GR 182147; (December, 2010) (Digest)
G.R. No. 182147; December 15, 2010
ARNEL U. TY, MARIE ANTONETTE TY, JASON ONG, WILLY DY, and ALVIN TY, Petitioners, vs. NBI SUPERVISING AGENT MARVIN E. DE JEMIL, PETRON GASUL DEALERS ASSOCIATION, and TOTALGAZ DEALERS ASSOCIATION, Respondents.
FACTS
Petitioners are stockholders of Omni Gas Corporation, which is engaged in the trading and refilling of LPG cylinders. Following a request from law firms representing major LPG brand dealers, the NBI conducted surveillance and a test-buy operation at Omni’s premises. NBI agents brought eight branded LPG cylinders (Shellane, Petron Gasul, Totalgaz, and Superkalan Gaz) to Omni for refilling. Omni refilled the cylinders and issued a sales invoice. Subsequent inspection revealed the refilled cylinders lacked proper valve seals, and one was underfilled. Certifications from the brand owners (Pilipinas Shell, Petron, and Total) established that Omni was not an authorized refiller of their branded cylinders.
Based on this, NBI Agent De Jemil filed a complaint-affidavit before the Department of Justice, charging petitioners with violations of Batas Pambansa Blg. 33, as amended, specifically for illegal trading (refilling branded cylinders without authority) and underfilling. The Office of the Chief State Prosecutor found probable cause. Petitioners appealed to the Secretary of Justice, who reversed the finding, citing a Department of Energy Circular which, in his view, decriminalized the refilling of branded cylinders by third parties. The Court of Appeals later reinstated the Chief State Prosecutor’s finding of probable cause, prompting this petition.
ISSUE
Whether the Secretary of Justice committed grave abuse of discretion in reversing the finding of probable cause against petitioners for violations of BP Blg. 33, as amended.
RULING
Yes, the Secretary of Justice committed grave abuse of discretion. The Supreme Court held that the Secretary’s reliance on the Department of Energy (DOE) Circular to decriminalize the acts complained of was a blatant misapplication of the law. The DOE Circular, which pertains to industry guidelines and cylinder recovery, cannot repeal or amend the penal provisions of BP Blg. 33, a statute. The power to define and penalize crimes is exclusively legislative. The circular did not, and could not, decriminalize the act of refilling branded LPG cylinders without the owner’s authority, which remains punishable under the law.
The legal logic is clear: an administrative issuance cannot override a penal statute. The existence of probable cause was sufficiently established by the NBI’s evidence, including the test-buy, the brand owners’ certifications of non-authorization, and the inspection report confirming underfilling. The Secretary’s decision was not merely an error in judgment but a capricious and whimsical exercise of power, constituting grave abuse of discretion correctible by certiorari. The Court of Appeals correctly reinstated the finding of probable cause. The petition was denied, and the assailed CA Decision was affirmed.