Case Summary (G.R. No. 236308-09)
Procedural History
Petitioner moved to quash both informations on grounds that (1) Section 3 of RA 3019 applies only to public officers, and (2) as a private individual he could only be liable under Section 4(b), yet the informations did not allege inducement of any public officer. The Sandiganbayan denied both motions and the subsequent motion for reconsideration. Petitioner filed a Rule 65 certiorari petition before the Supreme Court, also seeking referral en banc and a temporary restraining order against further proceedings.
Petitioner’s Arguments
- A private individual cannot be charged under Section 3(e) of RA 3019; only public officers fall within its ambit.
- Liability of private persons is confined to Section 4(b) (inducing or causing a public officer to commit graft), which was not alleged.
- Conspiracy with public officers does not transform a private person into a public officer.
- No precedent exists holding a private person liable under Section 3(e) by virtue of Section 4(b).
Prosecution’s Position
The People maintained that a private individual acting in conspiracy with public officers may be indicted under Section 3 of RA 3019. Given petitioner’s indispensable role in the procurement scheme, he should stand charged together with the officials. The prosecution also opposed issuance of a TRO, noting that halting a criminal prosecution is disfavored.
Supreme Court’s Analysis on Liability of Private Individuals
The Court affirmed the rule that private persons who conspiringly act with public officers may be indicted and held liable under Section 3 of RA 3019. It found no grave abuse of discretion by the Sandiganbayan in denying the motions to quash. The Court declined to revisit established doctrine.
Relevant Jurisprudence
- PCGG v. Office of the Ombudsman (2019) – Elements of Section 3(e):
a. Accused must be a public officer or private individual acting in conspiracy;
b. Manifest partiality, bad faith, or negligence;
c. Undue injury to government or unwarranted benefit to private party. - Singian, Jr. v. Sandiganbayan (2005) – Indictment of private executive for Section 3(e) a
Case Syllabus (G.R. No. 236308-09)
Facts and Antecedents
- Two separate informations (SB-16-CRM-0080 and SB-16-CRM-0084) were filed before the Sandiganbayan Third Division against petitioner Efren M. Canlas and various public officers, including former Makati City Mayor Jejomar Erwin S. Binay, Jr.
- Both informations charged violations of Section 3(e) of Republic Act No. 3019 (Anti-Graft and Corrupt Practices Act) in relation to the construction of the Makati City Hall Parking Building, Phases IV and V, with contract amounts of ₱649,275,681.73 and ₱141,649,366.00 respectively.
- In SB-16-CRM-0080, it was alleged that Canlas, as representative of Hilmarc’s Construction Corporation, conspired with public officers to give unwarranted benefits and cause undue injury to the government by awarding the Phase IV contract through simulated public bidding.
- The information detailed Canlas’s involvement in:
- Fabricating the bidding results to show Hilmarc’s as lowest calculated and responsive bidder, approved by Binay, Jr. despite lack of public bidding;
- Entering into the Phase IV contract without approved plans, specifications, or Hilmarc’s posting of performance security;
- Processing and releasing payments to Hilmarc’s approved by Binay, Jr. and received by Canlas despite deficient reports and supporting documents.
- The information in SB-16-CRM-0084 contained similar allegations concerning Phase V of the same project.
Procedural History
- July 13 and 19, 2017: Canlas filed separate Motions to Quash Information in both cases, arguing that as a private individual he could not be charged under Section 3(e) and that no acts under Section 4 were alleged.
- August 4, 2017: The People filed a Consolidated Opposition to Canlas’s motions.
- August 11, 2017: Canlas filed his Reply to the consolidated opposition.
- September 25, 2017: The Sandiganbayan Third Division issued a Resolution denying both Motions to Quash Information.
- November 20, 2017: The Sandi