1) The petitioner challenged COA Circular 89-299 which lifted the pre-audit requirement for government agencies, arguing that pre-audit is a constitutional mandate.
2) The COA argued that the petition for certiorari was not the proper remedy as the circular was issued under its quasi-legislative powers, not quasi-judicial.
3) The Supreme Court agreed that the circular was not reviewable by certiorari but decided to still rule on the merits due to the seriousness of the allegations.
4) The Court ultimately ruled that pre-audit is not a mandatory requirement and is within the COA's discretion to implement based on its authority
Original Description:
301 Gualberto J. Dela Llana v. Commission on Audit
Original Title
301 Gualberto J. Dela Llana v. Commission on Audit
1) The petitioner challenged COA Circular 89-299 which lifted the pre-audit requirement for government agencies, arguing that pre-audit is a constitutional mandate.
2) The COA argued that the petition for certiorari was not the proper remedy as the circular was issued under its quasi-legislative powers, not quasi-judicial.
3) The Supreme Court agreed that the circular was not reviewable by certiorari but decided to still rule on the merits due to the seriousness of the allegations.
4) The Court ultimately ruled that pre-audit is not a mandatory requirement and is within the COA's discretion to implement based on its authority
1) The petitioner challenged COA Circular 89-299 which lifted the pre-audit requirement for government agencies, arguing that pre-audit is a constitutional mandate.
2) The COA argued that the petition for certiorari was not the proper remedy as the circular was issued under its quasi-legislative powers, not quasi-judicial.
3) The Supreme Court agreed that the circular was not reviewable by certiorari but decided to still rule on the merits due to the seriousness of the allegations.
4) The Court ultimately ruled that pre-audit is not a mandatory requirement and is within the COA's discretion to implement based on its authority
7. COMMISSION ON AUDIT Decisions of the Commission (Decisions and orders of the COA reviewable by the court via a petition for certiorari refer to the COAs quasi-judicial capacity not its quasi-legislative or rule-making powers)
FACTS: implementation or prosecution of projects
COA issued Circular No. 82-195, lifting the and payment of claims pre-audit system of government financial COA later issued Circular 94-006 to include transactions LGUs in the lifting of pre-audit activities o Circular affirmed state policy that all It also issued COA Circular 89-299, as resources of the gov shall be managed, amended by Circular 89-299A, Section3.2 expended, or utilized in accordance with provides that when the internal control system law and regulations, and safeguarded of a gov agency is inadequate, COA may against loss or wastage through illegal or reinstitute the pre-audit system or other control improper disposition measures necessary to protect the funds and After 1986 Revolution, grave irregularities and property of the agency anomalies in governments financial COA then issued Circular 2009-002, which transactions were uncovered pre-audit was reinstituted the selective pre-audit due to reinstated thru another Circular the rising incidents of irregular, illegal, wasteful When political system and gov operations and anomalous disbursement of huge amounts stabilized, COA issued Circular 89-299, again of public funds lifted pre-audit of national government COA later lifted this with Circular 2011-002 agencies (NGAs) and GOCCs because of heightened vigilance of gov o Circular 89-299 further provided that pre- agencies in safeguarding resources audit activities retained by the COA shall no Dela Llana wrote to COA regarding longer be pre-requisite to the recommendation that Department of Agriculture set up an internal pre-audit Whether petitioner is entitled to the extraordinary service writ of certiorari to assail the Circular 89-299 NO
Petitioner alleges that the pre-audit duty on the
part of the COA cannot be lifted by a mere HELD: circular, considering that pre-audit is a Procedural issues constitutional mandate enshrined in Section 2 Respondents aver that a petition for certiorari of Article IX-D of Constitution is not proper in this case as there is no o That because of lack of pre-audit, serious indication that the writ is directed against a irregularities in government transactions tribunal, a board, or an officer exercising have been committed judicial or quasi-judicial functions Respondents argue for dismissal of petition Conversely, petitioner claims that certiorari is because of its defective form and that certiorari proper under Section 7, Article IX-A of the not proper remedy Constitution o Defective: failure to allege material dates o Any decision, order, or ruling of each such as receipt of a copy of the circular, to Commission may be brought to the SC on attach certified true copy of the asailed certiorari by the aggrieved party within 30 order days from receipt of a copy Respondents argue that circular is valid COA Petitioner is correct in that decisions and had power to promulgate it orders of the COA are reviewable by the court via a petition for certiorari o HOWEVER, these refer to decisions and orders which were rendered by the COA in its quasi-judicial capacity ISSUE: o Circular 89-299 was promulgated by the COA under its quasi-legislative or rule-making power o HENCE, it is not reviewable by certiorari
A petition for prohibition is not also
appropriate in this case because it only lies against judicial or ministerial functions, but not against legislative or quasi-legislative functions SC decided to set aside technical issues to resolve merits due to seriousness of the allegations of grave deficiency in observing a constitutional duty
PRE-AUDIT examination of financial
transactions before their consumption or payment Conduct of pre-audit is not mandatory that the SC may compel the COA to perform It is within the COAs discretion to do so in line with its vested exclusive authority to defined the scope of its audit and examination