FUNA v CIVIL SERVICE COMMISSION
G.R. No. 191672 | Nov. 25, 2014
Bersamin, J.
FACTS
PGMA appointed Duque as Chairman of the CSC,
which the CA affirmed. Subsequently, the President
issued EO 864, which provides the inclusion of the
Chairman of the CSC in the Board of Trustees of GSIS,
Philippine Health Insurance Corporation
(PHILHEALTH), Employees Compensation
Commission (ECC), and the Home Development
Mutual Fund (HDMF).
Petitioner, Dennis A.B. Funa, in his capacity as
taxpayer, concerned citizen, and lawyer, filed a
petition challenging the constitutionality of EO 864,
as well as the Section 14, Chapter 3, Title I-A, Book V
of EO 292, and the designation of Duque as member
of the Board of Directors of GSIS, PHILHEALTH, ECC,
and HDMF for being a clear violation of Sec 1 and 2 of
Art IX-B of the 1987 Constitution.
ISSUE
Does the designation of Duque as member of the
Board of Directors or Trustees of the GSIS,
PHILHEALTH, ECC and HDMF, in an ex officio
capacity, impair the independence of the CSC and
violate the constitutional prohibition against the
holding of dual or multiple offices for the Members of
the Constitutional Commissions?
JUDGMENT
Court PARTIALLY GRANTS the petition.
RATIO
UNCONSTITUTIONALITY OF DUQUES
DESIGNATION AS MEMBER OF THE GOVERNING
BOARDS OF THE GSIS, PHIC, ECC, & HDMF
Sec 1, Art IX-A of the 1987 Constitution expressly
describes all Constitutional Commissions as
independent
Although functions are executive in nature,
they are not under the control of the
President of the Philippines
Each Constitutional Commission conducts its
own proceedings and rules in the exercise of
its own discretion
Decisions, rulings, and orders are subject to
review on certiorari by the court as provided
by Sec 7, ART IX-A of the 1987 Constitution
To safeguard this independence, the
Constitution provides certain inhibitions and
disqualifications upon the Chairmen
members as provided by Sec 2, Art IX-A of
the 1987 Constitution
Being an appointive public official who does not
occupy a cabinet position, Duque is covered by Sec
7(2), Art IX-B of the 1987 Constitution. Thus, he
can hold any other office or employment in the
government during his tenure as the Chairperson of
CSC.
Sec 14, Chapter 3, Title I-A, Book V of EO 292 is
clear that the CSC Chairman membership in a
governing body is dependent on the condition that
the functions of the government entity where he will
seat of Board member must affect the career
development, employment status, rights,
privileges, and welfare of government employees.
The court finds no irregularity in the said
provision because matters affecting the
career development, employment status,
rights, and privileges, and welfare of
government employees are among the
primary functions of the CSC.
Constitutionality of Sec 14, Chapter 3, Title
I-A, Book V of EO 292 upheld.
Apart from carrying out powers and functions for
which they are created, GSIS, PHILHEALTH, ECC, and
HDMF are also tasked to perform other corporate
powers and functions that are not personnel-related.
When CSC chairman sits as member of the
governing Boards of GSIS, PHILHEALTH, ECC,
and HDMF, he may exercise powers and
functions which are not derived anymore
from his position as CSC chairman.
He also becomes entitled to receive per diem a
form of additional compensation that is not
allowed by an ex officio position, which
proscription is provided by Sec 2, Art IX-A of
the 1987 Constitution
Therefore, should be held unconstitutional.
Duques appointment also violates the
independence of CSC.
GSIS, PHILHEALTH, ECC, and HDMF and the
members of their respective governing
Boards are under the control of the President.
CSC chairman cannot be a member of a
government entity that is under the control of
the President.
 EFFECT OF DECLARATION OF
UNCONSITUTIONALITY OF DUQUES
DESIGNATION AS MEMBER OF THE GOVERNING
BOARD OF THE GSIS, PHILHEALTH, ECC, AND
HDMF THE DE FACTO OFFICER DOCTRINE

Duque did not validly hold office as the Director of

GSIS, PHILHEALTH, ECC, and HDMF due to the
application of the prohibition of Sec 2, Art IX-A of
the 1987 Constitution.
He is not considered as a de jure officer
while he served his term as Director of those
GOCCs.
De jure officer
o deemed, in all respects, legally
appointed and qualified and whose
term of office has not expired
Duque was a de facto officer during his tenure
as Director of these GOCCs
De facto officer
o Appointment is valid on its face
o In possession of an office
The acts of the de facto officer are just as valid
for all purposes as those of a de jure officer, in
so far as the public or third persons who are
interested therein are concerned.