PABLO CATURA AND LUZ SALVADOR v.

THE COURT OF INDUSTRIAL RELATIONS AND

CELESTINO TABANIAG, ET AL.
GR. No. L-27392 37 SCRA 303 30 JANUAR !97!
F"#$%$&o, J.'
FACTS'
Pablo Catura and Luz Salvador (petitioners) are the President and Treasurer, respectively, of the
Philippine Virginia Tobacco Adinistration !ployees Association, a duly registered labor organization" #n
$eceber %&, '()), a coplaint against the under Section '& of the *ndustrial Peace Act +as filed by the C*,
and the principal coplainants, being Celestino Tabaniag and other eployees constituting ore than '-
percent of the ebership of the labor organization (respondents)" Petitioners +ere charged of .unauthorized
disburseent of union funds"/ Coplainants deand a full and detailed report of all financial transactions of
the union as +ell as to a0e the boo0 of accounts and other records of the financial activities of the union open
to inspection by the ebers" The deands +ere refused"
The e1ecutive board of the organization also passed a resolution calling for a general ebership
eeting to pass on the issue regarding the union funds" Catura cancelled the eeting" Another eeting +as
called, but there +as still no response" 2ebers +ere the forced to elevate the atter to the $epartent of
Labor +hich issued subpoenas for the presentation of the account boo0s, but to no avail"
3aving e1hausted all the reedies provided in the union4s constitution and by5la+s, the coplaint
sought to declare petitioners guilty of unfair labor practice under the *ndustrial Peace Act, to cease and desist
fro further coitting unfair labor practice, and to render a dull and detailed report of all financial
transactions of the union as +ell as to a0e the boo0 of accounts and other records of financial activities open
to inspection by the ebers"
#n $eceber %6, '()), private respondents sought an in7unction to prevent Catura, +ho turned out to
be re5elected as President on 8oveber '9, '()), fro ta0ing oath of his office
Then cae the order of $eceber %(, '()) by Associate :udge :oa;uin 2" Salvador +hich, instead of
granting the in7unction sought, liited itself to re;uiring and directing the petitioners to deliver and deposit
docuents related to finances at the hearing of the petition"
A otion for reconsideration +as filed by the petitioners alleging that they +ere not heard before such
order +as issued" The order +as sustained" 3ence, this petition for revie+ of the resolution of the C*,"
ISSUE' <hether the C*,, in the e1ercise of its po+er of investigation to assure copliance +ith the internal
labor organization procedures under the *ndustrial Peace Act, can re;uire a labor organization4s .boo0s of
accounts, ban0 account, pass boo0s, union funds, receipts, vouchers and other docuents related to finances/ be
delivered and deposited +ith it at the hearing to conduct such investigation"
HELD'
The controlling provisions of la+ concerning the po+er of investigation of the C*, ay be found in
paragraphs (b), (h), and (l) of Section '& of the *ndustrial Peace Act" To paraphrase :ustice Laurel, the po+er to
investigate, to be conscientious and rational at the very least, re;uires an in;uiry into e1isting facts and
conditions" Clearly, the atter +as deeed serious enough by the prosecutor of C*, to call for the e1ercise of
the statutory po+er of investigation" All the challenged order did +as to re;uire petitioner to .deliver and
deposit/ the docuents" The docuents re;uired to be produced constitutes evidence of the ost solid character
as to +hether there +as a failure to coply +ith the andates of la+" The atter +as properly +ithin its
cognizance and the eans necessary to give it force and effectiveness should be deeed iplied unless such is
arbitrary" <herefore, petition for certiorari is denied"
,!L!VA8T P,#V*S*#8S= Pars" (b), (h), and (l) of Section '& of the *ndustrial Peace Act= .The ebers
shall be entitled to full and detailed reports fro their officers and representatives of all financial transactions as
provided in the constitution and by5la+s of the organization"/ .The funds of the organization shall not be
applied for any purpose or ob7ect other than those e1pressly stated in its constitution or by5la+s or those
e1pressly authorized by a resolution of the a7ority of the eber"/ .The boo0s of accounts and other records
of the financial activities of a legitiate labor organization shall be open to inspection by any officer or eber
thereof"/