THE Supreme Court has unanimously affirmed a Commission on
Audit ruling holding former Interior Secretary Cesar Sarino and four other
officials, all retired like him, civilly and criminally liable for the illegal
transfer of funds from the DILG to the Office of the President in violation of
the Constitution.
The magistrates, in an en banc decision in Baguio City,
dismissed the arguments of Sarino, former Undersecretary Andres Sanchez, former
Chief Accountant Leonardo D. Regala, former Director Rafael D. Barata and former
chief of Management Division Norma Agbayani that they were justified in making
the transfer of funds because it was for a public purpose.
The court said petitioners failed to point out the specific
law and provision which authorizes the transfer of funds. "It is not enough for
petitioners to loosely claim that the amount was used for a public purpose or
that it was used to advance local autonomy. It is imperative for them to show
that the questioned amount was used directly in fulfillment of the purpose for
which the Fund was created," the SC decision said.
The Court said Congress has given the President, Senate
President, House Speaker, Chief Justice of the Supreme Court and heads of
Constitutional Commissions the "exclusive power" to transfer savings under Sec
25 (5), Art VI of the 1987 Constitution.
No valid transfer of the Fund to the Office of the President
could have occurred in this case as there was neither allegation nor proof that
the amount transferred was savings or that the transfer was for the purpose of
augmenting the item to which the transfer was made, the SC said.
The SC said the authority to transfer in this case was not
exercised by the President, and that even President Ramos could no have validly
authorized the transfer under the Constitution.
In 1991, Sarino ordered the transfer of P300,000 to the
Office of the President for the operational expense of a newly created task
force to implement local autonomy. To augment the project, an additional cash
advance of P300,000 was taken from DILG's Capability Building Program, but the
total amount of P600,000 was not properly liquidated.
Resident auditor Iluminada M.V. Fabroa disallowed the disbursements for
violating the General Appropriations Act of 1992. COA upheld Fabroa prompting
the officials to seek a reversal from the Office of the President which denied
their plea. Sarino and the other officials then elevated the case to the SC.
- Evangeline C. de Vera
