Palace: No need for new BSP chief Diokno to get CA nod

NEWLY appointed Bangko Sentral ng Pilipinas (BSP) Governor Benjamin Diokno doesn’t have to get the nod of the Commission on Appointments (CA) to serve his post, Malacañang clarified on Wednesday.

In a statement, Palace spokesman Salvador Panelo said Diokno’s appointment did not require CA approval based on previous rulings of the Supreme Court.

“After further evaluation of relevant laws and jurisprudence surrounding the appointment of former Secretary of Budget and Management Benjamin E. Diokno as the new Governor of the Bangko Sentral ng Pilipinas (BSP), it is the position of the Palace that the said appointment need not be confirmed by the Commission on Appointments (CA),” Panelo said.

He cited Article 7, Section 16 of the 1987 Constitution which states “Presidential appointments requiring the nod of the CA and the listing thereunder only names the following officials: a. heads of the executive departments; b. ambassadors; c. other public ministers and consuls; d. officers of the armed forces from the rank of colonel or naval captain; and e. other officers whose appointments are vested in the President under the Constitution, such as commissioners of Constitutional Commissions.”

“A perusal thereof reveals that the Governor of the BSP does not fall under any of the categories of officials ,” the Palace official added.

Panelo also cited the case of “Calderon vs. Carale,” saying “the issue resolved by the Supreme Court was ‘whether or not Congress may, by law, require confirmation by the Commission on Appointments of appointments extended by the President to government officers additional to those expressly mentioned in the first sentence of Sec. 16, Art. 7 of the Constitution.’”

“The Supreme Court ruled in the negative explaining that Congress cannot amend the provisions of the Constitution by mere legislation,” Panelo said.

He also shared while the petition in Tarrosa vs. Singson was dismissed due to its nature and the lack of legal standing of the petitioner, the Supreme Court in the said case had the occasion to cite the above-mentioned case of Calderon vs. Carale and also explain that, “Congress cannot by law expand the confirmation powers of the Commission on Appointments and require confirmation of appointment of other government officials not expressly mentioned in the first sentence of Section 16 of Article VII of the Constitution.”

“For everyone’s information, the said case involved the appointment of Mr. Gabriel C. Singson as BSP Governor. Following the dismissal of the case, Mr. Singson’s appointment therefore did not undergo a confirmation process with the CA,” Panelo said.

“In view of the foregoing doctrines, as well as the fact that a Governor of the BSP is not covered by Article VII, Section 16 of the 1987 Constitution, his appointment being provided by mere legislation, it is submitted that the appointment of former Secretary and new BSP Governor Diokno does not need confirmation from the CA,” he added.

Earlier, Panelo said President Rodrigo Duterte appointed Diokno to lead the BSP because of his “integrity, competence and expertise.”

He noted that even the banking industry has lauded the appointment of Diokno.

“It’s their call. We have a good man there. We have an experienced man, we have an expert man, we have a man of integrity,” Panelo said when asked if the Palace was confident Diokno would get the CA nod.

Diokno now assumes the BSP governor post after serving as Budget secretary since Duterte assumed office in 2016.

Diokno was named new head of the BSP by Duterte on Monday, March 4, following the death of his predecessor, the late central bank chief Nestor Espenilla Jr., who died on February 23 after a year-long battle with tongue cancer.

His new stint at the BSP was announced amid investigation on alleged anomalies in the Budget department during his watch and his supposed role in the “insertions” in the proposed 2019 budget.

Asked if the allegations linking Diokno to budget irregularities may hinder his CA confirmation, Panelo said: “I don’t think so.”

He maintained that the allegations hurled against Diokno were “not true.”

“Integrity, competence, expertise… I already said the qualifications under which the President based his appointment. The banking industry lauded the appointment of Secretary Ben Diokno,” Panelo said.

“The allegations are not true. I don’t think anybody believed [those allegations],” he added.