Title
Supreme Court
Santos vs. Litton Mills, Inc.
Case
G.R. No. 170646
Decision Date
Jun 22, 2011
Employee dismissed for alleged extortion despite criminal acquittal; Supreme Court remands case, emphasizing procedural compliance and justice over technicalities.

Case Summary (G.R. No. 170646)

Factual Background

Ma. Ligaya B. Santos was hired on December 5, 1989, by Litton Mills, a textile manufacturing company. She was tasked within the Plant Administration and Services Department, where she was involved in the sale of used sludge oil and other waste materials. On September 28, 2002, Atty. MariAo directed her to provide a written explanation for allegedly engaging in unauthorized arrangements with a waste buyer, Leonardo A. Concepcion. The accusation included demands for payments in exchange for purchases and threats to delay the release of materials. Santos denied these allegations in her reply and stated that money received from Concepcion was a loan repayment, arguing her actions were personal and did not contravene company policies.

Administrative Investigation and Dismissal

Petitioner Santos was subjected to an administrative investigation on October 4, 2002. Represented by union officers, she claimed that she had no authority to intimidate any client. On October 11, 2002, she received a Letter of Termination, citing her acceptance of money in violation of company policy. In response, she subsequently filed a complaint for illegal dismissal seeking damages and attorney fees.

Ruling by Labor Arbiter

The Labor Arbiter resolved the complaint on November 28, 2003, dismissing it for just cause based on the perceived violation of company discipline. The Arbiter held that the pending criminal case for extortion against Santos indicated sufficient grounds for her dismissal, concluding that her actions undermined the company's interests. The dismissal of her damage claims followed similarly due to lack of merit.

National Labor Relations Commission Decision

Upon appealing to the NLRC, Santos contended that the Labor Arbiter erroneously relied on criminal proceedings for a finding of lawful dismissal. However, the NLRC upheld the Arbiter's ruling, emphasizing that despite Santos’s acquittal in criminal court, her actions constituted a serious infraction of company policy. Consequently, her dismissal was affirmed by the NLRC in resolutions dated August 27 and November 30, 2004.

Court of Appeals' Resolution

Santos pursued a Petition for Certiorari with the Court of Appeals (CA), which was ultimately dismissed on March 10, 2005, for procedural deficiencies. Specifically, the CA noted the failure to provide actual addresses for all parties and the lack of proper verification regarding pending cases. Subsequently, her Motion for Reconsideration was also denied on November 29, 2005, based on similar procedural missteps.

Issues Raised

In her Petition, Santos argued that the CA exhibited hostility in dismissing her petition despite corrections made for compliance with procedural norms. She also challenged the findings of the NLRC and Labor Arbiter

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