Title
Republic vs. Desierto
Case
G.R. No. 136506
Decision Date
Jan 16, 2023
A 1990 anti-graft case involving a disputed Coconut Industry Development Fund contract, dismissed by the Ombudsman but later partially reversed due to retroactive prescription laws and violations of the right to speedy disposition.

Case Digest (G.R. No. 216728)
Expanded Legal Reasoning Model

Facts:

  • Procedural History
    • February 12, 1990: Office of the Solicitor General (OSG) files Complaint OMB-0-90-2808 with PCGG, later referred to Office of the Ombudsman.
    • August 6, 1998: Graft Investigation Officer Pagunuran issues Review & Recommendation dismissing for prescription; approved August 14, 1998.
    • September 25, 1998: Motion for Reconsideration denied; approved October 9, 1998.
    • December 28, 1998: Republic files petition for certiorari under Rule 65 before the Supreme Court. Subsequent SC resolutions in 2001, 2004 and 2008 vacillate on procedure but keep the case pending.
  • Background of Transactions
    • November 14, 1974: Presidential Decree (PD) 582 creates Coconut Industry Development Fund (CIDF) administered by NIDC.
    • November 20, 1974: NIDC contracts with Agricultural Investors, Inc. (AII), controlled by Cojuangco Jr., to develop hybrid coconut seednuts.
    • 1978–1982: PD 1468 transfers trustee role to UCPB; CCSF levy lifted, CIDF depleted; UCPB terminates MOA effective December 31, 1982.
    • March 29, 1983: Board of Arbitrators awards AII ~PHP 958 M; UCPB Board notes award and allows it to lapse into finality.
  • Complaint Allegations
    • MOA grossly disadvantageous to government; respondents conspired to breach fiduciary duty, siphoning ~PHP 840 M from CIDF.
    • Respondents’ official roles (e.g., Cojuangco Jr. at PCA/UCPB, Enrile as UCPB Chairman, others on UCPB Board) made them public officers liable under RA 3019.
    • Complaint filed Feb 1990; Republic asserts prescription impugned by constitutional imprescriptibility of ill-gotten wealth cases.
  • Ombudsman Decision
    • Dismissal for prescription: counts 10-year period from 1974 MOA to 1990 filing (exceeds 10 years).
    • MOA ratified by PD 961 and PD 1468, giving it legislative imprimatur and shielding respondents under “mantle of legality.”
  • Supreme Court Proceedings
    • Aug 23, 2001: SC grants petition, reverses dismissal, directs preliminary investigation; later vacated Jul 7, 2004 for procedural due process lapses.
    • Mar 19, 2008: SC denies motions for reconsideration; case remains pending until final resolution on merits.

Issues:

  • Did the Ombudsman commit grave abuse of discretion in ruling the RA 3019 offense prescribed?
  • Did the Ombudsman commit grave abuse of discretion in concluding no basis to indict private respondents based on the ratified MOA?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

Analyze Cases Smarter, Faster
Jur is a legal research platform serving the Philippines with case digests and jurisprudence resources.