Demetria v. Alba

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DEMETRIA v.

ALBA

Facts: Assailed in this petition for prohibition with prayer for a writ of
preliminary injunction is the constitutionality
of the first paragraph of Section 44 of Presidential Decree No. 1177, otherwise
known as the "Budget Reform Decree of 1977."

Petitioners, Demetrio Demetria et al,, filed the instant petition as concerned


citizens, as members of the National Assembly/Batasan
Pambansa representing millions of their constituents, as parties with general
interest common to all the people of the Philippines,
and as taxpayers whose vital interests may be affected by the outcome of the
reliefs prayed for.

They contends that Section 44 of the Decree infringes upon the fundamental law by
authorizing illegal transfer of public moneys, amounting to
undue delegation of legislative powers and allowing the President to override the
safeguards prescribed for approving appropriations.

The respondent, Manuel Alba, then Finance Minister, contends that the petition has
become moot and academic after the abrogation of Sec 16(5),
Article VIII of the 1973 Constitution by the Freedom Constitution (which was where
the provision under consideration was enacted in pursuant thereof),
which states that “No law shall be passed authorizing any transfer of
appropriations, however, the President…may by law be authorized to augment any
item in the general appropriations law for their respective offices from savings in
other items of their respective appropriations.

Issue: Whether or not Presidential Decree No. 1177 is unconstitional.

Ruling: Yes. The Supreme Court held that Paragraph 1 of Section 44 of P.D. No. 1177
unduly over extends the privilege granted under said Section 16[5].
It empowers the President to indiscriminately transfer funds from one department,
bureau, office or agency of the Executive Department to any program,
project or activity of any department, bureau or office included in the General
Appropriations Act or approved after its enactment, without regard as to
whether or not the funds to be transferred are actually savings in the item from
which the same are to be taken, or whether or not the transfer is for
the purpose of augmenting the item to which said transfer is to be made.

It does not only completely disregard the standards set in the fundamental law,
thereby amounting to an undue delegation of legislative powers, but likewise
goes beyond the tenor thereof. Indeed, such constitutional infirmities render the
provision in question null and void.

"For the love of money is the root of all evil: ..." and money belonging to no one
in particular, i.e. public funds, provide an even greater temptation for
misappropriation and embezzlement. This, evidently, was foremost in the minds of
the framers of the constitution in meticulously prescribing the rules
regarding the appropriation and disposition of public funds as embodied in Sections
16 and 18 of Article VIII of the 1973 Constitution.w

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