The Supreme Court in Hernan v. Sandiganbayan clarified the retroactive application of Republic Act (R.A.) No. 10951, which adjusts the amounts and fines in the Revised Penal Code. Even if a judgment convicting an accused has become final and executory, the penalties imposed can be reduced if R.A. 10951 provides for a more lenient penalty. This means that individuals already serving sentences for crimes affected by R.A. 10951 may be entitled to a reduced sentence, potentially leading to earlier release or eligibility for probation.

From Cashier to Convict: Can a New Law Rewrite a Closed Case?

Ophelia Hernan, a former disbursing officer at the Department of Transportation and Communication (DOTC), was convicted of malversation for failing to account for P11,300.00. The Sandiganbayan affirmed the Regional Trial Court’s (RTC) guilty verdict. Hernan then sought to reopen the case to present additional evidence, but her motions were denied, and the judgment became final. The Supreme Court, while upholding the conviction, recognized that R.A. No. 10951, enacted after the judgment became final, mandated a reduced penalty. This prompted the Court to revisit the long-settled principle of immutability of final judgments.

The core issue revolved around whether a final judgment could be modified due to a subsequent law that lessened the applicable penalty. Generally, a judgment that has acquired finality is immutable and unalterable, and may no longer be modified in any respect, even if the modification is meant to correct erroneous conclusions of fact or law. The Court acknowledged this doctrine but carved out an exception, holding that when circumstances transpire after the finality of the decision rendering its execution unjust and inequitable, the Court may give due regard to such exceptional circumstance warranting the relaxation of the doctrine of immutability. The enactment of R.A. No. 10951 constituted such an exceptional circumstance.

The Court cited Section 40 of R.A. No. 10951, which amended Article 217 of the Revised Penal Code (RPC) regarding malversation of public funds. The amended law provides for a lighter penalty for amounts not exceeding Forty thousand pesos (P40,000.00):

ART. 217. Malversation of public funds or property; Presumption of malversation. – Any public officer who, by reason of the duties of his office, is accountable for public funds or property, shall appropriate the same, or shall take or misappropriate or shall consent, through abandonment or negligence, shall permit any other person to take such public funds, or property, wholly or partially, or shall otherwise be guilty of the misappropriation or malversation of such funds or property, shall suffer:

1. The penalty of prision correccional in its medium and maximum periods, if the amount involved in the misappropriation or malversation docs not exceed Forty thousand pesos (P40,000.00).

The Court emphasized the retroactive effectivity of laws that are favorable to the accused. Citing People v. Morilla, the Court reiterated the established rule on the retroactive effectivity of laws, the sentencing being favorable to the accused. The Court also pointed out that the petitioner may even apply for probation, as long as she does not possess any ground for disqualification, in view of recent legislation on probation. The Court’s reasoning hinged on the principle that laws should be applied in a way that is most beneficial to the defendant, especially when it comes to penalties.

The elements of malversation of public funds under Article 217 of the Revised Penal Code (RPC) are: (1) that the offender is a public officer; (2) that he had the custody or control of funds or property by reason of the duties of his office; (3) that those funds or property were public funds or property for which he was accountable; and (4) that he appropriated, took, misappropriated or consented or, through abandonment or negligence, permitted another person to take them. This article establishes a presumption that when a public officer fails to have duly forthcoming any public funds with which he is chargeable, upon demand by any duly authorized officer, it shall be prima facie evidence that he has put such missing funds to personal uses.

In Hernan’s case, the Court determined that the original penalty imposed by the Sandiganbayan—six (6) years and one (1) day of prision mayor, as minimum, to eleven (11) years, six (6) months, and twenty-one (21) days of prision mayor, as maximum—was no longer applicable. Instead, the new penalty should be prision correccional in its medium and maximum periods, which has a prison term of two (2) years, four (4) months, and one (1) day, to six (6) years. Taking into account the mitigating circumstance of voluntary surrender, the Court sentenced Hernan to an indeterminate penalty of six (6) months of arresto mayor, as minimum, to three (3) years, six (6) months, and twenty (20) days prision correccional, as maximum. The High Court emphasized the need for judges, public prosecutors, public attorneys, and private counsels to apply the provisions of R.A. No. 10951 whenever justice and equity call for it.

The decision has far-reaching implications for numerous cases involving crimes where penalties are based on the value of the object, such as theft, estafa, and robbery. The Court directed the Directors of the National Penitentiary and Correctional Institution for Women to identify and assist inmates serving final sentences under the old law to benefit from R.A. No. 10951. It also ordered courts to prioritize cases covered by R.A. No. 10951 to avoid prolonged imprisonment. The Court issued a directive to ensure that those accused who are preventively imprisoned be given an opportunity to post bail based on the reduced penalty under R.A. 10951 and for their immediate release, if qualified under A.M. No. 12-11-2-SC or the Guidelines For Decongesting Holding Jails By Enforcing The Rights Of Accused Persons To Bail And To Speedy Trial.

FAQs

What was the key issue in this case?	The central issue was whether a final judgment of conviction could be modified due to the enactment of Republic Act No. 10951, which provides for a more lenient penalty for the crime committed.
What is Republic Act No. 10951?	R.A. No. 10951 is a law that adjusts the amounts and fines used to determine penalties under the Revised Penal Code, often resulting in reduced penalties for certain crimes.
What is malversation of public funds?	Malversation of public funds is committed by a public officer who misappropriates public funds or property entrusted to them by reason of their office. This can include directly taking the funds or allowing another person to do so through negligence.
What was the original penalty imposed on Hernan?	Hernan was originally sentenced to imprisonment from 6 years and 1 day to 11 years, 6 months, and 21 days of prision mayor, along with perpetual special disqualification and a fine of P11,300.00.
How did R.A. No. 10951 affect Hernan’s sentence?	R.A. No. 10951 reduced the applicable penalty for malversation involving amounts less than P40,000.00, leading the Supreme Court to modify Hernan’s sentence to an indeterminate penalty of 6 months of arresto mayor to 3 years, 6 months, and 20 days of prision correccional.
What is the doctrine of immutability of final judgments?	The doctrine of immutability of final judgments states that a judgment that has become final and executory can no longer be altered or modified, even if the modification is meant to correct errors of fact or law.
What exception did the Supreme Court make to the doctrine in this case?	The Supreme Court made an exception when circumstances transpire after the finality of the decision rendering its execution unjust and inequitable, warranting the relaxation of the doctrine of immutability.
What practical steps did the Court order?	The Court ordered the Directors of the National Penitentiary and Correctional Institution for Women to identify similarly situated inmates, and directed courts to prioritize cases covered by R.A. No. 10951 to avoid prolonged imprisonment.

The Supreme Court’s decision in Hernan v. Sandiganbayan underscores the importance of ensuring that penalties are just and equitable, even after a judgment has become final. The retroactive application of R.A. No. 10951 demonstrates a commitment to fairness and provides an opportunity for individuals to receive a more appropriate sentence based on current laws.

For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: OPHELIA HERNAN VS. THE HONORABLE SANDIGANBAYAN, G.R. No. 217874, December 05, 2017