Title
Philippine Amusement and Gaming Corp. vs. Court of Appeals
Case
G.R. No. 185668
Decision Date
Dec 13, 2011
Mia Manahan, a PAGCOR Treasury Officer, was dismissed for approving a fraudulent P4.2M fund transfer. SC ruled her dismissal invalid due to due process violations, remanding the case for proper investigation.

Case Summary (G.R. No. 78604)

Factual Background

On April 14, 2004, Manahan received a fax purportedly requesting a fund transfer of Four Million Two Hundred Thousand Pesos (₱4,200,000.00) from Casino Filipino-Laoag (CF-Laoag). A man claiming to be "David Fuentabella" presented what seemed to be a legitimate identification to collect the funds. Manahan authorized the release of the amount in both cash and chips. However, CF-Laoag later contested that no such fund transfer had been authorized, prompting an investigation. Following an interrogative process, Manahan received a notice of preventive suspension for serious procedural deviation and gross negligence, leading to a formal dismissal on June 2, 2004.

Legal Proceedings Before PAGCOR and the Civil Service Commission

Manahan filed a Motion for Reconsideration after her dismissal, arguing violations of due process and an unjustified termination. PAGCOR denied her motion, leading Manahan to appeal to the Civil Service Commission (CSC). On July 10, 2007, the CSC ruled in favor of Manahan, highlighting violations of her right to due process during her preventive suspension and dismissal process. The CSC remanded the case for proper procedural compliance.

Rulings by the Civil Service Commission

The CSC's Resolution declared Manahan's preventive suspension null and void and emphasized that PAGCOR had not formally charged her as required by existing regulations. The Commission mandated that a proper investigation take place and required adherence to the Uniform Rules on Administrative Cases in the Civil Service, seeking a clear specification of charges against her.

Court of Appeals' Decision

PAGCOR sought to reverse the CSC's decision by filing a Petition for Review with the Court of Appeals (CA), which upheld the CSC’s resolutions. The CA found no irregularity in the CSC's proceedings and confirmed the lack of due process in Manahan's dismissal.

PETITION FOR CERTIORARI

PAGCOR subsequently filed a Petition for Certiorari with the Supreme Court, alleging that the CA acted with grave abuse of discretion. However, the Supreme Court found the petition to be without merit, maintaining that PAGCOR had the opportunity to pursue a different legal remedy through a petition for review under Rule 45, which it failed to utilize.

Analysis of Due Process Violations

The Supreme Court elaborated on the due process rights afforded within administrative proceedings, underscoring that PAGCOR’s actions failed to comply with the necessary formalities required by the Civil Se

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