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R E S OL U T I O N
BARREDO, J.:
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orders.
In the meanwhile, under date of September 20, 1971,
respondent IISMI filed a motion alleging that:
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the motion of the Solicitor General asking that the Central BankÊs
motion for reconsideration be set for hearing.‰
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September 16, 1971 to the Security Bank and Trust Company, the
Central Bank Deputy GovernorÊs letter dated September 20, 1971 to
the Bank of America, the Central Bank Deputy GovernorÊs letter to
Security Bank and Trust Company of September 30, 1971, the
Monetary Board Resolution No. 1729 dated October 12, 1971,
mentioned in the Central Bank Comment (on IISMIÊs motion dated
September 20, 1971) dated October 14, 1971 and Central Bank
Rejoinder dated November 11, 1971 filed in the Supreme Court and
offered in this Court as Exhs. C and E, Manifestation, within Ten
(10) days from receipt hereof.‰ (Annex A of Central BankÊs Motion of
July 11, 1972 in Vol. VI, G.R. No. L-33986.)
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Board before the lifting of the watchlisting of IISMI within two days
from receipt of this order; to order defendant, Central Bank, thru its
Governor and Members of the Monetary Board, to inform agent
banks by means of circulars or thru other means that plaintiff is
hereby allowed to open letters of credit for the importation of raw
materials and spare parts and manufacturing supplies in
accordance with Memorandum Circular No. 289 issued by the
Central Bank of the Philippines dated February 21, 1970,
particularly in accordance with Section 5 of said circular, Exhs. H
and H-1, without necessity of reference to or prior approval by the
Central Bank and ordering defendant Central Bank, thru the
Members of the Monetary Board, to approve and implement the
processing agreement between plaintiff and Atlas Worldwide
Corporation S.A., Exh. W, without the conditions and limitations
stated in Central Bank Deputy GovernorÊs letter of September 16,
1971, to the Security Bank and Trust Company, Central Bank
Deputy GovernorÊs letter dated September 20, 1971, to the Bank of
America, the Central Bank Deputy GovernorÊs letter to the Security
Bank and Trust Company of September 30, 1971 and Monetary
Board Resolution No. 1729 dated October 12, 1971, as amended by
the resolution of the Monetary Board dated June 23, 1972, Exhs. 2,
2-A, mentioned in the Central Bank Comment (on IISMIÊs motion
dated September 20, 1971) dated October 14, 1571 and Central
Bank rejoinder dated November 11, 1971, filed in the Supreme
Court and offered in this Court as Exhs. C and E, and in the
Central BankÊs Supplemental Motion, within two days from receipt
of this order.‰ (Annex B, pp. 11–13 of the same motion of July 11,
1972.)
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Petitioner further prays for such other relief as may be just and
equitable under the premises.‰
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by DBP and of those purchased by IISMI out of its own funds; (2)
statement of income and expenses for the same period above; (3)
Cash Flow for the same period; (4) Balance Sheet as of May 31,
1972; (5) Statement of Inventories existing as of May 31, 1972,
showing detailed composition, quantity and value of raw materials
inventory, goods in process and finished goods; (6) copy of
agreement, if any, between Ferro and IISMI regarding the sale of
IISMI products and/or a summary statement of the terms and
conditions of sale, including terms of payment, pricing
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True copies of the letters of November 20, 1972, November 21, 1972
and November 22, 1972 are attached hereto as Annexes „C‰, „D‰
and „E‰;
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(a) The Supreme Court will still have to decide whether or not
the lower court erred in denying the motion to dismiss the
complaint for improper venue and non-suability of the state
(G.R. No. L-33949); whether or not the lower court
committed grave abuse of discretion in issuing the
injunctive writ of August 14, 1971, enjoining DBP
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For this added reason, the cases have not become moot and
academic. The judgments that the courts will render in such suits
can still he enforced as they are not in any way directed against the
martial law take-over for the purpose of resuming operations of the
steel mills to avoid disruption of the supply of steel products
essential for the infra-structure projects of the government, under
which the government and/or its instrumentalities do not acquire
majority ownership and control of IISMI.
Suspension of of
proceedings
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Reservation:
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x x x x x x
This Court, through the revered and eminent Mr. Justice Abad Santos,
found occasion in the case of C. Viuda de Ordoveza vs. Raymundo, 63
Phil. 275, to lay down, for recognition in this jurisdiction, the sound rule
in the administration of justice holding that „it is always in the power of
the court (Supreme Court) to suspend its own rules or to except a
particular case from its operation, whenever the purpose of justice
require it.‰ Under this authority, this Court is enabled to cope with all
situations without concerning itself about procedural niceties that do not
square with the need to do justice, xxx.
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The new and further evidence are inadmissible. First, they were
seized without judicial warrant. Second, the takeover of the mills
during the emergency under the Presidential Letters of Instructions
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assuming them valid did not authorize seizure and use of evidence.
(Please see study on admissibility of illegally obtained evidence
annexed hereto).
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It does not specify who are its officials out of the country
without whom it could not prosecute its case. More
important, it is not claimed that there is a legal impediment
to the return of these officials to the Philippines. If they
dare not return here, it can only be because they are
unwilling to defend themselves. Certainly, our wheels of
justice should not stop running to await the return of
persons who have voluntarily left the country and have
refused to return here perhaps to precisely avoid the
processes of our courts.
4. Respondent IISMI cannot also claim that it can not go to
trial in the lower court because its employees have already
scattered as a result of martial law and the government
take over of its mills. Again the claim is all too conveniently
nebulous. IISMI does not state who are these seemingly
indispensable employees. Nor is there any clarification as to
whether or not these employees cannot really be located.
Somehow, these employees are still in the Philippines and
hence their availability cannot be an impossibility.
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1.0, 1973 to resolve these cases and/or the pending incidents at the
earliest time possible.‰
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347
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for which reason, precisely, the latter are even asking for
leave to be allowed to withdraw their representation.
Under the circumstances, and considering that to await the
uncertain return of the private investors would jeopardize
the efforts of the government to make the national project
herein involved, as conceived in the triangular agreement
among the Republic, the Exim Bank and IISMI itself,
namely, the establishment of an integrated steel complex to
meet the requirements of the industry and economy of the
whole country, totally operative without further loss of
time, the Court is of the considered opinion that all the
matters here in dispute should be referred to the
respondent court for further proceedings and appropriate
resolution. Indeed, having in view the nature and volume
of the evidence which the parties would have to present in
connection with the factual issues raised by petitioners
regarding what they claim to have discovered or unearthed
after the Secretary of National Defense took over the
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_______________
1 The Court takes judicial notice of the fact that IISMI is presently
controlled, including its board of directors, by the government, hence, the
consent referred to must be that of those in control of the corporation
before the government took over.
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