the Supreme Court's decision in De Jesus v. Sandiganbayan binds the administrative case under the doctrine of conclusiveness of judgment or res judicata.

Yes

The earlier Supreme Court finding of no falsification in De Jesus v. Sandiganbayan binds the administrative case under conclusiveness of judgment. It binds only on the falsification issue, not on the other charges.

How the Court reasoned

  1. Res judicata in its strict form needs identity of cause of action. The probable cause proceeding and the administrative case have different causes of action.
  2. Conclusiveness of judgment, however, applies when the two cases involve different causes of action but the same parties, facts and issue. Once a fact or question is settled in an earlier case, it cannot be reopened in a later one.
  3. Both proceedings arose from the same two sets of appointment papers and asked the same question: whether they contained false statements. Probable cause and administrative liability are both measured by substantial evidence.
  4. In De Jesus v. Sandiganbayan, the Court found no absolutely false narration of facts in either set of appointment papers. That finding is therefore binding in the administrative case.
  5. The binding effect is limited to the falsification issue. The other charges, such as dishonesty and neglect, were not settled in the criminal case, so the Court had to examine them separately.
“Thus, given all the foregoing, the factual finding in De Jesus that there was no false statement of facts in both sets of appointment papers, is binding in this case.”

Rule applied

Doctrine of conclusiveness of judgment, Section 47(c), Rule 39, Rules of Court

Issue 4Criminal Law

Whether or not De Jesus and Parungao committed falsification of official documents in preparing and signing the two sets of appointment papers.

No

De Jesus and Parungao did not commit falsification. The appointment papers were irregular but did not contain false statements.

How the Court reasoned

  1. Falsification requires a false narration of facts. The earlier decision found none in either set of appointment papers.
  2. Even without conclusiveness of judgment, the Court's own review reached the same result.
  3. Both sets of papers were prepared and signed openly and were approved by Administrator Jamora. The retroactive dates reflected the actual dates of service of the staff under the Board members' memoranda.
  4. The papers were irregular under CSC rules on retroactive appointments, but irregularity is not the same as falsity. They were also re-issued and sent to the CSC.
  5. No falsification of official documents therefore occurred, and that charge fails.
“Therefore, this Court finds that no falsification of official documents occured.”

Rule applied

Article 171 of the Revised Penal Code (falsification of public documents); conclusiveness of judgment as applied from De Jesus v. Sandiganbayan

Issue 5Political Law

Whether or not De Jesus' reinstatement was illegal such that he lacked authority to sign the appointment papers.

No

De Jesus' reinstatement was not illegal when he signed the papers, so he had authority to sign them. The CSC recalled the reinstatement only afterwards, and his dismissal case was ultimately closed.

How the Court reasoned

  1. The LWUA Board reinstated De Jesus on September 4, 2001, and the Administrator authorized him to sign appointment papers under the accreditation program.
  2. The CSC declared the reinstatement illegal only on August 15, 2002, well after December 2001 when he signed the papers. Until then, he held the office and its signing authority.
  3. On May 5, 2003, the CSC closed the dismissal case because LWUA failed to investigate in time, so his dismissal never stood.
  4. Signing appointment papers was a ministerial duty under LWUA Office Order No. 205.01. He did not misrepresent his authority when he signed as representative of the appointing authority.

Rule applied

CSC Resolution No. 967701 (CSC Accreditation Program); LWUA Office Order No. 205.01; CSC Resolution Nos. 021090 and 030504

Issue 6Political Law

Whether or not De Jesus is liable for failing to submit the first set of appointment papers to the CSC under the CSC Accreditation Program rules.

No

De Jesus is not liable for failing to submit the first set of appointment papers to the CSC. Submitting the Report on Appointments Issued (ROPA) was the duty of the HRMO, not the Deputy Administrator.

How the Court reasoned

  1. Under the CSC accreditation rules, appointments are reported to the CSC through the ROPA within a fixed period.
  2. Under LWUA's internal arrangements, preparing and submitting the ROPA belonged to the HRMO. The Deputy Administrator's role was only to sign the appointment papers.
  3. The CA's finding that De Jesus defied the CSC rules was therefore based on a duty that was not his.
  4. De Jesus did what his office required by signing, and the HRMO was the one answerable for the report.
“Therefore, De Jesus, as Deputy Administrator, cannot be held liable for such failure to submit the first set of appointment papers with the ROPA as prescribed under the CSC accreditation rules.”

Rule applied

CSC Omnibus Rules on Appointments, Rule 7, Section 11; CSC Resolution No. 967701; LWUA Office Order No. 205.01

Issue 7Political Law

Whether or not De Jesus and Parungao are guilty of dishonesty for the retroactive appointments and the submissions to the DBM and the CSC.

No

De Jesus and Parungao were not dishonest. The DBM request was signed by Administrator Jamora, and the retroactive appointments came from confusion about the separate roles of the CSC and the DBM, not from intent to deceive.

How the Court reasoned

  1. Dishonesty requires an intent to deceive or conceal the truth, and the charges had to be proven by substantial evidence.
  2. The request to the DBM for authority to hire confidential staff was signed by Administrator Jamora, not by De Jesus or Parungao, so they could not be blamed for any concealment in it.
  3. The DBM later said its authority could be implemented retroactively to the date of actual service. The payments and appointments therefore had a basis.
  4. The two sets of appointments were disclosed and approved by the Administrator, and the second was sent to the CSC. This showed openness, not concealment.
  5. What happened was confusion about whether the CSC or the DBM governed the retroactivity of appointments, which is not dishonesty. The Ombudsman's finding of conspiracy therefore had no support.
“Given the foregoing, there could have been no dishonesty on the part of De Jesus and Parungao.”

Rule applied

Uniform Rules on Administrative Cases in the Civil Service (dishonesty as an administrative offense); substantial evidence standard

Issue 8Political Law

Whether or not Parungao, as Human Resource Management Officer, is liable for simple neglect of duty.

Yes

Parungao, as HRMO, is guilty of simple neglect of duty for the failure to submit the first set of appointment papers to the CSC. Because she acted in good faith, she is suspended only for one month and one day without pay.

How the Court reasoned

  1. The HRMO is the officer responsible for preparing appointment papers and reporting them to the CSC through the ROPA under the accreditation program.
  2. Parungao's office prepared the first set of appointment papers with retroactive dates but did not report it to the CSC. She did not deal properly with the CSC rules until she advised the Administrator on January 25, 2002.
  3. This failure to give the required attention to a duty of her office is simple neglect of duty. It is a less serious offense than the gross neglect charged.
  4. The Court found that she acted in good faith, because she followed the Board members' requests and later helped correct the appointments. This justified a light penalty.
  5. She was therefore suspended for one month and one day without pay.
“In this regard, the Court finds Parungao, as HRMO, guilty of simple neglect of duty.”

Rule applied

Uniform Rules on Administrative Cases in the Civil Service (simple neglect of duty); CSC Omnibus Rules on Appointments, Rule 7, Section 11

Doctrines

1

Decisions of the Ombudsman in administrative cases are immediately executory pending appeal. Under Section 7, Rule III of the Ombudsman Rules, as amended by A.O. No. 17, an appeal does not stop the decision from being executory.

2

The Court of Appeals has no discretion under Section 12, Rule 43 of the Rules of Court to stay an Ombudsman decision or issue an injunction against it. The Ombudsman's rule is a special rule that prevails over the general Rules of Court (specialis derogat generali), and an injunction encroaches on the Ombudsman's constitutional rule-making power.

3

There is no vested right in public office. A respondent who wins on appeal is considered preventively suspended and is entitled to back salaries.

4

Under conclusiveness of judgment, a fact or issue actually settled in an earlier case between the same parties binds them in a later case on a different cause of action. A finding of no false narration of facts in a criminal case therefore binds the related administrative case on falsification, but not on other charges.

5

Dishonesty requires an intent to deceive. Irregular appointment papers produced by confusion over agency roles, without concealment or false statements, do not amount to dishonesty.

6

A public officer is liable only for duties actually assigned to the office. The HRMO, not the Deputy Administrator who performs the ministerial act of signing appointments, is responsible for reporting appointments to the CSC under the accreditation program.

Final Disposition

WHEREFORE, the petition in G.R. No. 166495 is GRANTED, and the September 22, 2004 and January 4, 2005 Resolutions of the Court of Appeals in CA-G.R. SP No. 84902 are REVERSED and SET ASIDE. The writ of preliminary mandatory injunction is DISSOLVED. The petition in G.R. No. 184129 is GRANTED, and De Jesus is exonerated and reinstated with payment of full back salaries. The petition in G.R. No. 184263 is PARTIALLY GRANTED. Parungao is found guilty of simple neglect of duty and is SUSPENDED for one month and one day without pay.

Notes

Consolidated cases decided by the Second Division, with Justice Mendoza as ponente. The Court excused the CA's error in issuing the injunction because its own earlier rulings (Laja, initial Samaniego) were unclear on whether an appeal stays Ombudsman decisions. The Court did not rule on whether the Ombudsman and CA could collaterally rule on De Jesus' title as Deputy Administrator, or on the CA's reliance on CSC Resolution Nos. 01-1811 and 02-1090 as a separate question.