RAMON A. GONZALES vs.

RUFINO G HECHANOVA, as EXECUTIVE SECRETARY,

Topic: Powers and Functions

Facts:
This is an original action for prohibition with preliminary injunction.

It is not disputed that on September 22, 1963, respondent Executive Secretary authorized
the importation of 67,000 tons of foreign rice to be purchased from private sources, and created
a rice procurement committee composed of the other respondents herein for the implementation
of said proposed importation. Thereupon, or September 25, 1963, herein petitioner, Ramon A.
Gonzales — a rice planter, and president of the Iloilo Palay and Corn Planters Association, whose
members are, likewise, engaged in the production of rice and corn — filed the petition herein,
averring that, in making or attempting to make said importation of foreign rice, the aforementioned
respondents "are acting without jurisdiction or in excess of jurisdiction", because Republic Act No.
3452 which allegedly repeals or amends Republic Act No. 220 — explicitly prohibits the
importation of rice and corn "the Rice and Corn Administration or any other government agency.”.
Petitioner prayed, therefore, that said petition be given due course; that a writ of preliminary
injunction be forthwith issued restraining respondent their agents or representatives from
implementing the decision of the Executive Secretary to import the aforementioned foreign rice;
and that, after due hearing, judgment be rendered making said injunction permanent.

The petitioner’s interests

Apart from prohibiting the importation of rice and corn "by the Rice and Corn
Administration or any other government agency". Republic Act No. 3452 declares, in Section 1
thereof, that "the policy of the Government" is to "engage in the purchase of these basic
foods directly from those tenants, farmers, growers, producers and landowners in the
Philippines who wish to dispose of their products at a price that will afford them a fair and just
return for their labor and capital investment. ... ." Pursuant to this provision, petitioner, as a planter
with a rice land of substantial proportion,2 is entitled to a chance to sell to the Government the
rice it now seeks to buy abroad. Moreover, since the purchase of said commodity will have to be
effected with public funds mainly raised by taxation, and as a rice producer and landowner
petitioner must necessarily be a taxpayer, it follows that he has sufficient personality and interest
to seek judicial assistance with a view to restraining what he believes to be an attempt to
unlawfully disburse said funds
 The respondents claim

Provisions of Republic Act Nos. 2207 and 3452, prohibiting the importation of rice and corn by
any "government agency", do not apply to importations "made by the Government itself", because
the latter is not a "government agency". This theory is devoid of merit. The Department of National
Defense and the Armed Forces of the Philippines, as well as respondents herein, and each and
every officer and employee of our Government, our government agencies and/or agents. The
applicability of said laws even to importations by the Government as such, becomes more
apparent when we consider that:

1. The importation permitted in Republic Act No. 2207 is to be authorized by the "President
of the Philippines" and, hence, by or on behalf of the Government of the Philippines;
2. Immediately after enjoining the Rice and Corn administration and any other government
agency from importing rice and corn, Section 10 of Republic Act No. 3452 adds "that the
importation of rice and corn is left to private parties upon payment of the corresponding
taxes", thus indicating that only "private parties" may import rice under its provisions; and
3. Aside from prescribing a fine not exceeding P10,000.00 and imprisonment of not more
than five (5) years for those who shall violate any provision of Republic Act No. 3452 or
any rule and regulation promulgated pursuant thereto, Section 15 of said Act provides that
"if the offender is a public official and/or employees", he shall be subject to the additional
penalty specified therein. A public official is an officer of the Government itself, as
distinguished from officers or employees of instrumentalities of the Government.
Hence, the duly authorized acts of the former are those of the Government, unlike those
of a government instrumentality which may have a personality of its own, distinct and
separate from that of the Government, as such.

The provisions of Republic Act No. 2207 are, in this respect, even more explicit. Section 3 thereof
provides a similar additional penalty for any "officer or employee of the Government" who
"violates, abets or tolerates the violation of any provision" of said Act. Hence, the intent to apply
the same to transactions made by the very government is patent.

Issue/s:
1. Whether or not Republic Act No. 3452 repeals Republic Act. No. 2207
2. Whether or not Rufino G Hechanova, As Executive Secretary, has the authority to
issue Republic Act No. 3452

Ruling:

First issue: Yes, the attempt to justify the proposed importation by invoking reasons of national
security — predicated upon the "worsening situation in Laos and Vietnam", and "the recent
tension created by the Malaysia problem" - and the alleged powers of the President as
Commander-in-Chief of all armed forces in the Philippines, under Section 2 of the National
Defense Act (Commonwealth Act No. 1), overlooks the fact that the protection of local planters of
rice and corn in a manner that would foster and accelerate self-sufficiency in the local production
of said commodities constitutes a factor that is vital to our ability to meet possible national
emergency. Even if the intent in importing goods in anticipation of such emergency were to bolster
up that ability, the latter would, instead, be impaired if the importation were so made as to
discourage our farmers from engaging in the production of rice.

Besides, the stockpiling of rice and corn for purpose of national security and/or national
emergency is within the purview of Republic Act No. 3452. Section 3 thereof expressly authorizes
the Rice and Corn Administration "to accumulate stocks as a national reserve in such quantities
as it may deem proper and necessary to meet any contingencies". Moreover, it ordains that "the
buffer stocks held as a national reserve ... be deposited by the administration throughout the
country under the proper dispersal plans ... and may be released only upon the occurrence of
calamities or emergencies ...". (Emphasis applied.)

It has been suggested that even if the proposed importation violated Republic Acts Nos. 2207
and 3452, it should, nevertheless, be permitted because "it redounds to the benefit of the
people". Salus populi est suprema lex, it is said.

If there were a local shortage of rice, the argument might have some value. But the respondents,
as officials of this Government, have expressly affirmed again and again that there is no rice
shortage. And the importation is avowedly for stockpile of the Army — not the civilian population.

Second issue: No, under the Constitution, the main function of the Executive is to enforce laws
enacted by Congress. The former may not interfere in the performance of the legislative powers
of the latter, except in the exercise of his veto power. He may not defeat legislative enactments
that have acquired the status of law, by indirectly repealing the same through an executive
agreement providing for the performance of the very act prohibited by said laws.

Republic Act No. 2207 enjoins our Government not from entering into contracts for the purchase
of rice, but from importing rice, except under the conditions Prescribed in said Act. Upon the other
hand, Republic Act No. 3452 has two (2) main features, namely: (a) it requires the Government
to purchase rice and corn directly from our local planters, growers or landowners; and (b) it
prohibits importations of rice by the Government, and leaves such importations to private parties.
The pivotal issue in this case is whether the proposed importation — which has not been
consummated as yet — is legally feasible.

WHEREFORE, judgment is hereby rendered declaring that respondent Executive Secretary had
and has no power to authorize the importation in question; that he exceeded his jurisdiction in
granting said authority; said importation is not sanctioned by law and is contrary to its provisions;
and that, for lack of the requisite majority, the injunction prayed for must be and is, accordingly
denied. It is so ordered.