Case Digest: ARMANDO BERNARDO V. COURT OF APPEALS/ CSC / LBP

 ARMANDO BERNARDO V. COURT OF APPEALS/ CSC / LBP 

FACTS

Armando Bernardo entered the government service as Claims Adjuster of Land Bank of the Philippines (LBP) and became the Head of the Loans and Discount Divisions. He also maintained a Savings Account with the LBP. He deposited P500,000 in his own account and photocopied the page reflecting this in his passbook and on the same day withdrew the same. He then executed, as Treasurer-in-Trust of Markay Trading and Manpower Services (MTMSI) a treasurer’s certificate certifying that 25% of the authorized capital stock has been subscribed and 25% of the subscription, which was P500,000 had been paid and received y him. He also executed a letter-authority to the SEC authorizing their office to examine and verify the deposit in the LBP in his name as Treasurer-in-Trust for MTMSI. The Articles of Incorporation of MTMSI was signed by Bernardo and he became one of its incorporators and was elected as member in the Board of Directors and as Treasurer. He never opened an account with the LBP for the corporation though he was elected Treasurer and in the meantime he was promoted Assistant Branch Manager of LBP. Because of this, LBP filed a formal charge against Bernardo for gross neglect, grave misconduct, and serious violation of the CSC rules namely engaging in a private business without the permission and authority required by the CS rules and regulations. After the formal investigation, the hearing officer issued a resolution finding Bernardo guilty and be meted out with the penalty of forced resignation. The LBP approved the recommendation which was affirmed by the Merit Systems Protection Board (MPSB). The CSC likewise affirmed the penalty but based its findings on a different ground, that he made use of his being an employee of LBP to do an irregular act of depositing and withdrawing the paid up capital without the resolution of the Board of Directors of the Company. Bernardo filed an MR alleging that the acts used as basis for finding his guilt was not raised in the formal charge thus violating his right to due process and that his acts were not violative of the CSC rules and regulations. The CA dismissed the petition for lack of merit thus the case at bar.

ISSUE

Whether Bernardo violated the CSC rules and regulations.

HELD

YES. The evidence on record shows that not only was he an incorporator, he was also a member of the Board of Directors and was the treasurer of MTMSI. He and his wife even signed vouchers of the corporation. Before he can do this, he must first secure a permit from a competent authority of the LBP but failed to do so.  However, the SC found that the CSC erred in finding him guilty of grounds not alleged in the formal charges thus violating his right to be informed of the charges against him. But it did not err in finding him guilty of grave misconduct.  The constitution enunciates the policy of promoting a high standard of ethics and utmost responsibility in the public service and these are not mere rhetorical words but must be taken as working standards and attainable goals that should be matched with actual deeds.

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