Fernan V People GR 145927

10/10/2020 SUPREME COURT REPORTS ANNOTATED VOLUME 531 10/10/2020 SUPREME COURT REPORTS ANNOTATED VOLUME 531
fair review and consideration of the evidence.” Reasonable doubt

is present when after the entire comparison and consideration of
all the evidences, leaves the minds of the [judges] in that
condition that they cannot say they feel an abiding conviction, to a
moral certainty, of the truth of the charge; a certainty that
convinces and directs the understanding, and satisfies the reason
and judgment of those who are bound to act conscientiously upon

it.
*
G.R. No. 145927. August 24, 2007.
Same; Same; Estafa through Falsification of Public
1
Documents; Elements.—Petitioners were charged with the
SIMON FERNAN, JR. and EXPEDITO TORREVILAS,
complex crime of estafa through falsification of public documents
petitioners, vs. PEOPLE OF THE PHILIPPINES,
as defined and penalized under Articles 318 and 171 in relation to
respondent.
Article 48 of the Revised Penal Code, thus: “ART.318.Other
deceits.—The penalty of arresto mayor and a fine of not less than
Criminal Law; Presumption of Innocence; Words and Phrases; the amount of the damage caused and not more than twice such
Definitely, “reasonable doubt” is not mere guesswork whether or amount shall be imposed upon any person who shall defraud or
not the accused is guilty, but such uncertainty that “a reasonable damage another by any deceit not mentioned in the preceding
man may entertain after a fair review and consideration of the articles of this chapter. ART. 171. Falsification by public officer,
evidence”—it is present when after the entire comparison and employee; or notary or ecclesiastical minister.—The penalty of
consideration of all the evidences, leaves the minds of the judges in prision mayor and a fine not to exceed 5,000 pesos shall be
that condition that they cannot say they feel an abiding conviction, imposed upon any public officer, employee, or notary who, taking
to a moral certainty, of the truth of the charge, a certainty that advantage of his official position, shall falsify a document by
convinces and directs the understanding, and satisfies the reason committing any of the following acts: x x x x 4. Making untruthful
and judgment of those who statements in a narration of facts; ART. 48. Penalty for complex
crimes.—When a single act constitutes two or more grave or less
_______________
grave felonies, or when an offense is a necessary means for
committing the other, the penalty for the most serious crime shall
* SECOND DIVISION. be imposed, the same to be applied in its maximum period. The
complex crime is pruned into the following essential elements: For
1 In the SB criminal cases, petitioner is named Expedito Torrevillas;
estafa: 1. Deceit: Deceit is a specie of fraud. It is actual fraud, and
nevertheless, only one person is referred to despite the variance in spelling.
consists in any false representation or contrivance whereby one
person over-reaches and misleads another, to his hurt. There is
2
deceit when one is misled, either by guile or trickery or by other
means, to believe to be true what is really false. 2. Damage:
Damage may consist in the offended party being deprived of his
money or property as a result of
2 SUPREME COURT REPORTS ANNOTATED
3
Fernan, Jr. vs. People
are bound to act conscientiously upon it.—Our Constitution

VOL. 531, AUGUST 24, 2007 3
unequivocally guarantees that in all criminal prosecutions, the
accused shall be presumed innocent until the contrary is proved. Fernan, Jr. vs. People
This sacred task unqualifiedly means proving the guilt of the
accused beyond a reasonable doubt. Definitely, “reasonable doubt”
the defraudation, disturbance in property right, or temporary
is not mere guesswork whether or not the accused is guilty, but
prejudice. For falsification: 1. That the offender is a public officer,
such uncertainty that “a reasonable man may entertain after a
employee, or notary public; 2. That he takes advantage of his
central.com.ph/sfsreader/session/00000175117d92b7b697c7d5003600fb002c009e/t/?o=False 1/59 central.com.ph/sfsreader/session/00000175117d92b7b697c7d5003600fb002c009e/t/?o=False 2/59
official position; 3. That he falsifies a document by committing Fernan, Jr. vs. People
any of the acts defined under Article 171 of the Revised Penal
Code. the commission of the crime, showing that they had acted with a
common purpose and design. Conspiracy may be implied if it is
Same; Same; Same; Evidence; It is an age-old axiom that s/he proved that two or more persons aimed their acts towards the
who alleges something must prove it.—By way of defense, accomplishment of the same unlawful object, each doing a part so
petitioners posit that the tally sheets and other documents could that their combined acts, though apparently independent of each
in fact be traced to genuine LAAs that were in the custody of the other, were in fact, connected and cooperative, indicating a
NBI. Unfortunately, these genuine LAAs were not introduced in closeness of personal association and a concurrence of sentiment.
evidence. It is an age-old axiom that s/he who alleges something To hold an accused guilty as a co-principal by reason of
must prove it. Petitioners’ assertion that the documents they conspiracy, he must be shown to have performed an overt act in
signed were all genuine and duly covered by genuine LAAs was pursuance or furtherance of the complicity. There must be
substantiated only by their own self-serving and uncorroborated intentional participation in the transaction with a view to the
testimonies. We hesitate to give much weight and credit to their furtherance of the common design and purpose.
bare testimonies in the face of clear, convincing, overwhelming,
and hard evidence adduced by the State. If the genuine LAAs Same; Same; Same; Same; Two (2) Structures of Multiple
were vital to their defense, and they firmly believed that the Conspiracies; Words and Phrases; “Wheel” or “Circle” Conspiracy
documents were indeed in the custody of the NBI, then petitioners and “Chain” Conspiracy, Explained.—In Estrada v.
could have easily procured the compulsory process to compel the Sandiganbayan, 377 SCRA 538 (2002), we categorized two (2)
production of said documents. However, petitioners miserably structures of multiple conspiracies, namely: (1) the so-called
failed to avail of subpoena duces tecum which the court a quo “wheel” or “circle” conspiracy, in which there is a single person or
could have readily granted. The inability to produce such group (the “hub”) dealing individually with two or more other
important and exculpatory pieces of evidence proved disastrous to persons or groups (the “spokes”); and (2) the “chain” conspiracy,
petitioners’ cause. Their conviction was indeed supported by proof usually involving the distribution of narcotics or other
beyond reasonable doubt which was not overturned by defense contraband, in which there is successive communication and
evidence. cooperation in much the same way as with legitimate business
operations between manufacturer and wholesaler, then
Same; Same; Same; Conspiracy; Conspiracy may be implied if wholesaler and retailer, and then retailer and consumer. We find
it is proved that two or more persons aimed their acts towards the that the conspiracy in the instant cases resembles the “wheel”
accomplishment of the same unlawful object, each doing a part so conspiracy. The 36 disparate persons who constituted the massive
that their combined acts, though apparently independent of each conspiracy to defraud the government were controlled by a single
other, were in fact, connected and cooperative, indicating a hub, namely: Rolando Mangubat (Chief Accountant), Delia
closeness of personal association and a concurrence of sentiment.— Preagido (Accountant III), Jose Sayson (Budget Examiner), and
The burden of proving the allegation of conspiracy falls to the Edgardo Cruz (Clerk II), who controlled the separate “spokes” of
shoulders of the prosecution. Considering, however, the difficulty the conspiracy. Petitioners were among the many spokes of the
in establishing the existence of conspiracy, settled jurisprudence wheel.
finds no need to prove it by direct evidence. In People v.
Pagalasan, 404 SCRA 275 (2003), the Court explicated why direct Same; Same; Same; Same; The State is not tasked to adduce
proof of prior agreement is not necessary: After all, secrecy and direct proof of the agreement by petitioners with the other accused,
concealment are essential features of a successful conspiracy. for such requirement, in many cases, would border on near
Conspiracies are clandestine in nature. It may be inferred from impossibility—the State needs to adduce proof only when the
the conduct of the accused before, during and after accused committed acts that constitute a vital connection to the
chain of conspiracy or in furtherance of the objective of the
4
conspiracy.—After a close reexamination of the records, the Court
finds no reason to disturb the finding of the anti-graft court that
petitioners are co-conspirators of the other accused, headed by
4 SUPREME COURT REPORTS ANNOTATED Chief Accountant Rolando Mangubat,

2 The entire case record consists of three (3) separate volumes.

5
6

VOL. 531, AUGUST 24, 2007 5
the illegal transactions, the number of people involved, and

who were similarly convicted in practically all the 119 counts of the ingenious scheme employed in defrauding the
estafa. Undisturbed is the rule that this Court is not a trier of government, this infamous 86 million highway scam has
facts and in the absence of strong and compelling reasons or few parallels in the annals of crime in the country.
justifications, it will accord finality to the findings of facts of the
SB. The feeble defense of petitioners that they were not aware of
the ingenuous plan of the group of accused Mangubat and the The Case
indispensable acts to defraud the government does not merit any
Petitioners Simon Fernan, Jr. and Expedito Torrevillas
consideration. The State is not tasked to adduce direct proof of the 3
seek the reversal of the December 4, 1997 Decision of the
agreement by petitioners with the other accused, for such
SB in the consolidated Criminal Case Nos. 1640, 1641,
requirement, in many cases, would border on near impossibility.
1642, 1643, 1818, 1819, 1820, 1821, 1822, 1823, 1879, 1880,
The State needs to adduce proof only when the accused committed
1881, 1882, 1883, 1884, 1885, 1886, 1887, 1888, 1889, 2839,
acts that constitute a vital connection to the chain of conspiracy or
2840, 2841, 2842, 2843, 2844, 2845, 2846, 2847, 2848, 2849,
in furtherance of the objective of the conspiracy. In the case at
2850, 2851, 2852, 2853, 2854, 2855, 2856, 2857, 2858, 2859,
bench, the signing of the fake tally sheets and/or delivery receipts,
2860, 2861, 2862, 2863, 2864, 2865, 2866, 2867, 2868, 2869,
reports of inspection, and requests for supplies and materials by
2870, 2871, 2872, 2873, 2874, 2875, 2876, 2877, 2878, 2879,
petitioners on separate occasions is vital to the success of the
2880, 2881, 2882, 2883, 2884, 2885, 2886, 2887, 2888, 2889,
Mangubat Group in siphoning off government funds. Without
2890, 2891, 2892, 2893, 2894, 2895, 2896, 2897, 2898, 2899,
such fabricated documents, the general vouchers covering the
2900, 2901, 2902, 2903, 2904, 2905, 2906, 2907, 2908, 2909,
supply of materials cannot be properly accomplished and
2910, 2911, 2912, 2913, 2915, 2917, 2918, 2919, 2920, 2921,
submitted to the disbursing officer for the preparation of checks.
2922, 2923, 2924, 2925, 2926, 2927,
4
2928, 2929, 2930, 2931,
PETITION for review on certiorari of a decision and 2932, 2936, 2937, 2938, and 2939, all entitled People of the
resolution of the Sandiganbayan. Philippines v. Rocilo Neis, et al., finding them guilty of
The facts are stated in the opinion of the Court. multiple instances
5
of estafa through falsification of public
Garcia, Landicho and Partners Law Offices for Heirs documents; and the subsequent August 29, 2000 SB
of Camilo De Letran. Resolution which denied their separate pleas for
The Solicitor General for respondent. reconsideration.
Petitioner Fernan, Jr. disputes the adverse judgment in
VELASCO, JR., J.: only six (6) cases, namely: 2879, 2880, 2881, 2885, 2914,
and
The instant petition
2
under Rule 45 originated from 119
criminal cases filed with the Sandiganbayan (SB) _______________
involving no less than 36 former officials and employees of
the then Ministry of Public Highways (MPH) and several 3 Rollo, pp. 28-192. The Decision was penned by Associate Justice
suppliers of construction materials for defalcation of public Cipriano A. Del Rosario (Chairperson) and concurred in by Associate
funds arising from numerous transactions in the Cebu Justices Leonardo I. Cruz and German G. Lee, Jr.
First Highway Engineering District in 1977. Because of the 4 The other criminal cases, namely: Criminal Case Nos. 889, etc., and
sheer magnitude of 2070, etc., have been dismissed for various reasons; see Id., at p. 147.
Petitioners Fernan, Jr. and Torrevillas were not impleaded as accused in
_______________ said cases.

5 The accused in the aforementioned cases did not have custody or supporting papers of the payment vouchers were dated in that
control of public funds; hence, the crime charged was estafa instead of year. The entries in the
malversation under Art. 217 of the Revised Penal Code.
_______________
7
6 Supra note 3, at pp. 102-109.
VOL. 531, AUGUST 24, 2007 7 8

2918; while petitioner Torrevillas seeks exoneration in nine Fernan, Jr. vs. People
(9) cases, namely: 2855, 2856, 2858, 2859, 2909, 2910,
2914, 2919, and 2932. journal vouchers filed with the MPH Regional Office were
Both petitioners assert their strong belief that their adjusted every month to 8-81-400 (unliquidated or prior years
guilt has not been established beyond reasonable doubt obligation), 8-83-000 (liquidated or current year obligations) and
and, hence, exculpation is in order. 8-70-700 (Treasury/Agency Account). All of these were approved
for the Finance Officer by Chief Accountant Rolando Mangubat.
The Facts Mangubat, however, had no authority to approve them because
6
since October 1977, he had already been detailed to the MPH
The SB culled the facts this way: Central Office. There were indications that the practice had been
going on for years.
“On June 21, 1978, COA Regional Director Sofronio Flores Jr. of xxxx
COA Regional Office No. 7, directed auditors Victoria C. Quejada Due to these serious irregularities, then President Marcos
and Ruth I. Paredes to verify and submit a report on sub- created a Special Cabinet Committee on MPH Region VII “Ghost
allotment advises issued to various highway engineering districts Projects Anomalies” which in turn organized a Special Task Force
in Cebu, particularly, the Cebu City, Cebu 1st, Cebu 2nd and the composed of representatives from the Finance Ministry
Mandaue City Highway Engineering Districts. Complying with Intelligence Bureau (FMIB), National Bureau of Investigation
the directive, they conducted an investigation and in due course (NBI), the Bureau of Treasury and the Commission on Audit. The
submitted their findings. Their report (Exhibit “C”) confirmed the mission of the task force was to conduct a wider and more
issuance of fake Letters of Advice of Allotments (LAAs) in the extended investigation in all the fifteen (15) highway engineering
districts mentioned. They discovered that two sets of LAAs were districts of MPH Region VII, including the Cebu First Highway
received by the districts. One set consists of regular LAAs which Engineering District, the 1977 questionable disbursements of
clearly indicated the covering sub-allotment advices and were which are the subject matter of these cases.
duly signed by Mrs. Angelina Escaño, Finance Officer of the MPH xxxx
Regional Office. The LAAs were numbered in proper sequence and For a better understanding of these highways cases, the flow in
duly recorded in the logbook of the Accounting, Budget and the release of funds to the various agencies of the government and
Finance Division. The other set consists of fake LAAs which do the control devices set up for disbursement and accounting of
not indicate the covering sub-allotment advice and were signed by public funds should first be explained. A chart (Exhibit “B”)
Chief Accountant Rolando Mangubat and Engr. Jose Bagasao, graphically shows the flow of allotments from the Ministry down
instead of the Finance Officer. These fake LAAs were not to the district level.
numbered in proper sequence; they were mostly undated and On the basis of appropriation laws and upon request made by
were sometimes duplicated. They could not be traced to the files heads of agencies, the then Ministry of Budget released funds to
and records of the Accounting, Budget and Finance Division. The the various agencies of the government by means of an Advice of
accounting entry for the disbursements made on the fake LAAs Allotment (AA) and a Cash Disbursement Ceiling (CDC). The
was debited to the Accounts-Payable Unliquidated Obligations (8- Advice of Allotment is an authority for the agency to incur
81-400) and credited to the Checking Account with the Bureau of obligations within a specified amount in accordance with
Treasury (8-70-790). Nevertheless, the expenditures were taken approved programs and projects. The Cash Disbursement Ceiling
from obligations of the current year (1978) because all the is an authority to pay. Upon receipt of the AA and CDC from the

Budget, the Central Office of the agency prepares the Sub-Advice the Journal of Checks Issued by Deputized Disbursing Officers
of Allotment (SAA) and the Advice of Cash Disbursement Ceiling (JCIDDO) and posted in the general ledger at the end of each
(ACDC) for each region, in accordance with the disbursement month.
allotment. These are sent to the Regional Office. Upon receipt, the Simultaneous with the flow of the RCIDDO, the ROAs are
Budget Officer of the region prepares the corresponding Letters of summarized in the Reports of Obligations Incurred (ROI) in the
Advice of Allotment (LAA) which are for- District Office, once or twice a month, depending upon the volume
of
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VOL. 531, AUGUST 24, 2007 9

Fernan, Jr. vs. People 10 SUPREME COURT REPORTS ANNOTATED
warded to the various districts of the region (The amount that
goes to each district is already indicated in the Advice of transactions. The ROI is then submitted to the Regional Office.
Allotment). Only upon receipt of the LAA is the district office Upon receipt of the ROI, the accountant of the Regional Office
authorized to incur obligations. draws a journal voucher taking up the following entry: debiting
Now, how are funds released by the Regional Office to the the appropriation allotted (0-90-000) and crediting the obligation
different districts and ultimately paid out to contractors, the incurred (0-82-000). This is recorded in the general voucher and
District Engineer submits to the Regional Director a request for posted to the general ledger at the end of each month. The journal
allotment in accordance with the program of work prepared by the voucher is prepared, closing the account 8-70-709 to 8-71-100-199
former. This procedure starts with the preparation of a at the end of each month. It is also recorded and posted to the
Requisition for Supplies and Equipment (RSE) in the District general ledger. At the end of the month, the balances of each
Office by the Senior Civil Engineer, approved by the District account shown in the general ledger are summarized in a
Engineer, and signed by the Chief Accountant of the Highway statement called the trial balance. The trial balance is submitted
Engineering District, who certifies as to the availability of funds. to the MPH Central Office in Manila where it is consolidated with
The RSE is then submitted to the Regional Director for approval. other trial balances submitted by other regional offices.
Once it is approved, a Request for Obligation of Allotment (ROA) xxxx
is prepared by the Chief Accountant of the district Senior Civil The elaborate accounting procedure described above with its
Engineer. The ROA signifies that a certain amount of district system of controls was set up obviously to make sure that
funds has been set aside or earmarked for the particular government funds are properly released, disbursed and accounted
expenditures stated in the RSE. On the basis of the ROA, the for. In the hands of untrustworthy guardians of the public purse,
District Office puts up advertisements, [conducts] biddings, however, it proved to be inadequate. There were loopholes which
makes awards and prepares purchase orders which are served on an unscrupulous person adroit in government accounting could
the winning bidder. The District Office also prepares a summary take advantage of to surreptitiously draw enormous sums of
of deliveries with the corresponding delivery receipts and tally money from the government.
sheets, conducts inspection and prepares the General Voucher for Sometime in February, 1977, accused Rolando Mangubat
the payment of deliveries. Once the General Voucher (GV) has (Chief Accountant), Delia Preagido (Accountant III), Jose Sayson
been prepared, the corresponding check in the form of a Treasury (Budget Examiner), and Edgardo Cruz (Clerk II), all of MPH
Check Account for Agency (TCAA) is drawn by the Disbursing Region VII, met at the Town and Country Restaurant in Cebu
Officer and finally released to the contractor. City and hatched an ingenious plan to siphon off large sums of
At the end of every month, the Report of Checks Issued by money from government coffers. Mangubat had found a way to
Deputized Disbursing Officer (RCIDD) is prepared, listing all the withdraw government money through the use of fake LAAs,
checks issued during that period. The RCIDDO is submitted to vouchers and other documents and to conceal traces thereof with
the accounting division of the region. Upon receipt of the the connivance of other government officials and employees. In
RCIDDO, the Regional Office draws a journal voucher, debiting fine, the fraudulent scheme involved the splitting of LAAs and
the account obligation (liquidated or unliquidated obligation, RSEs so that the amount covered by each general voucher is less
whichever is applicable), and crediting the account Treasury than P50,000.00 to do away with the approval of the Regional
Check Account for Agency (TCAA). The RCIDDO is recorded in Auditor; the charging of disbursements to unliquidated

obligations due the previous year to provide the supposed source lavishly and bought two cars at a time). The reason for this is
of funds; and the manipulation of the books of account by negation that, at that time, the PNB and Bureau of Treasury were not
or adjustment, i.e., the cancellation of checks through journal furnished copy of the mother CDC and the local branch of the
vouchers to conceal disbursements in excess of the cash PNB did not receive independent advice from the PNB head office
disbursement ceiling (CDC), so as not to reflect such in Manila. There were no deposits of money
disbursements in the trial balances submitted to the Regional
Office. 12
11
VOL. 531, AUGUST 24, 2007 11
Fernan, Jr. vs. People made with the PNB from which withdrawals could be charged.
Only CDCs were presented to it, and not knowing that some of
Mangubat enticed Preagido, Cruz and Sayson to join him. All the CDCs were fake, the PNB branch paid out the checks drawn
three agreed to help him carry out his plan. They typed the fake against them. The bank had also no way of knowing what amount
LAAs during Saturdays. Cruz and Sayson also took charge of was appropriated for the district; consequently, it did not know if
negotiating or selling the fake LAAs to contractors at 26% of the the limit had already been exceeded. Only an insider steep in
gross amount. Preagido on her part manipulated the General government accounting, auditing and banking procedures,
Ledger, Journal Vouchers and General Journal thru negative particularly their flaws and loopholes, could have pulled off such
entries to conceal the illegal disbursements. Thus, in the initial an ingenious and audacious plan.
report of the auditors (Exhibit “D”), it was discovered that the xxxx
doubtful allotments and other anomalies escaped notice due to the Focusing our attention now on the anomalies committed in the
following manipulations: Cebu First District Engineering District, hereinafter referred to
as the Cebu First HED for brevity, the Court finds that the same
“The letter-advices covering such allotments (LAA) were generally not pattern of fraud employed in the other highway engineering
signed by the Finance Officer nor recorded in the books of accounts. districts in MPH Region VII was followed. The Cebu First HED
Disbursements made on the basis of these fake LAAs were charged to the received from Region VII thirty-four Letters of Advice of
unliquidated Obligations (Account 8-81-400), although the obligations Allotment (LAAs) in the total sum of P4,734,336.50 and twenty-
being paid were not among those certified to the unliquidated obligations nine (29) corresponding SubAdvices of Cash Disbursement Ceiling
(Account 8-81-400) at the end of the preceding year. To conceal the over- (SACDCs), amounting to P5,160,677.04 for the period January 1,
charges to authorized allotments, account 8-81-400 and the excess of 1977 to December 31, 1977. But apart from this, the Cebu First
checks issued over authorized cash disbursements ceiling, adjustments HED appears to have also received for the same period another
were prepared monthly through journal vouchers to take up the negative set of eighty-four (84) LAAs amounting to P4,680,694.76 which
debit to Account 8-81-400 and a negative credit to the Treasury Checking however, could not be traced to any Sub-Advice of Allotment
Account for Agencies Account 8-70-790. These journal vouchers in effect (SAA) or matched to the Advices of Cash Disbursement Ceiling
cancelled the previous entry to record the disbursements made on the (ACDCs) received from the MPH and Regional Office. This is
basis of the fake LAAs. Thus, the affected accounts (Accounts 8-81-400 highly irregular and not in consonance with accounting
and 8-70-790), as appearing in the trial balance would not show the procedures.
irregularity. The checks, however, were actually issued.” It was also made to appear that the payments were made for
alleged prior year’s obligations and chargeable to Account 8-81-
The four formed the nucleus of the nefarious conspiracy. Other 400, obviously because, they were not properly funded.
government employees, tempted by the prospect of earning big Furthermore, the list of projects in Region VII for 1977 showed
money, allowed their names to be used and signed spurious that Cebu First HED completed rehabilitation and/or
documents. improvement of roads and bridges in its districts from February to
Although the anomalies had been going on for sometime May 1977, with expenditures amounting to P613,812.00. On the
(February 1977 to June 1978), the PNB and Bureau of Treasury other hand, the expenditures for barangay roads in the same
had no inkling about it until the NBI busted the illegal district in 1977 amounted to P140,692.00, and these were all
operations. (Some of the recipients of the stolen funds spent completed within the period from November to December, 1977.

These completed projects were properly funded by legitimate among the accused in Criminal Case Nos. 2879, 2880, 2881,
LAAs and CDCs in the total amount of only P754,504.00. 2885, 2914, and 2918 allegedly for having signed six (6)
However, an additional amount of P3,839,810.74 was spent by the tally sheets or statements of deliveries of materials, used
Cebu First HED for maintenance of roads and bridges for the as bases for the
same
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13

VOL. 531, AUGUST 24, 2007 13
preparation of the corresponding number of general
year (1977) but the same could not be traced to any authoritative vouchers. Fund releases were made to the suppliers,
document coming from the MPH. contractors, and payees based on these general vouchers.
xxxx The Information against Fernan, Jr. in SB Criminal
A total of 132 General Vouchers, emanating from fake LAAs Case No. 2879 reads as follows:
and ACDCs, were traced back to Rolando Mangubat, Regional
Accountant of Region VII and Adventor Fernandez, Regional “The undersigned accuses Rocilo Neis, Rolando Mangubat,
Highway Engineer, also of Region VII. Those LAAs and ACDCs Adventor Fernandez, Angelina Escaño, Delia Preagido, Camilo de
became the vehicles in the disbursement of funds amounting to Letran, Manuel de Veyra, Heracleo Faelnar, Basilisa Galvan,
P3,839,810.74, through the vouchers purportedly issued for the Matilde Jabalde, Josefina Luna, Jose Sayson, Edgardo Cruz,
purchase and delivery of the aforementioned materials allegedly Leonila del Rosario, Engracia Escobar, Abelardo Cardona,
used for the maintenance and repair of the national highways Leonardo Tordecilla, Agripino Pagdanganan, Ramon Quirante,
within the Cebu First HED. Despite the enormous additional Mariano Montera, Mariano Jarina, Leo Villagonzalo, Asterio
expenditure of P3,839,810.74, the roads and bridges in the Buqueron, Zosimo Mendez, Simon Fernan, Jr. and Juliana de los
district, as found out by the NBI, did not show any improvement. Angeles for estafa thru falsification of public and commercial
As testified to by several barangay captains, the road documents, committed as follows:
maintenance consisted merely of spreading anapog or limestone
That on, about and during the period from December 1, 1976 up to
on potholes of the national highway.
January 31, 1977, both dates inclusive, in the City of Cebu and in Cebu
Obviously, the vouchers for payments of alleged maintenance
Province, and within the jurisdiction of this Honorable Court, the accused
of roads and bridges in the additional amount of P3,839,810.74
Rocilo Neis, Assistant District Engineer of Cebu HED I; Rolando
were prepared for no other purpose than to siphon the said
Mangubat, the Chief Accountant of Region VII of the Ministry of Public
amount from the government coffer into the pockets of some
Highways and Adventor Fernandez, Regional Highway Engineer of same
officials and employees of Region VII and the Cebu First HED, as
Regional Office, conniving with each other to defraud the Philippine
well as the suppliers and contractors who conspired and
Government with the indispensable cooperation and assistance of
confederated with them.”
Angelina Escaño, Finance Officer of Region VII of the Ministry of Public
The nuclei of this massive conspiracy, namely: Rolando Highways; Delia Preagido, Assistant Chief Accountant of same Regional
Mangubat, Jose Sayson, and Edgardo Cruz, all of MPH Office; Camilo de Letran, Chief Accountant of Cebu I HED; Manuel de
Region VII, were found guilty in all 119 counts and were Veyra, Regional Director, MPH, Region VII; Heracleo Faelnar, then
accordingly sentenced by the SB. The other conniver, Delia Assistant Director MPH Region VII; Basilisa Galvan, Budget Officer,
Preagido, after being found guilty in some of the cases, MPH, Region VII; Matilde Jabalde, Supervising Accounting Clerk, MPH,
became a state witness in the remainder. On the basis of Region VII; Josefina Luna, Accountant II, MPH, Region VII; Jose Sayson,
her testimony and pertinent documents, Informations were Budget Examiner, MPH, Region VII, Edgardo Cruz, Accountant I, MPH,
filed, convictions were obtained, and criminal penalties Region VII; Leonila del Rosario, Chief Finance and Management Service,
were imposed on the rest of the accused. MPH, Central Office; Engracia Escobar, Chief Accountant, MPH, Central
On the other hand, petitioners were both Civil Office; Abelardo Cardona, Assistant Chief Accountant, MPH, Central
Engineers of the MPH assigned to the Cebu First Highway Office; Leonardo Tordecilla, Supervising Accountant, MPH, Central
Engineering District. Petitioner Fernan, Jr. was included

Office; Agripino Pagdanganan, Budget Officer III, MPH, Central Office; 16

Ramon Quirante, Property Custodian
15 16 SUPREME COURT REPORTS ANNOTATED

VOL. 531, AUGUST 24, 2007 15

terials were delivered, inspected and used in the supposed project and
Fernan, Jr. vs. People that the alleged supplier was entitled to payment when in truth and in
fact, as all the accused know, all of the foregoing were false and incorrect
of Cebu I HED; Mariano Montera, Senior Civil Engineer Engineer of and because of the foregoing falsifications, the above-named accused were
Cebu I HED; Mariano Jarina, Clerk in the Property Division of Cebu I able to collect from the Cebu I HED the total amount of TWENTY
HED; Leo Villagonzalo, Auditor’s Aide of Cebu I HED; Zosimo Mendez, EIGHT THOUSAND PESOS (P28,000.00), Philippine Currency, in
Auditor of Cebu I HED; Asterio Buqueron, Administrative Officer of payment of the non-existing deliveries; that the said amount of
Cebu I HED; Simon Fernan, Jr., Civil Engineer of Cebu I HED and P28,000.00 was not reflected in the monthly trial balance submitted to
Juliana de los Angeles, an alleged supplier, all of whom took advantage of the Central Office by Region VII showing its financial condition as the
their official positions, with the exception of Juliana de los Angeles, same was negated thru the journal voucher, as a designed means to
mutually helping each other did then and there willfully, unlawfully and cover-up the fraud; and the accused, once in possession of the said
feloniously falsify and/or cause the falsification of the following amount, misappropriated, converted and misapplied the same for their
documents, to wit: personal needs, to the damage and prejudice of the Philippine
Government in the total amount of TWENTY EIGHT THOUSAND
1. Request for Allocation of Allotment
PESOS (P28,000.00), Philippine Currency.
2. Letter of Advice of Allotment
3. Advice of Cash Disbursement Ceiling CONTRARY TO LAW.”
4. General Voucher No. B-15
The Informations in the six (6) cases involving Fernan, Jr.
5. Check No. 9933064
were essentially identical save for the details as
6. Abstract of Bids highlighted in boldface above. For ease of reference,
7. Purchase Order Fernan, Jr.’s criminal cases are detailed below:
8. Statement of Delivery
Criminal Dates of Main Items Amount
9. Report of Inspection
Case No. Commission Documents Allegedly of Fraud
10. Requisition for Supplies or Equipment Falsified Purchased
11. Trial Balance
2879 December 1. General 1,400 cu. m. PhP
by making it appear that Regional Office No. VII of the Ministry of 1, 1976 up Voucher of item 108 28,000.00
Public Highways regularly issued an advice of cash disbursement ceiling
to January No. B-15; for use in
31, 1977 2. Check the repair of
(ACDC) and the corresponding letter of advice of allotment (LAA) to
7
No. the Cebu
cover the pur chase of 1,400 cu. m. of item 108 for use in the repair
9933064; Hagnaya
of the Cebu Hagnaya Wharf road from Km. 50.30 to Km. 60.00,
Wharf road
when in truth and in fact, as all the accused knew, the same were not
from Km.
true and correct; by making it appear in the voucher that funds were
50.30 to
available and that there were appropriate requests for allotments (ROA) Km. 60.00
to pay the aforesaid purchase; that a requisition for said item was made
and approved; that a regular bidding was held; that a corresponding
purchase order was issued in favor of the winning bidder; that the road
construction ma-
_______________
7 Rollo, p. 18; limestone, or sand and gravel—the latter being of higher quality.

Criminal Dates of Main Items Amount Voucher

Case No. Commission Documents Allegedly of Fraud No. B-76;
Falsified Purchased 3. Check
No.
2880 December 1. Request 1,400 cu. m. PhP
9933125;
1, 1976 up for of item 108 28,000.00
to January Allocation for use in 2914 October 1, 1. 1,200 cu. m. of item PhP
31, 1977 of the repair of 1977 up General 108 for use in the 27,000.00
Allotment the Bogo- to Voucher rehabilitation of
101-12- Curva- November No. B- the Cajel-Lugo,
105-76; Medellon 30, 1977 927; Barbon barangay
2. General road from 2. Check road
Voucher Km. 110.00 No.
No. B-55; to Km. 9403425;
3. Check 119.00
2918 January 1. 1,500 cu. m. of item PhP
No.
2, 1977 General 108 for the 30,000.00
up to Voucher rehabilitation of
17 February No. B- the Cebu North
28, 1977 107; Hagnaya Wharf
2. Check road from Km. 71
VOL. 531, AUGUST 24, 2007 17
No. to Km. 76
Fernan, Jr. vs. People 9933157;
9933104; On the other hand, petitioner Torrevillas was one of the
2881 January 1. Approximately PhP accused in Criminal Case Nos. 2855, 2856, 2858, 2859,
2, 1977 Request 1,500 cu. m. of item 31,000.00 2909, 2910, 2914, 2919, and 2932.
up to for 108 for use in the The Information against Torrevillas in SB Criminal
February Allocation repair and Case No. 2855 reads as follows:
28, 1977 of rehabilitation of
18
Allotment damaged roads and
101-2-56- bridges by Typhoon
77; Aring at the 18 SUPREME COURT REPORTS ANNOTATED
2. Tabogon-Bogo
General provincial road
Voucher from Km. 92 to Km.
No. B- 98 “The undersigned accuses Rocilo Neis, Rolando Mangubat,
245; Adventor Fernandez, Angelina Escaño, Delia Preagido, Camilo de
3. Check Letran, Manuel de Veyra, Heracleo Faelnar, Basilisa Galvan,
No. Matilde Jabalde, Josefina Luna, Jose Sayson, Edgardo Cruz,
9933294; Leonila del Rosario, Engracia Escobar, Abelardo Cardona,
2885 January 1. materials for use in PhP Leonardo Tordecilla, Agripino Pagdanganan, Ramon Quirante,
2, 1977 Request the repair and 30,000.00 Jorge de la Peña, Leo Villagonzalo, Asterio Buqueron, Expedito
up to for rehabilitation of Torrevillas, Mariano Montera and Rufino V. Nuñez for estafa thru
January Allocation the Daan-Bantayan falsification of public and commercial documents, committed as
31, 1977 of road from Km. follows:
Allotment 127.00 to Km. 136
That on, about and during the period from June 1, 1977 up to June 30,
101-12-
112-76; 1977, both dates inclusive, in the City of Cebu and in Cebu Province, and
2. within the jurisdiction of this Honorable Court, the accused Rocilo Neis,
General Assistant District Engineer of Cebu HED I; Rolando Mangubat, the Chief

Accountant of Region VII of the Ministry of Public Highways and by making it appear that Regional Office No. VII of the Ministry of
Adventor Fernandez, Regional Highway Engineer of same Regional Public Highways regularly issued an advice of cash disbursement ceiling
Office, conniving with each other to defraud the Philippine Government (ACDC) and the corresponding letter of advice of allotment (LAA) to
with the indispensable cooperation and assistance of Angelina Escaño, cover the purchase of 153.63 m. t. of item 3108 for use in asphalting
Finance Officer of Region VII of the Ministry of Public Highways; Delia of the Toledo-Tabuelan road at Km. 108.34 to Km. 109.52, when in
Preagido, Assistant Chief Accountant of same Regional Office; Camilo de truth and in fact, as all the accused knew, the same were not true and
Letran, Chief Accountant of Cebu I HED; Manuel de Veyra, Regional correct; by making it appear in the voucher that funds were available and
Director, MPH, Region VII; Heracleo Faelnar, then Assistant Director that there were appropriate requests for allotments (ROA) to pay the
MPH Region VII; Basilisa Galvan, Budget Officer, MPH, Region VII; aforesaid purchase; that a requisition for said item was made and
Matilde Jabalde, Supervising Accounting Clerk, MPH, Region VII; approved; that a regular bidding was held; that a corresponding purchase
Josefina Luna, Accountant II, MPH, Region VII; Jose Say-son, Budget order was issued in favor of the winning bidder; that the road
Examiner, MPH, Region VII, Edgardo Cruz, Accountant I, MPH, Region construction materials were delivered, inspected and used in the
VII; Leonila del Rosario, Chief Finance and Management Service, MPH, supposed project and that the alleged supplier was entitled to payment
Central Office; Engracia Escobar, Chief Accountant, MPH, Central when in truth and in fact, as all the accused know, all of the foregoing
Office; Abelardo Cardona, Assistant Chief Accountant, MPH, Central were false and incorrect and because of the foregoing falsifications, the
Office; Leonardo Tordecilla, Supervising Accountant, MPH, Central above-named accused were able to collect from the Cebu I HED the total
Office; Agripino Pagdanganan, Budget Officer III, MPH, Central Office; amount of FORTY EIGHT THOUSAND FOUR HUNDRED THIRTY
Ramon Quirante, Property Custodian of Cebu I HED; Jorge de la Peña, ONE PESOS & 85/100 (P48,431.85), Phil-
Auditor of Cebu I HED; Leo Villagonzalo, Auditor’s Aide of Cebu I HED;
Asterio Buqueron, Administrative Officer of Cebu I HED; Expedito _______________
Torrevillas, representative of the Engineer’s Office, Cebu I HED;
8 Id., at p. 23; bituminous asphalt.
Mariano Montera, Senior Civil Engineer Engineer of Cebu I HED; and
Rufino V. Nuñez, an alleged supplier, all of whom took advantage of their
20
official positions, with the exception of Rufino V.

VOL. 531, AUGUST 24, 2007 19
Fernan, Jr. vs. People ippine Currency, in payment of the non-existing deliveries; that the said
amount of P48,431.85 was not reflected in the monthly trial balance
Nuñez, mutually helping each other did then and there willfully, submitted to the Central Office by Region VII showing its financial
unlawfully and feloniously falsify and/or cause the falsification of the condition as the same was negated thru the journal voucher, as a
following documents, to wit: designed means to cover-up the fraud; and the accused, once in
possession of the said amount, misappropriated, converted and
1. Request for Allocation of Allotment—101-10-186-76; 10-190-76; misapplied the same for their personal needs, to the damage and
10-192-76; 10-188-76; 10-180-76 prejudice of the Philippine Government in the total amount of FORTY
2. Letter of Advice of Allotment EIGHT THOUSAND FOUR HUNDRED THIRTY ONE PESOS &
3. Advice of Cash Disbursement Ceiling 85/100 (P48,431.85), Philippine Currency.
4. General Voucher No. B-613 CONTRARY TO LAW.”

5. Check No. 9403099
6. Abstract of Bids
The Torrevillas cases were substantially the same save for
the details highlighted in the aforequoted typical
7. Purchase Order
accusatory pleading. For ease of reference, Torrevillas’
8. Statement of Delivery
criminal cases are particularized as follows:
9. Report of Inspection
10. Requisition for Supplies or Equipment Criminal Dates of Main Items Amount
Case No. Commission Documents Allegedly of Fraud
11. Trial Balance
Falsified Purchased

Criminal Dates of Main Items Amount 76; 6-237-76; Tabuelan road

Case No. Commission Documents Allegedly of Fraud 6-239-76; 6- from Km.
Falsified Purchased 241-76; 6- 108.34 to Km.
240-76 109.52
2855 June 1, 1. Request 153.63 m. t. PhP
2. General
1977 up to for of item 310 48,431.85
Voucher No.
June 30, Allocation for use in
B-629;
1977 of asphalting
3. Check No.
Allotment of the
9403115;
101-10- Toledo-
186-76; 10- Tabuelan 2859 June 1, 1. Request 110.01 m. t. of PhP
190-76; 10- road from 1977 up to for item 310 for use 34,680.65
192-76; 10- Km. 108.34 June 31, Allocation of in asphalting of
188-76; 10- to Km. 1977 Allotment the Toledo-
180-76; 109.52 101-7-63-76; Tabuelan road
2. General 8-102-76; 8- from Km.
Voucher 121-76 108.34 to
No. B-613; 2. General Km.109.52
3. Check Voucher No.
No. B-631;
9403099; 3. Check No.
9403117;
2856 June 1, 1. Request 153.76 m. t. PhP
1977 up to for of item 310 48,472.84 2909 September 1. General 1,200 cu.m. of PhP
June 30, Allocation for use in 1, 1977 up Voucher item 108 27,900.00
1977 of the to
Allotment asphalting
101-10-15- of the 22
Toledo-

VOL. 531, AUGUST 24, 2007 21
November No. B-928; for use in the
Fernan, Jr. vs. People 30, 1977 2. Check rehabilitation of
No. the Buanoy-
76; 9-201-76; Tabuelan road 9403426; Cantibas, Balaban
8-152-76; 8- from Km 108.34 barangay road
153-76;9- to Km. 109.52
2910 September 1. General 1,200 cu. m. of PhP
181-76; 9-
1, 1977 up Voucher item 108 for use in 27,900.00
184-76
to No. B-929; the rehabilitation
2. General
November 2. Check of the Magay-
Voucher No.
30, 1977 No. Canamukan,
B-619;
9403427; Compostela
3. Check No.
barangay road
9403105;
2914 October 1, 1. General 1,200 cu. m. of PhP
2858 June 1, 1. Request 151.35 m. t. of PhP
1977 up to Voucher item 108 for use in 27,000.00
1977 up to for item 310 for use 47,713.09
November No. B-927; the rehabilitation
July 31, Allocation in the
30, 1977 2. Check of the Cajel-Lugo,
1977 Allotment asphalting of
101-6-234- the Toledo-
No. Barbon of them to an indeterminate penalty ranging from six (6) years of
9403425; barangayroad prision correccional, as minimum, to ten (10) years, eight (8)
months and one (1) day of prision mayor, as maximum, with the
2919 January 2, 1. General 1,550 cu. m. of PhP
1977 up to Voucher item 108 for use in 31,000.00 accessory penalties provided by law, to pay a fine of Three
February No. B-244; the repair and Thousand Five Hundred Pesos (P 3,500.00); to indemnify, jointly
28, 1977 2. Check rehabilitation of and severally the Republic of the Philippines in the amount of
No. damaged roads Twenty Eight Thousand Pesos 9 (P 28,000.00); and, to pay their
9933293; and bridges at the proportionate share of the costs. (Emphasis supplied.)
Toledo-Tabuelan In Criminal Case No. 2880, the Court finds accused CAMILO
national road from DE LETRAN, JOSE SAYSON, RAMON QUIRANTE,
Km. 71 to Km. 83 MARIANO MONTERA, ZOSIMO MENDEZ, and SIMON
FERNAN, Jr., GUILTY beyond reasonable doubt as co-
2932 June 1, 1. Request 250 gals of PhP
1977 up to for Allocat aluminum paint 44,762.58 principals in the crime of Estafa thru falsification of Public
July 31, ion of 324 gals of red Documents as defined and penalized in Articles 318 and 171, in
1977 Allotment lead paint for use relation to Article 48 of the Revised Penal Code, and there being
101-7-83- in the no modifying circumstances in atten-
76; 7-84- maintenance
76; 7-124- _______________
76; 8-
9 Id., at p. 170.
23 24
VOL. 531, AUGUST 24, 2007 23 24 SUPREME COURT REPORTS ANNOTATED

Fernan, Jr. vs. People Fernan, Jr. vs. People
153-76; 8-170-76; of national roads and dance, hereby sentences each of them to an indeterminate penalty
2. General Voucher bridges ranging from six (6) years of prision correccional, as minimum, to
B-643; ten (10) years, eight (8) months and one (1) day of prision mayor,
3. Check No. as maximum, with the accessory penalties provided by law, to pay
9403130; a fine of Three Thousand Five Hundred Pesos (P 3,500.00); to
indemnify, jointly and severally the Republic of the Philippines in
the amount of Twenty Eight Thousand Pesos (P 28,000.00);
10
and,
to pay their proportionate share of the costs. (Emphasis
The Sandiganbayan’s Ruling supplied.)
In Criminal Case No. 2881, the Court finds accused CAMILO
The anti-graft court was fully convinced of the guilt of
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE,
petitioner Fernan, Jr.; and in its December 4, 1997
ZOSIMO MENDEZ and SIMON FERNAN, Jr., GUILTY
Decision, it found him criminally liable in the six (6) cases
beyond reasonable doubt as co-principals in the crime of Estafa
against him, thus:
thru falsification of Public Documents as defined and penalized in
“In Criminal Case No. 2879, the Court finds accused JOSE Articles 318 and 171, in relation to Article 48 of the Revised Penal
SAYSON, RAMON QUIRANTE, MARIANO MONTERA, Code, and there being no modifying circumstances in attendance,
ZOSIMO MENDEZ, MARIANO JARINA and SIMON hereby sentences each of them to an indeterminate penalty
FERNAN, Jr., GUILTY beyond reasonable doubt as co- ranging from six (6) years of prision correccional, as minimum, to
principals in the crime of Estafa thru falsification of Public ten (10) years, eight (8) months and one (1) day of prision mayor,
Documents as defined and penalized in Articles 318 and 171, in as maximum, with the accessory penalties provided by law, to pay
relation to Article 48 of the Revised Penal Code, and there being a fine of Three Thousand Five Hundred Pesos (P 3,500.00); to
no modifying circumstances in attendance, hereby sentences each indemnify, jointly and severally the Republic of the Philippines in

the amount of Thirty One Thousand Pesos 11

(P 31,000.00); and, to SABIO, Jr. GUILTY beyond reasonable doubt as co-principals in
pay their proportionate share of the costs. (Emphasis supplied.) the crime of Estafa thru falsification of Public Documents as
In Criminal Case No. 2885, the Court finds accused CAMILO defined and penalized in Articles 318 and 171, in relation to
DE LETRAN JOSE SAYSON, RAMON QUIRANTE, ZOSIMO Article 48 of the Revised Penal Code, and there being no
MENDEZ and SIMON FERNAN, Jr., GUILTY beyond modifying circumstances in attendance, hereby sentences each of
reasonable doubt as co-principals in the crime of Estafa thru them to an indeterminate penalty ranging from six (6) years of
falsification of Public Documents as defined and penalized in prision correccional, as minimum, to ten (10) years, eight (8)
Articles 318 and 171, in relation to Article 48 of the Revised Penal months and one (1) day of prision mayor, as maximum, with the
Code, and there being no modifying circumstances in attendance, accessory penalties provided by law, to pay a fine of Three
hereby sentences each of them to an indeterminate penalty Thousand Five Hundred Pesos (P 3,500.00); to indemnify, jointly
ranging from six (6) years of prision correccional, as minimum, to and severally the Republic of the Philippines in the amount of
ten (10) years, eight (8) months and one (1) day of prision mayor, Thirty Thousand Pesos (P 30,000.00);
14
and, to pay their
as maximum, with the accessory penalties provided by law, to pay proportionate share of the costs.” (Emphasis supplied.)
a fine of Three Thousand Five Hundred Pesos (P 3,500.00); to
indemnify, jointly and severally the Republic of the Philippines in Petitioner Torrevillas suffered the same fate and was
the amount of Thirty Thousand Pesos convicted in the nine (9) criminal cases, to wit:
_______________ _______________
10 Id. 12 Id., at p. 172.

11 Id., at p. 171. 13 Id., at p. 182.
14 Id., at pp. 183-184.
25
26
VOL. 531, AUGUST 24, 2007 25

12
(P 30,000.00); and, to pay their proportionate share of the costs.
(Emphasis supplied.) “In Criminal Case No. 2855, the Court finds accused CAMILO
In Criminal Case No. 2914, the Court finds accused CAMILO DE LETRAN, JOSE SAYSON, RAMON QUIRANTE,
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, MARIANO MONTERA, and EXPEDITO TORREVILLAS
EXPEDITO TORREVILLAS and SIMON FERNAN, Jr., GUILTY beyond reasonable doubt as co-principals in the crime of
GUILTY beyond reasonable doubt as co-principals in the crime of Estafa thru falsification of Public Documents as defined and
Estafa thru falsification of Public Documents as defined and penalized in Articles 318 and 171, in relation to Article 48 of the
penalized in Articles 318 and 171, in relation to Article 48 of the Revised Penal Code, and there being no modifying circumstances
Revised Penal Code, and there being no modifying circumstances in attendance, hereby sentences each of them to an indeterminate
in attendance, hereby sentences each of them to an indeterminate penalty ranging from six (6) years of prision correccional, as
penalty ranging from six (6) years of prision correccional, as minimum, to ten (10) years, eight (8) months and one (1) day of
minimum, to ten (10) years, eight (8) months and one (1) day of prision mayor, as maximum, with the accessory penalties
prision mayor, as maximum, with the accessory penalties provided by law, to pay a fine of Three Thousand Five Hundred
provided by law, to pay a fine of Three Thousand Five Hundred Pesos (P 3,500.00); to indemnify, jointly and severally the
Pesos (P 3,500.00); to indemnify, jointly and severally the Republic of the Philippines in the amount of Forty Eight
Republic of the Philippines in the amount of Twenty Seven Thousand Four Hundred Thirty One Pesos and 85/100 (P
Thousand Pesos (P 13
27,000.00); and, to pay their proportionate 48,431.85); and, to pay their proportionate share of the costs.
15
share of the costs. (Emphasis supplied.) (Emphasis supplied.)

In Criminal Case No. 2918, the Court finds accused CAMILO In Criminal Case No. 2856, the Court finds accused CAMILO
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, DE LETRAN, JOSE SAYSON, RAMON QUIRANTE,
ZOSIMO MENDEZ, SIMON FERNAN, Jr. and ISMAEL MARIANO MONTERA and EXPEDITO TORREVILLAS

GUILTY beyond reasonable doubt as co-principals in the crime of Revised Penal Code, and there being no modifying circumstances
Estafa thru falsification of Public Documents as defined and in attendance, hereby sentences each of them to an indeterminate
penalized in Articles 318 and 171, in relation to Article 48 of the penalty ranging from six (6) years of prision correccional, as
Revised Penal Code, and there being no modifying circumstances minimum, to ten (10) years, eight (8) months and one (1) day of
in attendance, hereby sentences each of them to an indeterminate prision mayor, as maximum, with the accessory penalties
penalty ranging from six (6) years of prision correccional, as provided by law, to pay a fine of Three Thousand Five Hundred
minimum, to ten (10) years, eight (8) months and one (1) day of Pesos (P3,500.00); to indemnify, jointly and severally the Republic
prision mayor, as maximum, with the accessory penalties of the Philippines in the amount of Thirty Four Thousand Six
provided by law, to pay a fine of Three Thousand Five Hundred Hundred Eighty pesos and 65/100 17
(P34,680.65); and to pay their
Pesos (P 3,500.00); to indemnify, jointly and severally the proportionate share of the costs.
Republic of the Philippines in the amount of Forty Eight In Criminal Case No. 2909, the Court finds accused CAMILO
Thousand Four Hundred Seventy Two Pesos and 84/100 (P16 DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, FLORO
48,472.84); and, to pay their proportionate share of the costs. JAYME and EXPEDITO TORREVILLAS GUILTY beyond
(Emphasis supplied.) reasonable doubt as co-principals in the crime of Estafa thru
In Criminal Case No. 2858, the Court finds accused CAMILO falsification of Public Documents as defined and penalized in
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, Articles 318 and 171, in relation to Article 48 of the Revised Penal
MARIANO MONTERA and EXPEDITO TOREVILLAS, Code, and there being no modifying circumstances in attendance,
GUILTY beyond reasonable doubt as co-principals in the crime of hereby sentences each of them to an indeterminate penalty
Estafa thru Falsification of Public Documents as defined and ranging from six (6) years of prision correccional, as minimum, to
penalized in Articles 318 and 171, in relation to Article 48 of the ten (10) years, eight (8) months and one (1) day of prision mayor,
Revised Penal relation to as maximum, with the accessory penalties provided by law, to pay
a fine of Three Thousand Five Hundred Pesos (P3,500.00); to
_______________ indemnify, jointly and severally the Republic of the Philippines in
the amount of Twenty Seven
15 Id., at p. 161.
16 Id.
_______________
27 17 Id., at pp. 162-163.
28
VOL. 531, AUGUST 24, 2007 27
Article 48 of the Revised Penal Code, and there being no Fernan, Jr. vs. People
modifying circumstances in attendance, hereby sentences each of
them to an indeterminate penalty ranging from six (6) years of Thousand Nine Hundred Pesos18 (P27,900.00); and, to pay their
prision correccional, as minimum, to ten (10) years, eight (8) proportionate share of the costs. (Emphasis supplied.)
months and one (1) day of prision mayor, as maximum, with the In Criminal Case No. 2910, the Court finds accused CAMILO
accessory penalties provided by law, to pay a fine of Three DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, FLORO
Thousand Five Hundred Pesos (P3,500.00); to indemnify, jointly JAYME and EXPEDITO TORREVILLAS GUILTY beyond
and severally the Republic of the Philippines in the amount of reasonable doubt as co-principals in the crime of Estafa thru
Forty Seven Thousand Seven Hundred Thirteen Pesos and 9/100 falsification of Public Documents as defined and penalized in
(P47,713.09); and, to pay their proportionate share of the costs. Articles 318 and 171, in relation to Article 48 of the Revised Penal
In Criminal Case No. 2859, the Court finds accused CAMILO Code, and there being no modifying circumstances in attendance,
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, hereby sentences each of them to an indeterminate penalty
MARIANO MONTERA and EXPEDITO TOREVILLAS, ranging from six (6) years of prision correccional, as minimum, to
GUILTY beyond reasonable doubt as co-principals in the crime of ten (10) years, eight (8) months and one (1) day of prision mayor,
Estafa thru Falsification of Public Documents as defined and as maximum, with the accessory penalties provided by law, to pay
penalized in Articles 318 and 171, in relation to Article 48 of the a fine of Three Thousand Five Hundred Pesos (P 3,500.00); to

indemnify, jointly and severally the Republic of the Philippines in In Criminal Case No. 2932, the Court finds accused CAMILO
the amount of Twenty Seven Thousand Nine Hundred Pesos (P 19
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE,
27,900.00); and, to pay their proportionate share of the costs. MARIANO MONTERA, PEDRITO SEVILLE and EXPEDITO
(Emphasis supplied.) TORREVILLAS GUILTY beyond reasonable doubt as co-
In Criminal Case No. 2914, the Court finds accused CAMILO principals in the crime of Estafa thru falsification of Public
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, Documents as defined and penalized in Articles 318 and 171, in
EXPEDITO TORREVILLAS and SIMON FERNAN, Jr., relation to Article 48 of the Revised Penal Code, and there being
GUILTY beyond reasonable doubt as co-principals in the crime of no modifying circumstances in attendance, hereby sentences each
Estafa thru falsification of Public Documents as defined and of them to an indeterminate penalty ranging from six (6) years of
penalized in Articles 318 and 171, in relation to Article 48 of the prision correccional, as minimum, to ten (10) years, eight (8)
Revised Penal Code, and there being no modifying circumstances months and one (1) day of prision mayor, as maximum, with the
in attendance, hereby sentences each of them to an indeterminate accessory penalties provided by law, to pay a fine of Three
penalty ranging from six (6) years of prision correccional, as Thousand Five Hundred Pesos (P 3,500.00); to indemnify, jointly
minimum, to ten (10) years, eight (8) months and one (1) day of and severally the Republic of the Philippines in the amount of
prision mayor, as maximum, with the accessory penalties Forty Four Thousand Seven Hundred Sixty Two Pesos and 58/100 21
provided by law, to pay a fine of Three Thousand Five Hundred (P 44,762.58); and, to pay their proportionate share of the costs.”
Pesos (P 3,500.00); to indemnify, jointly and severally the (Emphasis supplied.)
Republic of the Philippines in the amount of Twenty Seven
Thousand Pesos (P 27,000.00); and, to pay their proportionate Petitioners made the supplication before the court a quo to
share of the costs. (Emphasis supplied.) recall the adverse judgments against them which was
In Criminal Case No. 2919, the Court finds accused CAMILO declined by the August 29, 2000 SB Resolution.
DE LETRAN, JOSE SAYSON, RAMON QUIRANTE, Firm in their belief that they were innocent of any
MARIANO MONTERA, ZOSIMO MENDEZ, EXPEDITO wrongdoing, they now interpose the instant petition to
TORREVILLAS and ISMAEL SABIO, Jr. GUILTY beyond clear their names.
reasonable doubt as co-
_______________
_______________
20 Id., at p. 184.
18 Id., at p. 180. 21 Id., at pp. 188-189.
19 Id., at pp. 180-181.
30
29

VOL. 531, AUGUST 24, 2007 29 Fernan, Jr. vs. People
principals in the crime of Estafa thru falsification of Public

Documents as defined and penalized in Articles 318 and 171, in The Issues
relation to Article 48 of the Revised Penal Code, and there being
no modifying circumstances in attendance, hereby sentences each Petitioners put forward two (2) issues, viz.:
of them to an indeterminate penalty ranging from six (6) years of
I
prision correccional, as minimum, to ten (10) years, eight (8)
months and one (1) day of prision mayor, as maximum, with the THE HONORABLE SANDIGANBAYAN TOTALLY IGNORED
accessory penalties provided by law, to pay a fine of Three PETITIONERS CONSTITUTIONAL RIGHT TO BE PRESUMED
Thousand Five Hundred Pesos (P 3,500.00); to indemnify, jointly INNOCENT WHEN IT RULED THAT THE BURDEN OF
and severally the Republic of the Philippines in the amount of CONVINCING THE HON. COURT THAT THE DELIVERIES OF
Thirty One Thousand Pesos (P 20
31,000.00); and, to pay their THE ROAD MATERIALS ATTESTED TO HAVE BEEN
proportionate share of the costs. (Emphasis supplied.) RECEIVED BY THEM WERE NOT GHOST DELIVERIES

RESTS WITH THE ACCUSED AND NOT WITH THE A thorough scrutiny of the records is imperative to
PROSECUTION. determine whether or not reasonable doubt exists as to the
guilt of accused Fernan, Jr. and Torrevillas.
II Petitioners were charged with the complex crime of
THE HONORABLE SANDIGANBAYAN ERRED IN
estafa through falsification of public documents as defined
CONVICTING PETITIONERS AS CO-CONSPIRATORS
and penalized under Articles 318 and 171 in relation to
DESPITE THE PROSECUTION’S FAILURE TO SPECIFICALLY
Article 48 of the Revised Penal Code, thus:
PROVE BEYOND REASONABLE DOUBT THE FACTS AND “ART. 318. Other deceits.—The penalty of arresto mayor and a
CIRCUMSTANCES THAT WOULD IMPLICATE THEM AS CO- fine of not less than the amount of the damage caused and not
CONSPIRATORS AND JUSTIFY THEIR CONVICTION. more than twice such amount shall be imposed upon any person
who shall defraud or damage another by any deceit not mentioned
in the preceding articles of this chapter.
The Court’s Ruling ART. 171. Falsification by public officer, employee; or notary or
ecclesiastical minister.—The penalty of prision mayor and a fine
We are not persuaded to nullify the verdict. not to exceed 5,000 pesos shall be imposed upon any public officer,
employee, or notary who, taking advantage of his official position,
Petitioners’ guilt was established beyond reasonable shall falsify a document by committing any of the following acts:
doubt
xxxx
Petitioners mainly asseverate that their guilt was not
shown beyond a peradventure of doubt and the State was _______________
unable to show that government funds were illegally
released based on alleged ghost deliveries in conjunction 22 Art. III, Sec. 14 (2).
with false or fake tally sheets and other documents which 23 People v. Balacano, G.R. No. 127156, July 31, 2000, 336 SCRA 615,
they admittedly signed. 621.
We are not convinced.
Our Constitution unequivocally guarantees that in all 32
criminal prosecutions, the accused shall be presumed inno-

31
VOL. 531, AUGUST 24, 2007 31

4. Making untruthful statements in a narration of facts;
Fernan, Jr. vs. People ART. 48. Penalty for complex crimes.—When a single act
22
constitutes two or more grave or less grave felonies, or when an
cent until the contrary is proved. This sacred task offense is a necessary means for committing the other, the penalty
unqualifiedly means proving the guilt of the accused for the most serious crime shall be imposed, the same to be
beyond a reasonable doubt. Definitely, “reasonable doubt” applied in its maximum period.”
is not mere guesswork whether or not the accused is guilty,
but such uncertainty that “a reasonable man may entertain The complex crime is pruned into the following essential
after a fair review and consideration of the evidence.” elements:
Reasonable doubt is present when
For estafa
“after the entire comparison and consideration of all the
1. Deceit: Deceit is a specie of fraud. It is actual fraud, and
evidences, leaves the minds of the [judges] in that condition that
consists in any false representation or contrivance
they cannot say they feel an abiding conviction, to a moral
whereby one person overreaches and misleads another, to
certainty, of the truth of the charge; a certainty that convinces
his hurt. There is deceit when one is misled, either by
and directs the understanding, and satisfies the reason and 23
guile or trickery or24by other means, to believe to be true
judgment of those who are bound to act conscientiously upon it.”
what is really false.
2. Damage: Damage may consist in the offended party being LAA’s and SACDC’s in said engineering district in
deprived of his money or property as a result of the the said year and the participation of the accused
defraudation,
25
disturbance in property right, or temporary thereon;
prejudice. (2) That in the event Mrs. Delia Preagido is presented
to testify as a State witness in the instant cases
For falsification without reproducing and adopting her previous
1. That the offender is a public officer, employee, or notary testimonies in the Mandaue City HED ’78 and the
public; Danao City HED ’77 cases, she will identify
documents and exhibits which have been previously
2. That he takes advantage of his official position;
marked and identified by other prosecution witness
3. That he falsifies a document by committing any of the
26
acts x x x.
defined under Article 171 of the Revised Penal Code.
(3) That in the previous testimonies of Mrs. Delia
Preagido in the Mandaue City HED ’78 and the
Before the SB, a Memorandum of Agreement (MOA) dated
Danao City HED ’77 cases, she identified twenty-six
September 1, 1988 was entered into between the State and
separate lists containing names of officials and
the accused with the following stipulations and admissions:
employees of MPH, Regional Office No. VII, of the
various Highways Engineering Districts in MPH,
_______________ Region VII, and the MPH Central Office who have
24 People v. Hernando, G.R. No. 125214, October 28, 1999, 317 SCRA
allegedly received money or various sums from
617, 627.
1977 to 1978 out of the proceeds or sales of fake
25 L.B. Reyes, THE REVISED PENAL CODE Book Two 712-713 (13th
LAA’s in 1977 and 1978 and, therefore, to obviate
Mrs. Preagido’s previous testimony of these lists,
ed., 1993).
the Prosecution hereby reproduces and adopts
26 Id., at pp. 191-192.
specifically such testimony and the markings of the
33 lists, i.e., Exhibits ‘KKK,’ ‘KKK-1’ to ‘KKK-25’ in the
Mandaue City HED ’78 cases and Exhibits ‘0000’,
‘0000-1’ to ‘0000-25’ in the Danao City HED ’77
VOL. 531, AUGUST 24, 2007 33 cases, substituted or re-marked accordingly as
Fernan, Jr. vs. People ‘Exhibits27
‘LL,, ‘LL-1’ to ‘LL-25’ in the instant
cases.”
“(1) To expedite the early termination of the instant
cases and abbreviate the testimony of Mrs. Delia _______________
Preagido, the prosecution and the accused have
agreed to reproduce and adopt as the testimony of 27 Rollo, pp. 66-67.
Preagido in the instant cases, her previous
34
testimonies in Criminal Cases Nos. 889, etc.
(Mandaue City HED ’78 cases), on May 18 and 19,
1982 and in Criminal Cases Nos. 1446-1789, etc. 34 SUPREME COURT REPORTS ANNOTATED
(Danao City HED ’77 cases) on November 10, 1987 Fernan, Jr. vs. People
and March 14, 1988, both on direct and cross
examination x x x without prejudice to whatever
As a result of this MOA, the testimony of state witness
direct and/or cross examination question, that may
be propounded by the Prosecution and the accused Preagido on the modus operandi of the conspirators, or the
on said State witness, which questions will only be unique and distinct method of procedure by which the mal-
limited to the fake or irregular LAA’s and SACDC’s versation of public funds in Region VII of the MPH was
issued to Cebu I HED in 1977, the sale of such fake perpetrated and accomplished, dealt a major blow to the
or irregular LAA’s and SACDC’s issued to Cebu I defenses raised by petitioners. Preagido’s vital testimony,
HED in 1977, the sale of such fake or irregular wherein she identified the methods, documents, exhibits,

and other pertinent papers that led to 28the crafting of fake and the specific fake general vouchers, checks, and other
Letters of Advice of Allotment (LAAs), general vouchers, pertinent documents issued which led to the illegal
disbursement of funds for non-existent projects, general disbursement of funds are summarized as follows:
vouchers, and other documents, was not even successfully
refuted or overturned by petitioners. Petitioner Fernan, Jr.
Preagido confirmed and admitted under oath that the
Criminal Specific Main Items FAKE Amount
illegal disbursement of public funds pertained to non-
Case No. Exhibits Documents Allegedly LAAs that of Fraud
existent projects and was supported by fake LAAs, fake
Falsified Purchased authorized
general vouchers, and other pertinent papers that were purchase
also falsified. The fake LAAs and general vouchers were, in
turn, supported by signed tally sheets that pertained to 2879 T-86-f- 1. General 1,400 cu. m. of Not PhP
alleged ghost deliver- 1, etc. Voucher item 108 for numbered 28,000.00
(Tally No. B-15; use in the contrary
Sheets) 2. Check repair of the to official
_______________
No. Cebu Hagnaya procedure
28 Id., at pp. 69-72. On the basis of appropriations laws and upon 9933064; Wharf road
request made by heads of agencies, the Ministry of Budget releases funds
from Km.
50.30 to Km.
to the various government agencies (in this case the MPH) via an Advice
60.00
of Allotment (AA) and a Cash Disbursement Ceiling (CDC). The AA is
written authority for the MPH to incur obligations within a specified 2880 T-87-f- 1. Request 1,400 cu. m. of Not, PhP
amount in accordance with approved programs and projects. The CDC is 1, etc. for item 108 for numbered 28,000.00
written authority to pay. Upon receipt of the AA and CDC from the (Tally Allocation use in the contrary
Ministry of Budget, the Central Office of the MPH prepares the Sub-
Sheets) of repair of the, to official
Allotment Bogo-Curva- procedure
Advice of Allotment (SAA) and the Advice of Cash Disbursement Ceiling
101-12- Medellon road
(ACDC) for each region, in accordance with the disbursement allotment.
105-76; 2. from Km.
These are sent to the Regional Office (in this case Region VII). Upon
General 110.00 to Km.
receipt, the region’s Budget Officer prepares the corresponding
Voucher 119.00
Letters of Advice of Allotment (LAAs) which are forwarded to the
No. B-55;
various districts of the region (in this case, the First Highway 3. Check
Engineering District; incidentally, the amount that goes to each district is No.
already indicated in the AA). Only upon receipt of the LAA is the 9933104;
district office authorized to incur obligations, that is, spend
2881 T-104- 1. Request Approximately Not PhP
public funds. (Emphasis supplied.)
g-1, etc. for 1,500 cu. m. of numbered 31,000.00
35
(Tally Allocation item 108 for contrary
Sheets) of use in the to official
Allotment repair and procedure
VOL. 531, AUGUST 24, 2007 35 101-2-56- rehabilitation
77; 2. of damaged
General roads and
Voucher bridges by
ies of road construction materials for non-existent or illegal No. B-245; Typhoon
projects. 3. Check Aring at the
The fake tally sheets, delivery receipts, reports of No. Tabogon-Bogo
inspection, requests for supplies and materials, and other 9933294; provincial
related documents signed on separate occasions by road from Km.
petitioners, which were attached as supporting documents 92 to Km. 98
to corresponding general vouchers; the alleged amounts
and quantities of road construction materials delivered; 36

36 SUPREME COURT REPORTS ANNOTATED Criminal Specific Main Items FAKE Amount
Case No. Exhibits Documents Allegedly LAAs that of Fraud
Falsified Purchased authorized
purchase
2885 T-89-f- 1. Materials for Not PhP
1, etc. Request use in the numbered 30,000.00 2855 T-33-f 1. Request 153.63 m. Not PhP
(Tally for repair and contrary (Delivery for t. of item numbered 48,431.85
Sheets) Allocation rehabilitation to official Receipt); Allocation 310 for contrary
of of the Daan- procedure T-33-f-1 of use in to official
Allotment Bantayan (Daily Allotment asphalting procedure
101-12- road from Tally 101-10- of the
112-76; 2. Km. 127.00 Sheet); 186-76; 10- Toledo-
General to Km. 136 190-76; 10- Tabuelan
Voucher 192-76; 10- road from
No. B-76; 188-76; 10- Km.
3. Check 180-76; 2. 108.34 to
No. General Km.
9933125; Voucher 109.52
No. B-613;
2914 T-115- 1. 1,200 cu. m. PhP 3. Check
g-1, General of item 108 27,000.00 No.
etc. Voucher for use in the 9403099;
(Tally No. B- rehabilitation
Sheets) 927; 2. of the Cajel- 2856 T-34-f 1. Request 153.76 m. Not PhP
Check Lugo, Barbon (Delivery for t. of item numbered 48,472.84
No. barangay Receipt); Allocation 310 for contrary
9403425; road T-34-f-1 of use in the to official
(Daily Allotment asphalting procedure
2918 T-116- 1. 1,500 cu. m. Not PhP Tally 101-10-15- of the
f-1, etc. General of item 108 numbered 30,000.00 76; 9-201- Toledo-
(Tally Voucher for the contrary 76; 8-152- Tabuelan
Sheets) No. B- rehabilitation to official 76; 8-153- road from
107; 2. of the Cebu procedure 76;9- Km
Check North 108.34 to
No. Hagnaya
9933157; Wharf road
37
from Km. 71
to Km. 76
VOL. 531, AUGUST 24, 2007 37
Petitioner Torrevillas Fernan, Jr. vs. People
Criminal Specific Main Items FAKE Amount
Case No. Exhibits Documents Allegedly LAAs that of Fraud Sheet); 181-76; 9- Km. 109.52
Falsified Purchased authorized 184-76
purchase 2.
General
Voucher
No.B-619;
3. Check
No.
9403105;
2858 T-35-f 1. 151.35 m. t. Not PhP
(Delivery Request of item 310 numbered 47,713.09 Supplies Voucher for use in the contrary
Receipt); T- for for use in the contrary and Equip- No. B- rehabilitation to official
35-f-1 (Daily Allocation asphalting of to official 929; of the Magay- procedure
Tally Allotment the Toledo- procedure 2. Check Canamukan,
Sheet); 101-6- Tabuelan No.
234-76; 6- road from 9403427;
237-76; 6- Km. 108.34
239-76; 6- to Km. 38
241-76;6- 109.52
240-76
2. 38 SUPREME COURT REPORTS ANNOTATED
General Fernan, Jr. vs. People
Voucher
No. B-
629; ment); T- Compostela
3. Check 114-e barangay
No. (Report of road
9403115; Inspection);
T-114-f
2859 T-36-f 1. 110.01 m. t. Not PhP (Abstract of
(Delivery Request of item 310 numbered 34,680.65 Sealed
Receipt); T- for for use in contrary Quotation)
36-f-1 (Daily Allocation asphalting of to official
Tally of the Toledo- procedure 2914 T-115-c 1. 1,200 cu. m. Not PhP
Sheet); Allotment Tabuelan (Request for General of item 108 numbered 27,000.00
101-7-63- road from Supplies Voucher for use in the contrary
76; 8-102- Km. 108.34 and No. B- rehabilitation to official
76; 8-121- to Km.109.52 Equipment); 927; of the Cajel- procedure
76 T- 115-e 2. Check Lugo, Barbon
2. (Report of No. barangay
General Inspection); 9403425; road
Voucher T-115-f
No. B- (Abstract of
631; Sealed
3. Check Quotation)
No. 2919 T-117-g 1. 1,550 cu. m. Not PhP
9403117; (Delivery General of item 108 numbered 31,000.00
2909 T-113-b 1. 1,200 cu.m. Not PhP Receipt); T- Voucher for use in the contrary
(Request for General of item 108 numbered 27,900.00 117-g-1, etc. No. B- repair and to official
Supplies Voucher for use in the contrary (Daily Tally 244; rehabilitation procedure
and No. B- rehabilitation to official Sheets) 2. Check of damaged
Equipment); 928; of the procedure No. roads and
T- 113-d 2. Check Buanoy- 9933293; bridges at
(Report of No. Cantibas, the Toledo-
Inspection); 9403426; Balaban Tabuelan
T-113-c barangay national road
(Abstract of road from Km. 71
Sealed to Km. 83
Quotation) 2932 1. 250 gals of Not PhP
2910 T-114-c 1. 1,200 cu. m. Not PhP Request aluminum numbered 44,762 58
(Request for General of item 108 numbered 27,900.00 for paint 324 contrary
Allocation gals of red to official benefited by the construction and repair activities of the
of lead paint for procedure Cebu First Highway Engineering District. The testimonies
Allotment use in the of these barangay captains and residents are summarized
30
101-7-83- maintenance as follows:
76; 7-84- of national
76; 7-124- roads and “1. MACARIO LIMALIMA, Barangay Captain of
76;8-153- bridges Barangay Antipolo, Medellin, Cebu, testified that
76; 8-170- his barangay is traversed by the national highway
76; stretching to a distance of 2 kilometers and 750
2. meters (Km. 122; Km. 123 to 125). He described the
General road as full of potholes. Except for filling up these
Voucher potholes with “anapog” or crushed limestone, no
B-643;
major repairs were undertaken on the said road in
3. Check
1978 or in previous years. (TSN., pp. 6-14, June 5,
No. 31
1986).
9403130;
On the part of petitioners, they readily admitted that they _______________

either signed the tally sheets and/or delivery receipts, 29 Id., at pp. 15, 17, 94-96, 131, 134 & 206-207.
reports 30 Id., at pp. 84-86 & 88.
39 31 Id., at p. 84.
40
VOL. 531, AUGUST 24, 2007 39
of inspection, requests for supplies and materials, and
other related documents which became part of the
supporting documents that led to the issuance of general 2. FELOMINO ORBISO, Barangay Captain of
vouchers and eventually the disbursement of public funds.
29
Cawit, Medellin, Cebu, from 1972 to 1981, testified
The tally sheets are statements of delivery that that his barangay is traversed by the national
purportedly indicated the specified quantities of materials highway, stretching from Km. 125 to Km. 127.9. He
for the construction and maintenance of roads that have described the road as a rough or dirt road. No
been delivered on supposed project sites on given dates at improvement was ever made on this road whether
specific places. during the year when he gave his statement to the
As a result of petitioners’ signatures in the tally sheets NBI (1978) or in previous years. The road remained
and/or delivery receipts, reports of inspection, requests for in bad shape, with numerous potholes which the
supplies and materials, and other supporting documents— camineros merely filled32 up with limestone. (TSN.,
which became the basis for payment to suppliers—public pp.14-19, June 5, 1986).
funds were released via general vouchers and checks to the 3. TIMOTEO ANCAJAS, Barangay Captain of
said suppliers despite the fact that the latter did not make Paypay, Daan Bantayan, Cebu, from 1972 to 1982,
any deliveries in accordance with projects allegedly funded testified that his barangay is traversed by the
by mostly fake LAAs. national highway, stretching from Km. 132 to Km.
The accusation that there were no actual deliveries of 134 ½ a distance of 2 ½ kilometers. He described
road construction and maintenance materials in support of the portion of the highway as a rough road with
projects or otherwise funded by LAAs was proven true by potholes. He stated that the only improvement done
the testimonies of the various barangay captains and on this road was the filling up of the potholes with
residents of the barangay who were supposed to be “anapog” or crushed limestone and this was done
only once in 1977. It even took the camineros three
months from the time the limestones were delivered of potholes with crushed limestone which camineros
to start working
33
on the road. (TSN., pp. 20-26, June gathered36 from the roadside. (TSN., pp.57-67, June
5, 1986). 5, 1986).
4. LUCIA PEÑAFLOR, Barangay Captain of Don 7. ALBERTO BRANSUELA, a resident of Barangay
Pedro, Bogo, Cebu, from 1966 to 1982, testified that San Jose, Catmon, Cebu, from 1974 to 1978,
her barangay is traversed by the national highway, testified that barangay San Jose is traversed by the
stretching from Km. 103 to Km. 105 ½ up to the national highway (Km. 58), covering a distance of ½
boundary of San Remigio, and from the boundary to kilometer more or less. He stated that while this
Daan Bantayan, a distance of more than 3 portion of the national highway was already
kilometers. It was only in 1984 or 1985 when this asphalted as of 1977, there were potholes which the
portion of the national highway was asphalted. camineros filled up with anapog taken 37from the
Prior to that, the road was maintained by filling up roadside. (TSN., pp. 69-80), June 5, 1986).
the potholes with crushed limestone or “anapog.” 8. CARIDAD PUNLA, Acting Barangay Captain of
These potholes started to appear between January Barangay Corazon, Catmon, Cebu, from 1977 to
and June of 1977. However, as alleged by her in her 1982, testified that the Poblacion of Catmon is
affidavit (Exh. “II-1-d”), these potholes were filled traversed by the national highway, stretching from
up only from January
34
to June, 1978. (TSN, pp. 28- Km. 57 to Km. 58. In 1977, only more than ½ of this
46, June 5, 1986). portion of the national highway was cemented
5. MARCELO CONEJOS, Barangay Captain of while the remaining portion was asphalted. While
Tapilon, Daan Bantayan, from 1972 to 1982, said portion of the national highway already had
testified that his barangay is traversed by the cracks and potholes as of 1977, the real problem
national highway, stretching from Km. 130 to Km. was the uneven elevation of the surface of the
134, or a distance of 4 kilometers. In 1977, said shoulder of the road. No general repair was
portion of the national highway was in bad undertaken by the authorities to correct the uneven
condition and that nothing was done to elevation, except for the work done by the
camineros who covered 38
up the potholes. (TSN., pp.
81-89, June 5, 1986).
_______________
9. FELIPE MOLIT, Barangay Captain of Bao, Sugud,
32 Id. Cebu, from 1975 to 1982, testified that barangay
33 Id. Bao was traversed by the national highway,
34 Id., at pp. 84-85. stretching from Km. 59 to Km. 60 ½. He described
said portion of the national highway as a gravel
41
road surfaced with anapog. In 1977, the said road
already had potholes which maintenance men filled
VOL. 531, AUGUST 24, 2007 41 up with anapog beginning in March, 1977. The
anapog was hauled in from Km. 64, the usual
excavation place of anapog. It took only 3
truckloads of anapog to cover the entire length
improve it until 1982, except for the time when the
potholes were filled up with 35crushed limestones.
_______________
(TSN, pp. 48-56, June 5, 1986).
6. REMEDIOS FELICANO, Barangay Captain of 35 Id., at p. 85.
Looc, San Remigio, Cebu from 1977 to 1982, 36 Id.
testified that her barangay is traversed by the 37 Id.
national highway, stretching form Km. 109 to Km. 38 Id., at pp. 85-86.
110. She described said portion of the national
highway as “stoney.” The only maintenance work 42
undertaken to improve the road was the filling up
42 SUPREME COURT REPORTS ANNOTATED 40 Id., at p. 88.

41 Id.
43
of the 1 ½ kilometers traversing 39
their barangay.
(TSN., pp. 90-99, June 5, 1986).
VOL. 531, AUGUST 24, 2007 43
10. LEONARDO PINOTE, Barangay Captain of
Barangay Argawanon, San Remigio, Cebu, from Fernan, Jr. vs. People
1972 to 1980, testified that his barangay is
traversed by the national highway covering a While petitioner Torrevillas presented Vice-Mayor Emigdio
distance of ½ kilometers more or less. In 1977, this Tudlasan of Tabuclan, Cebu, who testified that he saw the
portion of the national highway was a rough road asphalting of the Tabuclan Road from kilometers 18 to 19,
with potholes. In the same year, camineros worked said testimony is not conclusive on the actual delivery of
on the road, using wheelbarrows, shovels and the supplies indicated in the tally sheets, as Tudlasan was
rakes, pitching up the potholes
40
with anapog. (TSN., not present at the time of alleged delivery. Moreover, his
pp. 29-35, June 6, 1986). testimony runs counter to the testimonies of Barangay
11. PEDRO ORSAL, Barangay Captain of Poblacion, Captain Remedios Feliciano of Looc, San Remigio, Cebu
San Remigio, Cebu, from January 1972 to 1980, and Barangay Captain Pedro Orsal of Poblacion, San
testified that his barangay is traversed by the Remigio, Cebu. Feliciano testified that she was Barangay
national highway, from Km. 107 to Km. 110, or a Captain of Looc, San Remigio, Cebu from 1977 to 1982;
distance of three kilometers more or less. In 1977, that her barangay is traversed by the national highway,
the road from Km. 107 to Km. 108 was a gravel stretching from km. 109 to km. 110; and that the only work
road. It was properly maintained by the highways undertaken to improve the road was the filling up of
people, and every time potholes appeared on the potholes with crushed limestone which camineros gathered
road, they would be filled-up with anapog. This from the roadside. On the other hand, Orsal testified that
material was dumped along the road by trucks of he was Barangay Captain of Poblacion, San Remigio, Cebu,
the Bureau of Public Highways. On the other hand, from January 1972 to 1980; that his barangay is traversed
the road leading to the heart of the poblacion was by the national highway, from km. 107 to km. 110; that in
asphalted, but with potholes. In 1977, the potholes 1977, the road from km. 107 to km. 108 was a gravel road
were filled up by camineros with gravel delivered by maintained by the highways people, and every time
dump trucks of the Bureau of Public Highways. It potholes appeared on the road, they would be filled-up with
was only in 1978 when the road was reasphalted anapog, which was dumped along the road by the Bureau
and extended from the junction of the poblacion to of Public Highways; and that it was only in 1978 when the
the adjacent barrio of Looc. x x x (TSN., pp. 36-45, road was re-asphalted and extended from the junction of
41
June 6, 1986).” the poblacion to the adjacent barrio of Looc.
Compared to the testimony of Vice-Mayor Tudlasan, the
The inescapable conclusion from the aforementioned testimonies of Barangay Captains Feliciano and Orsal are
testimonies of the barangay captains and residents of Cebu entitled to more weight and credit, and are more credible
whose respective barangay are traversed by the national considering the fact that they are residents of the area
highway is that there were no actual major repair works where the road supposedly to be repaired is located plus
undertaken on the national highway except the filling of the fact that they saw only limestone, not asphalt, that was
potholes by crushed limestone (anapog). Clearly, there used in the repair of the road in 1977. The testimonies of
were no deliveries of supplies and materials for asphalting Feliciano and Orsal are further buttressed by the findings
and repair of roads described in the tally sheets and other and statements of government witnesses, namely—Ruth
supporting documents signed by petitioners. Inting Paredes, Supervising Commission on Audit (COA)
Auditor assigned to Region VII; Felicitas Cruz Ona,
Supervising COA Auditor assigned to the main COA office;
_______________
Federico A. Malvar, Senior
39 Id., at p. 86.
44 VOL. 531, AUGUST 24, 2007 45

Fernan, Jr. vs. People These checks were allegedly paid to suppliers Juliana de
los Angeles (Criminal Case Nos. 2879, 2880, 2881, 2885, 46
and 2914) and Ismael Sabio, Jr. (Criminal Case No. 2918).
National Bureau of Investigation (NBI) Agent of the Anti-
On his part, petitioner Torrevillas voluntarily admitted
Graft Section and member of the COA NBI team assigned
to signing tally sheets, reports of inspection, requisitions of
to investigate the anomalies; Rogelio C. Mamaril,
supplies and equipment, and other pertinent documents
Supervising NBI Agent of the Anti-Fraud and Action 47
totaling an even greater amount of PhP 337,861.01,
Section; and Delia Comahig Preagido, Accountant III,
including PhP 27,000 in Criminal Case No. 291448 where
MPH, Region VII—to the effect that the general vouchers
petitioner Fernan, Jr. was among the co-accused. These
and LAAs that corresponded to the aforementioned tally
documents signed by petitioner Torrevillas were likewise
sheets signed by petitioner Torrevillas were fake or
attached as supporting papers to fake general vouchers
falsified. Undeniably, the government witnesses have no
which facilitated the release of check payments to
motive to testify falsely against petitioner Torrevillas and,
suppliers.
hence, credible. We conclude that there were no actual
These checks were allegedly paid to suppliers Rufino V.
deliveries of supplies for asphalting of road and repair on
Nuñez (Criminal Case Nos. 2855, 2856, 2858, and 2859),
kilometers 108 and 109, which were the subjects of
Juliana de los Angeles (Criminal Case Nos. 2909, 2910, and
Criminal Case Nos. 2855, 2856, 2858, and 2859.
2914), Ismael Sabio, Jr. (Criminal Case No. 2919), and
Glaring is the finding of the SB that the Cebu First 49
Manuel Mascardo (Criminal Case No. 2932).
Highway Engineering District, to which petitioners were
These general vouchers and checks could not be traced
assigned, had fake LAAs totaling to PhP 4,924,366.50,
to genuine LAAs. Ergo, there were no actual deliveries of
while the fake Cash Disbursement Ceilings issued
42 supplies and materials for the road repair and
amounted to PhP 6,271,150. The Cebu First Highway
rehabilitation in Region VII, which were the subjects of the
Engineering District had also issued checks per43unrecorded
criminal cases where petitioners were charged.
reports in the total sum of PhP 1,135,176.82. Therefore,
We find no reason to disturb the findings of the court a
the total illegal disbursements in the Cebu First Highway
quo that all the essential elements of the crime of estafa
Engineering District alone were a staggering PhP
through falsification of public documents were present.
12,330,693.32 circa 1977.
There is no question that petitioners, at the time of the
Of this total, petitioner Fernan, Jr. freely admitted
commission of the crime, were public officers—civil
signing tally sheets which pertained to non-existent
engineers—assigned to the MPH. Their signing of tally
deliveries of road construction supplies and materials
44 sheets and related documents pertaining to the alleged
totaling PhP 146,000, including PhP 27,000 in Criminal
deliveries of supplies for road repair and construction
Case No. 2914 where petitioner Torrevillas was among the
45 constitutes intervention and/or taking advantage of their
co-accused. These tally sheets were attached as the
official positions, especially considering that
supporting papers to fake general vouchers which
facilitated the release of check payments to suppliers.
_______________
_______________ 46 Records, Informations Envelope Vol. 1 (of 6 volumes).

47 Rollo, pp. 161-162, 180, 182, 184 & 188.
42 Id., at p. 78.
48 Id., at p. 182.
43 Id., at p. 79.
49 Id.
44 Id., at pp. 170-172 & 182-183.
45 Id., at p. 182. 46
45

Fernan, Jr. vs. People Fernan, Jr. vs. People
they had the duty to inspect the purported deliveries and genuine and duly covered by genuine LAAs was
ascertain the veracity of the documents and the statements substantiated only by their own self-serving and
contained in them. uncorroborated testimonies. We hesitate to give much
The tally sheets bearing their signatures contained false weight and credit to their bare testimonies in the face of
recitals of material facts which the petitioners had the duty clear, convincing, overwhelming, and hard evidence
to verify and confirm. These tally sheets were attached as adduced by the State.
supporting documents to fake LAAs and subsequently If the genuine LAAs were vital to their defense, and they
became the bases for the disbursement of public funds to firmly believed that the documents were indeed in the
the damage and prejudice of the government. Indubitably, custody of the NBI, then petitioners could have easily
there exists not even an iota of doubt as to petitioners’ procured the compulsory process to compel the production
guilt. of said documents. However, petitioners miserably failed to
The essential elements of estafa through falsification of avail of subpoena duces tecum which the court a quo could
public documents are present in the cases against have readily granted. The inability to produce such
petitioners, as follows: important and exculpatory pieces of evidence proved
disastrous to petitioners’ cause. Their conviction was
1. Deceit: Petitioners Fernan, Jr. and Torrevillas indeed supported by proof beyond reasonable doubt which
made it appear that supplies for road construction was not overturned by defense evidence.
and maintenance were delivered by suppliers
allegedly in furtherance of alleged lawful projects Petitioners acted in conspiracy with one another
when in fact said supplies were not delivered and Petitioners vigorously claim error on the part of the lower
no actual asphalting or repair of road was court when it made the finding that they were co-
implemented. In doing so, petitioners: conspirators with the other parties accused despite the
dearth of evidence to amply demonstrate complicity.
1.1. Were public officers or employees at the time of the We are not convinced by petitioners’ postulation.
commission of the offenses; Indeed, the burden of proving the allegation of
1.2. Took advantage of their official position as highway conspiracy falls to the shoulders of the prosecution.
engineers; and Considering, however, the difficulty in establishing the
1.3. Made untruthful statements in several narrations existence of conspiracy, settled jurisprudence finds no need
of fact. to prove it by direct evidence. In People v. Pagalasan, the
Court explicated why direct proof of prior agreement is not
2. Damage: The government disbursed PhP 146,000 necessary:
in the case of Fernan, Jr. and PhP 337,861.01 in the
case of Torrevillas, as payments to various “After all, secrecy and concealment are essential features of a
suppliers for the delivery of non-existent supplies. successful conspiracy. Conspiracies are clandestine in nature. It
may be inferred from the conduct of the accused before, during
By way of defense, petitioners posit that the tally sheets and after the commission of the crime, showing that they had
and other documents could in fact be traced to genuine acted with a common purpose and design. Conspiracy may be
LAAs that were in the custody of the NBI. Unfortunately, implied if it is proved that two or more persons aimed their acts
these genuine LAAs were not introduced in evidence. It is towards the accomplishment of the same unlawful object, each
an age-old axiom that s/he who alleges something must doing a part so that their combined acts, though apparently
prove it. Petitioners’ assertion that the documents they independent of each other,
signed were all 48
47
VOL. 531, AUGUST 24, 2007 47 Fernan, Jr. vs. People

were in fact, connected and cooperative, indicating a closeness of journal vouchers and general journal through negative entries to
personal association and a concurrence of sentiment. To hold an conceal the illegal disbursements. In the initial report of COA
accused guilty as a co-principal by reason of conspiracy, he must auditors Victoria C. Quejada and Ruth I. Paredes it was
be shown to have performed an overt act in pursuance or discovered that the doubtful allotments and other anomalies
furtherance of the complicity. There must be intentional escaped notice due to the following manipulations:
participation in the transaction with
50
a view to the furtherance of
“The letter-advices covering such allotments (LAA) were not signed by
the common design and purpose.”
the Finance Officer nor (sic) recorded in the books of accounts.
In Estrada v. Sandiganbayan, we categorized two (2) Disbursements made on the basis of these fake LAAs were charged to the
structures of multiple conspiracies, namely: (1) the so- unliquidated obligations (Account 8-81-400), although the obligations
called “wheel” or “circle” conspiracy, in which there is a being paid were not among those certified to the unliquidated obligations
single person or group (the “hub”) dealing individually with (Account 8-81-400) at the end of the preceding year. To conceal the over-
two or more other persons or groups (the “spokes”); and (2) charges to authorized allotments, account 8-81-400 (sic) and the excess of
the “chain” conspiracy, usually involving the distribution of checks issued over authorized cash disbursements ceiling, adjustments
narcotics or other contraband, in which there is successive were prepared monthly through journal vouchers to take up the negative
communication and cooperation in much the same way as debit to Account 8-81-400 and a negative credit to the Treasury Checking
with legitimate business operations between manufacturer Account for Agencies Account 8-70-790. These journal vouchers in effect
and wholesaler, then 51wholesaler and retailer, and then cancelled the previous entry to record the disbursements made on the
retailer and consumer. basis of fake LAAs. Thus the affected accounts (Accounts 8-81-400 and 8-
We find that the conspiracy in the instant cases 70-790), as appearing in the trial balance, would not show the
52
resembles the “wheel” conspiracy. The 36 disparate persons irregularity. The checks, however, were actually issued.”
who constituted the massive conspiracy to defraud the
The four formed the nucleus of the nefarious
government were controlled by a single hub, namely:
conspiracy. Other government employees, tempted by the
Rolando Mangubat (Chief Accountant), Delia Preagido
prospect of earning big money, allowed their names to be
(Accountant III), Jose Sayson (Budget Examiner), and
used and signed spurious documents.
Edgardo Cruz (Clerk II), who controlled the separate
xxxx
“spokes” of the conspiracy. Petitioners were among the
3. Cebu First Highway Engineering District Anomalies
many spokes of the wheel.
Focusing our attention now on the anomalies committed in the
We recall the painstaking efforts of the SB through
Cebu First District Engineering District, hereinafter referred to
Associate Justice Cipriano A. Del Rosario, Chairperson of
as the Cebu First HED for brevity, the Court finds that the same
the Third Division, in elaborating the intricate web of
pattern of fraud employed in the other highway engineering
conspiracy among the accused, thus:
districts in MPH Region VII was followed. The Cebu First HED
Mangubat enticed Preagido, Cruz and Sayson to join him. received from
All three agreed to help him carry out his plan. They
_______________
_______________
52 Rollo, p. 106.
50 G.R. Nos. 131926 & 138991, June 18, 2003, 404 SCRA 275, 291.
50
51 G.R. No. 148965, February 26, 2002, 377 SCRA 538, 556-557.

VOL. 531, AUGUST 24, 2007 49
Fernan, Jr. vs. People Region VII thirty-four Letters of Advice of Allotment (LAAs) in
the total sum of P4,734,336.50 and twenty-nine (29)
typed fake LAAs during Saturdays. Cruz and Sayson also took corresponding SubAdvices of Cash Disbursement Ceiling
charge of negotiating or selling fake LAAs to contractors at 26% of (SACDCs), amounting to P5,160,677.04 for the period January 1,
the gross amount. Preagido manipulated the general ledger, 1977 to December 31, 1977. But apart from this, the Cebu First

HED appears to have also received for the same period another Marketing
set of eighty-four (84) LAAs amounting to P4,680,694.76 which
Cebu Hollow 2 Hollow 19,880.00
however, could not be traced to any Sub-Advice of Allotment
Blocks Blocks
(SAA) OR MATCHED TO THE Advices of Cash Disbursement
Ceiling (ACDCs) received from the MPH and Regional Office. This Bienvenido 4 Equip. 29,580.00
is highly irregular and not in consonance with accounting Presillas Rental
procedures. T.R. 1 Office 7,461.90
It was also made to appear that the payments were made for Eustaquio Supplies
alleged prior year’s obligations and chargeable to Account 81-400, Ent.
obviously because, they were not properly funded. Furthermore,
Santrade 1 Johnson 8,392.90
the list of projects in Region VII for 1977 showed that Cebu first
Mktg. Products
HED completed rehabilitation and/or improvement of roads and
bridges in its districts from February to May, 1977, with Pelagia 1 Item 108 2,000 cu.m. 40,000.00
expenditures amounting to P613,812.00. On the other hand, the Gomez
expenditures for barangay roads in the same district in 1977 M & M Ent. 1 Paints 49,736.20
amounted to P140,692.00, and these were all completed within
Freent Ind. 1 Office 590.20
the period from November to December, 1977. These completed
Supplies
projects were properly funded by legitimate LAAs and CDCs in
the total amount of only P754,504.00. However, an additional Total……… P2,505,147.00
amount of P3,839,810.74, was spent by the Cebu First HED for
maintenance of roads and bridges for the same year (1977) but The NBI also discovered that there were purchases of
the same could not be traced to any authoritative document materials in 1977 that were charged to current obligations
coming from the MPH. but paid out of spurious LAAs, to wit:
The following payments for materials purchased for the year
1977 were made to appear as payment for prior year’s obligation Supplier No. of Kind of Measurement Amount
and were paid out of fake LAAs: Vouchers Materials
Rufino 11 Item 310 162,549 m.t. P529,475.00
Supplier No. Kind of Measurement Amount Nuñez Item 108 5,000 cu.m.
ofVouchers Materials
Juliana 16 Item 108 13,280 cu.m. P276,400.00
Rufino 29 Item 310 4,640,275 mt P1,374,135.00 delos Item 111 1,00 cu.m. 24,000.00
Nuñez Angeles Item 200 307 cu.m. 7,982.00
J. delos 21 Item 108 22,290 cu.m. 433,300.00 Iluminada 3 Item 108 3,600 cu.m. 72,090.00
Angeles Vega
Iluminada 11 Item 108 8,325 cu.m. 191,500.00 Florencio 2 Item 108 2,400.00 48,000.00
Vega Gacayan cu.m.
Florencio 10 Item 108 7,800 cu.m. 156,000.00 Vicon Ent. 1 Steel 19,042.74
Gacayan Frame
Ismael 6 Item 108 6,198 cu.m. 123,960.00 Ismael 5 Item 108 6,950 cu.m. 139,000.00
Sabio, Jr. Sabio, Jr.
Jabcyl 3 Bridge 128,764.80
51
Mktg. Materials
Total……… P1,339,663.74
VOL. 531, AUGUST 24, 2007 51
Fernan, Jr. vs. People Grand Total ………. P3,839,810.74
52
FBS 3 Lumber 70,610.00
52 SUPREME COURT REPORTS ANNOTATED 53

VOL. 531, AUGUST 24, 2007 53
A total of 132 General Vouchers, emanating from fake LAAs and Fernan, Jr. vs. People
ACDCs, were traced back to Rolando Mangubat, Regional
Accountant of Region VII and Adventor Fernandez, Regional
the conspiracy. In the case at bench, the signing of the fake
Highway Engineer, also of Region VII. Those LAAs and ACDCs
tally sheets and/or delivery receipts, reports of inspection,
became the vehicles in the disbursement of funds amounting to
and requests for supplies and materials by petitioners on
P3,839,810.74, through the vouchers purportedly issued for the
separate occasions is vital to the success of the Mangubat
purchase and delivery of the aforementioned materials allegedly
Group in siphoning off government funds. Without such
used for the maintenance and repair of the national highways
fabricated documents, the general vouchers covering the
within the Cebu First HED. Despite the enormous additional
supply of materials cannot be properly accomplished and
expenditure of P3,839,810.74, the roads and bridges in the
submitted to the disbursing officer for the preparation of
district, as found out by the NBI, did not show any improvement
checks.
(Exhibit “II”). As testified to by several barangay captains, the
State witness Ruth Paredes, Supervising COA Auditor,
road maintenance consisted merely of spreading anapog or
elaborated on the procedure regarding the award of the
limestone on potholes of the national Highway.
contract more specifically to the payment of the contractor
Obviously, the vouchers for payments of alleged maintenance
or supplier. Once the Request for Supplies and Equipment
of roads and bridges in the additional amount of P3,839,810.74
is approved by the Regional Office, the Request for
were prepared for no other purpose than to siphon off the said
Obligation of Allotment (ROA) or the request for funds is
amount from the government coffer into the pockets of some
signed by the District Engineer pursuant to the approved
officials and employees of Region VII and the Cebu First ED, as
plans and budget and signed by the district accountant as
well as the suppliers 53and contractors who conspired and
to availability of funds.
confederated with them.”
The district office will advertise the invitation to bid and
After a close re-examination of the records, the Court finds award the contract to the lowest bidder. The Purchase
no reason to disturb the finding of the anti-graft court that Order (PO) is prepared and addressed to the winning
petitioners are co-conspirators of the other accused, headed bidder. Upon delivery of the supplies and materials, the
by Chief Accountant Rolando Mangubat, who were supplier bills the district office for payment. Consequently,
similarly convicted in practically all the 119 counts of the requisitioning officer will prepare the general voucher
estafa. Undisturbed is the rule that this Court is not a trier which must be accompanied by the following documents:
of facts and in the absence of strong and compelling
reasons or justifications, it will accord finality to the a. The ROA;
findings of facts of the SB. The feeble defense of petitioners b. The PO;
that they were not aware of the ingenuous plan of the c. The abstract of Bid together with the Bid
group of accused Mangubat and the indispensable acts to quotations;
defraud the government does not merit any consideration. d. The delivery receipts together with the tally sheets;
The State is not tasked to adduce direct proof of the and
agreement by petitioners with the other accused, for such
e. The tax clearance and tax certificate of the supplier.
requirement, in many cases, would border on near
impossibility. The State needs to adduce proof only when
After the preparation and submission of the general
the accused committed acts that constitute a vital
voucher and the supporting documents, the disbursing
connection to the chain of conspiracy or in furtherance of
officer shall prepare and draw a check based on said
the objective of
voucher. The check is countersigned by an officer of the
district office
_______________
54
53 Id., at pp. 107-109.

54 SUPREME COURT REPORTS ANNOTATED Fernan, Jr. vs. People

In People v. Mangubat, the court a quo elucidated the
and/or the COA Regional Director based on the amount of conspiracy in the Cebu highway scam in a trenchant
the check. manner:
Thus, it is clear that without the tally sheets and “Where the acts of each of the accused constitute an essential link
delivery receipts, the general voucher cannot be prepared in a chain and the desistance of even one of them would prevent
and completed. Without the general voucher, the check for the chain from being completed, then no conspiracy could result
the payment of the supply cannot be made and issued to as its consummation would then be impossible or aborted. But
the supplier. Without the check payment, the defraudation when each and everyone of the accused in the instant cases
cannot be committed and successfully consummated. Thus, performed their assigned tasks and roles with martinet-like
petitioners’ acts in signing the false tally sheets and/or precision and accuracy, by individually performing essential overt
delivery receipts are indispensable to the consummation of acts, so much so that the common objective is attained, which is to
the crime of estafa thru falsification of public documents. secure the illegal release of public funds under the guise of fake or
Surely, there were ghost or false deliveries of supplies and simulated public documents, then each and everyone of said
materials as convincingly shown by the testimonies of the accused are equally liable as co-principals under the well-
barangay captains, officials, and residents of the areas established and universally-accepted principle that, once a
where the materials were allegedly used. More conspiracy is directly or impliedly proven, the act of one is the act
importantly, if there were actual deliveries of materials of all and such liability exists notwithstanding no-participation in
made, then there would be no need to fake the LAAs every detail in the execution of the offense.”
54
because the suppliers will have to be paid the cost of said

materials plus a reasonable profit. As a result, there is In sum, the required quantum of proof has been adduced by
nothing or not much to share with the more than 30 or so the State on the conspiracy among the accused including
co-conspirators, for the suppliers would not be too dim- petitioners. The conviction of petitioners must perforce be
witted to part with even their cost in buying the materials sustained.
they allegedly supplied. Moreover, the fake delivery WHEREFORE, we DENY the petition and AFFIRM the
receipts and tally sheets signed by petitioners were linked December 4, 1997 Decision of the SB in the consolidated
to the general vouchers upon which check payments were criminal cases subject of this petition.
made to the suppliers who were found guilty of No costs.
participating in the fraud. With respect to petitioner SO ORDERED.
Fernan, Jr., he signed tally sheets on the ghost deliveries of
Juliana de los Angeles and Ismael Sabio, Jr. On the part of Quisumbing (Chairperson), Carpio, Carpio-Morales
petitioner Torrevillas, he signed false tally sheets and and Tinga, JJ., concur.
delivery receipts on supplies allegedly delivered by Rufino
V. Nuñez, Juliana de los Angeles, Ismael Sabio, Jr., and Petition denied, decision of SB affirmed.
Manuel Mascardo. Lastly, the checks issued to these
Notes.—“Switching of official ballots with simulated
suppliers based on general vouchers supported by the false
ballots” is an election-related incident, not an ordinary act
tally sheets and general vouchers signed by petitioners
of
cannot be traced to any genuine LAAs, resulting in the
inescapable conclusion that these LAAs were unauthorized;
_______________
hence, fake or fabricated. These are undisputed tell-tale
signs of the complicity by petitioners with the Mangubat 54 SB Criminal Case Nos. 2073-95 & 3323-45, promulgated on May 30,
syndicate. 1989.
55
56
VOL. 531, AUGUST 24, 2007 55 56 SUPREME COURT REPORTS ANNOTATED

10/10/2020 SUPREME COURT REPORTS ANNOTATED VOLUME 531
Abaga vs. Panes
falsification of public documents, for which the COMELEC,

through its authorized legal officers, has the exclusive
power to conduct preliminary investigation and to
prosecute. (Peña vs. Martizano, 403 SCRA 281 [2003])
The lawyer’s act of notarizing documents without the
requisite commission therefore is reprehensible,
constituting as it does not only malpractice but also the
crime of falsification of public documents. (Zoreta vs.
Simpliciano, 443 SCRA 1 [2004])
——o0o——
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10/10/2020 SUPREME COURT REPORTS ANNOTATED VOLUME 531 10/10/2020 SUPREME COURT REPORTS ANNOTATED VOLUME 531

fair review and consideration of the evidence.” Reasonable doubt

are bound to act conscientiously upon it.—Our Constitution

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2 The entire case record consists of three (3) separate volumes.

6 SUPREME COURT REPORTS ANNOTATED

the illegal transactions, the number of people involved, and

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14 SUPREME COURT REPORTS ANNOTATED

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Office; Agripino Pagdanganan, Budget Officer III, MPH, Central Office; 16

15 16 SUPREME COURT REPORTS ANNOTATED

VOL. 531, AUGUST 24, 2007 15

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Criminal Dates of Main Items Amount Voucher

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19 20 SUPREME COURT REPORTS ANNOTATED

4. General Voucher No. B-613 CONTRARY TO LAW.”

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Criminal Dates of Main Items Amount 76; 6-237-76; Tabuelan road

21 22 SUPREME COURT REPORTS ANNOTATED

VOL. 531, AUGUST 24, 2007 23 24 SUPREME COURT REPORTS ANNOTATED

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the amount of Thirty One Thousand Pesos 11

10 Id. 12 Id., at p. 172.

VOL. 531, AUGUST 24, 2007 25

share of the costs. (Emphasis supplied.) (Emphasis supplied.)

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27 17 Id., at pp. 162-163.

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30 SUPREME COURT REPORTS ANNOTATED

principals in the crime of Estafa thru falsification of Public

central.com.ph/sfsreader/session/00000175117d92b7b697c7d5003600fb002c009e/t/?o=False 29/59 central.com.ph/sfsreader/session/00000175117d92b7b697c7d5003600fb002c009e/t/?o=False 30/59

criminal prosecutions, the accused shall be presumed inno-

VOL. 531, AUGUST 24, 2007 31

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On the part of petitioners, they readily admitted that they _______________

42 SUPREME COURT REPORTS ANNOTATED 40 Id., at p. 88.

44 VOL. 531, AUGUST 24, 2007 45

_______________ 46 Records, Informations Envelope Vol. 1 (of 6 volumes).

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Fernan, Jr. vs. People Fernan, Jr. vs. People

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49 50 SUPREME COURT REPORTS ANNOTATED

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52 SUPREME COURT REPORTS ANNOTATED 53

Fernan, Jr. vs. People

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54 SUPREME COURT REPORTS ANNOTATED Fernan, Jr. vs. People

because the suppliers will have to be paid the cost of said

VOL. 531, AUGUST 24, 2007 55 56 SUPREME COURT REPORTS ANNOTATED

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Abaga vs. Panes

falsification of public documents, for which the COMELEC,

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