G.R. No. L-11538; May 28, 1958
THE COMMISSIONER OF CUSTOMS and THE COLLECTOR OF CUSTOMS FOR MANILA, petitioners, vs. JEA COMMERCIAL and THE COURT OF TAX APPEALS, respondents.

FACTS

Jea Commercial was the consignee of three shipments of merchandise (ham, dried clams, bamboo shoots, dried abalone, and other goods) from Hongkong arriving at the Port of Manila in October 1954. The shipments were not accompanied by consular invoices or release certificates as required by Central Bank Circular Nos. 44 and 45. The Collector of Customs ordered the seizure of the shipments for violating these circulars and Sections 1250 and 1363(f) of the Revised Administrative Code. The goods were released upon the filing of bonds. The Collector and later the Commissioner of Customs ordered the forfeiture of the bonds. Jea Commercial appealed to the Court of Tax Appeals (CTA), arguing the Central Bank lacked authority to control imports not involving foreign exchange sale. The CTA initially ruled against Jea Commercial on April 2, 1956, ordering bond forfeiture, finding the importations violated the circulars which had the force of law. Jea Commercial filed a motion to reopen the case on May 8, 1956, to present evidence that the importations were on a “no-dollar remittance” basis. The CTA denied this motion on June 20, 1956. Jea Commercial filed a motion for reconsideration on June 29, 1956, and a supplemental motion on July 12, 1956. The CTA granted the motion, held a rehearing, and issued an amended decision on October 18, 1956, reversing its earlier decision, finding the importations were “no-dollar remittance” and thus not subject to Central Bank control or forfeiture. The Commissioner of Customs petitioned to review this amended decision.

ISSUE

Whether the Court of Tax Appeals had jurisdiction to issue its amended decision of October 18, 1956, after its original decision of April 2, 1956, had become final and executory.

RULING

No. The Supreme Court set aside the CTA’s amended decision and revived its original decision. The Court held that the CTA’s original decision of April 2, 1956, became final and executory on June 26, 1956, fifteen days after Jea Commercial received notice of the denial of its first motion to reopen on June 11, 1956, and no appeal was perfected. The subsequent motion for reconsideration (filed June 29, 1956) and supplemental motion (filed July 12, 1956) were filed after the decision had already become final. The supplemental motion did not suspend the period to appeal as it was not based on a ground not existing when the first motion was made. Therefore, the CTA lost jurisdiction over the case on June 26, 1956. Its orders for rehearing and the amended decision issued thereafter were null and void. The original decision stands with full force and effect.