G.R. No. 185765 - Philippine Economic Zone Authority vs. Pilhino Sales Corp.

In 1976, General Bank and Trust Company (GENBANK) faced severe liquidity problems after extending large loans to related interests, leading to daily overdrafts and classification of loans as doubtful.
The Central Bank of the Philippines (CB) extended emergency loans totaling ₱310 million to GENBANK, took control via proxy and board appointments, and on March 25, 1977, declared the bank insolvent and ordered its liquidation under Section 29 of R.A. 265.
A public bidding of GENBANK’s assets was held on March 28, 1977; the Lucio Tan group submitted the winning bid and subsequently acquired GENBANK, which became Allied Banking Corporation (Allied Bank).
As Solicitor General (1972–1986), Atty. Estelito P. Mendoza advised the CB on the liquidation procedure and filed the petition for court assistance in SP No. 107812 before the Court of First Instance of Manila.

In February 1986, EDSA I toppled Marcos; President Aquino created the Presidential Commission on Good Government (PCGG) to recover alleged ill-gotten wealth.
On July 17, 1987, PCGG filed Civil Case No. 0005 in the Sandiganbayan (Second Division) for reversion and restitution against the Tan group and others, including writs of sequestration on numerous respondents’ properties.
Respondents Tan, et al., represented by Atty. Mendoza (now in private practice), brought petitions for certiorari, prohibition and injunction in the Supreme Court to nullify PCGG’s writs; in August 1990, the Supreme Court referred these to the Sandiganbayan (Fifth Division) as Civil Case Nos. 0096–0099.

On February 5, 1991, PCGG moved to disqualify Atty. Mendoza under Rule 6.03, Code of Professional Responsibility, alleging his prior “intervention” in GENBANK’s liquidation as Solicitor General.
The Sandiganbayan (Second Division) denied the motion in Civil Case No. 0005 (April 22, 1991) and rejected reconsideration; that resolution became final for lack of appeal.
The Sandiganbayan (Fifth Division) later denied PCGG’s motion in Civil Case Nos. 0096–0099 (July 11, 2001) and its reconsideration (December 5, 2001), adopting the Second Division’s rationale.

PCGG filed this petition for certiorari and prohibition under Rule 65, alleging grave abuse of discretion by the Fifth Division in refusing to disqualify Atty. Mendoza.
PCGG’s contentions: Rule 6.03’s prohibition is not time-bound, PCGG’s objection cannot be waived, and prior Sandiganbayan rulings are interlocutory (no res judicata).

Whether certiorari under Rule 65 is the proper remedy for assailing interlocutory resolutions of the Sandiganbayan.
Whether the Second Division’s April 22, 1991 resolution in Civil Case No. 0005 bars a similar disqualification motion under res judicata or conclusiveness of judgment.

Whether Rule 6.03 of the Code of Professional Responsibility applies to disqualify Atty. Mendoza from representing respondents Tan, et al.
Whether Atty. Mendoza’s prior acts as Solicitor General—advising on GENBANK’s liquidation and filing SP No. 107812—constitute “intervention” in a “matter” under Rule 6.03.