G.R. No. 248652 , January 12, 2021
People of the Philippines, Plaintiff-Appellee, vs. Antonio M. Talaue, Accused-Appellant.

FACTS

Accused-appellant Antonio M. Talaue, the Municipal Mayor of Sto. Tomas, Isabela, along with the Municipal Treasurer and Municipal Accountant, was charged with violation of Section 52(g) in relation to Section 6(b) of Republic Act No. 8291 for willfully failing to remit GSIS premium contributions of municipal employees totaling Php22,436,546.10 for the period January 1997 to January 2004. The prosecution presented Araceli A. Santos, GSIS Branch Manager, who testified that the municipality failed to remit the total amount and that the head of agency, treasurer, and accountant have the legal obligation to remit. The defense presented accused Florante A. Galasinao, the Municipal Accountant, who claimed his duty was limited to preparing documents and endorsing them to the Municipal Treasurer, and that relevant documents were destroyed by a typhoon. Appellant Talaue testified that he served as mayor from 1997-1998 and 2001-2004. He claimed that in 1997, the DBM decreased the municipality’s budget and he instructed the Municipal Treasurer to inquire and arrange for payment of GSIS remittances. He asserted that the Municipal Treasurer is primarily responsible for payment. He also cited a subsequent Memorandum of Agreement (MOA) between the GSIS and the municipality, approved by a Pasay City RTC in 2009, which restructured the obligation as a loan, arguing this extinguished criminal liability. On cross-examination, he admitted he had no documents to prove the alleged budget decrease or his instructions to the treasurer.

ISSUE

Whether the Sandiganbayan correctly found accused-appellant Antonio M. Talaue guilty beyond reasonable doubt of violation of Section 52(g) in relation to Section 6(b) of R.A. No. 8291 for failure to remit GSIS contributions.

RULING

Yes. The Supreme Court affirmed the Sandiganbayan’s decision finding appellant guilty. The Court held that under Section 6(b) of R.A. No. 8291 , the head of the agency, the treasurer, and the accountant who fail to remit GSIS contributions within thirty days from the due date are jointly and severally liable. As Municipal Mayor and head of the agency, appellant had a direct and mandatory duty to ensure remittance. His defense of relying on the Municipal Treasurer’s actions and the subsequent MOA restructuring the debt as a loan is unavailing. The MOA is a civil compromise that does not extinguish criminal liability, which arises from the breach of public duty. His failure to remit was persistent and continued over several years, constituting willful neglect of duty. The penalty imposed by the Sandiganbayan—an indeterminate penalty of 3 to 5 years imprisonment, a P20,000 fine, and absolute perpetual disqualification from public office and government-licensed professions—is affirmed.