Drugs

However, SPO1 Mora’s testimony is unreliable. First, he testified that after interviewing the confidential informant who arrived at their office either at 5 p.m. or 5:30 p.m. of 6 November 2006, they prepared the Pre-Operation Report/Coordination Sheet and sent it to PDEA on the same day. However, the time stamped on the Pre-Operation Report/Coordination Sheet showed that it was sent to PDEA much earlier - either at 1:30 p.m., 1:40 p.m. or 2 p.m. of 6 November 2006. Second, while SPO1 Mora claimed to have custody of the shabu specimen right after recovering it from Martin during the latter’s arrest, he did not mark the same at the scene of the crime. This is contrary to the explicit procedure for seizure of evidence laid down in Section 21 of R.A. 9165. He justified his non-compliance by saying that at the time, the guidelines had not yet been “properly implemented.” Contrary to SPO1 Mora’s excuse, however, the implementing guidelines for R.A. No. 9165 took effect on November 27, 2002, or four years before this incident. Third, SPO1 Mora had custody of the buy-bust money at the time of Martin’s arrest but when asked to explain its loss less than a year after the incident, he could not remember whether or not he handed it over to the investigator.

In view of the cited irregularities in the buy bust operation and the processing of the evidence shown in the preceding discussion, SPO1 Mora’s word cannot be given more weight than that of the accused (People of the Philippines Vs. Roberto Martin y Castano, G.R. No. 193234. October 19, 2011).

Price Escalation

PD 454 which was enacted prior to PD 1594, was where the phrase “direct acts of the government” was explained to cover the increase of prices during the effectivity of a government infrastructure contract. The phrase was first used in Republic Act (RA) No. 1595, which was amended by PD 454. The latter amended R.A. No. 1595 by supplying the meaning of the phrase “direct acts of the government” and expressly including the increase of prices of gasoline within the coverage of that phrase. Consequently, when PD 1594 reproduced the phrase without supplying a contrary or different definition, the definition provided by the earlier enacted PD 454 was deemed adopted by the later decree. Thus, proof of an increase in fuel and cement price and a subsequent increase in the cost of labor and relevant construction materials during the contract period are considered a compliance with the IRR requirements for a claim for price escalation (Philippine Economic zone Authority Vs. Green Asia Construction & Development Corporation, etc., G.R. No. 188866. October 19, 2011).

Attorney's Fees

As regards the award of attorney’s fees, the Court upholds De Guzman’s entitlement to reasonable attorney’s fees, although it recognizes that it is a sound policy not to set a premium on the right to litigate. It must be recalled that De Guzman’s repeated demands for the repair of the fence or the payment of damages by way of compensation, were not heeded by the Contractor. The latter’s unjust refusal to satisfy De Guzman’s valid, just and demandable claim constrained her to litigate and incur expenses to protect her interest (Emerita M. De Guzman Vs. Antonio M. Tumolva, G.R. No. 188072. October 19, 2011).

Non-Compliance to Directive

In fact, it can be said that Benedictos’s non-compliance with the OCA directives is tantamount to insubordination to the Court itself (Falsification of Daily Time Records of Ma. Emcisa A. Benedictos, A.M. No. P-10-2784. October 19, 2011).

Malversation by Negligence

Notably, the JAO is used to summarize obligations incurred and to monitor the balance of unobligated allotments, which is prepared by function, and project for each fund and allotment class. The JAO is thus separate and distinct from the Report of Checks Issued (RCI) which is prepared by the Disbursing Officer to report checks issued for payment of expenditures and/or prior accounts payable. What is clear is that the disbursement of funds covered by the 52 checks issued by the petitioners are subject to the rule that disbursement voucher “shall be used by all government entities for all money claims” and that the “voucher number shall be indicated on the voucher and on every supporting document.” Inasmuch as the JAO for the months of January, February and March 1993 do not at all reflect or indicate the number of each of the disbursement vouchers supposedly attached to the 52 checks, it cannot serve as evidence of the recording of the original vouchers, much less the existence of those disbursement vouchers at the time of the issuance of the 52 checks and the conduct of the expanded audit.

As the Regional Governor of ARMM, petitioner Zacaria A. Candao cannot exonerate himself from liability for the illegally withdrawn funds of ORG-ARMM. Under Section 102 (1) of the Government Auditing Code of the Philippines, he is responsible for all government funds pertaining to the agency he heads:

Section 102. Primary and secondary responsibility. – (1) The head of any agency of the government is immediately and primarily responsible for all government funds and property pertaining to his agency.

x x x x (Emphasis supplied.)

Petitioners Zacaria A. Candao and his Executive Secretary Abas A. Candao are both accountable public officers within the meaning of Article 217 of theRevised Penal Code, as amended. No checks can be prepared and no payment can be effected without their signatures on a disbursement voucher and the corresponding check. In other words, any disbursement and release of public funds require their approval, as in fact checks issued and signed by petitioner Haron had to be countersigned by them. Their indispensable participation in the issuance of the subject checks to effect illegal withdrawals of ARMM funds was therefore duly established by the prosecution and the Sandiganbayan did not err in ruling that they acted in conspiracy with petitioner Haron in embezzling and misappropriating such funds.

Moreover, as such accountable officers, petitioners Zacaria A. Candao and Abas A. Candao were charged with the duty of diligently supervising their subordinates to prevent loss of government funds or property, and are thus liable for any unlawful application of government funds resulting from negligence, as provided in Sections 104 and 105 of the Government Auditing Code of the Philippines.

And even if petitioners Zacaria A. Candao and Abas A. Candao invoke lack of knowledge in the criminal design of their subordinate, Disbursing Officer Haron, they are still liable as co-principals in the crime of malversation assuming such misappropriation of public funds was not intentional, as alleged in the informations, but due to their negligence in the performance of their duties. As this Court ratiocinated in Cabello v. Sandiganbayan:

Besides, even on the putative assumption that the evidence against petitioner yielded a case of malversation by negligence but the information was for intentional malversation, under the circumstances of this case his conviction under the first mode of misappropriation would still be in order. Malversation is committed either intentionally or by negligence. The dolo or the culpapresent in the offense is only a modality in the perpetration of the felony. Even if the mode charged differs from the mode proved, the same offense of malversation is involved and conviction thereof is proper. A possible exception would be when the mode of commission alleged in the particulars of the indictment is so far removed from the ultimate categorization of the crime that it may be said due process was denied by deluding the accused into an erroneous comprehension of the charge against him. That no such prejudice was occasioned on petitioner nor was he beleaguered in his defense is apparent from the records of this case (Candao v. People of the Philippines, G.R. Nos. 186659-710. October 19, 2011).

Permanent and Total Disability

The Labor Code's provision on permanent total disability applies with equal force to seafarers.

Considering the circumstances prevailing in the instant case, we likewise rule that it does not matter that the company-designated physician assessed petitioner as fit to work. It is undisputed that from the time petitioner was repatriated on October 8, 2001, he was unable to work for more than 120 days as he was only certified fit to work on April 25, 2002. Consequently, petitioner's disability is considered permanent and total (Valenzona v. Fair Shipping Corporation, G.R. No. 176884. October 19, 2011).

Resignation

As correctly pointed out by petitioner, it is irrelevant whether or not he had earlier inquired from his supervisor what he will receive if he offers instead to resign upon being told of his impending transfer, for what matters is the action of Sy on his employment status. If ever petitioner momentarily contemplated resignation and such was the impression he conveyed in his talk with his supervisor prior to the meeting with Sy, such is borne by circumstances indicating Garcia’s antagonism towards petitioner (Uy v. Centro Ceramica Corporation, G.R. No. 174631. October 19, 2011)