GR 37795; (February, 1933) (Digest)
G.R. No. 37795 ; February 16, 1933
RURAL TRANSIT CO., LTD., complainant-appellant, vs. CARMELITA VIUDA DE SISON, respondent-appellee.
FACTS
The Rural Transit Co., Ltd. filed a complaint against Carmelita Viuda de Sison before the Public Service Commission for violating the terms of her certificate of public convenience. The commission found that on May 26, 1932, Sison operated her vehicles (PU-662 and PU-663) by charging passengers a per capita rate based on distance traveled, which was a direct violation of her certificate authorizing her to charge only by the hour. An inspector testified that the vehicles were also overloaded, carrying more than the authorized capacity of seven passengers. Sison did not present any evidence to refute the charges, only arguing that the complaint should be dismissed because a punched ticket existed, but the commission noted the ticket did not show what was charged. The commission initially imposed a fine of P25 plus P25 investigation costs, later reducing the fine to P10. Rural Transit appealed, arguing the certificate should have been cancelled and the penalty was too light.
ISSUE
Whether the Public Service Commission committed a grave abuse of discretion in not cancelling respondent’s certificate and in imposing only a minimal fine for the violation.
RULING
No. The Supreme Court affirmed the decision of the Public Service Commission. The Court held that while a prior decision in the case where the certificate was originally granted contained a provision stating that the first violation would result in cancellation, this did not legally obligate the commission to cancel the certificate in every instance. The commission retained discretion to determine the appropriate penalty based on the circumstances. The Court found that the imposition of a P10 fine, though seemingly light for a clear violation, did not constitute an abuse of that discretion. The Court declined to substitute its judgment for that of the commission on the matter of the proper penalty.
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