[G.R. No. 138489. November 29, 2001] ELEAN EL EANOR OR DEL DELA A CR CRUZ UZ,, FED FEDER ERIC ICO O LUC UCI ICO CO,, !R !R., ., "O "OLED LEDAD AD E#I E#ILI LIA A CR CRUZ UZ,, !O !OEL EL LU"$RI LU "$RIA, A, EN ENR R% &AREL AREL,, EL ELENA ENA A' A'ULA ULAN, N, &OR &ORFIR FIRIO IO (IL (ILLENA LENA,, !O" !O"E& E& FRANCIA, CAR#ELLA $ORRE", !O' DA(ID, CE"AR #E!IA, #A. LOURDE" (. DEDAL, ALICE $IONG" $IONG"ON, ON, RE%DELUZ CONFERIDO, CONFERIDO, &ILI& &ILI&&E &E LI#, NERI" NERI""A "A "ANCEZ, "ANC EZ, #AR #AR% % LUZ ELAINE &URACAN, RODOLFO )UI#'O, $I$O GENIL GENILO O *+ O"CAR A'UNDO, A'UNDO, *- mem member ber- o /e 'o*r o /e N*/o+* N*/o+* o o-+ -+ A/or/5 rom /e 6ero 7over+ 1991199, petitioners, 1991199, petitioners, vs. vs. CO##I""ION ON AUDI$, AUDI$, re6re-e+/e b5 /- Comm--o+er-, respondents respondents.. FACTS: The NHA Resident Resident Auditor issued a Notice of Disallowance Disallowance on October 23, !!" disallowin# the $a%&ent to the $etitioners, who are the &e&bers of the 'oard of Directors of the National Housin# Authorit% (NHA), of their re$resentation allowances and $er die&s for the $eriod fro& Au#ust ! !! to Au#ust 3, !!* in the total a&ount of +2"*,-Such Such dis disal allow lowan ance ce was was $ursua $ursuant nt to COA COA .e&ora .e&orandu ndu& & NoNo- !"/30 !"/30 issue issued d b% the COA, COA, directi directin# n# all unit heads1au heads1auditor ditors1tea s1tea& & leaders leaders of the national national #oern& #oern&ent ent a#encies a#encies and #oern&ent/owned #oern&ent/owned and controlled cor$orations cor$orations which hae eected $a%&ent $a%&ent of an% for& of additi additiona onall co&$en co&$ensat sation ion or re&un re&uner erati ation on to cabine cabinett secr secreta etari ries, es, their their de$uti de$uties es and assistan assistants, ts, or their re$resen re$resentati taties, es, in iolation iolation of the rule on &ulti$le &ulti$le $ositions, $ositions, to (a) i&&ediatel% cause the disallowance of such additional co&$ensation or re&uneration #ien to and receied b% the concerned o4cials, and (b) eect the refund of the sa&e fro& the ti&e of the 5nalit% of the Su$re&e Court En Banc Decision in the consolidated cases of Civil Liberties Union vs. Exexcutive Secretary and Secretary and Anti-Graft Anti-Graft League of the Philippines !nc. et al. vs. Secret Secretar ary y of Agrar Agraria ian n "efor "efor# # et al. al. $ro&u $ro&ul#a l#ated ted on Februar ebruar% % 22, !!!!- The COA COA .e&orandu& further stated that the said Su$re&e Court Decision, which beca&e 5nal and e6ecutor% e6ecutor% on Au#ust !, !!, declared 76ecutie Order No- 208 unconstitutional insofar as it allows Cabinet &e&bers, their de$uties and assistants to hold other o4ces, in addition to their $ri&ar% o4ces, and to receie co&$ensation therefor- The $etitioners a$$ealed fro& the Notice of Disallowance to the COA, clai&in# that the afore&entioned Su$re&e Court decision a$$lies onl% to the &e&bers of the Cabinet, their de$uties or assistants and does not coer other a$$ointie o4cials with e9uialent ran or those lower than the $osition of Assistant Secretar%- The% added that NHA Directors are not Secretaries, Secretaries, ;ndersecretaries ;ndersecretaries or Assistant Secretaries and that the% occu$% $ositions lower than the $osition of Assistant Secretar%On Se$te&ber 22, !!0, the COA issued Decision No- !0/30 den%in# $etitioners< a$$eal, stressin# that the $etitioners =were not sittin# in the NHA 'oard in their own ri#ht but as re$resentaties of cabinet &e&bers and who are constitutionall% $rohibited fro& holdin# an% other o4ce or e&$lo%&ent and receie co&$ensation therefor, durin# their tenure (Section 3, Article >??, Constitution@ Civil Liberties Union vs. Executive Secretary , Secretary , !8 SCRA 3")-
?SS;7: Bhether or not the $etitioners are entitiled to their re$resentation allowances and $er die&s as &e&bers of the NHA 'oard of Directors-
R;?N: NO+residential Decree No- "E" is the law Creatin# the National Housin# Authorit% and dissolin# the e6istin# housin# a#encies, de5nin# its $owers and functions, $roidin# funds therefor, and for other $ur$oses- Section " thereof $roides that the $ersons &andated b% law to sit as &e&bers of the NHA 'oard are the followin#: () the Secretar% of +ublic Bors, Trans$ortation and Co&&unications, (2) the Director/eneral of the National 7cono&ic and Deelo$&ent Authorit%, (3) the Secretar% of Finance, (8) the Secretar% of abor, (E) the Secretar% of ?ndustr%, (*) the 76ecutie Secretar%, and (") the eneral .ana#er of the NHA- Bhile $etitioners are not a&on# those o4cers, howeer, the% are alternates of the said o4cers, whose acts shall be considered the acts of their $rinci$alsOn this $oint, Section 3, Art- >?? of the !0" Constitution, $roides: "EC. 13. The +resident, >ice/+resident, the .e&bers of the Cabinet, and their de$uties or assistants shall not, unless otherwise $roided in this Constitution, hold an% other o4ce or e&$lo%&ent durin# their tenure- The% shall not, durin# their tenure, directl% or indirectl% $ractice an% other $rofession, $artici$ate in an% business, or be 5nanciall% interested in an% contract with, or in an% franchise, or s$ecial $riile#e #ranted b% the oern&ent or an% subdiision, a#enc% or instru&entalit% thereof, includin# an% #oern&ent/owned or controlled cor$orations or their subsidiaries- The% shall strictl% aoid conGict of interest in the conduct of their o4ce The $rohibition under Section 3, Article >?? is not to be inter$reted as coerin# $ositions held without additional co&$ensation in ex-o$cio ca$acities as $roided b% law and as re9uired b% the $ri&ar% functions of the concerned o4cials o4ce- The ter& ex-o$cio &eans fro& o4ce@ b% irtue of o4ce- ?t refers to an authorit% deried fro& o4cial character &erel%, not e6$ressl% conferred u$on the indiidual character, but rather anne6ed to the o4cial $osition- Ex-o$cio liewise denotes an act done in an o4cial character, or as a conse9uence of o4ce, and without an% other a$$oint&ent or authorit% than that conferred b% the o4ce- An ex-o$cio &e&ber of a board is one who is a &e&ber b% irtue of his title to a certain o4ce, and without further warrant or a$$oint&ent- To illustrate, b% e6$ress $roision of law, the Secretar% of Trans$ortation and Co&&unications is the ex-o$cio Chair&an of the 'oard of the +hili$$ine +orts Authorit%, and the i#ht Rail Transit Authorit%Since the 76ecutie De$art&ent Secretaries, as ex-o%cio &e&bers of the NHA 'oard, are $rohibited fro& receiin# e6tra (additional) co&$ensation, whether it be in the for& of a $er die& or an honorariu& or an allowance, or so&e other such eu$he&is&, it follows that $etitioners who sit as their alternates cannot liewise be entitled to receie such co&$ensation- A contrar% rule would #ie $etitioners a better ri#ht than their $rinci$alsBe thus rule that in renderin# its challen#ed Decision, the COA did not #rael% abuse its discretion:EREFORE, the $etition is D?S.?SS7D-
