I am publishing the email I received this morning from a good friend, Randy Malayao.  I’ve known Randy way back our active student involvement in the College Editors Guild of the Philippines (CEGP) and the National Union of Students of the Philippines (NUSP) in the 90s.  His is just one of the sorry undocumented stories of rampant political repression and harassment of people who have been vocal about their dissent against the prevailing social ills.  His name has been tagged in ten murder and other criminal cases for the killing of former Cagayan Rep. Aguinaldo among others. Three have been dismissed for lack of evidence. Despite the apparent malicious prosecution, Randy continues to suffer in jail for two years now.  I am publishing his email not only to draw support and empathy for his cause but to let the flame of justice keep burning in our midsts especially in behalf of those whose voices have been muted or whose whereabouts have been left into oblivion.

elmo,

Am furnishing you this email para marefresh and maupdate ka re cases ko. Belated Merry Christmas and happy new year! Nakadalawang Christmas na ako dito. I thought of sending you this para maibahagi ang nangyari sa akin.

So here’s my digested story. Share mo na lang sa iba na kakilala natin.

I was abducted on May 15 2008 around 9pm. It was hell. Pababa ako ng bus. Sinalubong ako ng di ko mabilang na black-clad armed men. They were swarming all over. I was hogtied agad upon apprehension sa Cainta, Rizal. Lights were turned off sa supposedly well lit dept store. Then I was tossed in a van. It was suffocating. Everything was so quiet. I tried to ask kung sino sila to no avail. Of course I knew, they were AFP intel operatives. So I just tried to compose and pacify myself, stopped struggling to save whatever energy i had, conditioned my mind that I would be subjected to harsh interrogation and all. Torture ang pinaghandaan ko.

Nakatulong nang malaki ang pagiging fratman ko yata. Because i became inured to pain. Nakayanan ko ang mga pananakit at mga banta.

Indeed. I was subjected to hard and soft torture. Sinuntok sa iba’t ibang bahagi ng aking katawan maliban sa mukha, para walang maiwang marka. Hinubaran. Psychological torture – hindi mo alam kung ano ang susunod na gagawin. Dry asphyxiation, nilagyan ng plastic ang ulo ko. Paulit-ulit yon. Para kang nalulunod na masakit dahil aabutin ang threshold mo. At kung anu-ano pa. ..

I was deprived of sleep for 5 days, physically and mentally assaulted and all. Kapag gustong kong i-stretch ang kamay ko, pipigilan nila. Hihilahin nila ang kamay ko pababa. Napakasakit dahil nangawit na talaga ako na hanggang ngayon hindi ko maitaas ang kaliwang kamay ko. Indeed, terrifically painful. Nakakadena ang mga paa ko habang nakatali naman ang kamay ko sa likod. At nakaupo lang for 5 days. Pinapahiga din sa semento. Nakakalakad lang pag dinadala nila ako sa cr. I was also subjected to extreme room temp. malamig or mainit. 3 layers ang cover ng mukha ko….nagkabronchitis ako.

Akala ko sa pelikula lang nangyayari. It was hell, indeed. Non-stop ang interrogation. Dalawa lang ang focus ng mga tanong nila, sino ang aking mga kasama at nasan na sila. I was prepared to die. Wala akong dapat sagutin… sinabi ko sa kanila, patayin nyo na lang ako. wala kayong makukuha sa akin… I even offered to dig my own grave. It was this acceptance of death that made me strong. Nakaipon ako ng tatag at kapanatagan.

But they surfaced me after five days. Nakatulong nang malaki ang local and intl pressure; ang campaign against extra-judicial killings. nagmenor sila kaya they had to surface me.

Sa ngayon, I have since moved on i think. nakapangibabaw naman. nakakatulala lang minsan pag isipin ko ginawa sa akin for 5 days.

Baka hanggang Mayo pa ako dito kung madismis man. I have more or less ten cases, and counting. All trumped-up charges. Pinakamabigat yung kay Cong. Rodolfo Aguinaldo dahil high profile at very prominent.

Dahil ako daw ay named NDF peace consultant, lahat yata ng kaso sa rehiyon ay ipinataw sa akin kahit wala akong kinalaman. So by association ang nangyari. Ako naman talaga ay human rights and peace activist ever since.

I might as well share my other predicaments now sa aking legal battles.

Initially, nag-hire ako ng isang topnotch lawyer to defend me in the Aguinaldo case (3 cases) kahit napakamahal ng acceptance fee niya (500T per case). Ninegotiate at nareduce to 300T. Mahal pa rin. pero I was assured of easy breeze pero hindi nangyari. Nananaga talaga ang mga private lawyers. Installment ang mode ng pagbabayad ko sa kanya. Tinanggap ko dahil it was recommended by an all na initial na tumulong sa ilang bayarin. Pero I cannot sustain it. I have yet to settle my arrears sa acceptance fee. Ang nababayaran ko lang noon ay initial na 300T at appearance fee every hearing. 10T per appearance ang atty. Aray ko.

Nagraise ang CEGP for me last year. Nagpapasalamat nga pala ako sa mga tumulong din sa Chickoy Pura concert. They were able to raise at least 54T last year pa sa benefit-concert na yon nina Chikoy Pura, atbp pero nagastos sa venue ang kalahati at pagkain ng mga pro-bono artists. Naipadala naman ang natira – around 20T na sumagot sa 2 hearing. Malaking bagay na rin yon.

Pamilya, ilang good Samaritans ang nagsusustain ngayon ng iba pang bayarin. Litigation cost is simply staggering.

I have since asked the services of pro bono lawyers sa aking other cases. Hindi ko na rin kaya yung lawyer ko sa Aguinaldo case na humihingi na ng bonus fee gayung hindi pa tapos ang kaso.

Yung ibang lawyers, I have to take care of their board and lodging, transpo. Which costs around 10T per hearing dahil galing sila ng Manila.

Lalo na ang mga HR lawyers na maraming kinakaharap na mga kaso din na gaya ng sa akin.

National DOJ na ang humaharap sa kaso (Raul Gonzales noon, ngayon si Devanadera na) re Aguinaldo case to pin me down.

Kahit pala magaling lawyer mo kung iipitin ka, wala din.

Eto nakaka-FB at email ako dahil tumutulong ako sa opisina ng jail. Kaya nakakasingit. I edit the diaryo here. Pero baka hindi rin magtagal. E-visit program ito ng jail warden na minamaximize ko lang. Contact me sa landline -[withheld for security reasons]

As to my status now, mayor na ako ng selda pero ako ang tumatayong adviser ng mga bilanggo at ng warden, hehe.

SIyempre, high risk pa rin ang turing sa akin. Kaya gwardyado pa rin naman ako dito. But I think I have earned their respect dahil am trying to be productive.

Updates:

Aguinaldo Cases (3 cases – 2 murder at 1 frustrated) – may hearing ako sa Feb 24. Ako na ang magsasalita. I hope i could hurdle this. the prosecution portrayed me as the judge, prosecutor and executioner. ako daw ang isa sa mga nag-initiate ng proceedings, military trainor ng mga operatives at head ng special ops na bumira. I will debunk everything that the prosecution had presented.
· San Mariano Cases (ambush, direct assault with murder) – arraignment ko sa February 4. Na-stall ang arraignment dahil nagmotion ako to quash.
· Cabarroquis, Quirino cases (2 frustrated murder, raid sa intel house AFP) – dismissed
· Olalia Murder, Ilagan – pending pero iniatras na ng pamilya, kinakaibigan ako ng isang kapamilya nila – abogadong Olalia
· Dibuluan, San Mariano murder (ambush) – pending sa Joint Monitoring Committee ng NDF at GRP
· Ilagan ambush – pending sa JMC ng NDF at GRP
· Ilagan murder, Ilagan ambush April 2007 – pending sa JMC ng NDF at GRP

Itong pending, puwedeng pambonus o isampa ng GRP kung madismis ang iba pa. meaning, ifile pa rin nila.

lahat trumped up ang mga charges. Puro paningit ang pangalan ko sa lahat ng kaso. Hardly any material evidence. Gusto nila akong ipin-down. Pero kaya ko ito. I shall overcome.

As to peacetalks, kasama ako sa list ng JASIG (Joint agreement on Security and immunity Guarantees)-protected, mga NDF consultants sa peace talks. Pero hindi naman tumutupad ang gubyerno sa kasunduan. ANyway wala din naman akong tiwala kay GMA. At walang patutunguhan ang peace talks sa rehimen niya/

Hindi lang naman financial support ang puwedeng itulong sa akin.(You may send readings – literature, games, films/dvds, magazines, food stuffs na hindi masisira agad, toiletries and disinfectants (pls) – panglinis ng cr (sa dami namin, laging kailangang mag-scrub).

Kahit pabango, bigyan nyo nga ako, kasi amoy selda ako, amoy pawis ha ha! Anakpawis naman talaga ako pero I ask you to send me some good scent he he. I need a rubber shoes para makapag-jog. Medyo sprained ang paa ko- talampakan. i need to exercise.

i think i demand too much na. sige…..bye muna. sensya na. naglalambing lang.

You may send your support – love, moral and material, whatever… sa address na ito.

RANDY MALAYAO
BJMP City and District Jail
Cataggamman Pardo
Tuguegarao City
Cagayan

For legal fund aid:

Land Bank Savings Account: 0125170633
Landbank Account Name: Perla Malayao-Upano (ito ang ginagamit ng Friends of RM/Free Randy Malayao Movement, the group that is assisting me in my cases). Or through Raymund Villanueva who coordinates Free RM and Friends.. in Manila.

Sa Western Union puwede din yata. Tuguegarao City Branch. Pero ipangalan na lang sa errand boy nephew ko: Jeric Upano, Centro, San Pablo, Isabela. (Tel No. 0927-4343015). I need a court order para makalabas kaya sa pamangkin ko na lang.

CP/Landline
BJMP Tuguegarao Landline: (078)304-7146

——————–

LUZON STEVEDORING CORPORATION vs. COURT OF TAX APPEALS and the COMMISSIONER OF INTERNAL REVENUE

GR No. L-30232

July 29, 1988

FACTS:

Petitioner-appellant Luzon Stevadoring Corporation (LSC), in 1961 and 1962, for the repair and maintenance of its tugboats, imported various engine parts and other equipment for which it paid, under protest, the assessed compensating tax. Unable to secure a tax refund from the CIR, on January 2, 1964, it filed a Petition for Review with the CTA, praying among others, that it be granted the refund of the amount of P33,442.13.

Petitioner contends that tugboats are embraced and included in the term cargo vessel under the tax exemption provisions of Section 190 of the Revenue Code, as amended by Republic Act. No. 3176. He argues that in legal contemplation, the tugboat and a barge loaded with cargoes with the former towing the latter for loading and unloading of a vessel in part, constitute a single vessel. Accordingly, it concludes that the engines, spare parts and equipment imported by it and used in the repair and maintenance of its tugboats are exempt from compensating tax.

The CTA, however, in a Decision dated October 21, 1969 denied the various claims for tax refund. Its Motion for Reconsideration was also denied.

ISSUES:

Whether or not petitioner’s tugboats can be interpreted to be included in the term “cargo vessels” for purposes of the tax exemption provided for in Section 190 of the National Internal Revenue Code, as amended by Republic Act No. 3176.

HELD:

Petition without merit. Section 190 of NIRC provides that the tax imposed in this section shall not apply to articles to be used by the importer himself in the manufacture or preparation of articles subject to specific tax or those for consignment abroad and are to form part thereof or to articles to be used by the importer himself as passenger and/or cargo vessel, whether coastwise or oceangoing, including engines and spare parts of said vessel.

This Court has laid down the rule that “as the power of taxation is a high prerogative of sovereignty, the relinquishment is never presumed and any reduction or dimunition thereof with respect to its mode or its rate, must be strictly construed, and the same must be coached in clear and unmistakable terms in order that it may be applied. More specifically stated, the general rule is that any claim for exemption from the tax statute should be strictly construed against the taxpayer.

As correctly analyzed by the Court of Tax Appeals, in order that the importations in question may be declared exempt from the compensating tax, it is indispensable that the requirements of the amendatory law be complied with, namely: (1) the engines and spare parts must be used by the importer himself as a passenger and/or cargo, vessel; and (2) the said passenger and/or cargo vessel must be used in coastwise or oceangoing navigation.

As pointed out by the CTA, the amendatory provisions of RA 3176 limit tax exemption from the compensating tax to imported items to be used by the importer himself as operator of passenger and/or cargo vessel.

As quoted in the decision of the Court of Tax Appeals, a tugboat is defined as follows:

A tugboat is a strongly built, powerful steam or power vessel, used for towing and, now, also used for attendance on vessel. (Webster New International Dictionary, 2nd Ed.)

A tugboat is a diesel or steam power vessel designed primarily for moving large ships to and from piers for towing barges and lighters in harbors, rivers and canals. (Encyclopedia International Grolier, Vol. 18, p. 256).

A tug is a steam vessel built for towing, synonymous with tugboat. (Bouvier’s Law Dictionary.).

Under the foregoing definitions, petitioner’s tugboats clearly do not fall under the categories of passenger and/or cargo vessels. Thus, it is a cardinal principle of statutory construction that where a provision of law speaks categorically, the need for interpretation is obviated, no plausible pretense being entertained to justify non-compliance. All that has to be done is to apply it in every case that falls within its terms (Allied Brokerage Corp. v. Commissioner of Customs, L-27641, 40 SCRA 555 [1971]; Quijano, etc. v. DBP, L-26419, 35 SCRA 270 [1970]).

And, even if construction and interpretation of the law is insisted upon, following another fundamental rule that statutes are to be construed in the light of purposes to be achieved and the evils sought to be remedied (People v. Purisima etc., et al., L-42050-66, 86 SCRA 544 [1978], it will be noted that the legislature in amending Section 190 of the Tax Code by Republic Act 3176, as appearing in the records, intended to provide incentives and inducements to bolster the shipping industry and not the business of stevedoring, as manifested in the sponsorship speech of Senator Gil Puyat.

DAVAO ORIENTAL ELECTRIC COOPERATIVE vs. PROVINCE OF DAVAO ORIENTAL

GR No. 170910

January 20, 2009

FACTS:

Petitioner Davao Oriental Electric Cooperative, Inc. (DOEC) was organized under Presidential Decree (PD) No. 269 which granted a number of tax and duty exemption privileges to electric cooperatives.  In 1984, PD No. 1955 was enacted by then President Ferdinand E. Marcos.  It withdrew all exemptions from or any preferential treatment in the payment of duties, taxes, fees, imposts, and other charges granted to private business enterprises and/or persons engaged in any economic activity.

Due to the failure of petitioner to declare the value of its properties, the Office of the Provincial Assessor assessed its properties.  On October 8, 1985, the Provincial Assessor sent the Notice of Assessment to petitioner which duly received it.

During the same year of 1985, the Fiscal Incentive Review Board (FIRB) issued FIRB Resolution No. 13-85, the Ministry of Finance issued Local Tax Regulation No. 3-85, and the Office of the Local Government Finance, Region XI, Davao City issued Regional Office Memorandum Circular No. 42-85, all of which reiterated the withdrawal of tax exemptions previously granted to business entities including electric cooperatives.

In May 1990, respondent filed a complaint for collection of delinquent real property taxes against petitioner for the years 1984 until 1989, amounting to P1,825,928.12.

Petitioner contends that it was exempt from the payment of real estate taxes from 1984 to 1989 because the restoration of tax exemptions under FIRB Resolution No. 24-87 retroacts to the date of withdrawal of said exemptions.  Further, petitioner questions the classification made by respondent of some of its properties as real properties when it believes them to be personal properties, hence, not subject to realty tax.  It claims that the tax declarations covering its properties were issued without prior consultation, and without its knowledge and consent.  In addition, it argues that respondent classified its poles, towers and fixtures, overhead conductors and devices, station equipment, line transformers, etc. as real properties when by their nature, use, purpose, and destination and by substantive law and jurisprudence, they are personal properties.

On March 15, 2000, the RTC rendered its decision in favor of petitioner. Respondent appealed to the CA which set aside the ruling of the RTC.

ISSUES:

1. Whether or not the restoration of the tax exemption under FIRB Resolution 24-87 was not retroactive to the date of effectivity of PD 1955;

2. Whether or not petitioner could be made to pay taxes based on a wide-sweeping and erroneous assessment of its real properties.

RULING:

Retroactivity of FIRB Resolution No. 24-87.

CA ruling affirmed.  A cursory reading of the resolution bares no indicia of retroactivity of its application.  FIRB Resolution No. 24-87 is crystal clear in stating that “the tax and duty exemption privileges of electric cooperatives granted under the terms and conditions of PD 269 are restored effective July 1, 1987.”  There is no other way to construe it.  The language of the law is plain and unambiguous.  When the language of the law is clear and unequivocal, the law must be taken to mean exactly what it says.

Further, because taxes are the lifeblood of the nation, the court has always applied the doctrine of strict interpretation in construing tax exemptions. A claim for exemption from tax payments must be clearly shown and be based on language in the law too plain to be mistaken. Elsewise stated, taxation is the rule, exemption therefrom is the exception.

Assessment of petitioner’s real properties.

Section 30 of PD No. 464 (Real Property Tax Code) provides that “any owner who is not satisfied with the action of the provincial or city assessor in the assessment of his property may, within sixty days from the date of receipt by him of the written notice of assessment as provided in this Code, appeal to the Board of Assessment Appeals of the province or city, by filing with it a petition under oath using the form prescribed for the purpose, together with copies of the tax declarations and such affidavit or documents submitted in support of the appeal.”

Having failed to appeal the assessment of its properties to the Board of Assessment Appeals, petitioner cannot now assail the validity of the tax assessment against it before the courts.  Petitioner failed to exhaust its administrative remedies, and the consequence for such failure is clear – the tax assessment, as computed and issued by the Office of the Provincial Assessor, became final.  Petitioner is deemed to have admitted the correctness of the assessment of its properties.  In addition, Section 64 of PD No. 464 requires that the taxpayer must first pay under protest the tax assessed against him before he could seek recourse from the courts to assail its validity.

CHINA BANKING CORPORATION and TAN KIM LIONG vs. HON. WENCESLAO ORTEGA, as Presiding Judge of the Court of First Instance of Manila, Branch VIII, and VICENTE G. ACABAN

G.R. No. L-34964

January 31, 1973

En banc

FACTS:

On December 17, 1968 Vicente Acaban filed a complaint in the court a quo against Bautista Logging Co., Inc., B & B Forest Development Corporation and Marino Bautista for the collection of a sum of money. Upon motion of the plaintiff the trial court declared the defendants in default for failure to answer within the reglementary period, and authorized the Branch Clerk of Court and/or Deputy Clerk to receive the plaintiff’s evidence. On January 20, 1970 judgment by default was rendered against the defendants.

To satisfy the judgment, the plaintiff sought the garnishment of the bank deposit of the defendant B & B Forest Development Corporation with the China Banking Corporation. Accordingly, a notice of garnishment was issued by the Deputy Sheriff of the trial court and served on said bank through its cashier, Tan Kim Liong. In reply, the bank’ cashier invited the attention of the Deputy Sheriff to the provisions of Republic Act No. 1405 which, it was alleged, prohibit the disclosure of any information relative to bank deposits. Thereupon the plaintiff filed a motion to cite Tan Kim Liong for contempt of court.

In an order dated March 4, 1972 the trial court denied the plaintiff’s motion. However, Tan Kim Liong was ordered “to inform the Court within five days from receipt of this order whether or not there is a deposit in the China Banking Corporation of defendant B & B Forest Development Corporation, and if there is any deposit, to hold the same intact and not allow any withdrawal until further order from this Court.” Tan Kim Liong moved to reconsider but was turned down by order of March 27, 1972. In the same order he was directed “to comply with the order of this Court dated March 4, 1972 within ten (10) days from the receipt of copy of this order, otherwise his arrest and confinement will be ordered by the Court.” Resisting the two orders, the China Banking Corporation and Tan Kim Liong instituted the instant petition.

The pertinent provisions of Republic Act No. 1405 relied upon by the petitioners reads:

Sec. 2. All deposits of whatever nature with banks or banking institutions in the Philippines including investments in bonds issued by the Government of the Philippines, its political subdivisions and its instrumentalities, are hereby considered as of absolutely confidential nature and may not be examined, inquired or looked into by any person, government official, bureau or office, except upon written permission of the depositor, or in cases of impeachment, or upon order of a competent court in cases of bribery or dereliction of duty of public officials, or in cases where the money deposited or invested is the subject matter of the litigation.

Sec 3. It shall be unlawful for any official or employee of a banking institution to disclose to any person other than those mentioned in Section two hereof any information concerning said deposits.

Sec. 5. Any violation of this law will subject offender upon conviction, to an imprisonment of not more than five years or a fine of not more than twenty thousand pesos or both, in the discretion of the court.

The petitioners argue that the disclosure of the information required by the court does not fall within any of the four (4) exceptions enumerated in Section 2, and that if the questioned orders are complied with Tan Kim Liong may be criminally liable under Section 5 and the bank exposed to a possible damage suit by B & B Forest Development Corporation. Specifically referring to this case, the position of the petitioners is that the bank deposit of judgment debtor B & B Forest Development Corporation cannot be subject to garnishment to satisfy a final judgment against it in view of the aforequoted provisions of law.

ISSUE:

Whether or not a banking institution may validly refuse to comply with a court process garnishing the bank deposit of a judgment debtor, by invoking the provisions of Republic Act No. 1405.

HELD:

We do not view the situation in that light. The lower court did not order an examination of or inquiry into the deposit of B & B Forest Development Corporation, as contemplated in the law. It merely required Tan Kim Liong to inform the court whether or not the defendant B & B Forest Development Corporation had a deposit in the China Banking Corporation only for purposes of the garnishment issued by it, so that the bank would hold the same intact and not allow any withdrawal until further order. It will be noted from the discussion of the conference committee report on Senate Bill No. 351 and House Bill No. 3977, which later became Republic Act 1405, that it was not the intention of the lawmakers to place bank deposits beyond the reach of execution to satisfy a final judgment. Thus:

Mr. MARCOS. Now, for purposes of the record, I should like the Chairman of the Committee on Ways and Means to clarify this further. Suppose an individual has a tax case. He is being held liable by the Bureau of Internal Revenue for, say, P1,000.00 worth of tax liability, and because of this the deposit of this individual is attached by the Bureau of Internal Revenue.

Mr. RAMOS. The attachment will only apply after the court has pronounced sentence declaring the liability of such person. But where the primary aim is to determine whether he has a bank deposit in order to bring about a proper assessment by the Bureau of Internal Revenue, such inquiry is not authorized by this proposed law.

Mr. MARCOS. But under our rules of procedure and under the Civil Code, the attachment or garnishment of money deposited is allowed. Let us assume, for instance, that there is a preliminary attachment which is for garnishment or for holding liable all moneys deposited belonging to a certain individual, but such attachment or garnishment will bring out into the open the value of such deposit. Is that prohibited by this amendment or by this law?

Mr. RAMOS. It is only prohibited to the extent that the inquiry is limited, or rather, the inquiry is made only for the purpose of satisfying a tax liability already declared for the protection of the right in favor of the government; but when the object is merely to inquire whether he has a deposit or not for purposes of taxation, then this is fully covered by the law.

Mr. MARCOS. And it protects the depositor, does it not?

Mr. RAMOS. Yes, it protects the depositor.

Mr. MARCOS. The law prohibits a mere investigation into the existence and the amount of the deposit.

Mr. RAMOS. Into the very nature of such deposit.

Mr. MARCOS. So I come to my original question. Therefore, preliminary garnishment or attachment of the deposit is not allowed?

Mr. RAMOS. No, without judicial authorization.

Mr. MARCOS. I am glad that is clarified. So that the established rule of procedure as well as the substantive law on the matter is amended?

Mr. RAMOS. Yes. That is the effect.

Mr. MARCOS. I see. Suppose there has been a decision, definitely establishing the liability of an individual for taxation purposes and this judgment is sought to be executed … in the execution of that judgment, does this bill, or this proposed law, if approved, allow the investigation or scrutiny of the bank deposit in order to execute the judgment?

Mr. RAMOS. To satisfy a judgment which has become executory.

Mr. MARCOS. Yes, but, as I said before, suppose the tax liability is P1,000,000 and the deposit is half a million, will this bill allow scrutiny into the deposit in order that the judgment may be executed?

Mr. RAMOS. Merely to determine the amount of such money to satisfy that obligation to the Government, but not to determine whether a deposit has been made in evasion of taxes.

xxx xxx xxx

Mr. MACAPAGAL. But let us suppose that in an ordinary civil action for the recovery of a sum of money the plaintiff wishes to attach the properties of the defendant to insure the satisfaction of the judgment. Once the judgment is rendered, does the gentleman mean that the plaintiff cannot attach the bank deposit of the defendant?

Mr. RAMOS. That was the question raised by the gentleman from Pangasinan to which I replied that outside the very purpose of this law it could be reached by attachment.

Mr. MACAPAGAL. Therefore, in such ordinary civil cases it can be attached?

Mr. RAMOS. That is so.

(Vol. II, Congressional Record, House of Representatives, No. 12, pp. 3839-3840, July 27, 1955).

It is sufficiently clear from the foregoing discussion of the conference committee report of the two houses of Congress that the prohibition against examination of or inquiry into a bank deposit under Republic Act 1405 does not preclude its being garnished to insure satisfaction of a judgment. Indeed there is no real inquiry in such a case, and if the existence of the deposit is disclosed the disclosure is purely incidental to the execution process. It is hard to conceive that it was ever within the intention of Congress to enable debtors to evade payment of their just debts, even if ordered by the Court, through the expedient of converting their assets into cash and depositing the same in a bank.

PHILIPPINE NATIONAL BANK and EDUARDO Z. ROMUALDEZ, vs. EMILIO A. GANCAYCO and FLORENTINO FLOR

G.R. No. L-18343

September 30, 1965

en banc

FACTS:

Defendants Emilio A. Gancayco and Florentino Flor, as special prosecutors of the Department of Justice, required the plaintiff Philippine National Bank (PNB) to produce at a hearing on February 20, 1961 the records of the bank deposits of Ernesto T. Jimenez, former administrator of the Agricultural Credit and Cooperative Administration, who was then under investigation for unexplained wealth. In declining to reveal its records, PNB invoked RA 1405 which provides:

SEC. 2. All deposits of whatever nature with banks or banking institutions in the Philippines including investments in bonds issued by the Government of the Philippines, its political subdivisions and its instrumentalities, are hereby considered as of an absolutely confidential nature and may not be examined, inquired or looked into by any person, government official, bureau or office, except upon written permission of the depositor, or in cases of impeachment, or upon order of a competent court in cases of bribery or dereliction of duty of public officials, or in cases where the money deposited or invested is the subject matter of the litigation.

On the other hand, the defendants cited the Anti-Graft and Corrupt Practices Act (RA 3019) in support of their claim of authority and demanded anew that plaintiff Eduardo Z. Romualdez, as bank president, produce the records or he would be prosecuted for contempt. The defendants invoked Sec. 8 of Ra 3019 which states that:

SEC. 8. Dismissal due to unexplained wealth. — If in accordance with the provisions of Republic Act Numbered One thousand three hundred seventy-nine, a public official has been found to have acquired during his incumbency, whether in his name or in the name of other persons, an amount of property and/or money manifestly out of proportion to his salary and to his other lawful income, that fact shall be a ground for dismissal or removal. Properties in the name of the spouse and unmarried children of such public official may be taken into consideration, when their acquisition through legitimate means cannot be satisfactorily shown. Bank deposits shall be taken into consideration in the enforcement of this section, notwithstanding any provision of law to the contrary.

Because of the threat of prosecution, plaintiffs filed an action for declaratory judgment in the Manila CFI. After trial, during which Senator Arturo M. Tolentino, author of the Anti-Graft and Corrupt Practices Act testified, the court rendered judgment, sustaining the power of the defendants to compel the disclosure of bank accounts of ACCFA Administrator Jimenez. The court said that, by enacting Section 8 of RA 3019, Congress clearly intended to provide an additional ground for the examination of bank deposits. Without such provision, the court added prosecutors would be hampered if not altogether frustrated in the prosecution of those charged with having acquired unexplained wealth while in public office.

From that judgment, plaintiffs appealed to this Court. In brief, plaintiffs’ position is that section 8 of the Anti-Graft Law “simply means that such bank deposits may be included or added to the assets of the Government official or employee for the purpose of computing his unexplained wealth if and when the same are discovered or revealed in the manner authorized by Section 2 of RA 1405, which are (1) upon written permission of the depositor; (2) in cases of impeachment; (3) upon order of a competent court in cases of bribery or dereliction of duty of public officials; and (4) in cases where the money deposited or invested is the subject matter of the litigation.”

ISSUES:

1.  Whether or not RA 3019 which took effect on August 17, 1960 is a general law which cannot be deemed to have impliedly repealed section 2 of RA 1405 (which took effect on Sept. 9, 1955), because of the rule that repeals by implication are not favored.

2.  Whether or not a bank can be compelled to disclose the records of accounts of a depositor who is under investigation for unexplained wealth.

HELD:

Contrary to their claim that their position effects a reconciliation of the provisions of the two laws, plaintiffs are actually making the provisions of Republic Act No. 1405 prevail over those of the RA 3019, because even without the latter law the balance standing to the depositor’s credit can be considered provided its disclosure is made in any of the cases provided in RA 1405.

The truth is that RA 3019 and RA 1405 are so repugnant to each other than no reconciliation is possible. Thus, while RA 1405 provides that bank deposits are “absolutely confidential and therefore may not be examined, inquired or looked into, except in those cases enumerated therein, RA 3019 directs in mandatory terms that bank deposits “shall be taken into consideration in the enforcement of this section, notwithstanding any provision of law to the contrary.” The only conclusion possible is that section 8 of the RA 3019 is intended to amend section 2 of RA 1405 by providing additional exception to the rule against the disclosure of bank deposits.

Indeed, if the new law is inconsistent with or repugnant to the old law, the presumption against the intent to repeal by implication is overthrown because the inconsistency or repugnancy reveals an intent to repeal the existing law. And whether a statute, either in its entirety or in part, has been repealed by implication is ultimately a matter of legislative intent. (Crawford, The Construction of Statutes, Secs. 309-310. Cf. Iloilo Palay and Corn Planters Ass’n v. Feliciano, G.R. No. L-24022, March 3, 1965).

With regard to the claim that disclosure would be contrary to the policy making bank deposits confidential, it is enough to point out that while section 2 of RA 1405 declares bank deposits to be “absolutely confidential,” it nevertheless allows such disclosure in the following instances: (1) Upon written permission of the depositor; (2) In cases of impeachment; (3) Upon order of a competent court in cases of bribery or dereliction of duty of public officials; (4) In cases where the money deposited is the subject matter of the litigation. Cases of unexplained wealth are similar to cases of bribery or dereliction of duty and no reason is seen why these two classes of cases cannot be excepted from the rule making bank deposits confidential. The policy as to one cannot be different from the policy as to the other. This policy expresses the motion that a public office is a public trust and any person who enters upon its discharge does so with the full knowledge that his life, so far as relevant to his duty, is open to public scrutiny.

LOURDES T. MARQUEZ vs. HON. ANIANO A. DESIERTO, et al.

G.R. No. 135882

June 27, 2001

En banc

FACTS:

In May 1998, petitioner Marquez received an Order from the Ombudsman Aniano A. Desierto dated April 29, 1998, to produce several bank documents for purposes of inspection in camera relative to various accounts maintained at Union Bank of the Philippines (UBP) Julia Vargas Branch where petitioner was the branch manager.  The accounts to be inspected were involved in a case pending with the Ombudsman entitled, Fact-Finding and Intelligence Bureau (FFIB) v. Amado Lagdameo, et. al, for violation of RA 3019 Sec. 3 (e) and (g) relative to the Joint Venture Agreement between the Public Estates Authority and AMARI. The Order was grounded on Section 15 of RA 6770 (Ombudsman Act of 1989) which provides, among others, the following powers, functions and duties of the Ombudsman, to wit:

(8)  Administer oaths, issue subpoena and subpoena duces tecum and take testimony in any investigation or inquiry, including the power to examine and have access to bank accounts and records;

(9)  Punish for contempt in accordance with the Rules of Court and under the same procedure and with the same penalties provided therein.

Clearly, the specific provision of R.A. 6770, a later legislation, modifies the law on the Secrecy of Bank Deposits (R.A. 1405) and places the office of the Ombudsman in the same footing as the courts of law in this regard.”

The basis of the Ombudsman in ordering an in camera inspection of the accounts was a trail of managers checks (MCs) purchased by one George Trivinio, a respondent in OMB-0-97-0411, pending with the office of the Ombudsman. It appeared that Trivinio purchased on May 2 and 3, 1995, 51 MCs for a total amount of P272.1 Million at Traders Royal Bank (TRB) UN Ave. Branch.  Out of the 51 MCs, eleven 11 MCs in the amount of P70.6M were deposited and credited to an account maintained at the UBP.

On May 26, 1998, the FFIB panel met with petitioner Marquez and Atty. Fe B. Macalino at the bank’s main office in Makati City, for the purpose of allowing petitioner and Atty. Macalino to view the checks furnished by TRB. After convincing themselves of the veracity of the checks, Atty. Macalino advised Ms. Marquez to comply with the order of the Ombudsman. Petitioner agreed to an in camera inspection set on June 3, 1998.  However, on June 4, 1998, Marquez wrote the Ombudsman that the accounts in question could not readily be identified since the checks were issued in cash or bearer, and asked for time to respond to the order. Marquez surmised that these accounts had long been dormant, hence were not covered by the new account number generated by the UB system, thus sought to verify from the Interbank records archives for the whereabouts of these accounts.

The Ombudsman, responding to the request of Marquez for time to comply with the order, stated that UBP-Julia Vargas, not Interbank, was the depositary bank of the subject TRB MCs as shown at its dorsal portion and as cleared by the Philippine Clearing House.  Notwithstanding the fact that the checks were payable to cash or bearer, the name of the depositor(s) could easily be identified since the account numbers where said checks were deposited were identified in the order.

Even assuming that the accounts were already classified as dormant accounts, the bank was still required to preserve the records pertaining to the accounts within a certain period of time as required by existing banking rules and regulations.

On June 16, 1998, the Ombudsman issued an order directing Marquez to produce the bank documents relative to the accounts in issue, stating that her persistent refusal to comply with the order is unjustified, was merely intended to delay the investigation of the case, constitutes disobedience of or resistance to a lawful order issued by the office and is punishable as Indirect Contempt under Section 3(b) of R.A. 6770.

On July 10, 1998, Marquez together with UBP filed a petition for declaratory relief, prohibition and injunction with the Makati RTC against the Ombudsman allegedly because the Ombudsman and other persons acting under his authority were continuously harassing her to produce the bank documents relative to the accounts in question. Moreover, on June 16, 1998, the Ombudsman issued another order stating that unless she appeared before the FFIB with the documents requested, Marquez would be charged with indirect contempt and obstruction of justice.

The lower court denied petitioner’s prayer for a temporary restraining order stating that since petitioner failed to show prima facie evidence that the subject matter of the investigation is outside the jurisdiction of the Office of the Ombudsman, no writ of injunction may be issued by the RTC to delay the investigation pursuant to Section 14 of the Ombudsman Act of 1989.

Petitioner filed a motion for reconsideration but was denied.

On August 21, 1998, petitioner received a copy of the motion to cite her for contempt. On August 31, 1998, petitioner filed with the Ombudsman an opposition to the motion to cite her in contempt on the ground that the filing thereof was premature due to the petition pending in the lower court. Petitioner likewise reiterated that she had no intention to disobey the orders of the Ombudsman. However, she wanted to be clarified as to how she would comply with the orders without her breaking any law, particularly RA 1405.

ISSUES:

1. Whether or not Marquez may be cited for indirect contempt for her failure to produce the documents requested by the Ombudsman.

2. Whether or not the order of the Ombudsman to have an in camera inspection of the questioned account is allowed as an exception to the law on secrecy of bank deposits (RA 1405).

HELD:

An examination of the secrecy of bank deposits law (RA 1405) would reveal the following exceptions:

1.  Where the depositor consents in writing;

2.  Impeachment case;

3.  By court order in bribery or dereliction of duty cases against public officials;

4.  Deposit is subject of litigation;

5.  Sec. 8, R. A. No. 3019, in cases of unexplained wealth as held in the case of PNB vs. Gancayco

We rule that before an in camera inspection may be allowed, there must be a pending case before a court of competent jurisdiction. Further, the account must be clearly identified, the inspection limited to the subject matter of the pending case before the court of competent jurisdiction.  The bank personnel and the account holder must be notified to be present during the inspection, and such inspection may cover only the account identified in the pending case.

In Union Bank of the Philippines v. Court of Appeals, we held that “Section 2 of the Law on Secrecy of Bank Deposits, as amended, declares bank deposits to be “absolutely confidential” except:

(1) In an examination made in the course of a special or general examination of a bank that is specifically authorized by the Monetary Board after being satisfied that there is reasonable ground to believe that a bank fraud or serious irregularity has been or is being committed and that it is necessary to look into the deposit to establish such fraud or irregularity,

(2) In an examination made by an independent auditor hired by the bank to conduct its regular audit provided that the examination is for audit purposes only and the results thereof shall be for the exclusive use of the bank,

(3) Upon written permission of the depositor,

(4) In cases of impeachment,

(5) Upon order of a competent court in cases of bribery or dereliction of duty of public officials, or

(6) In cases where the money deposited or invested is the subject matter of the litigation”

In the case at bar, there is yet no pending litigation before any court of competent authority. What is existing is an investigation by the office of the Ombudsman. In short, what the Office of the Ombudsman would wish to do is to fish for additional evidence to formally charge Amado Lagdameo, et. al., with the Sandiganbayan. Clearly, there was no pending case in court which would warrant the opening of the bank account for inspection.

Zones of privacy are recognized and protected in our laws.  The Civil Code provides that “every person shall respect the dignity, personality, privacy and peace of mind of his neighbors and other persons” and punishes as actionable torts several acts for meddling and prying into the privacy of another.  It also holds a public officer or employee or any private individual liable for damages for any violation of the rights and liberties of another person, and recognizes the privacy of letters and other private communications.  The Revised Penal Code makes a crime of the violation of secrets by an officer, the revelation of trade and industrial secrets, and trespass to dwelling. Invasion of privacy is an offense in special laws like the Anti-Wiretapping Law, the Secrecy of Bank Deposits Act, and the Intellectual Property Code.

Ombudsman is ordered to cease and desist from requiring Union Bank Manager Lourdes T. Marquez, or anyone in her place to comply with the order dated October 14, 1998, and similar orders.

EMMANUEL C. OÑATE and ECON HOLDINGS CORPORATION vs. HON. ZUES C. ABROGAR and SUN LIFE ASSURANCE COMPANY OF CANADA

G.R. No. 107303

February 21, 1994

FACTS:

On December 23, 1991, respondent Sun Life Assurance Company of Canada (Sun Life) filed a complaint for a sum of money with a prayer for the immediate issuance of a writ of attachment against petitioners and Noel L. Diño at Branch 150 of the RTC Makati, presided over by respondent Judge. The following day, December 24, 1991, respondent Judge issued an order granting the issuance of a writ of attachment, which was actually issued on December 27, 1991.

On January 3, 1992, upon Sun Life’s ex-parte motion, the trial court amended the writ of attachment to reflect the alleged amount of the indebtedness. That same day, Deputy Sheriff Flores, accompanied by a representative of Sun Life, attempted to serve summons and a copy of the amended writ of attachment upon petitioners at their known office address in Makati but was not able to do so since there was no responsible officer to receive the same. Nonetheless, Sheriff Flores proceeded over a period of several days to serve notices of garnishment upon several commercial banks and financial institutions, and levied on attachment a condominium unit and a real property belonging to petitioner Oñate.

Summons was eventually served upon petitioners on January 9, 1992, while defendant Diño was served with summons on January 16, 1992.

On January 21, 1992, petitioners filed an “Urgent Motion to Discharge/Dissolve Writ of Attachment.” That same day, Sun Life filed an ex-parte motion to examine the books of accounts and ledgers of petitioner Brunner Development Corporation (Brunner) at the Urban Bank, Legaspi Village Branch, and to obtain copies thereof, which motion was granted by respondent Judge. The examination of said account took place on January 23, 1992. Petitioners filed a motion to nullify the proceedings taken thereat since they were not present.

On January 30, 1992, petitioners and their co-defendants filed a memorandum in support of the motion to discharge attachment. Also on that same day, Sun Life filed another motion for examination of bank accounts, this time seeking the examination of Account No. 0041-0277-03 with the Bank of Philippine Islands (BPI) — which, incidentally, petitioners claim not to be owned by them — and the records of Philippine National Bank (PNB) with regard to checks payable to Brunner. Sun Life asked the court to order both banks to comply with the notice of garnishment.

On February 6, 1992, respondent Judge issued an order (1) denying petitioners’ and the co-defendants’ motion to discharge the amended writ of attachment, (2) approving Sun Life’s additional attachment, (3) granting Sun Life’s motion to examine the BPI account, and (4) denying petitioners’ motion to nullify the proceedings of January 23, 1992.

On March 12, 1992, petitioners filed a motion for reconsideration of the February 6, 1992 order. On September 6, 1992, respondent Judge denied the motion for reconsideration.

ISSUES:

1. whether or not respondent Judge had acted with grave abuse of discretion amounting to lack or in excess of jurisdiction in issuing ex parte the original and amended writs of preliminary attachment and the corresponding notices of garnishment and levy on attachment since the trial court had not yet acquired jurisdiction over them; and
2. whether or not respondent Judge had acted with grave abuse of discretion amounting to lack or in excess of jurisdiction in allowing the examination of the bank records though no notice was given to them.

HELD:

Both petitions unmeritorious.

I.

It is well-settled that a writ of preliminary attachment may be validly applied for and granted even before the defendant is summoned or is heard from. The rationale behind this rule was stated by the Court in this wise:

A preliminary attachment may be defined as the provisional remedy in virtue of which a plaintiff or other proper party may, at the commencement of the action or any time thereafter, have the property of the adverse party taken into the custody of the court as security for the satisfaction of any judgment that may be recovered. It is a remedy which is purely statutory in respect of which the law requires a strict construction of the provisions granting it. Withal no principle, statutory or jurisprudential, prohibits its issuance by any court before acquisition of jurisdiction over the person of the defendant.

Rule 57 in fact speaks of the grant of the remedy “at the commencement of the action or at any time thereafter.” The phrase “at the commencement of the action,” obviously refers to the date of the filing of the complaint — which, as above-pointed out, is the date that marks “the commencement of the action;” and the reference plainly is to a time before summons is served on the defendant or even before summons issues. What the rule is saying quite clearly is that after an action is properly commenced — by the filing of the complaint and the payment of all requisite docket and other fees — the plaintiff may apply for and obtain a writ of preliminary attachment upon fulfillment of the pertinent requisites laid down by law, and that he may do so at any time, either before or after service of summons on the defendant. And this indeed, has been the immemorial practice sanctioned by the courts: for the plaintiff or other proper party to incorporate the application for attachment in the complaint or other appropriate pleading (counterclaim, cross-claim, third-party claim) and for the Trial Court to issue the writ ex-parte at the commencement of the action if it finds the application otherwise sufficient in form and substance.

Petitioners’ contention that the writ should have been discharged since the ground on which it was issued (fraud in contracting the obligation) was not present cannot be considered a ground for lifting the writ since this delves into the very complaint of the Sun Life.

The fact that a criminal complaint for estafa filed by Sun Life against the petitioners was dismissed by the Provincial Prosecutor of Rizal for Makati on April 21, 1992 and was upheld by the Provincial Prosecutor on July 13, 1992 is of no moment since the same can be indicative only of the absence of criminal liability, but not of civil liability. Besides, Sun Life had elevated the case for review to the Department of Justice, where the case is presently pending.

Finally, petitioners argue that the enforcement of the writ was invalid since it undisputedly preceded the actual service of summons by six days at most. We do not agree entirely with petitioners. True, this Court had held in a recent decision that the enforcement of writ of attachment may not validly be effected until and unless proceeded or contemporaneously accompanied by service of summons.

But an exception to the established rule on the enforcement of the writ of attachment can be made where a previous attempt to serve the summons and the writ of attachment failed due to factors beyond the control of either the plaintiff or the process server, provided that such service is effected within a reasonable period thereafter.

Several reasons can be given for the exception. First, there is a possibility that a defendant, having been alerted of plaintiffs action by the attempted service of summons and the writ of attachment, would put his properties beyond the reach of the plaintiff while the latter is trying to serve the summons and the writ anew. By the time the plaintiff may have caused the service of summons and the writ, there might not be any property of the defendant left to attach.

Second, the court eventually acquired jurisdiction over the petitioners six days later. To nullify the notices of garnishment issued prior thereto would again open the possibility that petitioners would transfer the garnished monies while Sun Life applied for new notices of garnishment.

Third, the ease by which a writ of attachment can be obtained is counter-balanced by the ease by which the same can be discharged: the defendant can either make a cash deposit or post a counter-bond equivalent to the value of the property attached. The petitioners herein tried to have the writ of attachment discharged by posting a counter-bond, the same was denied by respondent Judge on the ground that the amount of the counter-bond was less than that of Sun Life’s bond.

II.

Petitioners’ second ground assail the acts of respondent Judge in allowing the examination of Urban Banks’ records and in ordering that the examination of the bank records of BPI and PNB as invalid since no notice of said examinations were ever given them.

It is clear from the provision of Section 10, Rule 57 (ROC) that notice need only be given to the garnishee, but the person who is holding property or credits belonging to the defendant. The provision does not require that notice be furnished the defendant himself, except when there is a need to examine said defendant “for the purpose of giving information respecting his property.

Furthermore, Section 10 Rule 57 is not incompatible with Republic Act No. 1405, as amended, (Bank Deposits Secrecy Law) for Section 2 therefor provides an exception “in cases where the money deposited or invested is the subject matter of the litigation.”

The examination of the bank records is not a fishing expedition, but rather a method by which Sun Life could trace the proceeds of the check it paid to petitioners.

Let me greet all of you A VERY BLESSED AND PROSPEROUS NEW YEAR!

A new year full of hopes, rising amid the barrenness

I have not posted an update for a while as, like you do, I’ve been caught in the myriad of merrymakings of the holidays.

THANK YOU also for being with me in 2009.  Let’s look forward to a more productive and peaceful year – away from calamities, tragedies, unlawful acts, depression, crisis, and other forms of misfortune.

My special prayer is for each one of us to take extra care for the environment.  We cannot imagine a world where our childhood joys for and with Mother Nature are all but just memories.

May we all be compassionate children of creation bestowed with the twin natural ability to dive against danger,  drown destructions and dig for development.  May Immortal Love reign in our hearts and Our Creator’s blessings fill our needs everyday of the year to come!

COCA-COLA BOTTLERS PHILS., INC. vs. ALAN M. AGITO, et al

GR No. 179546

February 13, 2009

FACTS:

Petitioner (Coke) is a domestic corporation engaged in manufacturing, bottling and distributing soft drink beverages and other allied products. Respondents were salesmen assigned at Coke Lagro Sales Office for years but were not regularized.  Coke averred that respondents were employees of Interserve who were tasked to perform contracted services in accordance with the provisions of the Contract of Services executed between Coke and Interserve on 23 March 2002. Said Contract constituted legitimate job contracting, given that the latter was a bona fide independent contractor with substantial capital or investment in the form of tools, equipment, and machinery necessary in the conduct of its business.

To prove the status of Interserve as an independent contractor, petitioner presented the following pieces of evidence: (1) the Articles of Incorporation of Interserve; (2) the Certificate of Registration of Interserve with the Bureau of Internal Revenue; (3) the Income Tax Return, with Audited Financial Statements, of Interserve for 2001; and (4) the Certificate of Registration of Interserve as an independent job contractor, issued by the Department of Labor and Employment (DOLE).

As a result, petitioner asserted that respondents were employees of Interserve, since it was the latter which hired them, paid their wages, and supervised their work, as proven by: (1) respondents’ Personal Data Files in the records of Interserve; (2) respondents’ Contract of Temporary Employment with Interserve; and (3) the payroll records of Interserve.

ISSUES:

1. Whether or not Inteserve is a labor-only contractor;

2. Whether or not an employer-employee relationship exists between petitioner Coca-Cola Bottlers Phils. Inc. and respondents.

RULING:

At the outset, the Court clarifies that although Interserve has an authorized capital stock amounting to P2,000,000.00, only P625,000.00 thereof was paid up as of 31 December 2001. The Court does not set an absolute figure for what it considers substantial capital for an independent job contractor, but it measures the same against the type of work which the contractor is obligated to perform for the principal. However, this is rendered impossible in this case since the Contract between petitioner and Interserve does not even specify the work or the project that needs to be performed or completed by the latter’s employees, and uses the dubious phrase “tasks and activities that are considered contractible under existing laws and regulations.” Even in its pleadings, petitioner carefully sidesteps identifying or describing the exact nature of the services that Interserve was obligated to render to petitioner. The importance of identifying with particularity the work or task which Interserve was supposed to accomplish for petitioner becomes even more evident, considering that the Articles of Incorporation of Interserve states that its primary purpose is to operate, conduct, and maintain the business of janitorial and allied services. But respondents were hired as salesmen and leadman for petitioner. The Court cannot, under such ambiguous circumstances, make a reasonable determination if Interserve had substantial capital or investment to undertake the job it was contracting with petitioner.

[In] Vinoya v. NLRC, we clarified that it was not enough to show substantial capitalization or investment in the form of tools, equipment, machinery and work premises, etc., to be considered an independent contractor. In fact, jurisprudential holdings were to the effect that in determining the existence of an independent contractor relationship, several factors may be considered, such as, but not necessarily confined to, whether the contractor was carrying on an independent business; the nature and extent of the work; the skill required; the term and duration of the relationship; the right to assign the performance of specified pieces of work; the control and supervision of the workers; the power of the employer with respect to the hiring, firing and payment of the workers of the contractor; the control of the premises; the duty to supply premises, tools, appliances, materials and labor; and the mode, manner and terms of payment.

In sum, Interserve did not have substantial capital or investment in the form of tools, equipment, machineries, and work premises; and respondents, its supposed employees, performed work which was directly related to the principal business of petitioner. It is, thus, evident that Interserve falls under the definition of a “labor-only” contractor, under Article 106 of the Labor Code; as well as Section 5(i) of the Rules Implementing Articles 106-109 of the Labor Code, as amended.  It is also apparent that Interserve is a labor-only contractor under Section 5(ii) of the Rules Implementing Articles 106-109 of the Labor Code, as amended, since it did not exercise the right to control the performance of the work of respondents.

The lack of control of Interserve over the respondents can be gleaned from the Contract of Services between Interserve (as the CONTRACTOR) and petitioner (as the CLIENT).  The Contract of Services between Interserve and petitioner did not identify the work needed to be performed and the final result required to be accomplished. Instead, the Contract specified the type of workers Interserve must provide petitioner (“Route Helpers, Salesmen, Drivers, Clericals, Encoders & PD”) and their qualifications (technical/vocational course graduates, physically fit, of good moral character, and have not been convicted of any crime). The Contract also states that, “to carry out the undertakings specified in the immediately preceding paragraph, the CONTRACTOR shall employ the necessary personnel,” thus, acknowledging that Interserve did not yet have in its employ the personnel needed by petitioner and would still pick out such personnel based on the criteria provided by petitioner. In other words, Interserve did not obligate itself to perform an identifiable job, work, or service for petitioner, but merely bound itself to provide the latter with specific types of employees. These contractual provisions strongly indicated that Interserve was merely a recruiting and manpower agency providing petitioner with workers performing tasks directly related to the latter’s principal business.

The certification issued by the DOLE stating that Interserve is an independent job contractor does not sway this Court to take it at face value, since the primary purpose stated in the Articles of Incorporation of Interserve is misleading. According to its Articles of Incorporation, the principal business of Interserve is to provide janitorial and allied services. The delivery and distribution of Coca-Cola products, the work for which respondents were employed and assigned to petitioner, were in no way allied to janitorial services. While the DOLE may have found that the capital and/or investments in tools and equipment of Interserve were sufficient for an independent contractor for janitorial services, this does not mean that such capital and/or investments were likewise sufficient to maintain an independent contracting business for the delivery and distribution of Coca-Cola products.

With the finding that Interserve was engaged in prohibited labor-only contracting, petitioner shall be deemed the true employer of respondents. As regular employees of petitioner, respondents cannot be dismissed except for just or authorized causes, none of which were alleged or proven to exist in this case, the only defense of petitioner against the charge of illegal dismissal being that respondents were not its employees. Records also failed to show that petitioner afforded respondents the twin requirements of procedural due process, i.e., notice and hearing, prior to their dismissal. Respondents were not served notices informing them of the particular acts for which their dismissal was sought. Nor were they required to give their side regarding the charges made against them. Certainly, the respondents’ dismissal was not carried out in accordance with law and, therefore, illegal.

MAYON HOTEL & RESTAURANT vs. ROLANDO ADANA, et al.

G.R. No. 157634

May 16, 2005

 

FACTS:

Petitioner Mayon Hotel & Restaurant (MHR) hired herein 16 respondents as employees in its business in Legaspi City.  Its operation was suspended on March 31, 1997 due to the expiration and non-renewal of the lease contract for the space it rented.  While waiting for the completion of the construction of its new site, MHR continued its operation in another site with 9 of the 16 employees.  When the new site constructed and MHR resumed its business operation, none of the 16 employees was recalled to work. 

MHR alleged business losses as the reason for not reinstating the respondents.  On various dates, respondents filed complaints for underpayment of wages, money claims and illegal dismissal. 

ISSUES:

1. Whether or not respondents were illegally dismissed by petitioner;

2. Whether or not respondents are entitled to their money claims due to underpayment of wages, and nonpayment of holiday pay, rest day premium, SILP, COLA, overtime pay, and night shift differential pay. 

HELD:

1. Illegal Dismissal: claim for separation pay

Since April 1997 until the time the Labor Arbiter rendered its decision in July 2000, or more than three (3) years after the supposed “temporary” lay-off, the employment of all the respondents with petitioner had ceased, notwithstanding that the new premises had been completed and the same resumed its operation.  This is clearly dismissal – or the permanent severance or complete separation of the worker from the service on the initiative of the employer regardless of the reasons therefor.

Article 286 of the Labor Code is clear — there is termination of employment when an otherwise bona fide suspension of work exceeds six (6) months. The cessation of employment for more than six months was patent and the employer has the burden of proving that the termination was for a just or authorized cause.

While we recognize the right of the employer to terminate the services of an employee for a just or authorized cause, the dismissal of employees must be made within the parameters of law and pursuant to the tenets of fair play. And in termination disputes, the burden of proof is always on the employer to prove that the dismissal was for a just or authorized cause. Where there is no showing of a clear, valid and legal cause for termination of employment, the law considers the case a matter of illegal dismissal.

If doubts exist between the evidence presented by the employer and the employee, the scales of justice must be tilted in favor of the latter — the employer must affirmatively show rationally adequate evidence that the dismissal was for a justifiable cause. It is a time-honored rule that in controversies between a laborer and his master, doubts reasonably arising from the evidence, or in the interpretation of agreements and writing should be resolved in the former’s favor. The policy is to extend the doctrine to a greater number of employees who can avail of the benefits under the law, which is in consonance with the avowed policy of the State to give maximum aid and protection of labor. 

2. Money claims

The Supreme Court reinstated the award of monetary claims granted by the Labor Arbiter.

The cost of meals and snacks purportedly provided to respondents cannot be deducted as part of respondents’ minimum wage. As stated in the Labor Arbiter’s decision.

Even granting that meals and snacks were provided and indeed constituted facilities, such facilities could not be deducted without compliance with certain legal requirements. As stated in Mabeza v. NLRC, the employer simply cannot deduct the value from the employee’s wages without satisfying the following: (a) proof that such facilities are customarily furnished by the trade; (b) the provision of deductible facilities is voluntarily accepted in writing by the employee; and (c) the facilities are charged at fair and reasonable value. The law is clear that mere availment is not sufficient to allow deductions from employees’ wages.

As for petitioners repeated invocation of serious business losses, suffice to say that this is not a defense to payment of labor standard benefits. The employer cannot exempt himself from liability to pay minimum wages because of poor financial condition of the company. The payment of minimum wages is not dependent on the employer’s ability to pay.

REPUBLIC ACT NO. 9745

AN ACT PENALIZING TORTURE AND OTHER CRUEL, INHUMAN AND DEGRADING TREATMENT OR PUNISHMENT AND PRESCRIBING PENALTIES THEREFOR

 SECTION 1. Short Title. - This Ad shall be known as the “Anti-Torture Act of 2009″.

SEC. 2. Statement of Policy. - It is hereby declared the policy of the State:

(a) To value the dignity of every human person and guarantee full respect for human rights;

(b) To ensure that the human rights of all persons, including suspects, detainees and prisoners are respected at all times; and that no person placed under investigation or held in custody of any person in authority or, agent of a person authority shall be subjected to physical, psychological or mental harm, force, violence, threat or intimidation or any act that impairs his/her free will or in any manner demeans or degrades human dignity;

(c) To ensure that secret detention places, solitary, incommunicado or other similar forms of detention, where torture may be carried out with impunity, are prohibited; and

(d) To fully adhere to the principles and standards on the absolute condemnation and prohibition of torture as provided for in the 1987 Philippine Constitution; various international instruments to which the Philippines is a State party such as, but not limited to, the International Covenant on Civil and Political Rights (ICCPR), the Convention on the Rights of the Child (CRC), the  Convention on the Elimination of All Forms of Discrimination Against Women (CEDA W) and the Convention Against Torture and Other Cruel, Inhuman or Degrading Treatment or Punishment (CAT); and all other relevant international human rights instruments to which the Philippines is a signatory. 

SEC. 3. Definitions. - For purposes of this Act, the following terms shall mean:

(a) “Torture” refers to an act by which severe pain or suffering, whether physical or mental, is intentionally inflicted on a person for such purposes as obtaining from him/her or a third person information or a confession; punishing him/her for an act he/she or a third person has committed or is suspected of having committed; or intimidating or coercing him/her or a third person; or for any reason based on discrimination of any kind, when such pain or suffering is inflicted by or at the instigation of or with the consent or  acquiescence of a person in authority or agent of a person in authority. It does not include pain or Buffering arising only from, inherent in or incidental to lawful sanctions.

(b) “Other cruel, inhuman and degrading treatment or punishment” refers to a deliberate and aggravated treatment or punishment not enumerated under Section 4 of his Act, inflicted by a person in authority or agent of a person in authority against a person under his/her custody, which attains a level of severity causing suffering, gross humiliation or debasement to the latter.

(c) “Victim’ refers to the person subjected to torture or other cruel, inhuman and degrading treatment or punishment as defined above and any individual who has suffered harm as a result of any act(s) of torture, or other cruel, inhuman and degrading treatment or punishment.

(d) “Order of Battle” refers to any document or determination made by the military, police or any law enforcement agency of the government, listing the names of persons and organizations that it perceives to be enemies of the State and that it considers as legitimate targets as combatants that it could deal with, through the use of means allowed by domestic and international law. 

SEC. 4. Acts of Torture. - For purposes of this Act, torture shall include, but not be limited to, the following:

(a) Physical torture is a form of treatment or punishment inflicted by a person in authority or agent of a person in authority upon another in his/her custody that causes severe pain, exhaustion, disability or dysfunction of one or more parts of the body, such as:

(1) Systematic beating, head banging, punching, kicking, striking with truncheon or rifle butt or other similar objects, and jumping on the stomach;

(2) Food deprivation or forcible feeding with spoiled food, animal or human excreta and other stuff or substances not normally eaten;

(3) Electric shock;

(4) Cigarette burning; burning by electrically heated rods, hot oil, acid; by the rubbing of pepper or other chemical substances on mucous membranes, or acids or spices directly on the wound(s);

(5) The submersion of the head in water or water polluted with excrement, urine, vomit, and/or blood until the brink of suffocation;

(6) Being tied or forced to assume fixed and stressful bodily position;

(7) Rape and sexual abuse, including the insertion of foreign objects into the sex organ or rectum, or electrical torture of the genitals;

(8) Mutilation or amputation of the essential parts of the body such as the genitalia, ear, tongue, etc.;

(9) Dental torture or the forced extraction of the teeth;

(10) Pulling out of fingernails;

(11) Harmful exposure to the elements such as sunlight and extreme cold;

(12) The use of plastic bag and other materials placed over the head to the point of asphyxiation;

(13) The use of psychoactive drugs to change the perception, memory. alertness or will of a person, such as:

(i) The administration of drugs to induce confession and/or reduce mental competency; or

(ii) The use of drugs to induce extreme pain or certain symptoms of a disease; and

(14) Other analogous acts of physical torture; and

(b) “Mental/Psychological Torture” refers to acts committed by a person in authority or agent of a person in authority which are calculated to affect or confuse the mind and/or undermine a person’s dignity and morale, such as:

(1) Blindfolding;

(2) Threatening a person(s) or his/her relative(s) with bodily harm, execution or other wrongful acts;

(3) Confinement in solitary cells or secret detention places;

(4) Prolonged interrogation;

(5) Preparing a prisoner for a “show trial”, public display or public humiliation of a detainee or prisoner;

(6) Causing unscheduled transfer of a person deprived of liberty from one place to another, creating the belief that he/she shall be summarily executed;

(7) Maltreating a member/s of a person’s family;

(8) Causing the torture sessions to be witnessed by the person’s family, relatives or any third party;

(9) Denial of sleep/rest;

(10) Shame infliction such as stripping the person naked, parading him/her in public places, shaving the victim’s head or putting marks on his/her body against his/her will;

(11) Deliberately prohibiting the victim to communicate with any member of his/her family; and

(12) Other analogous acts of mental/psychological torture. 

SEC. 5. Other Cruel, Inhuman and Degrading Treatment or Punishment. - Other cruel, inhuman or degrading treatment or punishment refers to a deliberate and aggravated treatment or punishment not enumerated under Section 4 of this Act, inflicted by a person in authority or agent of a person in authority against another person in custody, which attains a level of severity sufficient to cause suffering, gross humiliation or debasement to the latter. The assessment of the level of severity shall depend on all the circumstances of the case, including the duration of the treatment or punishment, its physical and mental effects and, in some cases, the sex, religion, age and state of health of the victim. 

SEC. 6. Freedom from Torture and Other Cruel, Inhuman and Degrading Treatment or Punishment, An Absolute Right. - Torture and other cruel, inhuman and degrading treatment or punishment as criminal acts shall apply to all circumstances. A state of war or a threat of war, internal political instability, or any other public emergency, or a document or any determination comprising an order of battle shall not and can never be invoked as a justification for torture and other cruel, inhuman and degrading treatment or punishment. 

SEC. 7. Prohibited Detention. - Secret detention places, solitary confinement, incommunicado or other similar forms of detention, where torture may be carried out with impunity are hereby prohibited. In which case, the Philippine National Police (PNP), the Armed Forces of the Philippines (AFP) and other law enforcement agencies concerned shall make an updated list of all detention centers and facilities under their respective jurisdictions with the corresponding data on the prisoners or detainees incarcerated or detained therein such as, among others, names, date of arrest and incarceration, and the crime or offense committed.

This list shall be made available to the public at all times, with a copy of the complete list available at the respective national headquarters of the PNP and AFP. A copy of the complete list shall likewise be submitted by the PNP, AFP and all other law enforcement agencies to the Commission on Human Rights (CHR), such list to be periodically updated, by the same agencies, within the first five (5) days of every month at the minimum. Every regional office of the PNP, AFP and other law enforcement agencies shall also maintain a similar list far all detainees and detention facilities within their respective areas, and shall make the same available to the public at all times at their respective regional headquarters, and submit a copy, updated in the same manner provided above, to the respective regional offices of the CHR. 

SEC. 8. Applicability of the Exclusionary Rule; Exception. - Any confession, admission or statement obtained as a result of torture shall be inadmissible in evidence in any proceedings, except if the same is used as evidence against a person or persons accused of committing torture. 

SEC. 9. Institutional Protection of Torture Victims and Other Persons Involved. - A victim of torture shall have the following rights in the institution of a criminal complaint for torture:

(a) To have a prompt and an impartial investigation by the CHR and by agencies of government concerned such as the Department of Justice (DOJ), the Public Attorney’s Office (PAO), the PNP, the National Bureau of Investigation (NBI) and the AFP. A prompt investigation shall mean a maximum period of sixty (60) working days from the time a complaint for torture is filed within which an investigation report and/or resolution shall be completed and made available. An appeal whenever available shall be resolved within the same period prescribed herein;

(b) To have sufficient government protection against all forms of harassment; threat and/or intimidation as a consequence of the filing of said complaint or the presentation of evidence therefor. In which case, the State through its appropriate agencies shall afford security in order to ensure his/her safety and all other persons involved in the investigation and prosecution such as, but not limited to, hislher lawyer, witnesses and relatives; and

(c) to be accorded sufficient protection in the manner by which he/she testifies and presents evidence in any fora in order to avoid further trauma. 

SEC. 10. Disposition of Writs of Habeas Corpus, Amparo and Habeas Data Proceedings and Compliance with a Judicial 0rder. - A writ of habeas corpus or writ of amparo or writ of habeas data proceeding, if any, filed on behalf of the victim of torture or other cruel, degrading and inhuman treatment or punishment shall be disposed of expeditiously and any order of release by virtue thereof, or other appropriate order of a court relative thereto, shall be executed or complied with immediately. 

SEC. 11. Assistance in Filing a Complaint. - The CRR and the PAO shall render legal assistance in the investigation and monitoring and/or filing of the complaint for a person who suffers torture and other cruel, inhuman and degrading treatment or punishment, or for any interested party thereto.

The victim or interested party may also seek legal assistance from the Barangay Human Rights Action Center (BHRAC) nearest him/her as well as from human rights non-government organizations (NGOs).

SEC. 12. Right to Physical, Medical and Psychological Examination. - Before and after interrogation, every person arrested, detained or under custodial investigation shall have the right to he informed of his/her right to demand physical examination by an independent and competent doctor of his/her own choice. If such person cannot afford the services of his/her own doctor, he/she shall be provided by the State with a competent and independent doctor to conduct physical examination. The State shall endeavor to provide the victim with psychological evaluation if available under the circumstances. If the person arrested is a female, she shall be attended to preferably by a female doctor. Furthermore, any person arrested, detained or under custodial investigation, including his/her immediate family, shall have the right to immediate access to proper and adequate medical treatment.

The physical examination and/or psychological evaluation of the victim shall be contained in a medical report, duly signed by the attending physician, which shall include in detail his/her medical history and findings, and which shall he attached to the custodial investigation report. Such report shall be considered a public document. Following applicable protocol agreed upon by agencies tasked to conduct physical, psychological and mental examinations, the medical reports shall, among others, include:

(a) The name, age and address of the patient or victim;

(b) The name and address of the nearest kin of the patient or victim;

(c) The name and address of the person who brought the patient or victim for physical, psychological and mental examination, and/or medical treatment;

(d) The nature and probable cause of the patient or victim’s injury, pain and disease and/or trauma;

(e) The approximate time and date when the injury, pain, disease and/or trauma was/were sustained;

(f) The place where the injury, pain, disease and/or trauma was/were sustained;

(g) The time, date and nature of treatment necessary; and

(h) The diagnosis, the prognosis and/or disposition of the patient. 

Any person who does not wish to avail of the rights under this provision may knowingly and voluntarily waive such rights in writing, executed in the presence and assistance of his/her counsel. 

SEC. 13. Who are Criminally Liable. - Any person who actually participated or induced another in the commission of torture or other cruel, inhuman and degrading treatment or punishment or who cooperated in the execution of the act of torture or other cruel, inhuman and degrading treatment or punishment by previous or simultaneous acts shall be liable as principal. Any superior military, police or law enforcement officer or senior government official who issued an order to any lower ranking personnel to commit torture for whatever purpose shall be held equally liable as principals.

The immediate commanding officer of the unit concerned .of the AFP or the immediate senior public official of the PNP and other law enforcement agencies shall be held liable as a principal to the crime of torture or other cruel or inhuman and degrading treatment or punishment for any act or omission, or negligence committed by him/her that shall have led, assisted, abetted or allowed, whether directly or indirectly, the commission thereof by his/her subordinates. If he/she has knowledge of or, owing to the circumstances at the time, should have known that acts of torture or other cruel, inhuman and degrading treatment or punishment shall be committed, is being committed, or has been committed by his/her subordinates or by others within his/her area of responsibility and, despite such knowledge, did not take preventive or corrective action either before, during or immediately after its commission, when he/she has the authority to prevent or investigate allegations of torture or other cruel, inhuman and degrading treatment or punishment but failed to prevent or investigate allegations of such act, whether deliberately or due to negligence shall also be liable as principals.

Any public officer or employee shall be liable as an accessory if he/she has knowledge that torture or other cruel, inhuman and degrading treatment or punishment is being committed and without having participated therein, either as principal or accomplice, takes part subsequent to its commission in any of the following manner:

(a) By themselves profiting from or assisting the offender to profit from the effects of the act of torture or other cruel, inhuman and degrading treatment or punishment;

(b) By concealing the act of torture or other cruel, inhuman and degrading treatment or punishment and/or destroying the effects or instruments thereof in order to prevent its discovery; or

(c) By harboring, concealing or assisting m the escape of the principal/s in the act of torture or other cruel, inhuman and degrading treatment or punishment: Provided, That the accessory acts are done with the abuse of the official’s public functions.

SEC. 14. Penalties. –

(a) The penalty of reclusion perpetua shall be imposed upon the perpetrators of the following acts:

(1) Torture resulting in the death of any person;

(2) Torture resulting in mutilation;

(3) Torture with rape;

(4) Torture with other forms of sexual abuse and, in consequence of tortuxe, the victim shall have become insane, imbecile, impotent, blind or maimed for life; and

(5) Torture committed against children.

(b) The penalty of reclusion temporal shall be imposed on those who commit any act of mental/psychological torture resulting in insanity, complete or partial amnesia, fear of becoming insane or suicidal tendencies of the victim due to guilt, worthlessness or shame.

(c) The penalty of prision correccional shall be imposed on those who commit any act of torture resulting in psychological, mental and emotional harm other than those described in paragraph (b) of this section.

(d) The penalty of prision mayor in its medium and maximum periods shall be imposed if, in consequence of torture, the victim shall have lost the power of speech or the power to hear or to smell; or shall have lost an eye, a hand, a foot, an arm or a leg; or shall have lost the use of any such member; Or shall have become permanently incapacitated for labor.

(e) The penalty of prision mayor in its minimum and medium periods shall be imposed if, in consequence of torture, the victim shall have become deformed or shall have lost any part of his/her body other than those aforecited, or shall have lost the use thereof, or shall have been ill or incapacitated for labor for a period of more than ninety (90) days.

(f) The penalty of prision correccional in its maximum period to prision mayor in its minimum period shall be imposed if, in consequence of torture, the victim shall have been ill or incapacitated for labor for more than thirty (30) days but not more than ninety (90) days.

(g) The penalty of prision correccional in its minimum and medium period shall be imposed if, in consequence of torture, the victim shall have been ill or incapacitated for labor for thirty (30) days or less.

(h) The penalty of arresto mayor shall be imposed for acts constituting cruel, inhuman or degrading treatment or punishment as defined in Section 5 of this Act.

(i) The penalty of prision correccional shall be imposed upon those who establish, operate and maintain secret detention places and/or effect or cause to effect solitary confinement, incommunicado or other similar forms of prohibited detention as provided in Section 7 of this Act where torture may be carried out with impunity.

(k) The penalty of arresto mayor shall be imposed upon the responsible officers or personnel of the AFP, the PNP and other law enforcement agencies for failure to perform his/her duty to maintain, submit or make available to the public an updated list of detention centers and facilities with the corresponding data on the prisoners or detainees incarcerated or detained therein, pursuant to Section 7 of this Act. 

SEC. 15. Torture as a Separate and Independent Crime. - Torture as a crime shall not absorb or shall not be absorbed by any other crime or felony committed as a consequence, or as a means in the conduct or commission thereof. In which case, torture shall be treated as a separate and independent criminal act whose penalties shall be imposable without prejudice to any other criminal liability provided for by domestic and international laws. 

SEC. 16. Exclusion from the Coverage of Special Amnesty Law. - In order not to depreciate the crime of torture, persons who have committed any act of torture shall not benefit from any special amnesty law or similar measures that will have the effect of exempting them from any criminal proceedings and sanctions. 

SEC. 17. Applicability of Refouler. - No person shall be expelled, returned or extradited to another State where there are substantial grounds to believe that such person shall be in danger of being subjected to torture. For the purposes of determining whether such grounds exist, the Secretary of the Department of Foreign Affairs (DFA) and the Secretary of the DOJ, in coordination with the Chairperson of the CHR, shall take into account all relevant considerations including, where applicable and not limited to, the existence in the requesting State of a consistent pattern of gross, flagrant or mass violations of human rights. 

SEC. 18. Compensation to Victims of Torture. – Any person who has suffered torture shall have the right to claim for compensation as provided for under Republic Act No. 7309; Provided, That in no case shall compensation be any lower than Ten thousand pesos (P10,000.00). Victims of torture shall also have the right to claim for compensation from such other financial relief programs that may be made available to him/her under existing law and rules and regulations.

SEC. 19. Formulation of a Rehabilitation Program. Within one (1) year from the effectivity of this Act, the Department of Social Welfare and Development (DSWD), the DOJ and the Department of Health (DOH) and such other concerned government agencies, and human rights organizations shall formulate a comprehensive rehabilitation program for victims of torture and their families. The DSWD, the DOJ and the DOH shall also call on human rights nongovernment organizations duly recognized by the government to actively participate in the formulation of such program that shall provide for the physical, mental, social, psychological healing and development of victims of torture and their families. Toward the attainment of restorative justice, a parallel rehabilitation program for persons who have committed torture and other cruel, inhuman and degrading punishment shall likewise be formulated by the same agencies. 

SIlC. 20. Monitoring of Compliance with this Act. – An Oversight Committee is hereby created to periodically oversee the implementation of this Act. The Committee shall be headed by a Commissioner of the CRR, with the following as members: the Chairperson of the Senate Committee on Justice and Human Rights, the respective Chairpersons of the House of Representatives Committees on Justice and Human Rights, and the Minority Leaders of both houses or their respective representatives in the minority. 

SEC. 21. Education and Information Campaign. – The CHR, the DOJ, the Department of National Defense (DND), the Department of the Interior and Local Government (DILG) and such other concerned parties in both the public and private sectors shall ensure that education and information regarding prohibition against torture and other cruel, inhuman and degrading treatment or punishment shall be fully included in the training of law enforcement personnel, civil or military, medical personnel, public officials and other persons who may be involved in the custody, interrogation or treatment of any individual subjected to any form of arrest, detention or imprisonment. The Department of Education (DepED) and the Commission on Higher Education (CHED) shall also ensure the integration of human rights education courses in all primary, secondary and tertiary level academic institutions nationwide.

 

SEC. 22. Applicability of the Revised Penal Code. – The provisions of the Revised Penal Code insofar as they are applicable shall be suppletory to this Act. Moreover, if the commission of any crime punishable under Title Eight (Crimes Against Persons) and Title Nine (Crimes Against Personal Liberty and Security) of the Revised Penal Code is attended by any of the acts constituting torture and other cruel, inhuman and degrading treatment or punishment as defined herein, the penalty to be imposed shall be in its maximum period. 

SEC. 23. Appropriations. - The amount of Five million pesos (P5,000,000.00) is hereby appropriated to the CHR for the initial implementation of tills Act. Thereafter, such sums as may be necessary for the continued implementation of this Act shall be included in the annual General Appropriations Act. 

SEC. 24. Implementing Rules and Regulations. – The DOJ and the CHR, with the active participation of human rights nongovernmental organizations, shall promulgate the rules and regulations for the effective implementation of tills Act. They shall also ensure the full dissemination of such rules and regulations to all officers and members of various law enforcement agencies.

SEC. 25. Separability Clause. - If any provision of this Act is declared invalid or unconstitutional, the other provisions not affected thereby shall continue to be in full force and effect. 

SEC. 26. Repealing Clause. - All laws, decrees, executive orders or rules and regulations contrary to or inconsistent with the provisions of this Act are hereby repealed or modified accordingly. 

SEC. 27. Effectivity. - This Act shall take effect fifteen (15) days after its publication in the Official Gazette or in at least two (2) newspapers of general circulation. 

Approved, [November 10, 2009]

LINDA M. SACMAR vs. JUDGE AGNES REYES-CARPIO

A.M. No. RTJ-03-1766

March 28, 2008

YNARES-SANTIAGO, J.:

FACTS:

In the case filed by complainant Sacmar against Zoren Legaspi in the MTC of Pasig City, the latter was convicted for grave threats and was sentenced to arresto mayor and and to pay complainant moral damages of twenty thousand pesos (P20,000.00). Upon appeal by Legaspi, RTC Judge Reyes-Carpio (herein respondent) modified the decision, finding the accused guilty only of Other Light Threats under Article 265 of the RPC, reducing the penalty to arresto menor and to pay moral damages of ten thousand pesos (P10,000).

Complainant claims that respondent judge wittingly afforded unwarranted benefits to the accused which caused undue injury to her as private complainant in the case. She likewise avers that respondent judge exhibited manifest partiality towards the accused when she disregarded the evidence on record in modifying the decision of the MTC by downgrading the conviction of Legaspi from Grave Threats to Other Light Threats thereby reducing the criminal and civil liabilities of Legaspi.

Respondent vehemently denied all the charges, claiming that she “rendered her decision in good faith, without malice, and without any conscious and deliberate intent to favor a movie actor whom she does not even know.”

In her Reply, complainant pointed out that respondent judge, in her Comment, failed to explain why she unilaterally downgraded the conviction of accused Legaspi. In effect, respondent judge has impliedly admitted the charges against her when she failed to specifically challenge these charges. Complainant assailed the claim of respondent judge that the downgrading of the offense was rendered in good faith and without malice.

ISSUE: 

Whether or not Respondent Judge rendered an unjust judgment pursuant to Art. 204, RPC and for violation of Section 3(e) of RA 3019, the Anti-Graft and Corrupt Practices Act.

HELD:

Case dismissed for lack of merit.

As a rule, the acts of a judge which pertain to his judicial functions are not subject to disciplinary power unless they are committed with fraud, dishonesty, corruption or bad faith. To hold otherwise would be to render judicial office untenable, for no one called upon to try the facts or interpret the law in the process of administering justice can be infallible in his judgment.

A perusal of the records, particularly the assailed decision of respondent judge, hardly show that respondent judge has indeed knowingly and deliberately rendered an unjust judgment. Complainant failed to satisfactorily show that respondent judge acted in bad faith, with malice or in willful disregard of her right as a litigant. Although the application and interpretation of the law by respondent judge differed from that of the judge of the Metropolitan Trial Court, complainant cannot sweepingly claim that respondent judge knowingly rendered an unjust judgment. For a charge of knowingly rendering an unjust judgment to prosper, it must be shown that the judgment was unjust, and not that the judge merely committed an error of judgment or took the unpopular side of a controversial point of law. He must have known that his judgment was indeed unjust. The failure of a judge to correctly interpret the law or to properly appreciate the evidence presented does not necessarily render him administratively liable. 

After several exchanges of pleadings between the parties, Court Administrator Presbitero J. Velasco, Jr. rendered the opinion that this administrative matter is not a proper subject of an administrative investigation. He pointed out that, pursuant to the rule in Wingarts v. Mejia, complainant failed to show beyond reasonable doubt that the assailed judgment was unjust and that respondent judge consciously and deliberately intended to do injustice to her by rendering such unjust judgment. Accordingly, on October 31, 2001, the Office of the Court Administrator recommended the dismissal of the instant administrative complaint against respondent judge.

The ruling of the Court in Basa Air Base Savings & Loans Association, Inc. v. Judge Gregorio G. Pimentel, Jr. is instructive:

A charge of knowingly rendering an unjust judgment constitutes a criminal offense. The keyword in said offense is “knowingly.” Thus, the complainant must not only prove beyond reasonable doubt that the judgment is patently contrary to law or not supported by the evidence but that it was also made with deliberate intent to perpetrate an injustice. A judge’s mere error in the interpretation or application of the law per se will not warrant the imposition of an administrative sanction against him for no one is infallible. Good faith and absence of malice, corrupt motives or improper consideration are sufficient defenses that will protect a judicial officer from the charge of rendering an unjust decision.

At any rate, complainant is not left without any remedy to question the soundness of the decision of respondent judge. Unfortunately, the records of this case do not reveal that complainant has utilized such avenues to seek a review of the penalty imposed by respondent judge. Only accused Zoren Legaspi elevated the matter before the Court of Appeals. The filing of this administrative case would not have the effect of setting aside or modifying the penalty imposed on accused Zoren Legaspi in the assailed judgment.

In Nelson Rodriguez and Ricardo Camacho v. Judge Rodolfo Gatdula, we had occasion to reiterate the ruling enunciated in In Re: Joaquin T. Borromeo, to wit:

An administrative complaint against a judge cannot be pursued simultaneously with the judicial remedies accorded to parties aggrieved by his erroneous order or judgment. Administrative remedies are neither alternative nor cumulative to judicial review where such review is available to the aggrieved parties and the same has not yet been resolved with finality. For until there is a final declaration by the appellate court that the challenged order or judgment is manifestly erroneous, there will be no basis to conclude whether respondent judge is administratively liable.

REPUBLIC ACT No. 95041 

An Act Amending Sections 22, 24, 34, 35, 51 and 79 of Republic Act No. 8424, as Amended, Otherwise Known as the National Internal Revenue Code of 1987. 

Section 1.  Section 22 of Republic Act No. 8424, as amended, otherwise known as the National Internal Revenue Code of 1997, is hereby further amended by adding the following definition after Subsection (FF) to read as follows:  

“Sec. 22 Definitions.  – When in this Title:

“(A)  x  x  x

“x  x  x

“(FF) x  x  x

“(GG)”  The term ‘statutory minimum wage’ shall refer to the rate fixed by the Regional Tripartite Wage and Productivity Board, as defined by the Bureau of Labor and Employment Statistics (BLES) of the Department of Labor and Employment (DOLE).

“(HH)” The term ‘minimum wage earner’ shall refer to a worker in the private sector paid the statutory minimum wage, or to an employee in the public sector with compensation income of not more than the statutory minimum wage in the non-agricultural sector where he/she is assigned.” 

Sec. 2.  Section 24(A) of Republic Act No. 8424, as amended, otherwise known as the National Internal Revenue Code of 1997, is hereby further amended to read as follows:  

“Sec. 24.  Income Tax Rates. – 

“(A)” Rates of Income Tax on Individual Citizen and Individual Resident Alien of the Philippines. – 

“(1)  x  x  x

“x  x  x; and

“(c) On the taxable income defined in Section 31 of this Code, other than income subject to tax under Subsections (B), (C) and (D) of this Section, derived for each taxable year from all sources within the Philippines by an individual alien who is a resident of the Philippines.

“(2)  Rates of Tax on Taxable Income of Individuals.  – The tax shall be computed in accordance with and at the rates established in the following schedule: 

“Not over P10,000 …………………………………… 5%

“Over P10,000 but not over P30,000 ………P500 + 10% of excess over P10,000

“Over P30,000 but not over P70,000 ………P2,500 + 15% of the excess over P30,000

“Over P70,000 but not over P140,000 ……P8,500 + 20% of the excess over P70,000

“Over P140,000 but not over P250,000 …P22,500 + 25% of the excess over P40,000

“Over P250,000 but not over P500,000 …P50,000 + 30% of the excess over P250,000

“Over P500,000 ………………………………………P125,000 + 32% of the excess over P500,000 

“For married individuals, the husband and wife, subject to the provision of Section 51(D) hereof, shall compute separately their individual income tax based on their respective total taxable income:  Provided, That if any income cannot be definitely attributed to or identified as income exclusively earned or realized by either of the spouses, the same shall be divided equally between the spouses for the purpose of determining their respective taxable income.

“Provided, That minimum wage earners as defined in Section 22(HH) of this Code shall be exempt from the payment of income tax on their taxable income:  Provided, further, That the holiday pay, overtime pay, night shift differential pay and hazard pay received by such minimum wage earners shall likewise be exempt from income tax. 

Sec. 3.  Section 34 (L) of Republic Act No. 8424, as amended, otherwise known as the National Internal Revenue Code of 1997, is hereby amended to read as follows: 

“Sec. 34.  Deductions from Gross Income. – Except for taxpayers earning compensation income arising from personal services rendered under an employer-employee relationship where no deductions shall be allowed under this Section other than under Section (M) hereof, in computing taxable income subject to income tax under Sections 24(A); 25(A); 26; 27(A), (B) and (C); and 28(A)(1) there shall be allowed the following deductions from gross income:

“(A)  Expenses. – 

“x  x  x

“(L) Optional Standard Deduction. – In lieu of the deductions allowed under the preceding Subsections, an individual subject to tax under Section 24, other than nonresident alien, may elect a standard deduction in an amount not exceeding forty percent (40%) of his gross sales or gross receipts, as the case may be.  In the case of a corporation subject to tax under Sections 27(A) and 28(A)(1), it may elect a standard deduction in an amount not exceeding forty percent (40%) of its gross income as defined in Section 32 of this Code.  Unless the taxpayer signifies in his return his intention to elect the optional standard deduction, he shall be considered as having availed himself of the deductions allowed in the preceding Subsections.  Such election when made in the return shall irrevocable for the taxable year for which the return is made.  Provided, That an individual who is entitled to an claimed for the optional standard deduction shall not be required to submit with his tax return such financial statements otherwise required under this Code:  Provided, further, That except when the Commissioner otherwise permits the said individual shall keep such records pertaining to this gross sales or gross receipts, or the said corporation shall keep such records pertaining to this gross income as defined in Section 32 of this Code during the taxable year, as may be required by the rules and regulations promulgated by the Secretary of Finance, upon recommendation of the Commissioner.  

Sec. 4.  Section 35(A) and (B) of Republic Act No. 8424, as amended, otherwise known as the National Internal Revenue Code of 1997, is hereby amended to read as follows: 

“Sec. 35.  Allowance of Personal Exemption for Individual Taxpayer. – 

“(A)  In General. – For purposes of determining the tax provided in Section 24(A) of this Title, there shall be allowed a basic personal exemption amounting to Fifty thousand pesos (P50,000) for each individual taxpayer.

“In the case of married individuals where only one of the spouse is deriving gross income, only such spouse shall be allowed the personal exemption.

“(B)  Additional Exemption for Dependents. – There shall be allowed an additional exemption of Twenty-five thousand pesos (P25,000) for each dependent not exceeding four (4).

“The additional exemption for dependents shall be claimed by only one of the spouses in the case of married individuals.

“In the case of legally separated spouses, additional exemptions may be claimed only by the spouse who has custody of the child or children: Provided, That the total amount of additional exemptions that may be claimed by both shall not exceed the maximum additional exemptions herein allowed. 

“For purposes of this Subsection, a ‘dependent’ means a legitimate, illegitimate or legally adopted child chiefly dependent upon and living with the taxpayer if such dependent is not more than twenty-one (21) years of age, unmarried and not gainfully employed or if such dependent, regardless of age, is incapable of self-support because of mental or physical defect.

Sec. 5.  Section 51(A)(2) of Republic Act No. 8424, as amended, otherwise known as the National Internal Revenue Code of 1997, is hereby further amended to read as follows:

“Sec. 51.  Individual Return. – 

“(A)  Requirements. – 

“(1)  Except as provided in paragraph (2) of this Subsection, the following individuals are required to file an income tax return:

“(a) x  x  x;

“x  x  x.

“(2)  The following individuals shall not be required to file an income tax return:

“(a) x  x  x;

“(b)  An individual with respect to pure compensation income, as defined in Section 32(A)(1), derived from sources within the Philippines, the income tax on which has been correctly withheld under the provisions of Section 79 of this Code:  Provided, That an individual deriving compensation concurrently from two or more employers at any time during the taxable year shall file an income tax return:

“(c) x  x  x; and

“(d)  A minimum wage earner as defined in Section 22(HH) of this Code or an individual who is exempt from income tax pursuant to the provisions of this Code and other laws, general or special. 

Sec. 6.  Section 79(A) of Republic Act No. 8424, as amended, otherwise known as the National Internal Revenue Code of 1997, is hereby further amended to read as follows: 

“Sec. 79.  Income Tax Collected at Source. – 

“(A)  Requirement of Withholding. – Except in the case of a minimum wage earner as defined in Section 22(HH) of this Code, every employer making payment of wages shall deduct and withhold upon such wages a tax determined in accordance with the rules and regulations to be prescribed by the Secretary of Finance, upon recommendation of the Commissioner. 

Sec. 7.  Separability Clause.  – If any provision of this Act is declared invalid or unconstitutional, other provisions hereof which are not affected thereby shall continue to be in full force and effect.  

Sec. 8.  Repealing Clause. – Any law, presidential decree or issuance, executive order, letter of instruction, administrative order, rule or regulation contrary to or inconsistent with any provision of this Act is hereby amended or modified accordingly.  

Sec. 9.  Effectivity Clause.  – This Act shall take effect fifteen (15) days following its publication in the Official Gazette or in at least two (2) newspapers of general circulation.  

Approved: June 17, 2008

 

 

PRESIDENTIAL DECREE No. 856

PHILIPPINE CODE ON SANITATION OF 1975

WHEREAS, the health of the people, being of paramount importance, all efforts of public services should be directed towards the protection and promotion of health; and

WHEREAS, with the advance in the field of sanitation in recent years, there arises the need for updating and codifying our scattered sanitary laws to ensure that they are in keeping with modern standards of sanitation and provide a handy reference and guide for their enforcement;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby order and decree the following Code on Sanitation:

CODE ON SANITATION OF THE PHILIPPINES

CHAPTER 1
GENERAL PROVISIONS

Section 1. Title The title of this Code is “Code on Sanitation of the Philippines”.

Section 2. Definition of Terms Whenever any of the following words or terms is used herein or in any rule or regulation issued under this Code, it shall have the meaning given it in this section, as follows:

(a) Code Code on Sanitation of the Philippines.

(b) Department The Department of Health.

(c) Secretary The Secretary of Health.

(d) Regional Director an official who heads a Regional Health Office.

(e) Local Health Authority an official or employee responsible for the application of a prescribed health measure in a local political subdivision.

(f) Health Officer Provincial, City or Municipal Health Officer.

(g) Engineer A Sanitary Engineer.

(h) Section any section of this code unless the term refers to other statutes which are specifically mentioned.

Section 3. Functions of the Department of Health The Department shall have the following powers and functions:

(a) Undertake the promotion and preservation of the health of the people and raise the health standards of individuals and communities throughout the Philippines;

(b) Extend maximum health services to the people in rural areas and provide medical care to those who cannot afford it by reason of poverty;

(c) Develop, administer and coordinate various health activities and services which shall include public health, preventive, curative and rehabilitative programs, medical care, health and medical education services;

(d) Upgrade the standards of medical practice, the quality of health services and programs to assure the people of better health services;

(e) Assist local health agencies in developing public health programs including medical care, and promote medical and public health research;

(f) Issue permits to establish and operate government and private hospitals, clinics, dispensaries, schools of nursing, midwifery, and other para-medical course, puericulture centers, clinical laboratories and blood banks;

(g) Prescribe standard rates of fees for health, medical, laboratory, and other public health services; and

(h) Performs such other functions as may be provided by law.

Section 4. Authority of the Secretary In addition to the powers and authority of the Secretary which are provided by law, he is likewise empowered to promulgate rules and regulations for the proper implementation and enforcement of the provisions of this Code.

Section 5. Authority of the Bureau of Directors The Bureau Directors shall be responsible for staff activities involving the development of plans, programs, operating standards and management techniques in their respective field of assignment.

Section 6. Authority of the Regional Directors The Regional Directors shall administer health functions in their regions, implement policies, standards and programs involving health services; and enforce the provisions of this Code and the rules and regulations promulgated by the Secretary under this Code.

Section 7. Authority of the Health Officers The health officers shall administer health functions in areas under their jurisdiction and enforce the provisions of this Code and the rules and regulations promulgated by the Secretary under this Code.

Section 8. Miscellaneous Provisions

(a) International treaties, agreements and conventions The Republic of the Philippines recognizes international treaties, agreements and conventions on public health. Their provisions may be considered parts of this Code provided they do not contravene the Constitution, existing laws or any provision of this Code.

(b) Rights and proceedings Any proceeding which has commenced or any right which has accrued upon the effectivity of this Code shall not be affected by any of its provisions. However, matters of procedure and rights arising after the date of effectivity of this Code shall conform to the provisions hereof.

(c) Delegation of power and assignment of duty Whenever a power is granted or a duty is assigned to any public health officer in this Code, the power may be exercised by a deputy or agent of the official pursuant to law, unless it is expressly provided otherwise in this Code.

(d) Language required Any notice, report, statement or record required or authorized by this Code, shall be written in English or Pilipino.

(e) Mailing of notices Unless otherwise expressly provided, any notice required to be sent to any person by any provision of this Code, shall be sent through the postal service. The affidavit of the official or employee who mailed the notice is prima facie evidence that the notice was sent as prescribed herein.

(f) Condemnation and seizure of property When any property is officially condemned or seized by government authorities in the interest of public health, the owner thereof shall not be entitled to compensation.

(g) Command responsibility When a duty is expressly vested in a health officer as provided in this Code, it shall be understood that it shall likewise be the concern of the superiors of the health office under the principle of command responsibility.

CHAPTER II
WATER SUPPLY

Section 9. Prescribed Standards and procedures

Standards for drinking water and their bacteriological and chemical examinations, together with the evaluation of results, shall conform to the criteria set by the National Drinking Water Standards. The treatment of water to render it safe for drinking, and the disinfection of contaminated water sources together with their distribution systems shall be in accordance with procedures prescribed by the Department.

Section 10. Jurisdiction of the Department

The approval of the Secretary or that of his duly authorized representative is required in the following cases:

(a) Sites of water sources before their construction;

(b) Delivery of water to consumers from new or recently repaired water systems;

(c) Operation of a water system after an order of closure was issued by the Department;

(d) Plans and specifications of water systems of subdivisions and projects prior to the construction of housing units thereat; and

(e) Certification of potability of drinking water.

Section 11. Types of Water Examinations Required

The following examinations are required for drinking water:

(a) Initial examination The physical, chemical and bacteriological examinations of water from newly constructed systems or sources are required before they are operated and opened for public use. Examination of water for possible radio-active contamination should also be done initially.

(b) Periodic examination Water from existing sources is subject to bacteriological examination as often as possible but the interval shall not be longer than six months, while general systematic chemical examination shall be conducted every 12 months or oftener. Examination of water sources shall be conducted yearly for possible radioactive contamination.

Section 12. Examining Laboratories and Submission of Water Samples

The examination of drinking water shall be performed only in private or government laboratories duly accredited by the Department. It is the responsibility of operators of water systems to submit to accredited laboratories water samples for examination in a manner and at such intervals prescribed by the Department.

Section 13. Other Protective Measures

To protect drinking water from contamination, the following measures shall be observed:

(a) Washing clothes or bathing within a radius of 25 meters from any well or other source of drinking water is prohibited.

(b) No artesians, deep or shallow well shall be constructed within 25 meters from any source of pollution.

(c) No radioactive sources or materials shall be stored within a radius of 25 meters from any well or source of drinking water unless the radioactive source is adequately and safely enclosed by proper shielding.

(d) No person charged with the management of a public water supply system shall permit any physical connection between its distribution system and that of any other water supply, unless the latter is regularly examined as to its quality by those incharge of the public supply to which the connection is made and found to be safe and potable.

(e) The installation of booster pump to boost water direct from the water distribution line of a water supply system, where low-water pressure prevails is prohibited.

CHAPTER III
FOOD ESTABLISHMENT

Section 14. Sanitary Permit

(a) No person or entity shall operate a food establishment for public patronage without securing a permit from the local health office. The term “food establishment” as used in this chapter means an establishment where food or drinks are manufactured, processed, stored, sold or served.

(b) Every Sanitary Permit shall be posted in a conspicuous place of the establishment.

(c) Fees The fees payable on application for permits and upon the issuances, renewal and noting of such certificates shall be in such amounts as the City of Municipal Authority may by resolution impose.

(d) Noting of Permit Within 14 days after any change in the ownership or occupancy of any establishment, the new occupant shall apply to the City or Municipal Health Officer to have such change noted in the records and on the permit certificate which he shall produce for the purpose and shall pay the corresponding fee in respect of such noting.

(e) Record of Permit Certificates

1. Every City or Municipality shall keep a record of all establishments in respect of which permits have been issued and of all permit certificates and renewals thereof.

(f) The record shall in every case show the following:

i. The name and address of the holder of the permit who in every case shall be the actual occupier of the establishment;

ii. The location of the establishment;

iii. The purpose or purposes for which the permit has been issued;

iv. The date the first permit was issued and the dates of any renewal thereof;

v. Every change of occupation and management of the establishment since the first permit was issued; and

vi. Conditions under which the permit was issued or any renewal thereof granted.

The record shall be available at all reasonable times for inspection by any officer of the Department of Health.

Section 15. Health Certificates

No person shall be employed in any food establishment without a Health Certificate issued by the local health authority. This certificate shall be issued only after the required physical and medical examinations are performed and immunizations are administered at prescribed intervals.

Section 16. Quality and Protection of Food All food must be obtained from sources approved by the local health authority. In this regard, the following requirements are applicable:

(a) Meats, meat products and fish shall be procured from sources under sanitary or veterinary supervision.

(b) All meat and fish shall be properly cooked before serving.

(c) No meat products, fish, vegetables and other food sources shall be procured from sources or areas known to have been affected by radioactivity as for example, areas contaminated with a very large amount of radioactive fallout.

(d) Milk and fluid milk products shall be obtained from sources approved by the local health authority. Milk obtained from other sources must be sterilized, pasteurized or otherwise heated.

(e) Milk shall be stored in a refrigerator. Canned or package milk, other than dry milk powders, shall be refrigerated after the container has been opened.

(f) All perishable and potentially hazardous foods shall be stored at 45_F (7_C) or below.

Cooked food intended to be served hot shall be kept at a temperature not lower than 140_F (60_C).

Raw fruits and vegetables shall be thoroughly washed before they are used.

Section 17. Structural Requirements Food establishments shall be constructed in accordance with the following requirements:

1. No person shall use any room or place for or in connection with the preparation, storage, handling or sale of any article of food

(a) Which is at anytime used or in direct communication with a sleeping apartment or toilet;

(b) In which any animal is kept; or

(c) Which is or has been used for any purpose which would be likely to contaminate the food or to affect injuriously its wholesomeness or cleanliness; or

(d) Which is not used exclusively for the purpose; Provided, That in department stores or multi-purpose business establishments, food may be manufactured, prepared, cooked, stored, or sold only in the area set aside exclusively for said purpose and for which a sanitary permit has been issued.

2. No sanitary permit shall be issued for any premises to be used for the preparation, handling and sale of food unless it is constructed in accordance with the following requirements:

(a) FLOORS The Floors shall be

i. Constructed of concrete or other impervious and easily cleaned material that is resistant to wear and corrosion and shall be adequately graded and drained; all angles between the floors and walls shall be rounded off to a height of not less than 3 inches (7.62 cm.) from the floor; or

ii. Constructed of wood with dovetailed or tongue and grooved floor boards laid on a firm foundation and tightly clamped together with all angles between the floor and walls rounded off to a height of 3 inches (7.62 cm.); or

iii. Constructed in accordance with the requirements of sub-clause (i) and (ii) of this clause and covered with linoleum, smooth surfaced rubber or similar material fixed to the floor with cement or suitable adhesive: Provided, That with the approval in writing of the local authority, floors may be covered with carpets or other floor covering in those parts of the premises where such carpets or coverings can be satisfactorily cleaned and maintained.

(b) WALLS

i. The internal surface of walls shall have a smooth, even, non-absorbent surface capable of being readily cleaned without damage to the surface and constructed of dust-proof materials;

ii. The walls, where subject to wetting or splashing, shall be constructed of impervious, non-absorbent materials to a height of not less than 79 inches (2 meters) from the floor;

iii. The internal walls shall be painted in light colors or treated with such other wall finish as the health authority may prescribe.

(c) CEILINGS

i. All ceilings or, if no ceiling is provided, the entire under-surface of the roof shall be dust-proof and washable.

ii. The ceiling or undersurface of the roof of rooms in which food is prepared or packed or in which utensils or hands are washed shall be smooth, non-absorbent and light.

(d) LIGHTING

i. The general standards of illumination provided shall permit effective inspection and cleaning and shall be of sufficient intensity appropriate to the purpose for which any room or place is used;

ii. In rooms where food is prepared or packed or in which utensils or hands are washed there shall be a minimum illumination intensity of 20 foot-candles; in premises where food is consumed, there shall be a minimum illumination intensity of 5 foot-candles. Intensities of illumination shall be measured at a point 30 inches (76.20 cm.) above the floor;

iii. All lighting shall be reasonably free from glare and distributed so as to avoid shadows;

iv. At other areas or working surfaces, the illumination shall be of such intensity as may be required by the health authority.

(e) VENTILATION

i. Ventilation shall be provided which shall be effective and suitable to maintain comfortable condition;

ii. The ventilation shall be adequate to prevent the air from becoming excessively heated, prevent condensation and the formation of excess moisture on walls, ceilings and for the removal of objectionable odors, fumes and impurities;

iii. In the absence of effective natural ventilation, mechanical ventilation with airflow from a clean area, and discharging in such a manner as not to create a nuisance, shall be provided;

iv. Canopies, air ducts, fans or other appliances shall be provided as required by the health authority in particular circumstances;

v. Effective provision shall be made for securing and maintaining a reasonable temperature;

(f) OVERCROWDING

There shall be sufficient floor space to enable every person working thereon to carry out his duties efficiently and to permit easy access for cleaning. Working spaces, aisles or passageways and areas to which customers have access shall be unobstructed and sufficient to permit movement of employees and customers without contamination of food by clothing or personal contact.

(g) CHANGEROOMS

1. There shall be provided adequate and suitable lockers or other facilities for the orderly storage of clothing and personal belongings of employees or persons engaged or employed in the premises. Such facilities shall be so situated and arranged so that there is no contamination of food by contact with clothing, and where the number of persons engaged or employed is four or more of either sex, there shall be provided separate changing rooms for each sex.

(h) WASH-HAND BASINS

i. Wash-hand basins shall be installed in convenient places and as near as practicable to where the person for whose use they are provided are working while handling food for sale or in such locations as may be otherwise prescribed in any particular case.

ii. If required in writing by the local health authority an additional wash-hand basin shall be installed as near as practicable to the toilet facilities: Provided, that the wash-hand basins specified in this Code need not be installed in premises where only food in sealed containers is sold: and, Provided, further, that wash-hand basins specified in this regulation shall be installed under specifications of the National Plumbing Code of the Philippines.

(i) WASH-HAND BASIN MAINTENANCE

i. An adequate supply of soap, clean towels, roller towels presenting a clean surface to each user from a continuous roller towel dispenser or other hand drying services approved by health authorities.

ii. The wash-hand basin and all hand washing facilities shall, at all times, be maintained in good repair and in a clean condition.

iii. All wash-hand basins shall, at all times, while the premises are being used, be supplied with hot and cold or tempered running water at a minimum temperature of 100_F (37.8_C).

Section 18. Use of Food-Service Spaces

(a) Food-service spaces shall not be used as living or sleeping quarters.

(b) Clothing or personal effects shall be kept in lockers or in designated places away from food service spaces.

(c) No animal or live fowls shall be allowed in such spaces.

(d) Persons not directly connected with food preparation and serving shall not be allowed to stay in food-serving spaces.

(e)Foods in storage or in preparation must not be handled by anyone other than the preparation and serving staff.

Section 19. Food Handlers

(a) No person shall be employed in any food establishment without a health certificate issued by the local health authority.

(b) Food handlers shall at all times:

i. Wear clean working garments. The Cook shall wear prescribed caps and female employees caps or hairnets.

ii. Observe good personal hygiene.

iii. Wash their hands thoroughly with soap and water and dry them with a clean or disposable towel or a suitable hand-drying device immediately before working, or after visiting the toilet.

Section 20. Vermin Control

Vermin A group of insects or small animals such as flies, mosquitoes, cockroaches, fleas, lice, bedbugs, mice, and rats which are vectors of diseases.

(a) Spaces where food and drinks are stored, prepared and served shall be so constructed and maintained as to exclude vermin.

(b) All opening which connects spaces to the outer air shall be effectively protected with screen of non-corrosive wire 16-mesh or finer. Door screens shall be tight-fitting.

(c) A vermin abatement program shall be maintained in the establishments by their owners, operators, or administrators. If they fail, neglect or refuse to maintain a vermin abatement programs, the local health agency will undertake the work at their expense.

(d) During deratting or disinfecting operations, all foodstuffs, utensils, food preparation and cleaning equipment shall be covered to protect them from toxic chemical substances.

(e) Vermin control in public places shall be the responsibility of the provincial, city or municipal governments which have jurisdiction over them.

(f) The procedure and frequency of vermin abatement program shall be determined and approved by the local health authority.

Section 21. Toilet and Washing Facilities

(a) Adequate and clean toilet facilities for male and female customers and personnel shall be provided in properly located areas.

(b) Toilet rooms shall not open directly into spaces where food is prepared, stored or served. Where such toilets exist, the doors shall be tight fitting and self-closing.

(c) Adequate hand-washing facilities shall be provided within or adjacent to toilet room.

(d) Facilities shall include hot and cold running water, single-service paper or cloth towel dispenser or drying device and soap or detergent.

Section 22. Disposal of Refuse

(a) Refuse cans may be used in food-preparation areas for immediate use only.

(b) Storage refuse cans, filled and empty, shall be in a designated space separate from food-handling operations.

(c) These cans shall be constructed and maintained as to be vermin-proof and easily cleaned.

(d) Cans containing refuse shall be tightly covered at all times, except during actual use in food-handling areas.

(e) Holding bins may likewise be used, provided they are constructed of impervious, readily-cleaned materials, and fitted with tight-fitting covers.

(f) Where refuse cans are used, a space separated from the food-handling spaces and adjacent to the refuse-can storage space shall be provided for cleaning them. This space shall be equipped with scrubbing-brushes, cleansing agents, steam or hot water under pressure, and a hose fitted with adjustable nozzle.

Section 23. Equipment and Utensils

(a) They shall be so designed, fabricated and installed so that cleaning is easy and they do not pose health hazards.

(b) Lead-soldered containers and cadium-lined piping and fixtures shall not be used.

(c) Surfaces that come into contact with food or drinks shall be constructed of materials that are impervious, corrosion-resistant, non-toxic, easily cleanable, durable and resistant to chipping.

(d) Sliding doors on cabinets shall be easily cleanable and removable. Runners shall be allotted at the ends to permit removal of dust and debris. The bottom shelves of open-based fixtures shall be removable to facilitate inspection, cleaning and maintenance.

Section 24. Washing of Utensils

(a) They shall be scraped and pre-rinsed to remove food articles.

(b) They shall be thoroughly cleansed in warm water at 120_F (49_C) with soap or detergent.

(c) If running water is not used, the wash-water shall be changed frequently.

Section 25. Bactericidal Treatment

Eating and drinking utensils and equipment, after thoroughly cleaned, shall be subjected to one of the following bactericidal treatments:

(a) Immersion for at least half a minute in clean hot water at a temperature of at least 170_F (77_C);

(b) Immersion for at least one minute in a lukewarm chlorine solution 50 ppm;

(c) Exposure in a steam cabinet at a temperature of at least 170_F (77_C) for at least 15 minutes at a temperature of 200_F (90_C) for at least 5 minutes;

(d) Exposure in an oven or hot-air cabinet at a temperature of at least 180_F (82_C) for at least 20 minutes; or

(e) Any other method approved by the local health authority.

Section 26. Handling of Washed Utensils

(a) Washed utensils shall be allowed to drain dry in wire racks without use of drying cloths, or shall be stored in a self-draining position to permit ready air-drying.

(b) The drying cloth on which to store dishes and utensils temporarily after bactericidal treatment should be clean and changed frequently.

Section 27. Storage of Washed Utensils

(a) They shall be stored in a clean and dry place adequately protected against vermin and other sources of contamination.

(b) Cups, bowls, and glasses, shall be inverted for storage.

(c) When not stored in closed cupboards or lockers, utensils and containers shall be covered or inverted whenever practicable. Utensils shall not be stored on the bottom shelves of open cabinets below the working top level.

(d) Racks, trays and shelves shall be made of materials that are impervious, corrosion-resistant, non-toxic, smooth, durable and resistant to chipping.

(e) Drawers shall be made of the same materials and kept clean. Felt-line drawers are not acceptable, but the use of clean and removable towels for lining drawers is acceptable.

Section 28. Dry Storage of Non-Perishable Foods

Non-perishable foods shall be stored in the following manner:

(a) Designated spaces, lockers, cupboards, racks, shelves and containers shall be used for storage.

(b) All spaces, lockers and cupboard shall be constructed of materials of the same quality as used for food-preparation and food-serving operations. Containers shall be made of metal fitted with tight covers.

(c) The recommended temperature range for dry stores is 50-60_C (10-15_C) except where dry foods for immediate use are stored in the preparation and servicing spaces.

Section 29. Refrigerated Storage of Perishable Foods

Perishable foods shall be stored in the following manner:

(a) They shall be kept at or below 45_F (7_C) except during preparation or when held for immediate serving after preparation.

(b) When such foods are to be stored for extended periods, a temperature of 40_F (40_C) is recommended.

(c) Fruits and vegetables shall be stored in cool rooms.

(d) Recommended temperatures for perishable food storage are:

1. Frozen foods; not more than 10_F (2_C)

2. Meat and fish: 32-38_F (0-3_C)

3. Milk and milk products: 40-45_F (5-7_C)

4. Fruits and vegetables: 44-50_F (7-10_C)

(e) All refrigerating compartments and refrigerators must be kept clean, in good repair and free from odours. They shall be provided with thermometers with scale divisions not larger than 2_F (1_C). Sufficient shelving shall be provided to prevent stocking and to permit adequate ventilation and cleaning.

Section 30. Food Servicing Operations

These operations should be in accordance with the following requirements:

(a) Hand contacts with food or drink shall be avoided; fingers shall not be used to serve butter, ice, or similar items of food. Sugar shall be served in covered dispensers or containers, or in packages wrapped for single service.

(b) The surfaces of containers and utensils, including glasses and tablewares, which come in contact with food and drink shall not be handled.

(c) Disposable cups, plates, spoons and other single-service containers and utensils shall be purchased in sanitary cartons and stored in a clean, dry place until used. These articles shall be so handled on removal from the carton that the hand does not touch the surface which will be in contact with food or drink.

(d) Clean cloths, napkins, spoons, towels, and other cloth equipment shall be stored in clean places designated specifically for them. Soiled linens, including towels, aprons, and coats, shall be stored in a closed bin or locker, suitably marked.

(e) Spoons, spatulas, dippers and scopps used intermittently for dispensing frozen desserts shall be kept in running water or in water maintained at 170_F (77_C) and frequently changed, or they may be washed and stored in a dry place after each use. Constant-temperature bottles and other containers used for potable water and other beverages shall be kept clean and given effective bactericidal treatment before and after subsequent use.

Section 31. Evaluation of Food Establishment It shall be the duty of the Provincial, Municipal or City Health Officer to cause an inspection and evaluation of every food establishment requiring a permit for its operations, at least every six months and shall cause as many additional inspections and re-inspections and evaluation to be made as are necessary for the enforcement of the provision of this Chapter.

During the inspection or evaluation carried out at least every six months, the inspector shall record his findings on an inspection form provided for the purpose and shall furnish the original of such report to the holder of sanitary permit, the manager or occupier of the premises. Demerits entered in the appropriate column inspection forms shall indicate that the item does not, in the opinion of the inspector, comply with the requirements of this regulation. Within 48 hours of the inspection or evaluation, the original of the inspection report shall be furnished the holder of the permit certificate, the manager or occupier of the food establishment. Whenever an inspection form issued indicates non-compliance items relating to any particular type of premises, the inspector shall notify the holder of the sanitary permit, the manager or occupier of the correction to be made and indicate a reasonable period for its compliance. If upon re-inspection after the deadline the inspector finds the correction has not been effected he shall forthwith report to the Health Officer and the Health Officer shall revoke the sanitary permit. A copy of the inspection form and any notices served shall, in all cases, be filed and kept by the local health authority and be available at all reasonable time for inspection by an officer of the Department of Health.

(a) SERVICE OF NOTICE Whenever an inspection or evaluation report form indicates non-complying items, the Health Officer of the Province, Municipality or City may cause to be served on the holder of the permit, the manager or occupier a notice requiring him, within the time stated in the notice, to take such remedial action as may be specified therein. In the event within the time stated in the notice, hereinafter called the first notice, the terms of the first notice are not complied with, the Health Officer may cause to be served on the holder of the permit, the manager or occupier a second notice calling on him to show cause, at a time and place stated in the notice, why the permit issued in respect of the food establishment should not be revoked.

(b) REVOCATION OF PERMITS After prior notice and hearing as provided above, the Health Officer, if satisfied that the terms of the two notices have not been complied with or that the failure to comply therewith is not excusable, shall revoke the said permit.

(c) SUMMARY SUSPENSION OF PERMITS Whenever the Provincial, Municipal or City Health Officer finds unsanitary or unhealthy conditions in the operation of a food establishment which in his judgment constitute a substantial hazard to the public health, the Health Officer may order the immediate suspension of the permit. Any person to whom such an order is issued written petition shall be afforded a hearing as soon as possible.

(d) APPEALS The person or panel conducting the hearing may confirm, modify or reverse the decision appealed from, which decision shall be final.

(e) PROTECTION OF FOOD Notwithstanding the other provisions of this regulation relating to the issuance of permits, every person who is engaged in the sale of food or in the manufacture, preparation, storage, packing or delivery of food for sale protect such food from contamination.

(f) POWER OF ENTRY Any Sanitary Inspector or duly authorized officer of the Department of Health or of the Provincial, Municipal or City Health Officer, upon presentation of proper credentials may at all reasonable times enter any premises engaged in the manufacture, preparation or packing of any article of food for sale or any premises used for any of the purposes referred to in this Code for the purpose of inspection or any other action necessary for administration of this Code.

Section 32. Special Provisions

(a) Groceries or “Sari-Sari” Stores

1. No grocery or sari-sari store shall be established within a distance of 25 meters from any source of contamination.

2. All foods which require no further cooking before they are eaten shall be protected from contamination while in countries or showcases.

(b) Bakeries.

1. Delivery trucks and carts of bakery products shall always be kept clean and sanitary.

(c) Dairies

1. No dairy shall keep unhealthy or infected cows, carabaos or goats for the production of milk, or feed them unwholesome food which produces impure or unwholesome milk.

2. No animals used for the production of milk shall be allowed to graze on land which has been contaminated by radioactivity.

3. No dairy shall sell unwholesome milk that has not been previously pasteurized or otherwise sterilized.

(d) Ice Plants

1. Only potable water shall be used in the manufacture of ice.

2. In storing and transporting ice intended for public consumption, precautionary measures shall be taken to protect the ice from sources of contamination.

(e) Ambulant Food Vendors

1. These vendors shall sell only bottled food drinks, biscuits and confectionaries.

2. It is prohibited for food vendors to sell food that requires the use of utensils.

(f) Oyster Beds

1. Oysters shall be planted and grown only in areas approved by the Secretary or his duly authorized representatives and in places duly licensed by the Bureau of Fisheries and Aquatic Resources.

2. Oysters offered for sale, if not originating from approved areas, shall be confiscated and destroyed by the local health authority.

(g) Fish Marketing Areas

1. Only fresh and wholesome fish products shall be sold.

2. Fish caught in radioactive zones as well as in areas contaminated by toxic substances or high in mercury count as determined by the health authorities shall be condemned and not be allowed for public consumption.

3. The selling, distribution and buying of fish caught through the use of explosives and chemicals are prohibited.

Section 33. Responsibility of the Local Health Authority The local health authority shall:

(a) Make periodic inspections to enforce the maintenance of adequate sanitation in food establishments and their premises;

(b) Take samples of food and drink from any establishments or vendor as often as necessary to determine if there are unwholesome, adulterated, or contaminated by radioactivity;

(c) Prevent the sale or condemn and destroy food and drinks if these are found unfit for human consumption;

(d) Seal and prohibit the use of devices, utensils, containers, vehicles, machines, piping and appurtenances if in his opinion they are unsanitary; and

(e) Enforce the provisions of this Chapter and the rules and regulations promulgated by the Secretary.

CHAPTER IV
MARKETS AND ABATTOIRS

Section 34. Prescribed Standards of Construction The construction of markets and abattoirs shall conform to standards prescribed by the Department. These standards shall be set along the following guidelines:

1. Suitability of site insofar as elimination of nuisance condition and prevention of contamination are concerned;

2. Availability of ample water supply for cleaning;

3. Accessibility of adequate drainage facilities;

4. Durability of construction to protect vendors and customers from any hazard and exposure to the elements; and

5. Facilities for sanitation maintenance, such as cleaning and elimination of harborages of vermin.

Section 35. Responsibility of the Local Health Authority

(a) On Markets

1. Make periodic inspections to ascertain the maintenance of adequate sanitary conditions of markets and their premises;

2. Supervise and control the proper care and use of market stalls;

3. Prohibit the construction of living quarters within any market and its premises;

4. Enforce the ban on construction of partitions, sheds or booths within the market area.

(b) On Abattoirs

1. Supervise the maintenance of adequate sanitation in abattoirs and their premises;

2. Enforce the requirements on the examination of meat as provided in existing laws;

3. Permit the slaughter of animals for public consumption in other designated areas in certain exigencies, provided public health is adequately protected;

4. Supervise the sanitary disposal of all abattoir wastes; and

5. Ensure that only healthy animals shall be slaughtered, and that the method of slaughtering, the techniques of dressing and the storing, handling and transporting procedures are in accordance with prescribed standards.

Section 36. Responsibility of Local Governments and Private Operators Local governments and private operators in charge of public or private markets and abattoirs shall employ an adequate number of personnel to ensure their efficient operation and hygienic maintenance. These employees shall be under the direct supervision of the local health authority.

CHAPTER V
PUBLIC LAUNDRY

Section 37. Sanitary Permit No public laundry shall operate without a sanitary permit from the Secretary or his duly authorized representative. As used in this Chapter, a public laundry is a laundry established and operated for commercial purposes, open to the public, and not to an exclusive clientele.

Section 38. General Requirements The construction and operation of a public laundry shall be governed by the following requirements:

(a) Structural Requirements

1. The site should be distant from sources of nuisance.

2. Only durable construction materials shall be used.

3. Smooth and water-tight materials shall be used for flooring.

4. All work rooms shall be properly ventilated and provided with 10 foot-candles of lighting.

5. Adequate drying facilities shall be provided and articles for drying protected from sources of contamination.

(b) Sanitary Requirements

1. Laundry supplies in both liquid and solid state shall be properly stored, prepared and handled. Containers of chemical shall be properly labeled.

2. Employees shall be provided with potable drinking water, toilets, bathing and washing facilities.

3. Employees shall be provided with lockers for their working garments and street cloths.

4. The plant and its premises and equipment shall be maintained clean and sanitary at all times.

Section 39. Special Requirements The following requirements shall be enforced:

(a) All articles to be laundered coming from hospitals and infected sources shall be treated by exposure to a sufficient quantity of hot water detergents or by other effective means of disinfection.

(b) All linen, bed clothes, pajamas, towels, bedsheets, pillow cases, etc. that have come in contact with any form of radioactivity should be isolated in a certain area and monitored by Radiation Safety personnel before sending these articles for laundry. If any amount of radioactive contamination is found, the affected article should be set aside and the radioactivity allowed to completely decay before said article is sent for laundry.

(c) All articles for delivery to the laundry shall be kept in containers which shall be kept closed until the articles are removed at the laundry.

(d) Laundry vehicles shall be kept clean and sanitary at all times.

(e) A separate room shall be used solely for receiving, sorting, marking or handling unwashed articles.

(f) Diapers must be protected from pathogenic organisms and from chemical substances which are irritating to the skin of the infant. Laundered diapers for delivery shall be packed in sealed sanitary containers.

CHAPTER VI
SCHOOL SANITATION AND HEALTH SERVICES

Section 40. Definition of Terms As used in this Chapter, the following terms shall mean:

(a) School An institution of learning which may be public, private or parochial.

(b) Special School A school which utilizes cadavers, plants, animals, bacterial and viral cultures for studies and research.

(c) Physical Environments The school plant, grounds and facilities.

(d) Emotional Environment Factors which affect the emotional health of students and members of the faculty.

Section 41. The Physical Environment In the design and construction of the school plant, the following factors shall be considered:

(a) Site Traffic hazards are to be avoided but not to the point of sacrificing accessibility to public transportation. It shall be distant from sources of nuisances.

(b) Grounds The acreage shall be large enough to permit playgrounds, athletic fields and school gardens.

(c) Building Preferably it shall be constructed of strong and durable materials and designed along functional lines. For the prevention of fire hazards, the requirements of the local fire department shall be observed. Sufficient ventilation shall be provided. Wall and ceiling finishes should be chosen so as to give optimum lighting with minimum glare. Artificial lighting with louvered flourescent or incandescent fixture shall be used to supply a minimum lighting of 25 foot-candles in the darkest corner. For flooring, suitable materials shall be used which will give maximum durability without creating a slippery surface.

(d) Sanitary Facilities The school population shall be provided with potable water, sewage and waste disposal systems shall likewise conform to the requirements prescribed in this Code.

Section 42. The Emotional Environment For the promotion of emotional health of the school population the following requirements shall be observed:

(a) Suitable Location The school site shall be located away from disturbances and places which give undesirable influence.

(b) Recreational Facilities The school must have safe and attractive playgrounds and adequate facilities for suitable sports and games.

(c) Rest Rooms Facilities shall be provided where faculty members can rest and get short respite from teaching chores.

Section 43. Health Services Trained personnel and adequate facilities should be available so that students may be afforded the following health services:

(a) Periodic physical and medical examination;

(b) Periodic immunization;

(c) Medical and dental treatment;

(d) Treatment for common emergencies; and

(e) Counselling and guidance.

Section 44. Requirements for Special Schools

(a) Cadavers shall be stored in morgues and dissected in dissecting rooms, all of which shall be constructed and maintained in accordance with standards prescribed by the Department.

(b) Poisonous or harmful plants and animals shall be kept in adequate and a secured areas.

(c) Viral and bacterial cultures shall be kept in laboratories under standard security laboratory measures.

(d) Schools utilizing radioactive materials or sources for study or research should closely conform to the requirements and guidelines given by the Radiation Health Office and the Philippine Atomic Energy Commission concerning radiation protection.

CHAPTER VII
INDUSTRIAL HYGIENE

Section 45. Sanitary Requirements for Operating an Industrial Establishment The following sanitary requirements shall be applicable to industrial establishments:

(a) No person, firm, corporation, or entity shall operate any industrial establishment without first obtaining a sanitary permit from the Secretary or his duly authorized representatives.

(b) Industrial establishments shall be allowed to operate only in places or zones assigned for the kind of industry by existing zoning laws, ordinances, or policies. The local health authority shall determine the suitability of location where no zoning law, ordinance or policy exists.

(c) Adequate potable water supply shall be provided to employees.

(d) Sewage disposal shall be by means of a municipal or city sewerage system whenever possible. If no municipal or city sewerage system exists it shall be done in accordance with the provisions of this Code. Adequate and conveniently located toilet and bath facilities shall be provided for each sex.

(e) All wastes incident to the operation of the industrial plant shall be collected, stored, or disposed of in a manner to prevent health hazards, nuisances, and pollution. Where a city or municipal collection and disposal system exists, it should be utilized.

(f) An abatement program for the control of vermin shall be maintained.

(g) Adequate restrooms and mass halls shall be provided for employees.

(h) All places of employment and all workrooms, including machinery and equipment, shall be kept clean and sanitary.

Section 46. Responsibility of the Secretary The Secretary shall:

(a) Issue a list of maximum concentration of atmospheric contaminants as a guide in appraising health hazards and in evaluating control measures. The term maximum concentration as used in this Chapter means the amount of atmospheric contaminant which can be tolerated by man for continuous daily exposure with no impairment of health or well-being either immediate or after a long period of exposure.

(b) Review the concentration values at regular intervals to amend or alter the list where indicated.

(c) Specify other concentrations of short intermittent duration capable of causing acute impairment of health.

(d) Require control of other contaminants known or believed to be capable of causing impairment of health but not included in the list already issued by the Department.

(e) Prescribe control measures to eliminate transmission of infection disease through processing or handling of industrial products or wastes.

(f) Prescribe illumination standard values and order their review at regular intervals to alter or amend values when indicated.

(g) Promulgate measures to effectively and adequately control any possible radioactivity to which workers may be exposed while on their job.

(h) Promulgate control measures to reduce noise and pollution.

Section 47. Responsibilities of the Employer and Employees The following are the responsibilities of the employer and employees in industrial establishments:

(a) Employer responsibility

1. Provide, install and maintain in good repair all control measures and protective equipment;

2. Inform affected employees regarding the nature of the hazards and the reasons for, and methods of control measures and protective equipment;

3. Make periodical testing of the hearing of all employees in noisy areas of operation;

4. Adopt measures so that the noise produced is within allowable limits so as not to affect neighboring offices, buildings or establishments;

5. Request the Department a permit for variation from the requirements when other means of equivalent protection are provided; and

6. Provide personal protective equipment and/or protective barriers when they are necessary.

(b) Employee responsibility

1. Observe strictly protective control measures which are prescribed; and

2. Use equipment provided them properly.

Section 48. Environmental Provisions The environmental provisions enumerated hereunder for the protection of the health of workers are applicable to all industrial establishments:

(a) Control of atmospheric contaminants

1. Workers shall not be exposed to atmospheric contaminants hazardous to health.

2. Control of atmospheric contaminants shall be accomplished by methods approved by the Secretary or his duly authorized representatives or other government authority.

(b) Control of infectious agents

1. Control measures shall be provided to eliminate or control the transmission of infectious diseases through processing or handling of industrial products or wastes.

(c) Control of possible sources of radiation hazards should be carried out under the supervision of the Radiation Health Officer or his authorized representative.

(d) Noise

Control measures shall be provided to reduce intensity of noise sufficiently to render it harmless to workers and to eliminate it at its source as a nuisance by following the recommendations of the local health or other government authority.

(e) Illumination

1. Adequate lighting shall be provided and distributed in all work areas in amount required for the type of work or seeing tasks measured by a light-meter with a minimum of glare and contrasting intensities between work and workroom.

2. Where the specific task requires more light than provided by general illumination, supplementary lighting shall be supplied.

(f) Ventilation

1. Natural or artificial ventilation shall be provided in all work areas at a rate to insure a safe and healthful working atmosphere, free from injurious amounts of toxic materials and reasonably free from offensive odours and dust throughout the establishment.

2. Proper control measures shall be used to reduce concentration of toxic contaminants to allowable limits.

3. Air inlets shall be arranged, located and equipped to insure sufficient air velocity and an exhaust system which shall be located so that discharged materials shall not re-enter places of employment or habitations nor create any hazard of nuisance.

Section 49. Personal Protective Equipment The following requirements shall be applicable for personal protective equipment.

(a) Personal protective equipment and/or protective barriers shall be provided whenever substances, radiations or mechanical irritants are encountered in a manner capable of causing any pathological change or injury or impairment in functions of any part of the body through skin and/or mucous membrane absorption.

(b) Personal protection equipment which shall include respiratory protectors and other accessories shall be fitted to each exposed worker when necessary.

(c) X-ray film badges or pocket desimeters should be worn by workers who, during their course of work are unavoidably exposed to even a small amount of radiation.

(d) Supervisors and employees shall familiarize themselves with the use, proper sanitary care and storage of this equipment.

Section 50. Health Services Medical services shall be provided to all employees in accordance with existing laws and the rules and regulations prescribed by the Department.

CHAPTER VIII
PUBLIC SWIMMING OR BATHING PLACES

Section 51. Sanitary Permit No public swimming and bathing places shall be operated for public use without a sanitary permit issued by the Secretary or his duly authorized representative.

Section 52. Protection of Customers To protect the health and safety of persons who use them, the Department shall promulgate:

(a) Rules and regulations concerning:

1. Correct sanitary practices for persons swimming or bathing to prevent the transmission of communicable diseases;

2. Correct sanitary procedures for personnel working in those places to maintain their adequate sanitation and cleanliness of accessories used by customers;

3. Adequate number of trained personnel and necessary equipment needed for life-saving and rescue work;

4. Post conspicuous signs to warn the public of the presence of artificial or natural hazards; and

(b) Standards and criteria concerning:

1. Sanitary structural requisites for swimming pools and bath houses to prevent pollution of their waters and to facilitate sanitation maintenance;

2. Sanitary structural standards for appurtenances, such as toilets, shower baths and dressing rooms to eliminate the risk of infection;

3. Methods of determining the sanitary quality of water, particularly that which is used in swimming pools; and

4. Criteria to be used in the limitation of swimming or bathing loads of swimming pools in accordance with the type of water treatment applied.

Section 53. Responsibility of the Local Health Authority The local health authority concerned shall:

1. Inspect the state of sanitation of public swimming or bathing places;

2. Ascertain if their personnel are examined regularly for the presence of any infections or contagious disease;

3. Enforce rules and regulations of the Department under this Chapter; and

4. Recommend to the Department the revocation of their permits when it is deemed necessary for the protection of public health.

CHAPTER IX
REST AREAS, BUS TERMINALS, BUS STOPS, AND SERVICE STATIONS

Section 54. Rest areas, bus terminals, bus stops and service station areas with one or more permanent sheds, buildings and service facilities for motor vehicles shall be provided with sanitary facilities for the convenience and personal necessities of the travelling public.

(a) Rest areas, bus terminals, bus stops and service stations shall be established with ample area to prevent overcrowding of motor vehicles and travellers.

(b) They shall be provided with adequate ventilation and lighting and away from sources of nuisance.

(c) Safe and adequate water supply shall be provided in accordance with the provisions of Chapter II of this Code.

(d) Excreta and sewage collection and disposal shall be provided in accordance with the provisions of Chapter XVII of this Code.

(e) Refuse collection and disposal shall be in accordance with the provisions of Chapter XVIII of this Code.

(f) Comfort rooms Adequate number of comfort rooms shall be provided as well as auxiliary facilities therein in accordance with the provisions on Chapter XVII of this Code.

(g) Waiting sheds for commuters shall be of adequate size to comfortably accommodate a minimum of thirty (30) persons. Floors shall be of smooth concrete finish and adequate sitting facilities provided for.

(h) Sale of foodstuffs in those establishments shall be done in conformity with the provisions of Chapter III of this Code.

CHAPTER X
CAMPS AND PICNIC GROUNDS

Section 55. No camps and picnic grounds shall be open for public patronage without a sanitary permit issued by Secretary or his duly authorized representative.

(a) Camps and picnic ground sites shall not be subject to flooding, must be well drained, distant from any source of nuisance and will not endanger sources of any public water supply.

(b) Camp and picnic houses shall be provided with adequate lighting and ventilation. Where tents are used flooring shall be at least 4 inches above the ground.

(c) Adequate and safe drinking water shall be available at all times in accordance with the provisions of Chapter II of this Code.

(d) Adequate number of sanitary facilities shall be provided.

(e) Sewage disposal shall be in accordance with the provisions on Chapter XVII of this Code.

(f) The storage, preparation and serving of food shall be in accordance with Chapter III of this Code.

(g) Refuse cans shall be provided at strategic points in the ground area provided with tight fitting cover. A regular collection service shall be maintained. Refuse disposal shall be in accordance with the provisions of Chapter XVIII of this Code.

(h) Camps and picnic grounds shall at all times be maintained clean, free from litter and accumulated rubbish.

(i) A program on Vermin Control shall be made in accordance with Chapter XVI of this Code.

CHAPTER XI
DANCING SCHOOLS, DANCE HALLS AND NIGHT CLUBS

Section 56. General Provisions The following provisions are applicable to dancing schools, dance halls and night clubs:

(a) These establishments shall be operated and opened for public patronage only when a sanitary permit is issued by the local health authority.

(b) These establishments and their premises shall be kept clean and sanitary at all times.

(c) Patrons shall be provided with adequate potable water and toilet facilities in accordance with standards prescribed by this Code.

(d) There shall be no private rooms or separate compartments for public use except those used for lavatories, dressing rooms, bars and kitchens.

Section 57. Special Provisions The following provisions are applicable in cases herein specified:

(a) For dancing schools

No person shall be employed as a dancing instructor or instructress without first securing a health certificate from the local authority.

(b) For dance halls and night clubs

1. No person shall employed as hostess or cook or bartender or waiter without first securing a health certificate from the local health authority.

2. The storage, preparation and serving of food and drinks shall be in accordance with the provisions prescribed in Chapter III of this Code.

CHAPTER XII
TONSORIAL AND BEAUTY ESTABLISHMENTS

Section 58. Definition of Terms As used in this Chapter, the term “Tonsorial and Beauty Establishments” include barber shops, beauty parlors, hairdressing and manicuring establishments and figure slendering salons.

(a) Requirements. These establishments are subject to the following requirements:

1. A sanitary permit shall be procured from the local health authority before their operation.

2. They shall be maintained clean and sanitary at all times.

3. No person shall be employed to service customers without a health certificate issued by the local health authority.

(b) Correct Sanitary Practices. The following sanitary practices shall be observed.

1. Working personnel shall wash their hands with soap and water before servicing customers.

2. They shall wear clean working garments.

3. They shall not smoke nor eat while working.

4. Implements of their trade shall be cleaned and disinfected before and after their use.

5. Customers shall be supplied with clean and fresh towels, drapes and other linen necessary.

6. Precautionary measures to prevent disease transmission shall be observed when serving customers showing any form of dermatoses.

CHAPTER XIII
MASSAGE CLINICS AND SAUNA BATH ESTABLISHMENTS

Section 59. Definition of Terms As used in this Chapter the following shall mean:

(a) Massage. A method wherein the superficial soft parts of the body are rubbed or stroked or kneaded for remedial or aesthetic or hygienic purposes.

(b) Massage Clinic. An establishment where massage is administered to customers.

(c) Masseur. A trained person duly licensed by the Secretary or his authorized representative to perform massage and to supervise massage clinic attendants.

(d) Massage Clinic Attendant. A trained person duly permitted by the Secretary or his authorized representative to massage customers under the guidance and supervision of a masseur.

(e) Sauna Bath Establishment. An establishment where customers are exposed to steam which is generated by sprinkling water on hot stones or by some other means.

(f) Sauna Bath Attendant. A person who applies the proper technique of giving steam bath to customers.

Section 60. Sanitary Permit No person or entity shall operate a massage clinic and/or a sauna bath establishment without first securing a sanitary permit from the local health authority.

Section 61. Sanitary Requirements The following requirements shall be enforced:

(a) Massage Clinic

1. The reception and office rooms shall be properly lighted and ventilated.

2. Every massage room shall be adequately ventilated, provided with a sliding curtain at the entrance and equipped with a suitable and clean massage table.

3. Sanitary and adequate handwashing, bath and toilet facilities shall be available.

4. Customers shall be provided with soap, clean towels, sanitized rubber or plastic slippers. They shall be required to take a thorough bath before massage.

5. Masseur and masseur attendant shall wash their hands with soap and water before and after massaging a customer.

6. The establishment and its premises shall be maintained clean and sanitary at all times.

(b) Sauna Bath Establishment

1. The reception and office rooms shall be properly lighted and adequately ventilated.

2. The sauna bath room shall be properly lighted, provided with thermometers, and maintained clean and sanitary at all times.

3. Sanitary and adequate handwashing, bath and toilet facilities shall be available.

4. Customers shall be provided with soap, clean towels and sanitized rubber or plastic slippers.

Section 62. Personnel The following requirements shall be enforced:

(a) Masseur

1. The person must have a certificate as a registered masseur, issued by the Committee on Examiners for Masseur of the Department.

2. He must possess an up-to-date health certificate issued by the local health authority.

3. The person shall wear a clean working garment when attending to customers or when supervising massage clinic attendants.

(b) Massage Clinic Attendant

1. The person shall be properly registered and authorized by the local health authority to work as massage clinic attendant after compliance with the following requirements:

a) The Satisfactory completion of a training course or study given by a government office, school or hospital, which is duly authorized and recognized by the Department; and

b) Up-to-date health certificate issued by the local health authority to include VD clearance secured from any government clinic or hospital.

2. person must clean working garments when attending to customers.

(c) Sauna Bath Attendant

1. Attendant must possess an up-to-date health certificate issued by the local health authority.

2. The person must wear clean working garments when attending to customers.

CHAPTER XIV
HOTELS, MOTELS AND APARTMENTS, LODGING, BOARDING, OR TENEMENT HOUSES, AND CONDOMINIUMS

Section 63. Definition of Terms As used in this Chapter, the following terms shall mean:

(a) Hotel. A building where transient guests are received and are supplied with and charged for meals, lodging and other services.

(b) Motel. A roadside hotel for motorists, usually consisting of private cabins.

(c) Boarding House. A building where selected persons for fixed periods of time are supplied with, and charged for sleeping accommodations and meals.

(d) Lodging House. A building where persons are supplied with and charged for sleeping accommodations only.

(e) Tenement House. A building or portion thereof which is leased or sold to an occupied as residence by four or more families doing their cooking within the premises but living independently of one another although having a common right in the use of halls, stairways, terraces, verandas, toilets, and baths.

(f) Apartment House. A building containing a number of separate residential suites.

(g) Condominium. A building with one or more storeys composed of multi-unit residential suites under joint ownership of occupants, each unit provided with complete sanitary facilities, utilities and other amenities.

(h) Establishments. A collective term construed to include items (a) to (g).

Section 64. General Provisions The following are required for the establishments defined in the preceding Section:

(a) No establishment shall be operated and opened for public patronage without a sanitary permit issued by the Secretary or his duly authorized representative.

(b) Any extension or additional construction in an establishment shall require a sanitary permit before it could be operated.

(c) All establishments shall provide their patrons with adequate water supply, toilet and bath facilities in accordance with standards prescribed in this Code.

(d) Establishments and their premises shall be kept clean and sanitary at all times.

(e) Periodic insect and vermin control measures shall be undertaken to eradicate vectors of diseases.

(f) Animals, fowls and pets shall be housed in appropriate kennels or cages separate from living quarters.

(g) No person shall be employed in establishments without first procuring a health certificate from the local health authority.

Section 65. Special Provisions The following provisions are applicable.

(a) Hotels and Motels

1. The storage, preparation and serving of food to customers shall be in accordance with the standards prescribed in Chapter III of this Code.

2. Customers shall be provided with clean linen such as bedsheets, pillow cases, towels and napkins.

3.When rooms or cabins are vacated, their toilets or baths shall be sanitized and clean and fresh linen shall be provided before the room or cabin is rented for occupancy.

(b) Condominium The following conditions are applicable:

1. The choice for sites should consider availability of bus and taxi transportation services.

2. Nearness to place of work, schools, police stations and clinics.

3. Availability of low-cost goods.

4. Parking facilities and playgrounds for children.

5. Facilities for refuse disposal and cleanliness of buildings, and

6. Efficiency of lifts.

CHAPTER XV
PORT, AIRPORT, VESSEL AND AIRCRAFT SANITATION

Section 66. Port and Airport Sanitation In ports and airports, the following sanitary requirements shall be applied:

(a) Every port and airport shall be provided with potable drinking water and wholesome food supplied from sources approved by the Secretary or his duly authorized representative.

(b) The drinking water and food shall be stored and handled in a manner to ensure their protection against contamination. The local health authority shall conduct periodic inspections of equipment, installations and premises, and collect regularly samples of water and food for laboratory examination to determine if they are fit for human consumption.

(c) There shall be available to as many ports and airports as practicable organized medical and health services with adequate staff, equipment and facilities for the prompt isolation and care of infected persons, disinfection, disinsecting, deratting, laboratory examination, collection and examination of rodents for plague infection, collection of water and food samples for examination.

(d) The local health authority for each port and airport shall take all practicable measures to keep port and airport installation free of rodents.

(e) In ports and airports of entry, facilities shall be provided for immunizations required in international travel.

(f) Every port of entry and the area within the perimeter of an airport of entry shall be kept free from mosquito vectors of yellow fever, malaria and other diseases of epidemiological significance.

Section 67. Vessel Sanitation For the purpose of this Section, the provisions of Art. II of the Quarantine Regulations promulgated under Section 5 of Republic Act No. 123 shall be applied and enforced.

Section 68. Aircraft Sanitation For the purpose of this Section, the requirements in the Guide to Hygiene and Sanitation in Aviation of the World Health Organization are adopted as part of this Code.

CHAPTER XVI
VERMIN CONTROL

Section 69. Definition of Terms As used in this Chapter, the following terms shall mean:

(a) Place Land, building, residence, pier, watercraft, aircraft or any means of conveyance.

(b) Vermin A group of insects or small animals such as flies, mosquitoes, cockroaches, fleas, lice, budbugs, mice and rats which are vectors of diseases.

Section 70. General Requirements

(a) A vermin abatement program shall be maintained in places by their owners, operators or administrators. If they fail, neglect or refuse to maintain a vermin abatement program, the local health agency will undertake the work at their expense.

(b) Vermin control in public places shall be the responsibility of the provincial, city or municipal governments which have jurisdiction over them.

(c) The procedure and frequency of vermin abatement program shall be determined and approved by the local health authority.

CHAPTER XVII
SEWAGE COLLECTION AND DISPOSAL, EXCRETA DISPOSAL AND DRAINAGE

Section 71. Definition of Terms As used in this Chapter, the following terms shall mean:

(a) Public sewerage system A system serving twenty-five persons or more.

(b) Septic tank A water tight receptacle which receives the discharge of a plumbing system or part thereof, and is designed to accomplish the partial removal and digestion of the suspended solid matter in the sewage through a period of detention. Its construction shall be in accordance with specifications prescribed in this Chapter.

(c) House sewer The pipe line conveying sewage from the house or building to the septic tank or to any point of discharge.

(d) Septic tank absorption bed or drain field An underground system of pipes leading from the outlet of the septic tank, consisting of open-jointed or perforated pipes so distributed that the effluent from a septic tank is oxidized and absorbed by the soil.

(e) Effective capacity of a septic tank The actual liquid capacity of a septic tank as contained below the liquid level line of the tank.

(f) Effective depth of a septic tank The actual liquid depth of a septic tank as measured from the inside bottom of the septic tank to the liquid level line.

(g) Freeboard or air space of a septic tank The distance as measured from the liquid level line to the inside top of the septic tank.

(h) Distribution box A small concrete receptacle between the septic tank and the drain field from which lines of drain tile extends and which acts as surge tank to distribute the flow of sewage equally to each line of drain tile.

(i) Approved excreta disposal facilities shall mean any of the following:

1. Flush toilets properly connected to a community sewer;

2. Flush toilets connected to a septic tank constructed in accordance with this Chapter;

3. Any approved type pit privy built in accordance with this Chapter; and

4. Any disposal device approved by the Secretary or his duly authorized representative.

(j) Privy A structure which is not connected to a sewerage system and is used for the reception, disposition and storage of feces or other excreta from the human body.

(k) Septic privy where the fecal matter is placed in a septic tank containing water and connected to a drain field but which is not served by a water supply under pressure.

(l) Box and can privy A privy where fecal matter is deposited in a can bucket which is removed for emptying and cleaning.

(m) Concrete vault privy A pity privy with the pit line with concrete in such manner as to make it water tight.

(n) Chemical privy A privy where fecal matter is deposited into a tank containing a caustic chemical solution to prevent septic action while the organic matter is decomposed.

Section 72. Scope of Supervision of the Department The approval of the Secretary or his duly authorized representative is required in the following matters:

(a) Construction of any approved type of toilet for every house including community toilet which may be allowed for a group of small houses of light materials or temporary in nature;

(b) Plans of individual sewage disposal system and the sub-surface absorption system, or other treatment device;

(c) Location of any toilet or sewage disposal system in relation to a source of water supply;

(d) Plans, design data and specifications of a new or existing sewerage system or sewage treatment plant;

(e) The discharge of untreated effluent of septic tanks and/or sewage treatment plants to bodies of water;

(f) Manufacture of septic tanks; and

(g) Method of disposal of sludge from septic tanks or other treatment plants.

Section 73. Operation of Sewage Treatment Works Private or public sewerage systems shall:

(a) Provide laboratory facilities for control tests’ and other examinations needed;

(b) Forward to the local health authority operating data, control tests and such other records and information as may be required;

(c) Inform the local health authority in case of break-down or improper functioning of the sewage treatment works; and

(d) Provide for the treatment of all sewage entering the treatment plant.

Section 74. Requirements in the Operation of Sewerage Works and Sewage Treatment Plants The following are required for sewerage works and sewage treatment plants.

(a) All houses covered by the system shall be connected to the sewer in areas where a sewerage system is available.

(b) Outfalls discharging effluent from a treatment plant shall be carried to the channel of the stream or to deep water where the outlet is discharged.

(c) Storm water shall be discharged to a storm sewer, sanitary sewage shall be discharged to a sewerage system carrying sanitary sewage only; but this should not prevent the installation of a combined system.

(d) Properly designed grease traps shall be provided for sewers from restaurants or other establishments where the sewage carries a large amount of grease.

Section 75. Septic tanks Where a public sewerage system is not available, sewer outfalls from residences, schools, and other buildings shall be discharged into a septic tank to be constructed in accordance with the following minimum requirements:

(a) It shall be generally rectangular in shape. When a number of compartments are used, the first compartment shall have the capacity from one-half to two-thirds of the total volume of the tank.

(b) It shall be built of concrete, whether pre-cast or poured in place. Brick, concrete blocks or adobe may be used.

(c) It shall not be constructed under any building and within 25 meters from any source of water supply.

Section 76. Disposal of Septic Tank Effluent The effluent from septic tanks shall be discharged into a sub-surface soil, absorption field where applicable or shall be treated with some type of a purification device. The treated effluent may be discharged into a stream or body of water if it conforms to the quality standards prescribe by the National Water and Air Pollution Control Commission.

Section 77. Determination of Septic Tank Capacity The septic tank capacity may be determined from the estimated unit flow contained in Table I “Quantities of Sewage Flow,” based on adequate detention time interval resulting in efficient sedimentation. Daily flow from mattered results, may be used as estimated flow when available. For edifices with occupants, the number of persons to be served shall be computed on the number of rooms with each room considered as occupied by two persons or on the basis of the actual number of persons served by the tank, whichever is greater.

Section 78. Sanitary Privies The privy recommended for use is the sanitary privy. It shall conform with the following minimum requirements:

(a) It shall consist of an earthen pit, a floor covering the pit, and a water-sealed bowl. It shall be so constructed in order that fecal matter and urine will be deposited into the earthen pit which shall be completely fly-proof.

(b) The pit shall be at least one meter square.

(c) The floor should cover the pit tightly to prevent the entrance of flies. It shall be constructed of concrete or other impervious material.

(d) The water-sealed bowl shall be joined to the floor so as to form a water-tight and insect proof joint.

(e) A suitable building, shall be constructed to provide comfort and privacy for the users of the privy.

(f) Wooden floors and seat risers shall not be used.

Section 79. Drainage

(a) Responsibility of cities and municipalities It shall be the responsibility of all cities and municipalities to provide and maintain in a sanitary state and in good repair a satisfactory system of drainage in all inhabited areas where waste water from buildings and premises could empty without causing nuisance to the community and danger to public health.

(b) Connection to the municipal drainage system Buildings or premises producing waste water shall be connected to the municipal drainage system in all areas where it exists.

Section 80. Special Precaution for Radioactive Excreta and Urine of Hospitalized Patient.

(a) Patients given high doses of radioactive isotope for therapy should be given toilet facilities separate from those used by “non-radioactive” patients.

(b) Radioactive patients should be instructed to use the same toilet bowl at all times and to flush it at least 3 times after its use.

CHAPTER XVIII
REFUSE DISPOSAL

Section 81. Definition of Terms As used in this Chapter, refuse is an inclusive term for all solid waste products consisting of garbage, rabbish, ashes, night soil, manure, dead animals, street sweepings and industrial wastes.

Section 82. Responsibility of Cities and Municipalities Cities and municipalities shall provide an adequate and efficient system of collecting, transporting and disposing refuse in their areas of jurisdiction in a manner approved by the local health authority.

Section 83. Additional Requirements

(a) Occupants of buildings and residences shall; provide a sufficient number of receptacles for refuse. Refuse in receptacles shall be protected against vermin and other animals.

(b) Refuse shall be disposed through a municipal collection service. If this service is not available, disposal shall be by incineration, burying, sanitary landfill or any method approved by the local health authority.

(c) Refuse shall not be thrown in any street, sidewalk, yard, park or any body of water. It shall be stored in a suitable container while awaiting its final disposal.

(d) Streets shall be kept clean by occupants or owners of properties lining the street from the line of the property to the middle of the street and from one property to the other.

(e) Parks, plazas and streets adjacent to public buildings shall be kept clean by the local government concerned.

CHAPTER XIX
NUISANCES AND OFFENSIVE TRADES AND OCCUPATIONS

Section 84. Definition of Terms As used in this Chapter, the following terms shall mean and include:

(a) Nuisance Anything that injures health, endangers life, offends the senses or produces discomfort to the community.

(b) Offensive trades or occupations These are the following:

1. Soap boiling;

2. Guts cleaning;

3. Boiling of offal, bones, fat or lard; (Permissible if process is performed in a public slaughterhouse under prescribed regulations.)

4. Manufacturing of glue or fertilizer;

5. Skin curing;

6. Scrap processing;

7. Manure storing;

8. Lime burning;

9. Lye making; and

10. Any manufacturing process in which lead, arsenic, mercury, phosphorous, or other poisonous substance is used.

Section 85. Types of Nuisances For the purpose of this Chapter, the following shall be considered nuisances:

(a) Public or private premises maintained and used in a manner injurious to health;

(b) Breeding places and harborages of vermin;

(c) Animals and their carcasses which are injurious to health;

(d) Accumulation of refuse;

(e) Noxious matter or waste water discharged improperly in streets;

(f) Animals stockage maintained in a manner injurious to health;

(g) Excessive noise; and

(h) Illegal shanties in public or private properties.

Section 86. Responsibilities of Owners, Managers or Operators The Owners, managers or operators of establishments shall:

(a) Secure a sanitary permit from the local health authority before establishing and operating their business or trade;

(b) Remove daily all injurious by-products and wastes;

(c) Prevent the escape of industrial impurities and adopt methods to render them innocuous;

(d) Maintain working establishments and their premises clean and sanitary at all times;

(e) Store all materials properly to prevent emission of noxious or injurious effluvia.

CHAPTER XX
POLLUTION OF THE ENVIRONMENT

Section 87. General Provisions For the purpose of this Chapter, the provisions of Republic Act No. 3931, the rules and regulations of the National Water and Air Pollution Control Commission promulgated in accordance with the provisions of Section 6(a) 2 of the said Act, the provisions of Presidential Decree No. 480, and the rules and regulations of the Radiation Health Office of the Department of Health shall be applied and enforced.

Section 88. Authority of the Secretary The Secretary is authorized to promulgate rules and regulations for the control and prevention of the following types of pollution:

(a) Pollution of pesticides and heavy metals;

(b) Pollution of food caused by chemicals, biological agents, radioactive materials, and excessive or improper use of food additives;

(c) Non-ionizing radiation caused by electronic products such as laser beams or microwaves;

(d) Noise pollution caused by industry, land and air transport and building construction;

(e) Biological pollutants including the causative agents of intestinal infections;

(f) Pollution of agricultural products through the use of chemical fertilizers and plant pesticides containing toxic chemical substances and unsanitary agricultural practices; and

(g) Any other type of pollution which is not covered by the provisions of Republic Act 3931, the Rules and Regulations of the National Water and Air Pollution Control Commission, the provisions of Presidential Decree No. 480 and the rules and regulations of the Radiation Health Office of the Department of Health which is likely to affect community Health adversely.

CHAPTER XXI
DISPOSAL OF DEAD PERSONS

Section 89. Definition As used in this Chapter, the following terms shall mean:

(a) Burial grounds cemetery, memorial park of any place duly authorized by law for permanent disposal of the dead.

(b) Embalming preparing, disinfecting and preserving a dead body for its final disposal.

(c) Embalmer a person who practices embalming.

(d) Undertaking the care, transport and disposal of the body of a deceased person by any means other than embalming.

(e) Undertaker person who practices undertaking.

(f) Funeral establishment any place used in the preparation and care of the body of a deceased person for burial.

(g) Remains the body of a dead person.

(h) Burial Interment of remains in a grave, tomb or the sea.

(i) Disinterment the removal or exhumation of remains from places of interment.

Section 90. Burial Grounds Requirements the following requirements shall be applied and enforced:

(a) It shall be unlawful for any person to bury remains in places other than those legally authorized in conformity with the provisions of this Chapter.

(b) A burial ground shall at least be 25 meters distant from any dwelling house and no house shall be constructed within the same distance from any burial ground.

(c) No burial ground shall be located within 50 meters from either side of a river or within 50 meters from any source of water supply.

Section 91. Burial Requirements The burial remains is subject to the following requirements:

(a) No remains shall be buried without a dead certificate. This certificate shall be issued by the attending physician. If there has been no physician in attendance, it shall be issued by the mayor, the secretary of the municipal board, or a councilor of the municipality where the death occurred. The death certificate shall be forwarded to the local civil register within 48 hours after death.

(b) Shipment of remains abroad shall be governed by the rules and regulations of the Bureau of Quarantine.

(c) Graves where remains are buried shall be at least one and one-half meters deep and filled well and firmly.

(d) The cost of burial of a dead person shall be borne by the nearest kin. If the kin is not financially capable of defraying the expenses or if the deceased had no kin, the cost shall be borne by the city or municipal government.

(e) The burial of remains in city or municipal burial grounds shall not be prohibited on account of race, nationality, religion or political persuasion.

(f) If the person who issues a death certificate has reasons to believe or suspect that the cause of death was due to violence or crime, he shall notify immediately the local authorities concerned. In this case the deceased shall not be buried until a permission is obtained from the provincial or city fiscal. If these officials are not available the permission shall be obtained from any government official authorized by law.

(g) Except when required by legal investigation or when permitted by the local health authority, no unembalmed remains shall remain unburied longer than 48 hours after death.

(h) When the cause of death is a dangerous communicable disease, the remains shall be buried within 12 hours after death. They shall not be taken to any place of public assembly. Only the adult members of the family of the deceased may be permitted to attend the funeral.

Section 92. Disinterment Requirements Disinterment of remains is subject to the following requirements:

(a) Permission to disinter remains of persons who died of non-dangerous communicable diseases may be granted after a burial period of three years.

(b) Permission to disinter remains of person who died of dangerous communicable diseases may be granted after a burial period of five years.

(c) Disinterment of remains covered in paragraphs “a” and “b” of this Section may be permitted within a shorter time than that prescribed in special cases, subject to the approval of the Regional Director concerned or his duly authorized representative.

(d) In all cases of disinterment, the remains shall be disinfected and places in a durable and sealed container prior to their final disposal.

Section 93. Funeral and Embalming Establishments These establishments are subject to the following requirements:

(a) Scope of inclusion for the purposes of this Section, requirements prescribed herein shall be applied and enforced to funeral chapels, embalming establishments and morgues.

(b) Sanitary permit No establishment mentioned in the preceding paragraph shall be operated without a sanitary permit issued by the Secretary or his duly authorized representative. This permit shall be revoked in case of any violation of the provisions of this Chapter and the rules and regulations promulgated by the Secretary.

(c) Classification Funeral establishment shall be classified in three (3) categories which are described as follows:

1. Category I Establishments with chapels, and embalming facilities and offering funeral services.

2. Category II Establishments with chapels and offering funeral services but without embalming facilities.

3. Category III Establishments offering only funeral services from the house of the deceased to the burial ground.

(d) Sanitary requirements

For funeral chapels The requirements prescribed for places of public assembly in this Code shall be applied.

For embalming and dressing rooms

1. They should be constructed of concrete or semi-concrete materials with sufficient space to accommodate five bodies at one time.

2. The floors and walls shall be made of concrete or other durable impervious materials.

3. Ventilation and lighting should be adequately provided.

4. Embalming shall be performed on a table made of a single marble slab or other equally impervious materials. It shall be so constructed that all washings and body fluids shall flow to a drain connected to the waste piping system of the building.

5. Embalming and assistants shall use rubber gloves when working.

6. Washing facilities with soaps, detergents and germicidal solutions shall be provided for use of the following personnel.

Section 94. Licensing and Registration Procedures The licensing and registration of undertakers and embalmers are subject to the following requirements:

(a) Issuance of license to practice

1. Any person who desires to practice undertaking or embalming shall be licensed to practice only after passing an examination conducted by the Department.

2. Licensed undertakers or embalmers shall practice undertaking or embalming in accordance with requirements prescribed by the Department.

3. Licensed undertakers or embalmers shall display their licenses conspicuously in the establishments where they work.

(b) Issuance of certificates of registration

1. An undertaker or embalmer shall apply annually for a registration certificates and pay an annual registration fee of twenty-five pesos to the Regional Health Office concerned.

2. The first registration certificate issued shall cover the period from the date of issuance to the last day of the current year. Subsequent certificates shall bear the date of January 1 of the year of issue and shall expire December 31 of the same year.

3. Certificates of registration shall be posed conspicuously in establishments concerned.

(c) Exemption Government and private physicians may perform embalming without license and registration certificates as exigencies require.

Section 95. Autopsy and Dissection of Remains The autopsy and dissection of remains are subject to the following requirements:

(a) Person authorized to perform these are:

1. Health officers;

2. Medical officers of law enforcement agencies; and

3. Members of the medical staff of accredited hospitals.

(b) Autopsies shall be performed in the following cases:

1. Whenever required by special laws;

2. Upon orders of a competent court, a mayor and a provincial or city fiscal;

3. Upon written request of police authorities;

4. Whenever the Solicitor General, provincial or city fiscal as authorized by existing laws, shall deem it necessary to disinter and take possession of remains for examination to determine the cause of death; and

5. Whenever the nearest kin shall request in writing the authorities concerned to ascertain the cause of death.

(c) Autopsies may be performed on patients who die in accredited hospitals subject to the following requirements:

1. The Director of the hospital shall notify the next of kin of the death of the deceased and request permission to perform an autopsy.

2. Autopsy can be performed when the permission is granted or no objection is raised to such autopsy within 48 hours after death.

3. In cases where the deceased has no next of kin, the permission shall be secured from the local health authority.

4. Burial of remains after autopsy After an autopsy, the remains shall be interred in accordance with the provisions in this Chapter.

Section 96. Donation of Human Organs for Medical, Surgical and Scientific purposes Any person may donate an organ or any part of his body to a person, a physician, a scientist, a hospital or a scientific institution upon his death for transplant, medical, or research purposes subject to the following requirements:

(a) The donation shall be authorized in writing by the donor specifying the recipient, the organ or part of his body to be donated and the specific purpose for which it will be utilized.

(b) A married person may make such donation without the consent of his spouse.

(c) After the death of a person the next of kin may authorize the donation of an organ or any part of the body of the deceased for similar purposes in accordance with the prescribed procedure.

(d) If the deceased has no next of kin and his remains are in the custody of an accredited hospital, the Director of the hospital may donate an organ or any part of the body of the deceased in accordance with the requirement prescribed in this Section.

(e) A simple written authorization signed by the donor in the presence of two witnesses shall be deemed sufficient for the donation of organs or parts of the human body required in this Section, notwithstanding the provisions of the Civil Code of the Philippines on matters of donation. A copy of the written authorization shall be forwarded to the Secretary.

(f) Any authorization granted in accordance with the requirements of this Section is binding to the executors, administrators, and members of the family of the deceased.

Section 97. Use of Remains for Medical Studies and Scientific Research Unclaimed remains may be used by medical schools and scientific institutions for studies and research subject to the rules and regulations prescribed by the Department.

Section 98. Special Precautions for Safe Handling of Cadavers Containing Radioactive Isotopes

(a) Cadavers containing only traces (very small dose) of radioactive isotope do not require any special handling precautions.

(b) Cadavers containing large amounts of radioactive isotopes should be labelled properly identifying the type and amount or radioactive isotopes present and the date of its administration.

(c) Before autopsy is performed, the Radiation Health Officer or his duly authorized representative should be notified for proper advice. The pathologist and/or embalmer should be warned accordingly of the radioactivity of the cadaver so that radiation precautions can be properly enforced.

(d) Normal burial procedures, rules and regulations may be carried out on the above mentioned cadavers provided that their amount of radioactivity has decayed to a safe level which will be determined by the Radiation Health Officer or his authorized representative.

(e) Cremation If cremation is performed without autopsy, there is no handling problem; otherwise, autopsy precautions should be strictly enforced. Precautions should be taken to prevent any possible concentration of radioactivity at the base of the stack of the crematorium.

Section 99. Responsibility of the Regional Director The Regional Director shall:

(a) Act on applications for the establishment of burial grounds; and

(b) Close any burial ground which is a menance to public health.

Section 100. Responsibility of the Local Health Authority The local health authority shall:

(a) Administer city or municipal cemeteries;

(b) Issue permits to inter, disinter or transfer remains;

(d) Apply prescribed measures when cause of death is due to a dangerous communicable disease;

(e) Keep records of death occurring within his area of jurisdiction; and

(f) Authorize the deliver of unclaimed remains to medical schools and scientific institutions for purposes specified in this Chapter and in accordance with the rules and regulations of the Department.

Section 101. Responsibility of Local Government Local governments shall:

(a) Reserve appropriate tracts of land under their jurisdiction, for cemeteries subject to approval of Regional Directors concerned;

(b) Utilize judiciously grants, gifts, bequests of property or financial donations for the establishment or improvement of cemeteries; and

(c) Close cemeteries under their jurisdiction subject to approval of the Regional Director.

Section 102. Penal Provisions

(a) The Secretary or his duly authorized representative may revoke or suspend the license of an undertakers or embalmer who violates any provisions of this Chapter or the rules and regulations promulgated by the Secretary under this Chapter.

(b) Any person who shall engage in the business of undertaking or embalming in violation of any provision of this Chapter shall be liable to a penalty of not more than one thousand pesos for each violation.

(c) Each day or any part thereof during which any prohibited business or practice is continued shall be deemed a separate violation and subject to the same penalty prescribed in the preceding paragraph.

CHAPTER XXII
FINAL PROVISIONS

Section 103. Penal Provision

(a) Unless otherwise provided in any Chapter or section in this Code, any person who shall violate, disobey, refuse, omit or neglect to comply with any of the rules and regulations promulgated under this Code shall be guilty of misdemeanor and upon conviction shall be punished by imprisonment for a period not exceeding six months or by a fine of not exceeding one thousand pesos or both depending upon the discretion of the court.

(b) Any person who shall interfere with or hinder, or oppose any officer, agent or member of the Department or of the bureaus and offices under it, in the performance of his duty as such under this Code, or shall tear down, mutilate, deface or alter any placard, or notice, affixed to the premises in the enforcement of the Code, shall be guilty of a misdemeanor and punishable upon conviction by imprisonment for a period not exceeding six months or by a fine of not exceeding one thousand pesos or both depending upon the discretion of the Court.

Section 104. Separability Clause In the event that any section, paragraph, sentence, clause, or word of this Code is declared invalid for any reason, other provisions thereof shall not be affected thereby.

Section 105. Repealing Clause All laws, as well as pertinent rules and regulations thereof which are inconsistent with the provisions of this Code are hereby repealed or amended accordingly.

Section 106. Effectivity This Code is hereby made part of the law of the land and shall take effect immediately.

Done in the City of Manila, this 23rd day of December, in the year of Our Lord, nineteen hundred and seventy-five.

Republic Act No. 9367

AN ACT TO DIRECT THE USE OF BIOFUELS, ESTABLISHING FOR THIS PURPOSE THE BIOFUEL PROGRAM, APPROPRIATING FUNDS THEREFOR, AND FOR OTHER PURPOSES.

SECTION 1. Short Title – This act shall be known as the “Biofuels Act of 2006“.

SEC. 2. Declaration Policy – It is hereby declared the policy of the State to reduce dependence on imported fuels with due regard to the protection of public health, the environment, and the natural ecosystems consistent with the country’s sustainable economic growth that would expand opportunities for livelihood by mandating the use of biofuels as a measure to:

a) Develop and utilize indigenous renewable and sustainable-sources clean energy sources to reduce dependence on imported oil.

b) Mitigate toxic and greenhouse gas (GSG) emissions;

c) increase rural employment and income; and

d) Ensure the availability of alternative and renewable clean energy without any detriment to the natural ecosystem, biodiversity and food reserves of the country.

SEC. 3. Definition of terms – As used in this act, the following term shall be taken to means as follows:

a) AFTA – shall refer to the ASIAN free trade agreement initiated by the Association of South East Asian Nation;

b) Alternative Fuel Vehicle/Engine – shall refer to vehicle/engines that use alternative fuels such as biodiesel, bioethanel, natural gas, electricity, hydrogen and automotive LPG instead of gasoline and diesel;

c) Bioethanol fuel – shall refer to ethanol (C2H30H) produce from feedback and other biomass.

d) Biodiesel – shall refer to Fatty Acid Methyl Ester (FAME) or mono-alkyl ester delivered from vegetable oil, or animal fats and other biomass-derived oils that shall be technically proven and approved by the DOE for use in diesel engines, with quality specifications in accordance with the Philippine National Standards (PNS)

e) Bioethanol fuels – shall refer to the hydrous and anhydrous bioethanol suitably denatured for use as motor fuel with quality specifications in accordance with the PNS;

f) Biofuel – shall refer to the bioethanol and biodiesel and other fuels made from biomass and primary used for motive, thermal power generation, with quality specifications in accordance with PNS;

g) Biomass – shall refer to any organic matter, particularly cellulosic or ligno-cellulosic matter, which is available on a renewable or recurring basis, including trees, crops and associated residues, plant fiber, poultry litter and other animal wastes, industrial wastes and biodegradable component of solid waste;

h) DA – shall refer to the Department of Agriculture created under Executive Order No. 116, as amended;

i) Diesel – shall refer to the refined petroleum distillate, which may contain small amount of hydrocarbon or nonhydrocarbon additives to improve ignition quality or other characteristic, suitable for compression ignition engine and other suitable types of engines with quality specifications in accordance with PNS;

j) DENR – shall refer to the Department of Environment and Natural Resources created under Executive No. 192, as amended;

k) DOE – shall refer to the Department of Energy created under Republic Act No. 7638, as amended;

l) DOLE – shall refer to the Department of Labor and Employment created under Executive Order No. 126, as amended;

m) DOF – shall refer to the Department of Finance created under Administrative Orders No. 127 and 127-A;

n) DOST – shall refer to the Department of Science and Technology created under Republic Act no. 2067

o) DOTC – shall refer to the Department of Transportation and Communication created under Executive Order No. 125-A, as amended;

p) DTI – shall refer to the Department of Trade and Industry created under Executive Order No. 133;

q) Feedstock – shall refer to the organic sources such as molasses, sugarcane, cassava, coconut, jatropha, sweet sorghum or other biomass used in the production of biofuels;

r) Gasoline – shall refer to volatile mixture of liquid hydrocarbon, generally containing small amounts of additives suitable for use as fuel in spark-ignition internal combustion engines with quality specifications in accordance with the PNS;

s) Motor fuel – shall refer to all volatile and inflammable liquids and gas produced, blended or compounded for the purpose of, or which are suitable or practicable for, operating motor vehicle;

t) MTBE – shall refer to Methyl Tertiary Butyl Ether;

u) NBB or Board – shall refer to the National Biofuel Board created under Section 8 of this Act ;

v) Oil Company – shall refer to any entity that distributes and sells petroleum fuel products;

w) Oxygenate – shall refer to substances, which, when added to gasoline, increase the amount of oxygen in that gasoline blend;

x) PNS – shall refer to the Philippine National Standard; consistent with section 26 of R.A. No. 8749 otherwise known as the ‘Philippine Clean Air Act of 1999;

y) Renewable Energy Sources – shall refer to energy sources that do not have an upper limit on the total quantity to be used. Such resources are renewable on a regular basis; and

z) WTO – shall refer to the World Trade Organization.

SEC. 4. Phasing Out of the Use of Harmful Gasoline Additives and/or Oxygenates. – Within six months from affectivity of this Act, the DOE, according to duly accepted international standards, shall gradually phase out the use of harmful gasoline additives such as, but not limited to MTBE

SEC. 5. Mandatory Use of Biofuels. – Pursuant to the above policy, it is hereby mandated that all liquid fuels for motors and engines sold in the Philippines shall contain locally-sourced biofuels components as follows:

5.1 Within two years from the effectivity of this Act, at least five percent (5%) bioethanol shall comprise the annual total volume of gasoline fuel actually sold and distributed by each and every oil company in the country; subject to requirement that all bioethanol blended gasoline shall contain a minimum of five percent (5%) bioethanol fuel by volume Provided, that ethanol blend conforms to PNS.

5.2 Within four years from the effectivity of this Act, the NBB created under this Act is empowered to determine the feasibility thereafter recommend to DOE to mandate a minimum of ten percent(10%) blend of bioethanol by volume into all gasoline fuel distributed and sold by each and every oil company in the country.

In the event of supply shortage of locally-produced bioethanol during the four–year period, oil companies shall be allowed to import bioethanol but only to the extent of the shortage as may be determined by NBB.

5.3 Within three months from the effectivity of this Act, a minimum of one percent (1%) biodiesel by volume shall be blended into all diesel engine fuels sold in the country: Provided That the biodiesel blend conforms to PNS for biodiesel.

Within two years from the effectivity of this Act, the NBB created under this Act is empowered to determine the feasibility and thereafter recommend to DOE to mandate a minimum of two percent (2%) blend of biodiesel by volume which may be increased taking into account considerations including but not limited to domestic supply and availability of locally-sourced biodiesel component.

SEC. 6. Incentive Scheme – To encourage investments in the production, distribution and use of locally-produced biofuels at and above the minimum mandated blends, and without prejudice to enjoying applicable incentives and benefits under existing laws, rules and regulations, the following additional incentives are hereby provided under this Act.

a) Specific tax

The specific tax on local or imported biofuels component, per liter of volume shall be zero (0). The gasoline and diesel fuel component, shall remain subject to the prevailing specific tax rate.

b) Value Added Tax

The sale of raw material used in the production of biofuels such as, but not limited to, coconut, jatropha, sugarcane, cassava, corn, and sweet sorghum shall be exempt from the value added tax.

c) Water Effluents

All water effluents, such as but not limited to distillery slops from the production of biofuels used as liquid fertilizer and for other agricultural purposes are considered “reuse”, and are therefore, exempt from wastewater charges under the system provided under section 13 of R.A No. 9275, also known as the Philippine Clean Water Act: Provided, however, That such application shall be in accordance with the guidelines issued pursuant to R.A. No. 9275, subject to the monitoring and evaluation by DENR and approved by DA.

d) Financial Assistance

Government financial institutions, such as the Development Bank of the Philippines, Land Bank of the Philippines, Quedancor and other government institutions providing financial services shall, in accordance with and to the extent by the enabling provisions of their respective charters or applicable laws, accord high priority to extend financing to Filipino citizens or entities, at least sixty percent (60%) of the capital stock of which belongs to citizens of the Philippines that shall engage in activities involving production storage, handling and transport of biofuel feedstock, including the blending of biofuels with petroleum, as certified by the DOE.

SEC. 7. Powers and Functions of the DOE. – In addition to its existing powers and functions, the DOE is hereby mandated to take appropriate and necessary actions to implement the provisions of this Act. In pursuance thereof, it shall within three months from effectivity of this Act:

a) Formulate the implementing rules and regulations under Section 15 of this Act;

b) Prepare the Philippines Biofuel program consistent with the Philippine Energy Plan and taking into consideration the DOE’s existing biofuels program;

c) Establish technical fuel quality standards for biofuels and biofuel-blended gasoline and diesel which comply with the PNS.

d) Establish guidelines for the transport, storage and handling of biofuels;

e) Impose fines and penalties against persons or entities found to have committed any of the prohibited acts under Section 12 (b) to (e) of this Act;

f) Stop the sale of biofuels and biofuel-blended gasoline and diesel that are not in conformity with the specifications provided for under Section 5 of this Act, the PNS and corresponding issuances of the Department; and

g) Conduct an information campaign to promote the use of biofuels

SEC. 8. Creation of the National Biofuel Board (NBB) – The National Biofuel Board is hereby created. It shall be composed of the Secretary of the DOE as chairman and the Secretaries of the DTI, DOST, DA, DOF, DOLE, and the Administrators of the PCA, and the SRA, as members.

The DOE Secretary, in his capacity as Chairperson, shall, within one month from the effectivity of this Act, convene the NBB.

The Board shall by assisted by a Technical Secretariat attached to the Office of the Secretary of the DOE. It shall be headed by a Director to be appointed by the Board. The number of staff of the Technical Secretariat and the corresponding positions shall be determined by the Board, subject to approval by the Department of Budget and Management (DBM) and existing civil services rules and regulations.

SEC. 9. Powers and Functions of the NBB. – The NBB shall have the following powers and functions:

a) Monitor the implementation of, and evaluate for further expansion, the National Biofuel Program (NBP) prepares by the DOE pursuant to Section 7 (b) of this Act;

b) Monitor the supply and utilization of biofuels and biofuel-blends and recommend appropriate measures in cases of shortage of feedstock supply for approval of the Secretary of DOE. For this purpose:

1. The NBB is empowered to require all entities engaged in the production, blending and distribution of biofuels to submit reports of their actual and projected sales and inventory of biofuels, in a format to be prescribed for this purpose; and

2. The NBB shall determine availability of locally-sourced biofuels and recommend to DOE the appropriate level or percentage of locally–sourced biofuels to the total annual volume of gasoline and diesel sold and distributed in the country.

c) Review and recommend to DOE the adjustment in the minimum mandated biofuel blends subject to the availability of locally–sourced biofuels: Provided, That the minimum blend may be decreased only within the first four years from the effectivity of this Act. Thereafter, the minimum blends of the five percent (5%) and two percent (2%) for bioethanol and biodiesel respectively, shall not be decreased;

d) Recommend to DOE a program that will ensure the availability of alternative fuel technology for vehicles, engine and parts in consonance with the mandated minimum biofuel-blends, and to maximize the utilization of biofuels including other biofuels;

e) Recommend to DOE the use of biofuel–blends in air transport taking into account safety and technical viability; and

f) Recommend specific actions to be executed by the DOE and other appropriate government agencies concerning the implementation of the NBP, including its economic, technical, environment, and social impact.

SEC. 10. Security of Domestic Sugar Supply. – Any provision of this Act to the contrary notwithstanding, the SRA, pursuant to its mandate, shall, at all times, ensures that the supply of sugar is sufficient to meet the domestic demand and that the price of sugar is stable.

To this end, the SRA shall recommend and the proper agencies shall undertake the importation of sugar whenever necessary and shall make appropriate adjustments to the minimum access volume parameters for sugar in the Tariff and Custom Code.

SEC. 11. Role of Government Agencies. – To ensure the effective implementation of the NBP, concerned agencies shall perform the following functions:

a) The DOF shall monitor the production and importation of biofuels through the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC);

b) The DOST and the DA shall coordinate in identifying and developing viable feedstock for the production of biofuels;

c) The DOST, through the Philippine Council for Industry and Energy Research and Development (PCIERD), shall develop and implement a research and development program supporting a sustainable improvement in biofuel production and utilization technology. It shall also publish and promote related technologies developed locally and abroad.

d) The DA through its relevant agencies shall:

(1) Within three months from effectivity of this Act, develop a national program for the production of crops for use as feedstock supply. For this purpose, the Administrators of the SRA and the PCA, and other DA-attached agencies shall, within their authority develop and implement policies supporting the Philippine Biofuel Program and submit the same to the Secretary of the DA for consideration;

(2) Ensure increased productivity and sustainable supply of biofuel feedstocks. It shall institutes program that would guarantee that a sufficient and reliable supply of feedstocks is allocated for biofuel production; and

(3) Publish information on available and suitable areas for cultivation and production of such crops.

e) The DOLE shall:

(1) Promote gainful livelihood opportunities and facilitate productive employment through effective employment services and regulation;

(2) Ensure the access of workers to productive resources and social coverage; and

(3) Recommend plans, policies and programs that will enhance the social impact of the NBP.

f) The Tariff Commission, in coordination with the appropriate government agencies, shall create and classify a tariff line for biofuels and biofuel-blends in consideration of WTO and AFTA agreements; and

g) The local government units (LGU) shall assist the DOE in monitoring the distribution sale in use of biofuels and biofuel-blends

SEC. 12. Prohibited Acts. The following acts shall be prohibited:

a) Diversion of biofuels, whether locally produced or imported, to purposes other than those envisioned in this Act;

b) Sale of biofuel–blended gasoline or diesel that fails to comply with the minimum biofuel–blend by volume in violation of the requirement under Section 5 of this Act;

c) Distribution, sale and use of automotive fuel containing harmful additives such as, but not limited to, MTBE at such concentration exceeding the limits to be determined by the NBB.

d) Noncompliance with the established guidelines of the PNS and DOE adopted for the implementation of this Act; and

e) False labeling of gasoline, diesel, biofuels and biofuel-blended gasoline and diesel.

SEC. 13. Penal Provisions. – Any person, who willfully aids or abets in the commission of a crime prohibited herein or who causes the commission of any such act by another shall be liable in the same manner as the principal.

In the case of association, partnerships or corporations, the penalty shall be imposed on the partner, president, chief operating officer, chief executive officer, directors or officers, responsible for the violation.

The commission of an act enumerated in Section 12, upon conviction thereof, shall suffer the penalty of one year to five years imprisonment and a fine ranging from a minimum of One million pesos (P 1,000,000.00) to Five million pesos (P 5,000,000.00).

In addition, the DOE shall confiscate any amount of such products that fail to comply with the requirements of Sections 4 & 5 of this Act, and implementing issuance of the DOE. The DOE shall determine the appropriate process and the manner of disposal and utilization of the confiscated products. The DOE is also empowered to stop and suspend the operation of businesses for refusal to comply with any order or instruction of the DOE Secretary in the exercise of his functions under this Act.

Further, the DOE is empowered to impose administrative fines and penalties for any violation of the provisions of this Act, implementing rules and regulations and other issuance relative to this Act.

SEC. 14. Appropriations. – Such sums as may be necessary for the initial implementation of this Act shall be taken from the current appropriations of the DOE. Thereafter, the fund necessary to carry out provisions of this Act shall be included in the annual General Appropriation Act.

SEC. 15. Implementing Rules and Regulations (IRR). – The DOE, in consultation with the NBB, the stakeholders and the other agencies concerned, shall within three months from affectivity of this Act, promulgated the IRR of this Act: Provided, That prior to its effectively, the draft of the IRR shall be posted at the DOE web site for at least one month, and shall be published in at least two newspapers of general circulation.

SEC. 16. Congressional Oversight Committee. – Upon affectivity of this act, a Congressional Committee, hereinafter referred to as the Biofuels Oversight Committee, is hereby constituted. The biofuels oversight committee shall be compose of (14) members, with the Chairmen of the Committees on Energy of both House of Congress as co-chairmen. The Chairmen of the Committee on Agriculture and Trade and Industry shall be ex officio members. An additional four members from each House, to be designated by the Senate President and Speaker of the House of Representatives, respectively. The minority shall be entitled to pro-rata representation but shall have at least one representative in the Biofuel Oversight Committee.

SEC. 17. Benefits of Biofuel Workers. – This Act shall not in any way result in the forfeiture or diminution of existing benefits enjoyed by the sugar workers as prescribed under the R.A. No. 6982, or the Sugar Amelioration Act of 1991. In case sugarcane shall be used as feedstock.

The NBB shall establish a mechanism similar to that provided under the Sugar Amelioration Act of 1991 for the benefit of other biofuel workers.

SEC. 18. Special Clause. – This act shall not be interpreted as prejudicial to clean development mechanism (CDM) projects that cause carbon dioxide (CO2) and greenhouse gasses (GHG) emission reductions by means of biofuel use.

SEC. 19. Repealing Clause. – The provision of Section 148 (d) of R.A. No. 8424, otherwise known as Tax Reform Act. of 1997, and all other laws, presidential decrees or issuance, executive orders, presidential proclamations. rules and regulations or part thereof inconsistent with the provisions of this Act, are hereby repealed, modified or amended accordingly.

SEC. 20. Separability Clause. – If any provision of this Act is declared unconstitutional in the same shall not affect the validity and effectivity of the other provision hereof.

SEC. 21. Effectivity. – This act shall effect fifteen (15) day after publication in at least two newspapers of general circulation.

Approved: January 12, 2007