Ramiscal vs Sandiganbayan

JOSE S. RAMISCAL, JR. vs.  SANDIGANBAYAN

CALLEJO, SR., J

G.R. Nos. 140576-99 | December 13, 2004

Nature:  Petition for review on certiorari under Rule 45 of the Revised Rules of Court, of the Resolution of the Sandiganbayan

Keyword: Jurisdiction

FACTS: The Armed Forces of the Philippines Retirement and Separation Benefits System (AFP-RSBS) is a government-owned or controlled corporation. It was designed to establish a separate fund to guarantee continuous financial support to the AFP military retirement system. Under the decree, the AFP-RSBS was to be funded from three principal sources: (a) congressional appropriations and compulsory contributions from members of the AFP; (2) donations, gifts, legacies, bequests and others to the system; and (3) all earnings of the system which shall not be subject to any tax whatsoever.

On December 18, 1997, Luwalhati R. Antonino, then a member of the House of Representatives representing the First District of the Province of South Cotabato, filed a "Complaint-Affidavit" with the Office of the Ombudsman for Mindanao. She alleged that anomalous real estate transactions involving the Magsaysay Park at General Santos City and questionable payments of transfer taxes prejudicial to the government had been entertained into between certain parties. She then requested the Ombudsman to investigate Ramiscal, Jr. (President of the AFP-RSBS), together with twenty-seven (27) other persons for conspiracy in misappropriating AFP-RSBS funds and in defrauding the government millions of pesos in capital gains and documentary stamp taxes.

On January 28, 1999, after the requisite preliminary investigation, Special Prosecutor Joy C. Rubillar-Arao filed twenty-four (24) separate Informations with the Sandiganbayan against the petitioner and several other accused. The filing of the Informations was duly approved by then Ombudsman Aniano A. Desierto. The first twelve (12) Informations were for violation of Section 3(e) of Rep. Act No. 3019, otherwise known as the Anti-Graft and Corrupt Practices Act. The petitioner filed an Urgent Motion to Dismiss the Informations and to defer the Issuance of Warrant of Arrest, alleging want of jurisdiction. Meanwhile, pending resolution of the aforementioned motions, the law firm of Albano & Associates filed a "Notice of Appearance" as private prosecutors in all the aforementioned cases for the Association of Generals and Flag Officers, Inc. (AGFOI) on March 9, 1999. The notice of appearance was apparently made conformably to the letter-request of Retired Commodore Ismael Aparri and Retired Brig. Gen. Pedro Navarro, who are members thereof. In its comment, the law firm contended that its clients, Commodore Aparri and Brig. Gen. Navarro, were members of the AGFOI and contributors of AFP-RSBS.

ISSUE: Whether or not AGFOI as represented by Albano & Associates are private injured parties entitled to intervene as the private prosecutor in the subject cases.

RULING: We agree with the contention of the petitioner that the AGFOI, and even Commodore Aparri and Brig. Gen. Navarro, are not the offended parties envisaged in Section 16, Rule 110, in relation to Section 1, Rule 111 of the Revised Rules of Criminal Procedure.

Under Section 5, Rule 110  of the Rules, all criminal actions covered by a complaint or information shall be prosecuted under the direct supervision and control of the public prosecutor. Thus, even if the felonies or delictual acts of the accused result in damage or injury to another, the civil action for the recovery of civil liability based on the said criminal acts is impliedly instituted and the offended party has not waived the civil action, reserved the right to institute it separately or instituted the civil action prior to the criminal action, the prosecution of the action inclusive of the civil action remains under the control and supervision of the public prosecutor. The prosecution of offenses is a public function. Under Section 16, Rule 110 of the Rules of Criminal Procedure, the offended party may intervene in the criminal action personally or by counsel, who will act as private prosecutor for the protection of his interests and in the interest of the speedy and inexpensive administration of justice. A separate action for the purpose would only prove to be costly, burdensome and time-consuming for both parties and further delay the final disposition of the case. The multiplicity of suits must be avoided. With the implied institution of the civil action in the criminal action, the two actions are merged into one composite proceeding, with the criminal action predominating the civil. The prime purpose of the criminal action is to punish the offender in order to deter him and others from committing the same or similar offense, to isolate him from society, reform and rehabilitate him or, in general, to maintain social order.

On the other hand, the sole purpose of the civil action is for the resolution, reparation or indemnification of the private offended party for the damage or injury he sustained by reason of the delictual or felonious act of the accused.50 Under Article 104 of the Revised Penal Code, the following are the civil liabilities of the accused:

ART. 104. What is included in civil liability. – The civil liability established in Articles 100, 101, 102 and 103 of this Code includes:

1. Restitution;

2. Reparation of the damage caused;

3. Indemnification for consequential damages.

Thus, when the offended party, through counsel, has asserted his right to intervene in the proceedings, it is error to consider his appearance merely as a matter of tolerance.

Under Section 16, Rule 110 of the Revised Rules of Criminal Procedure, the offended party may also be a private individual whose person, right, house, liberty or property was actually or directly injured by the same punishable act or omission of the accused, or that corporate entity which is damaged or injured by the delictual acts complained of. Such party must be one who has a legal right; a substantial interest in the subject matter of the action as will entitle him to recourse under the substantive law, to recourse if the evidence is sufficient or that he has the legal right to the demand and the accused will be protected by the satisfaction of his civil liabilities. Such interest must not be a mere expectancy, subordinate or inconsequential. The interest of the party must be personal; and not one based on a desire to vindicate the constitutional right of some third and unrelated party.