The Supreme Court, in People v. Sandiganbayan and Juan Roberto L. Abling, affirmed the Sandiganbayan’s acquittal of Juan Roberto L. Abling on charges of malversation of public funds. The Court held that the prosecution failed to prove beyond reasonable doubt that Abling had misappropriated the funds for personal use, accepting his defense that the funds were delivered to then President Marcos. This case underscores the importance of concrete evidence in malversation cases and highlights the complexities of accountability when actions are carried out under presidential instructions.

Following Orders? Unraveling Accountability in Malversation Cases

The case revolves around Juan Roberto L. Abling, who served as the Executive Director of the Economic Support Fund Secretariat (ESFS) during the Marcos regime. In January 1986, Abling withdrew P35 million from the ESFS account based on President Marcos’s instructions for “miscellaneous expenses.” After a subsequent audit, it was discovered that only P13 million had been accounted for, leaving a balance of P22 million. The Commission on Audit (COA) demanded liquidation and supporting documents, which Abling attempted to provide. However, COA deemed his submissions insufficient, leading to malversation charges being filed against him.

At trial, Abling testified that he delivered the P22 million to President Marcos. He presented undated ESFS memoranda, purportedly acknowledging the receipt of funds. The Sandiganbayan acquitted Abling, reasoning that the prosecution failed to prove he personally used the funds. The court gave credence to Abling’s testimony and the memoranda, concluding that the evidence rebutted the presumption of malversation. The People of the Philippines, through the Office of the Solicitor General (OSG), then filed a Petition for Certiorari, arguing that the Sandiganbayan committed grave abuse of discretion by accepting Abling’s defense as sufficient to overturn the legal presumption of malversation.

The Supreme Court emphasized that a judgment of acquittal could only be assailed via a Petition for Certiorari under very specific grounds, primarily focusing on jurisdictional issues or grave abuse of discretion amounting to lack or excess of jurisdiction. The Court cited established jurisprudence, noting that the abuse of discretion must be so patent and gross as to amount to an evasion of a positive duty, a virtual refusal to perform a duty imposed by law, or action in an arbitrary and despotic manner. To successfully challenge an acquittal, the petitioner must demonstrate that the prosecution’s right to due process was violated or that the trial was a sham.

Article 217 of the Revised Penal Code addresses malversation of public funds or property. It stipulates that any public officer accountable for public funds who misappropriates, takes, or allows others to take such funds is liable. Critically, the law states:

The failure of a public officer to have duly forthcoming any public funds or property with which he is chargeable, upon demand by any duly authorized officer, shall be prima facie evidence that he has put such missing funds or property to personal use.

This provision creates a presumption of malversation, shifting the burden to the accused to prove that the funds were not used for personal gain.

The Supreme Court found that the OSG’s petition failed to meet the required criteria for certiorari. The Court stated that the OSG’s arguments primarily questioned the Sandiganbayan’s appreciation of evidence, which is not within the purview of certiorari proceedings. Even if the Sandiganbayan erred in its review of the evidence or application of the law, these would merely be errors of judgment, not jurisdictional errors correctable by certiorari.

Building on this principle, the Court highlighted that the OSG failed to substantiate its claim of grave abuse of discretion. There were no allegations of bias, partiality, or bad faith on the part of the Sandiganbayan, nor was there any claim that the prosecution’s right to due process was violated or that the trial was a sham. Furthermore, the OSG failed to include copies of the critical ESFS memoranda in its petition, preventing the Court from independently verifying their contents and assessing their probative value.

The absence of these documents was a significant procedural lapse. Section 1, Paragraph 2, Rule 65 of the Rules of Court mandates that petitions for certiorari must be accompanied by certified true copies of the judgment, order, or resolution, as well as copies of all pleadings and documents relevant and pertinent thereto. The Court emphasized that the failure to comply with this mandatory requirement is sufficient ground for the dismissal of the petition. Thus, the Supreme Court upheld the Sandiganbayan’s decision, dismissing the OSG’s petition for lack of merit. The ruling underscores the stringent requirements for overturning an acquittal based on grave abuse of discretion and reinforces the constitutional protection against double jeopardy.

FAQs

What was the key issue in this case?	The key issue was whether the Sandiganbayan committed grave abuse of discretion in acquitting Juan Roberto L. Abling of malversation, based on his defense that he delivered the funds to President Marcos. The Supreme Court had to determine if the evidence presented was sufficient to overturn the presumption of malversation.
What is malversation under Philippine law?	Malversation, as defined in Article 217 of the Revised Penal Code, involves a public officer misappropriating public funds or property for personal use. The law creates a presumption of malversation if the officer cannot account for the funds upon demand.
What is a Petition for Certiorari?	A Petition for Certiorari is a special civil action filed to correct errors of jurisdiction or grave abuse of discretion amounting to lack or excess of jurisdiction. It is not a substitute for an appeal and does not involve a review of the case on its merits.
What does ‘grave abuse of discretion’ mean?	‘Grave abuse of discretion’ implies a capricious, arbitrary, or whimsical exercise of judgment, equivalent to a lack of jurisdiction. It occurs when a court blatantly disregards its duty or acts in an arbitrary or despotic manner due to passion or hostility.
What is the effect of an acquittal in a criminal case?	An acquittal is immediately final and unappealable because further prosecution would place the accused in double jeopardy. The prosecution generally cannot appeal a verdict of acquittal.
What evidence did Abling present in his defense?	Abling testified that he delivered the P22 million to President Marcos and presented three undated ESFS memoranda purportedly acknowledging the receipt of funds. He claimed that these memoranda were signed by President Marcos.
Why did the Supreme Court dismiss the OSG’s petition?	The Supreme Court dismissed the OSG’s petition because it primarily questioned the Sandiganbayan’s appreciation of evidence, which is not within the scope of certiorari. Additionally, the OSG failed to include copies of the ESFS memoranda in its petition, hindering the Court’s ability to verify their contents.
What is the significance of COA Circular No. 76-17?	COA Circular No. 76-17 requires that all disbursements of national security, intelligence, and confidential funds must be supported by duly accomplished disbursement vouchers and receipts. Abling’s initial liquidation was deemed insufficient under this circular.
What must be proven to overturn an acquittal in a certiorari proceeding?	To overturn an acquittal, the petitioner must show that the prosecution’s right to due process was violated or that the trial was a sham. Mere errors in the appreciation of evidence are insufficient.

This case serves as a reminder that while public officials are bound to follow orders, they are also accountable for the proper use of public funds. The ruling emphasizes the need for clear and convincing evidence in malversation cases and the high bar for challenging acquittals. It also highlights the importance of adhering to procedural rules when seeking extraordinary remedies such as certiorari.

For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: People v. Sandiganbayan and Juan Roberto L. Abling, G.R. No. 198119, September 27, 2017