Title
Monsanto vs. Factoran Jr.
Case
G.R. No. 78239
Decision Date
Feb 9, 1989
Assistant treasurer convicted of estafa, granted absolute pardon, sought reinstatement and exemption from civil liability. Court ruled pardon doesn’t ensure automatic reinstatement or erase civil indemnity.
A

Case Summary (G.R. No. 78239)

Procedural History

Sandiganbayan conviction rendered March 25, 1983; Monsanto appealed to the Supreme Court which affirmed the conviction. While her motion for reconsideration was pending, she received an absolute pardon on December 17, 1984 (accepted December 21, 1984). Monsanto sought reinstatement and back pay; the request was routed to the Ministry of Finance and subsequently to the Office of the President. Her petition for review to the Supreme Court was given due course on October 13, 1987.

Sentence and Accessory Penalties

The Sandiganbayan imposed imprisonment from four years, two months and one day of prision correccional (minimum) to ten years and one day of prision mayor (maximum), imposed a fine of P3,500, and ordered joint and several indemnification to the government of P4,892.50 plus litigation costs. Under the Revised Penal Code, prision mayor carries accessory penalties of temporary absolute disqualification and perpetual special disqualification from suffrage; prision correccional carries suspension from public office.

Administrative Responses and Ministry of Finance Ruling

The Ministry of Finance initially held (March 1, 1985) that Monsanto could be reinstated without a new appointment but not earlier than the date she was granted the absolute pardon, and directed satisfaction of the indemnity and litigation costs. Monsanto sought reconsideration, claiming the pardon wiped out the crime (such that her employment had not been forfeited) and asserting entitlement to backpay from the date of preventive suspension (August 1, 1982) and exemption from indemnity.

Office of the President Resolution (Factoran)

On April 15, 1986 Deputy Executive Secretary Factoran denied automatic reinstatement, adopting the view (citing Miranda v. Imperial and People v. Lising) that acquittal, not absolute pardon, is the ground for reinstatement and for entitlement to salaries and benefits during suspension pendente lite. The Office held that a reappointment is required for reassumption of the former position and that the civil indemnity remains payable despite the pardon, citing Article 36, paragraph 2 of the Revised Penal Code.

Petitioner's Core Argument

Petitioner argued that because the pardon was extended while her appeal was pending and there was no final judgment of conviction, the accessory penalty of forfeiture of office never attached and her employment status remained suspended; she further contended that pardon in that context operated as an acquittal, thereby entitling her to reinstatement without a new appointment and to backpay, and that she should not be required to pay the civil indemnity.

Governing Constitutional and Statutory Law

At the time, the pardoning power was governed by the 1973 Constitution as amended (April 7, 1981 plebiscite) which removed the prior limitation that clemency could only be granted upon final conviction. The Court noted, however, that the 1987 Constitution later restored the limitation. Article 36 of the Revised Penal Code provides that a pardon shall not restore the right to hold public office or suffrage unless such rights are expressly restored by the terms of the pardon and that a pardon shall not exempt the culprit from payment of civil indemnity imposed by sentence. Other relevant Revised Penal Code provisions (Articles 40–43) reiterate limitations on the effect of pardon on accessory penalties unless expressly remitted.

Court's Determination on Finality and Acceptance of Pardon

The Court held that by accepting the absolute pardon while her motion for reconsideration was pending, petitioner effectively abandoned her appeal and the unreversed Sandiganbayan conviction assumed finality. Thus, for purposes of legal effect the conviction stood notwithstanding the timing of the pardon.

Doctrinal Analysis of the Nature and Effects of Pardon

The Court reviewed prevailing doctrine (including Ex Parte Garland and Philippine cases such as Cristobal v. Labrador and Pelobello v. Palatino) and recognized two strains of authority: the broad Garland line that a full pardon blots out guilt and removes disabilities, and the modern trend that limits the scope of pardon — emphasizing that pardon implies forgiveness but does not erase the fact of commission, the conviction, or the moral stain. The Court accepted the more realistic approach: a full pardon relieves the pardoned party from punitive legal consequences and disabilities based on conviction, but it does not automatically equate the pardoned person to one who has never committed the offense, nor does it operate retrospectively to compensate past losses.

Application to Reinstatement and Appointment

Applying the doctrine and statutory rule (Article 36), the Court concluded that the absolute pardon removed the statutory disqualification (i.e., the disability) from holding public employment caused by the conviction, thereby restoring eligibility for appointment. However, the Court held that the pardon did not effectuate automatic reinstatement to the specific office forfeited; the appointing power may still refuse appointment on grounds of suitability, moral character, or public trust, and the petitioner must secure a new appointment and undergo the usual selection procedures. The historical facts of the offense remain proper considerations in evaluating fitness to handle public funds.

Civil Liability for Indemnity

The Court affirmed that a pardon does not extinguish civil liability arising from crime. Under Article 36 of the Revised Penal Code and related provisions, the civil indemnity ordered

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