Title
Supreme Court
Republic vs. Sandiganbayan
Case
G.R. No. 152154
Decision Date
Jul 15, 2003
Philippines sought forfeiture of $658M in Swiss accounts as Marcoses' ill-gotten wealth. SC ruled in favor, reinstating forfeiture after Sandiganbayan reversal.

Case Digest (G.R. No. 152154)
Expanded Legal Reasoning Model

Facts:

  • Parties
    • Petitioner: Republic of the Philippines, represented by the Presidential Commission on Good Government (PCGG) and Office of the Solicitor General (OSG)
    • Respondents: Sandiganbayan (Special First Division), Ferdinand E. Marcos (deceased, represented by estate/heirs) and Imelda R. Marcos
  • Background
    • On December 17, 1991, PCGG filed Civil Case No. 0141 for forfeiture under R.A. 1379 and related Executive Orders, seeking US$356 M (later US$658 M with interest) held in five Swiss-foundation account groups and US$30 M in treasury notes.
    • Respondents answered on October 18, 1993, denying ownership/knowledge of the funds.
    • December 28, 1993: Marcos children executed a General Agreement and Supplemental Agreements with PCGG for a global settlement, later declared void.
  • Procedural History
    • October 18, 1996: Republic moved for summary judgment; denied for pending compromise approval.
    • March 10, 2000: Republic filed renewed motion for summary judgment, supported by schedules of lawful income and detailed evidence of Swiss accounts. Respondents opposed with general denials, no affidavits.
    • September 19, 2000: Sandiganbayan granted summary judgment; declared US$627 M forfeited.
    • September 26 & October 5/9, 2000: Respondents moved for reconsideration, adopted by co-respondents.
    • January 31, 2002: Sandiganbayan reversed itself, set case for further proceedings due to lack of authenticated Swiss decisions/translations.
    • Republic filed Rule 65 certiorari petition with the Supreme Court.

Issues:

  • Propriety of summary judgment
    • Did respondents raise genuine issues of material fact to preclude summary judgment under Rule 35?
    • Was the timing of Republic’s summary judgment motion (“any time after answer served”) proper?
  • Prima facie case for forfeiture under R.A. 1379
    • Did petitioner prove (a) respondents’ ownership of funds and (b) disproportion between Swiss deposits and known lawful income?
    • Were respondents required to show other lawful income or file Statements of Assets and Liabilities?
    • Could foreign foundations be impleaded as indispensable parties?
    • Did lack of authenticated translations of Swiss court decisions warrant reversal?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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