G.R. No. L-19796 January 31, 1967
Filemon Laviña, petitioner-appellant, vs. Hon. Fortunato de Leon, Executive Secretary, Office of the President, et al., respondents-appellees.

FACTS

Filemon Laviña, a government employee since 1928, was appointed Executive Officer of the Surplus Property Commission on December 11, 1946. On June 5, 1947, he was suspended from office due to criminal charges filed against him related to the disposal of surplus properties. On October 1, 1949, President Elpidio Quirino issued Executive Order No. 275, which abolished the Surplus Property Commission and transferred its functions to the newly created Surplus Property Liquidating Committee. The abolished Commission issued a circular terminating the services of its employees, though one-third were later re-employed by the new Committee. Laviña was acquitted of the criminal charges on May 20, 1955. He then requested reinstatement and payment of back salaries from his suspension date. The Office of the President approved payment of his salary only for the period from June 5, 1947, to September 30, 1949 (the date of the Commission’s abolition). Dissatisfied, Laviña filed a mandamus action in the Court of First Instance of Rizal to compel his reinstatement to the position of Executive Officer and payment of salary from October 1, 1949, onward. The lower court denied the petition, ruling that his former position had been abolished. Laviña’s appeal was filed after the reglementary period but was allowed by the lower court upon a petition for relief.

ISSUE

Whether or not the Surplus Property Commission, and consequently the position of Executive Officer held by Filemon Laviña, was abolished upon the creation of the Surplus Property Liquidating Committee by Executive Order No. 275.

RULING

Yes. The Supreme Court affirmed the lower court’s decision, holding that Executive Order No. 275 expressly abolished the Surplus Property Commission. The Court noted that the Order created the Surplus Property Liquidating Committee to take over the Commission’s functions and liquidate its remaining assets. Unlike a prior executive order that transferred personnel when creating a new commission, Executive Order No. 275 contained no similar provision for the transfer of employees. Furthermore, the abolished Commission itself interpreted the Order as terminating its operations and issued a circular to its employees advising them of the termination of their services. The subsequent abolition of the Committee and transfer of its functions to the Board of Liquidators by Executive Order No. 377 further supported the conclusion that the Commission was genuinely abolished. Therefore, Laviña’s position no longer existed, and he was not entitled to reinstatement or back salaries beyond the date of abolition.