Source: http://lawlibrary.chanrobles.com/index.php?option=com_content&amp;view=article&amp;id=84261:60010&amp;catid=1594&amp;Itemid=566
Timestamp: 2019-04-19 08:19:17+00:00

Document:
G.R. No. 189949, March 25, 2015 - CASTILLEJOS CONSUMERS ASSOCIATION, INC. (CASCONA), Petitioner, v. JOSE S. DOMINGUEZ, ISIAS Q. VIDUA, VICENTE M. BARRETO, JOSE M. SANTIAGO, JOSE NASERIV C. DOLOJAN, JUAN FERNANDEZ, HONORARIO DILAG, JR., FIDEL CORREA, ALICIA MERCADO, LECIRA JUAREZ, ATTY. FULGENCIO VIGARE, JR., ANGELITO U. SACRO, MILDRED ESGUERRA, ANTONIO APALISOK, SALAMAN D. MANGCA, DANILO S. SEGOBRE, EDMUNDO D. ENGAO, P/SUPT. ROLAND FELIX, P/SUPT. JERRY SUMBAD, P/INSP. GERRY HADUCA, P/INSP. ROBIN FUGIRAN, COOPERATIVE DEVELOPMENT AUTHORITY (CDA), BARTOLOME GALARITA, JR., WILFRE0O JIMENEZ, HITLER UNTAL, JOEL JOHN PACTORES, ROLLY CADORNA, RUDY ELIPSE, IBRAHIM LAHI, RODOLFO BONIFACIO, JR., ANECITO VIEJO, JR., JONARD IRAN, ANGELITO BALDONAZA, NIKKO DAJAY, ROLANDO ASPA, JESON CABATINGAN, JOBERT UGANG (SECURITY GUARDS), JOHN DOES (MEMBERS OF THE ZAMBALES PROVINCIAL MOBILE GROUP OF THE PHILIPPINE NATIONAL POLICE), Respondent.
CASTILLEJOS CONSUMERS ASSOCIATION, INC. (CASCONA), Petitioner, v. JOSE S. DOMINGUEZ, ISIAS Q. VIDUA, VICENTE M. BARRETO, JOSE M. SANTIAGO, JOSE NASERIV C. DOLOJAN, JUAN FERNANDEZ, HONORARIO DILAG, JR., FIDEL CORREA, ALICIA MERCADO, LECIRA JUAREZ, ATTY. FULGENCIO VIGARE, JR., ANGELITO U. SACRO, MILDRED ESGUERRA, ANTONIO APALISOK, SALAMAN D. MANGCA, DANILO S. SEGOBRE, EDMUNDO D. ENGAO, P/SUPT. ROLAND FELIX, P/SUPT. JERRY SUMBAD, P/INSP. GERRY HADUCA, P/INSP. ROBIN FUGIRAN, COOPERATIVE DEVELOPMENT AUTHORITY (CDA), BARTOLOME GALARITA, JR., WILFRE0O JIMENEZ, HITLER UNTAL, JOEL JOHN PACTORES, ROLLY CADORNA, RUDY ELIPSE, IBRAHIM LAHI, RODOLFO BONIFACIO, JR., ANECITO VIEJO, JR., JONARD IRAN, ANGELITO BALDONAZA, NIKKO DAJAY, ROLANDO ASPA, JESON CABATINGAN, JOBERT UGANG (SECURITY GUARDS), JOHN DOES (MEMBERS OF THE ZAMBALES PROVINCIAL MOBILE GROUP OF THE PHILIPPINE NATIONAL POLICE), Respondent.
Dominguez, et al. appealed the November 24, 2004 resolution of the NEA to the Court of Appeals (CA) on the ground that Republic Act (R.A.) No. 9136 or the Electric Power Industry Reform Act (EPIRA) abrogated the regulatory and disciplinary power of the NEA over electric cooperatives.
WHEREFORE, the instant case is hereby REMANDED to the Court of Appeals for further proceedings in order to determine whether the procedure outlined in Republic Act No. 9136, otherwise known as the Electric Power Industry Reform Act of 2001, and its Implementing Rules for the conversion of an electric cooperative into a stock cooperative under the Cooperative Development Authority had been complied with. The Court of Appeals is directed to raffle this case immediately upon receipt of this Decision and to proceed accordingly with all deliberate dispatch. Thereafter, it is directed to forthwith transmit its findings to this Court for final adjudication. No pronouncement as to costs.
According to CASCONA, on October 22, 2009, respondents Fidel Correa, Alicia Mercado and Angelito Sacro (Sacro) entered the ZAMECO II premises and refused to leave. Come night fall, respondent-members of the PNP and security guards assembled outside the gates of ZAMECO II but were not allowed inside the premises.
The next day, on October 23, 2009, respondents P/Insp. Gerry Haduca and P/Insp. Robin Fugiran asked the interim President of ZAMECO II for a discussion. When the latter opened the gates, the respondent PNP members and security guards forcefully entered the grounds of ZAMECO II. The interim board of directors did not surrender the management of ZAMECO II to the respondents.
On October 24, 2009, respondents Jose Dominguez and two other former board members (Jose Naseriv Dolojan and Juan Fernandez) arrived at the electric cooperative premises. Tensions only de-escalated when the respondent-PNP members left the scene through the intervention of Governor Amor Deloso.
Hence, this present petition for indirect contempt.
CASCONA asserts that the respondents committed several acts of indirect contempt as follows: first, the CDA officials issued the September 1, 2009 Memorandum for the takeover of jurisdiction over ZAMECO II; second, CDA also issued Resolution No. 262, S-2009 and Special Order 2009-304 which scrutinized the management and operation of ZAMECO II; and lastly, the respondents attempted to forcefully occupy ZAMECO II on October 22, 2009. According to CASCONA, these acts clearly pre-empted the Court's decision in G.R. Nos. 176935-36.
CASCONA contends that, with the intent of reinstating Dominguez, et al. and under the guise of the purported authority of the CDA over ZAMECO II, the respondents acted in conspiracy, took the law into their own hands, and attempted to take control of ZAMECO II.
On February 10, 2011, Dominguez, et al., filed their Comment to Petition.19 They argue, first, that the March 13, 2009 Decision of the Court in G.R. Nos. 176935-36 was not yet final and executory, thus, they had not been ordered to do or refrain from doing any act. Second, R.A. No. 9520 or the Philippine Cooperative Code of 2008, which took effect on March 22, 2009, divested the NEA of its authority over electric cooperatives in favor of the CDA. Lastly, the respondents cited the CA decision, Abdon v. NEA,20 which held that it was the CDA, and not the NEA, that had regulatory powers over ZAMECO II.
On June 9, 2011, respondents Atty. Vigare and Sacro, as officials of the CDA, filed their Comment to Petition23 which essentially concurred with that of respondents Dominguez, et al.
On April 10, 2013, CASCONA filed its Reply24 stating that the May 31, 2011 compliance filed by respondents Esguerra and Apasilok admitted the contemptuous acts of their co-respondents.
Before proceeding with the Court's ruling on the indirect contempt charge, several developments in the main case of ZAMECO II v. CASCONA, docketed as G.R. Nos. 176935-36, must be noted.
On October 20, 2014, the Court promulgated the decision in G.R. Nos. 176935-36. It finally ruled that ZAMECO II was an electric cooperative and remained under the jurisdiction of the NEA, and not the CDA, based on (1) R.A. No. 6939 or Cooperative Code of 1990, (2) R.A. No. 9136 or EPIRA, (3) R.A. No. 9520 or Philippine Cooperative Code of 2008, and (4) R.A. No. 10531, or the National Electrification Administration Reform Act of 2013.
The Court also declared that the CDA's issuance of a certificate of registration in favor of ZAMECO II in December 2007 did not operate to divest the NEA of its jurisdiction because Dominguez, et al. failed to comply with the statutory requirement of conversion outlined under the EPIRA.
Section 3. Indirect contempt to be punished after charge and hearing.
The respondents argue that the March 13, 2009 decision in G.R. Nos. 176935-36 did not order them to do any act or refrain from doing an act. Hence, they did not, in any manner, disobey or resist a lawful writ, process, order or judgment.
The defense of the respondents does not persuade. The March 13, 2009 decision should not be taken in isolation. A perusal of the said decision shows that there were several pronouncements which must be respected and obeyed, to wit: first, the CA shall make a factual determination as to the propriety of ZAMECO II's registration with the CDA; second, the continuing jurisdiction of the Court, as the case is not yet final and executory; and lastly, that there is substantial evidence to justify the removal from office of respondents Dominguez, et al.
Precisely, the Court remanded the case to the CA to determine whether ZAMECO II was properly registered as a stock cooperative under the CDA. Until the CA properly had ascertained such fact, the Court could not determine conclusively that the CDA had supervisory powers over ZAMECO II. The parties were then expected to maintain status quo and refrain from doing any act that would pre-empt the final decision of the Court. Hence, the Court continued to exercise its jurisdiction in G.R. Nos. 176935-36 until a final decision was promulgated. The respondents, however, unreasonably interfered with the proper procedure mandated by the Court when they decided for themselves that the CDA had jurisdiction over ZAMECO II. This constituted a contemptuous act because it unlawfully interfered with the processes or proceedings of a court.
Worse, the respondent-officials. of the CDA, fully aware of the Court's pronouncement,30 attempted to reinstate respondents Dominguez, et al. despite the existence of substantial evidence that warrant the latter's removal from office. Glaringly, this grave allegation was never refuted by the respondents. Dominguez, et al. were found unfit to hold office yet the respondents relentlessly endeavoured to return them to the seat of power in ZAMECO II. This blatant disregard of the March 13, 2009 decision of the Court is an improper conduct that impedes, obstructs, or degrades the administration of justice.
Indeed, the October 20, 2014 decision of the Court in G.R. Nos. 176935-36 conclusively settled that it is NEA, and not the CDA, that has jurisdiction and disciplinary authority over ZAMECO II. The substantial issues of the case have now been laid to rest. The Court, however, cannot turn a blind eye to the contemptuous acts of the respondents during the pendency of the case. If the Court condones these acts of interference and improper conduct, it would set a dangerous precedent to future litigants in disregarding the interlocutory orders and processes of the Court.
The Court cannot agree with CASCONA that all of the respondents were in conspiracy to commit the contemptuous acts. CASCONA failed to substantiate its claim that all the respondents acted in unison to disobey the March 13, 2009 decision of the Court. It was established that only the CDA officials and the former board members who pursued to reinstate Dominguez, et al. to ZAMECO II. Thus, the other respondents, the PNP members and security guards merely acted as a conduit of their contumelious intent.
If the respondent is adjudged guilty of indirect contempt committed against a Regional Trial Court or a court of equivalent or higher rank, he may be punished by a fine not exceeding thirty thousand pesos or imprisonment not exceeding six (6) months, or both. If he is adjudged guilty of contempt committed against a lower court, he may be punished by a fine not exceeding five thousand pesos or imprisonment not exceeding one (l) month, or both. If the contempt consists in the violation of a writ of injunction, temporary restraining order or status quo order, he may also be ordered to make complete restitution to the party injured by such violation of the property involved or such amount as may be alleged and proved.
Based on the circumstances of the case, a fine amounting to Ten Thousand Pesos (P10,000.00) is a sufficient penalty to be imposed against each liable contemnor.
WHEREFORE, finding Jose S. Dominguez, Isias Q. Vidua, Vicente M. Barreto, Jose Naseriv C. Dolojan, and Honorario Dilag, Jr., as former board members of ZAMECO II, and Atty. Fulgencio Vigare, Jr. and Angelito U. Sacro, as CDA officials, GUILTY of indirect contempt for attempting to pre-empt the final decision of the Court in G.R. Nos. 176935-36, the Court orders each of them to pay a FINE of Ten Thousand Pesos (P10,000.00), within ten (10) days from the finality of this decision.
Brion,*(Acting Chairperson), Del Castillo, Perlas-Bernabe,** and Leonen, JJ., concur.
* Per Special Order No. 1955, dated March 23, 2015.
** Designated Acting Member in lieu of Associate Justice Antonio T. Carpio, per Special Order No. 1956, dated March 23, 2015.
1Rollo, pp. 40-62. Penned by Associate Justice Dante O. Tinga with Associate Justice Leonardo A. Quisumbing, Conchita Carpio Morales, Presbitero J. Velasco, Jr. and Arturo D. Brion, concurring .
2 600 Phil. 365 (2009).
10ZAMECO II v. CASCONA, G.R. Nos. 176935-36, October 20, 2014.
12Rollo, p. 8; The members of the interim Board of Directors of ZAMECO II are Dominador A. Gallardo, Ryan A. Gonzales, Antonio C. Escobar, Leo L. Lozanida, Armando V. Alcones, Jr., Frederick F. Torres, Rogelio Eglan, and Valiente Bertes.
20 CA-G.R. SP No. 108553, November 27, 2009.
25ZAMECO II v. CASCONA, supra note 10.
26Ligon v. RTC Br. 56, Makati City, G.R. No. 190028, February 26, 2014, 717 SCRA 373, 386.
27Re: Conviction of Judge Adoracion G. Angeles, RTC, Br. 121, Caloocan City in Crim. Cases Q-97-69655 to 56 for Child Abuse, 567 Phil. 189, 203-204 (2008).
29Fortun v. Quinsayas, G.R. No. 194578, February 13, 2013, 690 SCRA 623, 637.
33 Id. at 205-207, 369.

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