REPUBLIC OF THE PHILIPPINES, petitioner, vs. HON. ANIANO DESIERTO, as Ombudsman, EDUARDO C. CONJUANCO, JR.

, JUAN PONCE ENRILE, MA. CLARA S. LOBREGAT, ROLANDO DE LA CUESTA, JOSE C. CONCEPCION, JOSE R. MENDOZA, EMMANUEL M. ALAMEDA, HERMENEGILDO C. ZAYCO, TEODORA A. REGALA, AMADO C. MAMURIC, DOUGLAS LU YM, JAIME GANDIAGA, NARCISO PINEDA and DANILO S. URSUA, respondents.
[G.R. No. 131966. September 23, 2002]

Facts: Respondents, subordinates and close associates of Dictator Marcos, are members of the Boards of Directors of United Coconut Planter Bank and United Coconut Oil Mills, Inc. They are charged with taking undue advantage of their public office and close relationship with Dictator Marcos in unlawfully misappropriating huge amounts of coconut levy funds in connection with the acquisition of 16 oil mills in order ot establish a monopoly, violating RA 3019 (Anti-Graft & Corrupt Practices Act). The PCGG then transmitted the case to the Office of the Ombudsman for appropriate action, OMB-0-90-2811. Thereafter, the Graft Investigation Officer II, Amanete, issued a resolution recommending the dismissal of said case, finding no sufficient evidence to believe that violation of Anti-Graft Law was committed. Petitioner filed with the SC a x x x petition for certiorari on the ff grounds: (a) respondents made convenient use of PD 961, PD 1468 and LOI 926 to carry out their grand design to establish a coco monopoly to the detriment of poor coco farmers; (b) there is no legal basis for the contention that the acts of respondents had been decriminalized; and (c) allegations in the complaint are deemed admitted as respondents failed to submit their counteraffidavit. Respondents Regala and Concepcion contend, inter alia, that petitioner has no cause of action against them because their acts were performed in the course of their duties as counsels. Issues: 1. If the petition should be entertained though it was filed by the PCGG without the intervention of the OSG. 2. If respondents Regala and Concepcion should be dropped as paties-defendants in OMB-0-90-2811. Held: 1. The ends of substantial justice affords an exception that the OSG should have filed he instant petition in behalf of the Republic. If the ends of substantial justice would be better served, and the issues in the action could be determined in a more just, speedy and inexpensive manner, then the petititon shold be entertained, even assuming arguendo that the PCGG has no authority to file said petition. 2. Yes. In Castillo vs Sandiganbayan and Republic of the Philippines, the Court excluded lawyer Gregorio Castillo as party-defendant to the case, citing Regala vs. Sandiganbayan. x x x The Ombudsman is directed to proceed with the preliminary investigation of OMB-0-90-2811 and to exclude respondents Regala and Concepcion as defendants therein.