Title
Philippine Airlines Inc. vs. Court of Appeals
Case
G.R. No. 159556
Decision Date
May 26, 2005
The Supreme Court upholds the termination of an employee for participation in a fraudulent refund scheme, confirming just cause based on sufficient evidence.
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Case Digest (G.R. No. 159556)

Facts:

  • Philippine Airlines, Inc. (PAL) is the petitioner; Alendry de Leon is the respondent.
  • On September 15, 1995, PAL received a complaint from Cesar Villanueva regarding a round-trip ticket for the Iloilo-Manila-Iloilo route.
  • Villanueva claimed he could not obtain a refund for his unused ticket after choosing to travel by boat instead of taking the return flight.
  • Investigation revealed Villanueva's name was not on the passenger boarding manifest, and someone else fraudulently collected a refund for his ticket.
  • An internal audit by PAL uncovered a conspiracy involving several employees, including De Leon, manipulating ticket refunds.
  • Employees were charged with "Fraud against the Company, Falsification of Company Documents, and Failure on the Job."
  • The Labor Arbiter found the employees guilty and dismissed them.
  • The dismissed employees, including De Leon, filed complaints for illegal dismissal, which were consolidated and tried before the National Labor Relations Commission (NLRC).
  • The NLRC upheld the Labor Arbiter's decision, affirming just cause for the dismissals.
  • De Leon filed a petition for certiorari with the Court of Appeals, which reversed the NLRC's decision, citing insufficient evidence of De Leon's involvement.
  • PAL sought a review from the Supreme Court.

Issue:

  • (Unlock)

Ruling:

  • The Supreme Court granted PAL's petition, reversing the Court of Appeals' decision.
  • The Court reinstated the NLRC's ruling, affirming the Labor Arbiter's decision to dismiss Alendry de Leon.
  • The Court...(Unlock)

Ratio:

  • The Supreme Court emphasized that labor officials' factual findings, when supported by substantial evidence, are respected and upheld by the courts.
  • Evidence, including passenger testimonies and procedural irregularities in ticket handling, established De Leon's participation in the fraudulent refund scheme.
  • De Leon's actions, such as issuing new tickets for alrea...continue reading

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