A.M. No. P-06-2190

Republic of the Philippines

Supreme Court

Manila

EN BANC

OFFICE OF THE COURT		A.M. No. P-06-2190
ADMINISTRATOR,		(Formerly A.M. No. 01-11-291-MTC)
Complainant,
		Present:

		PUNO, C.J.,
		QUISUMBING,
		YNARES-SANTIAGO,
		CARPIO,
- versus -		AUSTRIA-MARTINEZ,
		CORONA,
		CARPIO MORALES,
		TINGA,
		CHICO-NAZARIO,
		VELASCO, Jr.,
		NACHURA,
ARTURO BATONGBACAL, former		LEONARDO-DE CASTRO,
Clerk of Court and REMEDIOS I.		BRION, and
ROXAS, Court Stenographer I,		PERALTA, JJ.
Metropolitan Trial Court, Pulilan,
Bulacan,		Promulgated:
Respondents.		March 25, 2009

x - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - x

RESOLUTION

PER CURIAM:

On August 13-17, 2001, a team from the Court Management Office (CMO) of the Office of the Court Administrator (OCA) conducted an on-the-spot audit of the books of accounts of the Municipal Trial Court (MTC) of Pulilan, Bulacan. The audit team found that former clerk of court Tomas E. Ocampo (Ocampo) and the then incumbent clerk of court, herein respondent, Arturo S. Batongbacal (Batongbacal) incurred shortages in their corresponding accounts.

On January 14, 2002, the Court issued a Resolution directing Ocampo and Batongbacal to remit or restitute their respective shortages. Ocampo complied with the Court's directive. Batongbacal did not.[1]

In its Resolution dated December 9, 2002, the Court, upon recommendation of the OCA, considered the administrative matter involving Ocampo closed and terminated.[2]

Subsequently, in a Resolution dated July 7, 2004, the Court en banc found Batongbacal guilty of gross dishonesty, gross misconduct and malversation of public funds. He was dismissed from the service and his withheld salaries were applied to his accountabilities. He was also disqualified from re-employment in any branch of the government or in any government-owned or controlled corporation.[3]

On July 30, 2004, Batongbacal filed a Motion for Reconsideration praying that instead of being dismissed from the service, he be admonished and made to pay a fine; that in the event that he is not reinstated to his former position, the penalty of disqualification from re-employment in any branch of government or in any government-owned or controlled corporation be lifted, and that, after applying the proceeds of his withheld salaries and allowances to his accountabilities, the balance thereof be given to him. Batongbacal came up with a computation refuting the findings of the Court that he incurred shortages in the funds in his custody. To support his contentions, he attached documents which he did not previously submit.[4]

In its Resolution dated August 17, 2004, the Court referred Batongbacal's Motion for Reconsideration to the OCA for evaluation, report and recommendation.[5]

In a subsequent letter dated August 19, 2004, Batongbacal reiterated his prayer that the portion of the July 7, 2004 Resolution of the Court which disqualifies him from re-employment in the government or in any government-owned and controlled corporation be lifted.[6] The Court also referred the above-mentioned letter to the OCA for evaluation, report and recommendation.[7]

In its Memorandum dated October 29, 2004 addressed to then Chief Justice Hilario G. Davide, Jr., the OCA indicated the need to conduct a comprehensive audit of the cash and accounts of Batongbacal in order to assess the validity of the new documents which he attached to his motion for reconsideration. With this end in view, the OCA requested that it be given a chance to complete its audit before submitting its report and recommendation to the Court.[8] The Court granted the request of the OCA in its Resolution issued on November 23, 2004.[9]

On April 24, 2006, the audit team from the OCA submitted a Memorandum to then Senior Deputy Court Administrator Zenaida N. Elepaño containing the team's findings and recommendations. As part of the comprehensive audit conducted, a financial audit was also conducted on the books of accounts of herein respondent Remedios I. Roxas (Roxas), the officer-in-charge who took over when Batongbacal was relieved of his position.

The audit team found that both Batongbacal and Roxas were remiss in the performance of their duties and that there were massive shortages in the court's funds under their custody. The audit team also noted that the salary of Roxas was withheld by the Financial Management Office of the OCA because of her failure to submit her Monthly Reports of Collections and Deposits on time.[10]

In a Memorandum received by the En Banc through the Clerk of Court on May 3, 2006, the OCA adopted the recommendation of the audit team and recommended approval thereof.[11]

Accordingly, on June 13, 2006, the Court issued a Resolution, pertinent portions of which read as follows:

(a) DIRECT Mr. Arturo S. Batongbacal, former Clerk of Court, MTC, Pulilan, Bulacan, to

(i) IMMEDIATELY RESTITUTE his incurred shortages on General Fund, Judiciary Development Fund and Fiduciary Fund amounting to Twenty-Six Thousand Nine Hundred Nineteen Pesos (P26,919.00). Fifty-Seven Thousand Four Hundred Six-Seven Pesos (P57,467.00) and Two Hundred Ninety-Eight Thousand One Hundred Seventy-Nine Pesos (P298,179.00), respectively, in their respective fund bank account, through Ms. Froctosa I. Ceñidoza, the incumbent Clerk of Court, copy furnished the Fiscal Monitoring Division, Court Management Office, with the machine validated deposit slip/s as proof of compliance; and

(ii) TRANSMIT to this Court, through the Fiscal Monitoring Division, Court Management Office, all the documents (marked x) to support the validity and authenticity of the withdrawals/refund of the following cashbonds:

COLLECTIONS					WITHDRAWALS
Date of Collections	OR No.	CASE NO.	NAME OF LITIGANTS	AMOUNTS	CO	AR
7-Jul-97	7050572	1197-M-97 (97-5913)	JENNY MENDOZA	20,000.00	1/9/98	X
8-Dec-97	7050713	97-6308	RED MENDOZA	20,000.00	1/26/98	X
16-Dec-97	7050715	97-6316-20	JOSE L. TECSON/ R. DE GUZMAN	6,000.00	Apr-98	X
22-Apr-97	5383948	97-5742	R. ESTRELLA	10,000.00	5/20/98	X
16-Feb-98	7050713	98-6462	CORNELIO BAUTISTA	1,200.00	6/18/98	X
4-May-98	7050745	97-5764 & 68	SHIRLEY PAGUIO	20,000.00	6/24/98	X
		97-5770 & 72
15-Jul-98	9404013	98-6645	CESAR DIMLA	2,000.00	6/30/98	X
22-Aug-97	7050589	97-6019	T. JAYME	25,000.00	7/9/98	X
23-Mar-98	7050739	98-6499	E. PAVO	15,000.00	7/16/98	X
21-Apr-98	7050742	98-6512	GILBERT MENDOZA/ V. FAVIAN	6,000.00	X	07/18/98
5-May-98	7050746	98-6542	ELISCO MANAHAN	10,000.00	6/3/98	X
21-May-98	7050750	98-6516	CLARITA GOJO CRUZ	2,000.00	7/10/98	X
27-Jun-97	7050568	13117	JOSELITO ROBLES	6,000.00	X	08/06/98
6-Oct-97	7050596	487-97	EDNA BRILLANTE	11,000.00	X	08/11/98
20-Jan-99	9404047	98-6764	SOFRONIO DE JESUS	1,000.00	X	02/18/99
7-Oct-98	9404030	12123-98 (12343 W)	MERLYN CAMZA	2,000.00	X	X
19-Dec-97	7050722	97-6323-24	ALLAN LOMBOSON (L. ARCEO)	1,000.00	7/29/99	X
8-Mar-99	9404460	98-6649	RANDY REYES/ RESURRECION	5,000.00	Jul-99	X
21-Jun-99	9404473	99-7014-15	JOSE DELA PENA	7,000.00	7/26/99	X
12-Aug-96	5383742		L. ALEJO	5,000.00	8/11/99	X
23-Jan-98	7050728	98-6362	ALEXANDER VILLENO	7,000.00	X	09/16/99
9-Jul-98	9404009	98-6598	FELICIANO SAMSON	2,000.00	8/18/99	X
2-Oct-98	9404029	98-6753-62	RUEL T. CRUZ	50,000.00	X	09/28/99
27-May-97	7050557	97-5820	TIMOTEO MANUEL PABLO	10,000.00	9/15/99	X
13-Jan-00	9404493	00-7290	ROSALINA SANTIAGO	1,000.00	X	02/09/00
24-Jan-00	9404496	00-1306	ROSALINA SANTIAGO	2,500.00	2/16/00	X
28-Jan-00	9404498	00-7307	ELIZABETH CRUZ	1,000.00	2/16/00	X
2-Feb-00	9404499	00-7311	JULIA C. SANTOS	12,000.00	X	02/07/00
7-Jul-98	9404008	98-6635	ERNESTO LAGSA	15,000.00	3/22/00	X
2-Feb-00	9404500	00-7314	CELSO CRUZ	2,100.00	3/1/00	X
13-Jan-00	9404495	00-7291	JOSEPHINE GINERO	4,000.00	4/12/00	X
19-Apr-00	10969518	00-7503	MARTINIANO SANTOS	10,000.00	X	May-00
22-Sep-99	9404478	99-7081	CYNTHIA PADO	6,000.00	X	Jun-00
	10969534	00-7666	REMEDIOS DELA CRUZ	5,000.00	8/23/00	X
	10969535	00-7668	SANTOS	5,000.00	8/23/00	X
28-Jan-99	9404050	99-6891	AMAD MANGULAGNAN/ S. RIVERA	30,000.00	9/11/00	X
17-Oct-00	10969540	00-7721	PRIMITIVA REYES	3,000.00	X	10/17/00
22-Jan-98	7050727	98-6350-54	SERGIO RODRIGUEZ	35,000.00	12/19/00	X
12-Dec-00	10969555	00-7787	ANTONIO CASAS /EMMANUEL CRUZ	10,000.00	12/13/00	X
31-Jan-97	5383927	17661	NEIL SOYANGCO	15,000.00	X	01/18/01
1-Sep-00	10969534	00-7685	ANTONIO CASAS	20,000.00	1/24/01	X
15-Jan-01	10969558	00-7823	ERIC CAPULONG/ EFREN FELIFE	10,000.00	1/24/01	X
19-Jan-01	10969559	00-7825	ROLANDO T. GOLGOTA/ RAFAEL G.	10,000.00	X	02/05/01
20-Jan-01	10969560	00-7831	GERRY FELIPE	5,000.00	3/14/01	X
12-Feb-01	10969562	00-7729	LEONARDO CRUZ	5,500.00	3/5/01	X
5-Mar-01	10969564	2189631	MARINA SALONGA/ M. LOPEZ	15,000.00	3/7/01	X
8-Mar-01	10969566	01-7903	VICTORIA DALISAY/ W. BULATAO	4,000.00	3/21/01	X
19-Mar-01	10969568	01-7863	MINERVA ORALLIO	5,000.00	4/18/01	X
15-Mar-99	9404461	99-6914	TEOFILO JAYME/ A. JAYME	20,000.00	6/18/01	X
10-May-01	10969574	01-7969	MARIBEL GONZALES	20,000.00	X	06/15/01
11-Jun-01	10969577	01-7990	ANTONIO CASAS/ W. BAYLON	5,000.00	6/13/01	X
12-Dec-00	10969553	00-7786	HERMINIO SALVADOR/ A. RAMIREZ	3,000.00	8/22/01	X
7-Aug-01	10969589	01-8048	ALBERTO CABRAL ET AL./ A. CASAS	15,000.00	8/8/01	X
5-Jan-00	9404491	00-7282	WILFREDO BELONIO	6,000.00	9/19/01	X
11-Sep-01	10969592	01-8078	GERRY SANCHEZ	10,000.00	9/12/01	X
4-Apr-01	10969571	01-7919-21	ZENAIDA SULIT-ALFONSO/ EFREN S.	6,000.00	X	10/04/01
23-Apr-01	10969573	01-7821	DOLORES BERSANO/ F. AUSTIN	1,500.00	X	10/10/01
18-May-98	7050749	98-6527	RUFINO DE JESUS	10,000.00	X	11/19/01
28-Sep-01	10969594	01-8029	RICARDO V. FLORES/ TONY CASAS	5,000.00	11/21/01	X
27-Oct-01	13565003	01-8120 & 8121	LEONARA MARAGUINOT	4,000.00	X	11/26/01
28-Nov-01	13565010	01-8152	ANTONIO CASAS	5,000.00	12/5/01	X
10-Dec-01	13565012	01-8162	TONY CASAS	15,000.00	12/12/01	X
Grand Total 600,800.00

[Should Mr. Batongbacal fail to provide this Court with the documents (marked x) needed to support the withdrawals of the above-presented cashbonds, the same shall be considered outstanding and unwithdrawn, and Mr. Batongbacal should restitute the amount of Six Hundred Thousand Eight Hundred Pesos (P600,800.00).];

(b) DEFER ACTION on the Motion for Reconsideration of the resolution of July 7, 2004 and Letter dated August 19, 2004, both filed by Mr. Batongbacal, until he complies with the foregoing directives;

(i) EXPLAIN why she should not be administratively sanctioned for failure to deposit her collections on time and RESTITUTE the following shortages to their respective bank accounts, within fifteen (15) days from notice hereof, through Ms. Froctosa I. Ceñidoza, the incumbent Clerk of Court:

(1) Clerk of Court General Fund shortage amounting to Two Thousand Five Hundred Thirty-Three Pesos and 20/100 (P2,533.20);

(2) Philippine Mediation Center Trust shortage amounting to One Thousand Pesos (P1,000.00); and

(3) Fiduciary Fund shortage amounting to Two Hundred Seventy-Six Thousand Pesos (P276,000.00);

(ii) FURNISH the Fiscal Monitoring Division, Court Management Office, with the duly validated machine copies of the General Fund, Philippine Mediation Center Trust Fund and Fiduciary Fund deposit slips or clear certified true copy of the validated deposit slips and certified true copy of the Fiduciary Fund LBP Savings Account No. 0101-2064-59 as evidence of compliance;

(iii) EXPLAIN the reasons behind the following:

(1) Setting aside of Official Receipts Nos. 16304300 and 16304412 which were allegedly reserved for transactions that did not materialize, and subsequently cancelled only on December 1 and 2, 2004;

(2) Cancellation of Official Receipts Nos. 16304404, 16304447 and 16304522 under dubious circumstances;

(3) Official Receipt No. 16304436 amounting to P6,000.00 which is blank but had corresponding court order and acknowledgment receipt; and

(4) Double use of Official Receipts Nos. 16304252 and 16304432 for different dates/cases/payors/amounts, to wit:

d-1 OR No. 16304252

DATE	CASE NO	Litigant/Bondsman	AMOUNT
7May02	02-8261	Yolando Enriquez	P 2,000.00
		(source OR triplicate)
22May02	02-8329	Antonio Casas	P 15,000.00
		CO none AR6/29/02
		(source AR6/29/02)

d-2 OR No. 16304432

DATE	CASE NO	Litigant/Bondsman	AMOUNT
3Jul03	4-9074-9075	Edilberto Santos	P 30,000.00
		CO4/29-04 AR5/6/04
		(source AR5/6/04)
3Jul03	3-8805	Edilberto Santos	P 30,000.00
		CO none AR none
		(source OR triplicate)

(iv) EXPLAIN and ACCOUNT for the following Official Receipts (Ors) booklets/sheets that have remained unaccounted to date:

INCLUSIVE SERIAL NUMBERS	QUANTITY BOOKLET/S	QUANTITY SHEET/S
13565101-135615150	1
19782401-19782450	1
19782651-19782700	1
13565201-13565203 GF		3
16304496		1

(v) TRANSMIT to the Court, through the Fiscal Monitoring Division, Court Management Office, the documents needed to support the validity of the cashbonds withdrawals with lacking/incomplete documents, amounting to Four Hundred Ninety-Nine Thousand Five Hundred Pesos (P499,500.00), as presented below:

DATE OF COLLEC- TION	OR NO.	CASE NO.	NAME OF PAYOR	COLLEC-TIONS	WITHDRAWALS		AUDIT OBSERVATIONS/ REMARKS
DATE OF COLLEC- TION	OR NO.	CASE NO.	NAME OF PAYOR	COLLEC-TIONS	CO	AR	AUDIT OBSERVATIONS/ REMARKS
22-Sep-97	7050594	97-6051/02-1165M	ERLINDA GRANDE	12,000.00	11/20/03	NO DATE	No Acknowledgment Receipt
13-May-98	7050747	98-6543	ALICIA ORBE	50,000.00	NONE	6/25/03	No Court Order
28-Jun-99	10989974	03-1157	PRIMITIVO IGNACIO	30,000.00	NONE	5/7/03	No Court Order
5-Feb-00	13564810	7237	Can not be deciphered	30,000.00	NONE	2/15/02	No Court Order
7-Mar-00	13564812	03-1157	REYNALDO CASTILLO	50,000.00	NONE	5/7/03	No Court Order
21-Jul-00	10969528	00-7465	REGINA REYES GO	4,000.00	NONE	9/19/02	No Court Order
7-Sep-00	10969945		REYNALDO CASTILLO	50,000.00	NONE	5/7/03	No Court Order
18-Jul-01	10969583	01-7937-38	FELY V. SAN ANDRES	3,000.00	NONE	9/4/02	No Court Order
19-Sep-01	10969593	01-8085	PAUL TANJUTCO	15,000.00	NONE	1/21/02	No Court Order
No date	10969596	01-8082	EUGENIO Q. CRUZ	5,000.00	NONE	7/12/02	No Court Order
8-Oct-01	10969597	01-8082	RENATO DE LA CRUZ	5,000.00	NONE	7/12/02	No Court Order
8-Oct-01	10969598	01-8082	SUSANA B. SANTOS	5,000.00	NONE	7/12/02	No Court Order
13-Oct-01	13565001	01-8083	BERNARDO SANTOS	3,000.00	NONE	4/4/02	No Court Order
13-Oct-01	13565001	01-8083	LEOVEGILDO SABANDEJA	3,000.00	NONE	7/12/02	No Court Order
14-Nov-01	13565004	01-8139	TONY CASAS	5,000.00	NONE	3/13/02	No Court Order
27-Nov-01	13565008	01-8082	Can not be deciphered	5,000.00	NONE	7/12/02	No Court Order
12-Dec-01	13565014	01-8171	Can not be deciphered	15,000.00	NONE	11/29/02	No Court Order
30-Jan-02	13565022	01-8221	TERESITA D. REYES	5,000.00	NONE	3/12/02	No Court Order
31-Jan-02	13565023	02-88825	D.L. SANTOS	5,000.00	NONE	2/15/02	No Court Order
4-Feb-02	13565024B	02-8228-29	VICENTE B. ESGUERRA	12,000.00	NONE	11/20/02	No Court Order
15-Feb-02	13565029	02-8237	RENATO V. PERALTA	10,000.00	NONE	03/18/02	No Court Order
1-Apr-02	13565035	02-8282	ALEJANDRO FELIPE	6,000.00	NONE	07/12/02	No Court Order
22-Apr-02	13565047	02/8280	SUSANA B. SANTOS	5,000.00	NONE	07/31/02	No Court Order
29-Apr-02	13565049	02/8312	TONY CASAS	10,000.00	NONE	05/08/02	No Court Order
10-Jun-02	16304256	02/8349	ROBERTO SEGUNDA M. FERRIOLS	15,000.00	NONE	07/12/02	No Court Order
19-Jun-02	16304257	02-8322	ARIS T. ABANTE	15,000.00	10/6/03	NONE	No Acknowledgment Receipt
1-Jul-02	16304259	02-8380	JOEL ROMERO	5,000.00	NONE	05/03/03	No Court Order
2-Sep-02	16304263	02-8440	TONY CASAS	8,000.00	NONE	09/18/02	No Court Order
2-Jan-03	16304286	03-8586	JESUS BUENCAMINO	28,000.00	NONE	06/08/03	No Court Order
17-Feb-03	16304296	03-8624	PAUL MADRIGAL	8,000.00	2/26/03	02/26/06	EXPLAIN CO Crim03-8624 AR Crim03-8634
5-Mar-03	16304401	03-8655	ANTONIO CASAS (jueteng)	24,000.00	NONE	03/25/03	No Court Order
25-Mar-03	16304406	03-8692	MANUEL RONO (jueteng)	4,000.00	NONE	06/18/03	No Court Order
7-May03	16304416	03-8757	ANTONIO CASAS	12,000.00	NONE	05/20/03	No Court Order
11-Jul-03	16304434	02-8294	YOLANDA BALONZO	2,000.00	NONE	11/03/04	No Court Order
30-Jul-03	16304436	03-8830	TEODORO SANTOS	6,000.00	7/30/03	NONE	No Acknowledgment Receipt
7-Aug-03	16304438	02-8206	THERESA CAYASAO	5,000.00	NONE	09/30/03	No Court Order
15-Aug-03	16304440	02-8397	CRISPIN DALANGIN	4,000.00	9/10/03	NONE	No Acknowledgment Receipt
15-Aug-03	16304441	02-8396	CRISPIN DALANGIN	3,000.00	9/10/03	NONE	No Acknowledgment Receipt
13-Nov-03	16304504	03-8960	ROLANDO M. SANTOS	5,000.00	11/20/04	NONE	No Acknowledgment Receipt
13-Nov-03	16304505	03-8960	ROLANDO M. SANTOS	10,000.00	11/20/04	NONE	No Acknowledgment Receipt
12-Feb-04	16304509	04-9029	MILYN MARCELO	2,500.00	3/11/04	NO DATE	No Acknowledgment Receipt
TOTAL Php 499,500.00

[Should Ms. Roxas fail to provide this Court with the lacking documents needed to support the withdrawals of the above-presented cashbonds, the same shall be considered outstanding and unwithdrawn, and Ms. Roxas should restitute the amount of Four Hundred Ninety-Nine Thousand Five Hundred Pesos (P499,500.00).];

(d) DOCKET the subject report as a regular administrative complaint and include Ms. Remedios I. Roxas as a respondent therein, thus: A.M. No. P-06-2190 (Office of the Court Administrator vs. Arturo S. Batongbacal, former Clerk of Court, and Remedios I. Roxas, Court Stenographer I, MTC, Pulilan, Bulacan).[12]

Batongbacal did not comply with the directives of the above-mentioned Resolution.

On the other hand, in Compliance with the same Resolution, Roxas submitted letters dated October 5, 2006[13] and November 2, 2006,[14] a sworn statement[15] and various documents. Roxas denied liability contending that she was just a victim of circumstances and that it was then Presiding Judge Horacio T. Viola and Batongbacal who were the ones who appropriated the missing court funds. In her letter of November 2, 2006, Roxas requested that her salaries and other allowances which were withheld be released in her favor so that she could use the same to answer for her shortages. She also claimed that she could not file her monthly report of collections because the documents to prove the collections and deposits she made were missing and that she is still in the process of looking for them. Moreover, she requested that she be given clearance to enable her to obtain loans from the Supreme Court Savings and Loan Association (SCSLA), the Government Service and Insurance System (GSIS) and the PAG-IBIG to further enable her to answer for her accountabilities. These were all referred by the Court to the OCA in a Resolution dated November 21, 2006.[16]

In the meantime, the OCA submitted a Memorandum to former Chief Justice Panganiban dated August 22, 2006, indicating that it could not yet submit a report and recommendation on Batongbacal's Motion for Reconsideration in view of the fact that he had not yet complied with the directives of the Court contained in the Resolution of June 13, 2006.[17]

On June 5, 2007, the Court issued a Resolution denying Roxas's requests, as contained in her letter of November 2, 2006, pending full compliance with the directives of the Court in its Resolution dated June 13, 2006.[18]

On September 26, 2007, Roxas filed a Motion for Reconsideration of the June 5, 2007 Resolution of the Court.[19] The Court referred the said Motion to the OCA for evaluation, report and recommendation.[20]

On November 22, 2007, Roxas filed a Motion for the Release of Salaries for

More Than Three Years reiterating that she was not responsible for the shortages of court funds in her custody but that, in any case, she be allowed to receive her withheld salaries to enable her to comply with the Court's directive for her to restitute said shortages.[21] In subsequent letters dated December 14, 2007,[22] and July 8, 2008[23] and motions dated January 13, 2008,[24] February 8, 2008,[25] and August 1, 2008,[26] Roxas reiterated her contentions in her previous motions, specially her request that her withheld salaries be released to answer for the shortages of court funds in her custody. She also filed a Motion to Accept Documentary Evidence dated October 8, 2007.[27] All these letters and motions were also referred to the OCA.

On February 9, 2009, the OCA submitted a Memorandum addressed to Chief Justice Reynato S. Puno with the finding that Roxas failed to restitute or account for the shortage of court funds in her custody amounting to a total of P768,500.00 broken down as follows: (1) Philippine Mediation Center Trust Fund shortage amounting to P1,000.00; (2) undeposited Fiduciary Fund collections and undocumented bank withdrawals amounting to P276,000.00; and, (3) Fiduciary Fund shortage amounting to P491,500.00 brought about by unauthorized withdrawals of cash bonds due to insufficient supporting documents. The OCA also found that Roxas failed to transmit to the Court the documents needed to support the validity of the cash bond withdrawals which were made during her term. Accordingly, the OCA made the following recommendations:

1. The Motion for Reconsideration [filed on September 26, 2007]of respondent Remedios I. Roxas, Court Stenographer I, MTC-Pulilan, Bulacan BE DENIED for lack of merit;

2. Respondent Roxas BE DISMISSED from the service for Malversation of Funds, with forfeiture of her entire retirement benefits including her withheld salaries and the monetary value of her earned leave credits as well as disqualification from re-employment in any branch of the government or in any government-owned or controlled corporation; and the OCA BE DIRECTED to file the corresponding criminal case against her before the appropriate prosecution office and court;

3. Respondent Roxas' withheld salaries from September 2004 to August 2008 amounting to P164,609.64 and her earned leave credits with the money value of P202,073.08 as of June 30, 2008 BE FORFEITED and REMITTED to the Fiduciary Account of the MTC-Pulilan, Bulacan;

4. Respondent Roxas BE DIRECTED to RESTITUTE the balance of P401,817.28. Of this amount, P400,817.28 shall be deposited to the Fiduciary Fund of MTC-Pulilan, Bulacan and the remaining amount to the Philippine Mediation Trust Fund of MTC-Pulilan, Bulacan and to SUBMIT PROOF of such remittance to the FMD, CMO, OCA; and

5. The Financial Management Office, OCA BE DIRECTED to facilitate the remittance of the withheld salaries of respondent Roxas covering the period September 2004 to August 2008 amounting to P164,609.64 and her earned leave credits with the money value of P202,073.08 as of June 30, 2008 to the Fiduciary Account of the MTC-Pulilan, Bulacan; and the FMO, OCA be FURTHER DIRECTED to FURNISH the Fiscal Monitoring Division, CMO, OCA of the machine-validated deposit slip as proof of such remittance.[28]

The Court adopts with modifications the recommendations of the OCA.

While the OCA found that Roxas was able to account for the official receipts enumerated in the June 13, 2006 Resolution of this Court and to satisfactorily explain the setting aside and cancellation of some official receipts in her custody, it nonetheless established that Roxas failed to restitute her shortages in the Philippine Mediation Center Trust Fund and the Fiduciary Fund, as well as to transmit to the Court the documents needed to support the validity of the cash bond withdrawals which were made during her term.

As custodian of court funds and revenues, Roxas's duties have been defined by circulars issued by this Court.

Supreme Court (SC) Circular Nos. 13-92 and 50-95 furnish the guidelines for the proper administration of the court's fiduciary funds.

The third paragraph of SC Circular No. 13-92 commands that all fiduciary collections shall be deposited immediately by the Clerk of Court concerned, upon receipt thereof, with an authorized government depository bank. Section B(4) of SC Circular No. 50-95 is more emphatic and particular as it requires that the deposit be made, within 24 hours upon receipt thereof, with the Land Bank of the Philippines.

Section B(2) of SC Circular No. 50-95 also provides that no withdrawals from the court's fiduciary funds shall be allowed unless there is a lawful order from the Court that has jurisdiction over the subject matter involved. The fifth paragraph of SC Circular No. 13-92 contains substantially the same provisions.

In addition, SC Circular No. 32-93 provides that all clerks of court or accountable officers are required to submit to the Supreme Court not later than the 10^th day of each succeeding month a monthly report of collection for all funds. With respect to Judiciary Development Funds (JDF) in particular, Section 3, in relation to Section 5, of Administrative Circular No. 5-93 requires that clerks of court, officers-in-charge or their duly authorized representatives shall receive the JDF collections, issue the proper receipt therefor, deposit such collections and render the proper Monthly Report of Collections for said Fund.

In the instant case, Roxas failed to deposit her collections on time. The audit team found that as early as October 2002 she incurred delay in depositing most of her collections, without any excuse. Moreover, from August 2004 until November of the same year, Roxas failed to deposit all of her Fiduciary Fund collections without any justifiable cause. As of July 2004, Roxas had undeposited collections of P168,5000.00 for the court's Fiduciary Fund. For the succeeding four months, she collected an additional sum of P129,000.00, but she also failed to deposit these amounts. For failure to deposit her collections on time, Roxas violated the provisions of SC Circular No. 13-92 and Section B(4) of SC Circular No. 50-95.

Roxas also withdrew cash bonds, which form part of the court's fiduciary funds, without the necessary court orders and/or acknowledgment receipts. This is again a gross violation of SC Circular No. 50-95.

Worse, Roxas failed to turn over funds in her custody upon the Court's demand as well as to justify her withdrawals of cash bonds. This constitutes malversation. Indeed, failure of a public officer to remit funds upon demand by an authorized officer constitutes prima facie evidence that the public officer has put such missing funds or property to personal use.[29] All that is necessary to prove malversation are the following: (a) that the defendant received in his possession public funds or property; (b) that he could not account for them and did not have them in his possession when audited; and (c) that he could not give a satisfactory or reasonable excuse for the disappearance of said funds or property.[30] All of these elements are present in the instant case.

Furthermore, Roxas herself admitted that she failed to file the required monthly report of collections and deposits she made. She justified such failure by contending that the records necessary in filing such reports went missing. In fact she presented, as evidence, a Police Report indicating therein that on January 3, 2005 she reported to the police authorities that important court documents and records could not be found on the table where they were supposed to be.[31] However, the audit team indicated in its memorandum dated April 24, 2006 that the following were the latest monthly reports filed by Roxas and received by the Financial Management Office-Accounting Division of the OCA with respect to her collections and deposits:

Special Allowance for Justices and Judges Fund – September 2004

Clerk of Court General Fund – September 2003

Fiduciary Fund – May 2002

Sheriffs' Trust Fund – None

Judiciary Development Fund – November 2004

Philippine Mediation Center Trust Fund – None

Per report of the OCA, Roxas became the officer-in-charge on February 11, 2002. Hence, it is clear from the foregoing that Roxas's excuse is untenable because for almost three years, even before the alleged loss of records, she was already greatly remiss in the filing of the required monthly reports of her collections. This is a gross violation of SC Circular No. 32-93 and Administrative Circular No. 5-93.

Thus, the Court finds that Roxas's failure to comply with the Court's circulars, rules and directives which are designed to promote full accountability for public funds, more particularly her failure to turn over money deposited with her, to account for the shortage in the funds she was handling, to explain and present evidence to support the validity and authenticity of the withdrawals she made as well as her failure to deposit her collections on time and to file a monthly report thereon for a period spanning over two years constitute gross neglect of duty, dishonesty, grave misconduct and malversation.[32] These offenses all carry the penalty of dismissal even for the first offense.[33]

In Re: Report on the Financial Audit Conducted in the MTCC-OCC, Angeles City,[34] this Court held:

Those who work in the judiciary must adhere to high ethical standards to preserve the court's good name and standing. They should be examples of responsibility, competence and efficiency, and they must discharge their duties with due care and utmost diligence since they are officers of the court and agents of law. Indeed, any conduct, act or omission on the part of those who would violate the norm of public accountability and diminish or even just tend to diminish the faith of the people in the judiciary shall not be countenanced.

The conduct required of court personnel, from the presiding judge to the lowliest clerk, must always be beyond reproach and circumscribed with a heavy burden of responsibility. As forerunners in the administration of justice, they ought to live up to the strictest standards of honesty and integrity, considering that their positions primarily involve service to the public.[35]

While Roxas performed her functions as an officer-in-charge only in an acting capacity, still the expectation for her to perform all the duties and responsibilities of an accountable officer is not diminished. The fact that she performed her functions in a temporary capacity will not absolve her from liability.[36]

Thus, the Court finds Roxas guilty of gross neglect of duty, dishonesty, grave misconduct and malversation, for which she should be dismissed from the service.

With respect to Batongbacal, the OCA reported that he received a copy of the June 13, 2006 Resolution of the Court on July 21, 2006. Subsequently, the Court issued another Resolution dated September 19, 2006 which noted the Memorandum filed by the OCA informing the Court that no report and recommendation on Batongbacal's Motion for Reconsideration could as yet be submitted “in view of the fact that they are still waiting for [Batongbacal] to restitute the amounts of P26,919.00, P57,467.00 and P298,179.00 and to transmit to the Fiscal Monitoring Division (FMD), CMO, OCA, all the documents to support the validity and authenticity of the withdrawals of certain cash.”[37] Batongbacal received a copy of this Resolution on November 16, 2006 as evidenced by Registry Return Receipt No. 46067.[38] Despite due notices, Batongbacal never complied with the above-mentioned directives of the Court. Hence, he is deemed to have waived his right to present any evidence in his defense. The OCA should, therefore, proceed to determine the merits of his Motion for Reconsideration which has been pending since August 2004.

WHEREFORE, the Court resolves to:

1. DENY the early letter requests of respondent Remedios I. Roxas, Court Stenographer I and former Officer-in-Charge of the Municipal Trial Court (MTC), Pulilan, Bulacan, that her salaries and other allowances be made to answer for her shortages, and that she be given clearance to enable her to obtain loans from SCSLA, GSIS and PAG-IBIG to answer for her accountabilities;

2. FIND respondent Roxas guilty of gross neglect of duty, dishonesty, grave misconduct and malversation of public funds. She is DISMISSED from the service with forfeiture of all her retirement benefits with prejudice to re-employment in any branch of the government or in any government-owned or controlled corporation.

3. DIRECT respondent Roxas to RESTITUTE within thirty days from notice hereof the balance of her shortage amounting to P401,817.28. Of this amount, P400,817.28 shall be deposited to the Fiduciary Fund of MTC, Pulilan, Bulacan and the remaining amount of P1,000.00 to the Philippine Mediation Trust Fund of the same court; and to SUBMIT PROOF of such restitution to the Fiscal Monitoring Division, Court Management Office of the Office of the Court Administration.

4. DIRECT the OCA to file the corresponding criminal case against Roxas.

5. DIRECT the Financial Management Office of the OCA to REMIT the unpaid salaries of Roxas from September 2004 to August 2008 amounting to P164,609.64 and her earned leave credits with the monetary value of P202,073.08 as of June 30, 2008 to the Fiduciary Account of the MTC, Pulilan, Bulacan as part of the restitution of her shortages and to furnish the FMD, CMO of the OCA with the machine-validated deposit slip as proof of such remittance.

6. DIRECT the OCA to SUBMIT its evaluation, report and recommendation on Arturo S. Batongbacal's Motion for Reconsideration, within ten (10) days from receipt of herein Resolution.

SO ORDERED.

REYNATO S. PUNO

Chief Justice

(On official leave) (On official leave)

LEONARDO A. QUISUMBING

Associate Justice

CONSUELO YNARES-SANTIAGO

Associate Justice

ANTONIO T. CARPIO

Associate Justice

MA. ALICIA AUSTRIA-MARTINEZ

Associate Justice

(On official leave)

RENATO C. CORONA

Associate Justice

CONCHITA CARPIO MORALES

Associate Justice

(On official leave)

Dante o. tinga

Associate Justice

MINITA V. CHICO-NAZARIO

Associate Justice

PRESBITERO J. VELASCO, JR.

Associate Justice

ANTONIO EDUARDO B. NACHURA

Associate Justice

(On official leave)

TERESITA J. LEONARDO-DE CASTRO

Associate Justice

ARTURO D. BRION

Associate Justice

DIOSDADO M. PERALTA

Associate Justice

[6] Rollo, p. 211.

[12] Rollo, pp. 232-C to 232-G.

[28] Rollo, pp. 724-725.

[29] Vilar v. Angeles, A.M. No. P-06-2276, February 5, 2007, 514 SCRA 147.

[30] Concerned Citizen v. Gabral, Jr., A. M. No. P-05-2098, December 15, 2005, 478 SCRA 13.

[32] Office of the Court Administrator v. Fueconcillo, A.M. No. P-06-2208, August 26, 2008, 563 SCRA 276; Office of the Court Administrator v. Varela, A.M. No. P-06-2113, February 6, 2008, 544 SCRA 10, 21.

[34] A.M. No. P-06-2140, June 26, 2006, 492 SCRA 469.

[36] Office of the Court Administrator v. Varela, supra note 32.

[38] See reverse side of rollo, p. 298.