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Case: JEFFREY LIANG (HUEFENG) v. PEOPLE OF THE PHILIPPINES (GR 125865) Date: March 26, 2001 Ponente: J.

Ynares- Santiago Facts: Two criminal informations for grave oral defamation were filed against Liang, a Chinese national who was employed as an Economist by the Asian Development Bank (ADB), by his secretary Joyce Cabal, before the MeTC Mandaluyong City. The MeTC, acting pursuant to an advice from the DFA that Liang enjoyed immunity from legal processes, dismissed the criminal informations against him. The RTC Pasig City annulled and set aside the MeTCs dismissal. Hence, Liang filed a petition for review before the SC which was denied ruling that the immunity granted to officers and staff of the ADB is not absolute; it is limited to acts performed in an official capacity. Hence, the present MR. Issue: WON Liang is immune from suit Held: No. Ratio: The Court found no reason to disturb the earlier decision. The slander of a person, by any stretch, cannot be considered as falling within the purview of the immunity granted to ADB officers and personnel. The issue of whether or not Liangs utterances constituted oral defamation is still for the trial court to determine J. Punos concurring opinion: Liang contends that a determination of a person's diplomatic immunity by the DFA is a political question. It is solely within the prerogative of the executive department and is conclusive upon the courts. Furthermore, the immunity conferred under the ADB Charter and the Headquarters Agreement is absolute. It is designed to safeguard the autonomy and independence of international organizations against interference from any authority external to the organizations. It is necessary to allow such organizations to discharge their entrusted functions effectively. The only exception to this immunity is when there is an implied or express waiver or when the immunity is expressly limited by statute. The exception allegedly has no application to the case at bar. "It is a recognized principle of international law and under our system of separation of powers that diplomatic immunity is essentially a political question and courts should refuse to look beyond a determination by the executive branch of the government, and where the plea of diplomatic immunity is recognized and affirmed by the executive branch of the government as in the case at bar, it is then the duty of the courts to accept the claim of immunity upon appropriate suggestion by the principal law officer of the government, the Solicitor General in this case, or other officer acting under his direction. Hence, in adherence to the settled principle that courts may not so exercise their jurisdiction by seizure and detention of property, as to embarrass the executive arm of the government in conducting foreign relations, it is accepted doctrine that in such cases the judicial department of the government follows the action of the political branch and will not embarrass the latter by assuming an antagonistic jurisdiction." Liang, a bank official of ADB, is not entitled to diplomatic immunity and hence his immunity is not absolute. Under the Vienna Convention on Diplomatic Relations, a diplomatic envoy is immune from criminal jurisdiction of the receiving State for all acts, whether private or official, and hence he cannot be arrested, prosecuted and punished for any offense he may commit, unless his diplomatic immunity is waived. On the other hand, officials of international organizations enjoy "functional" immunities, that is, only those necessary for the exercise of the functions of the organization and the fulfillment of its purposes. This is the reason why the ADB Charter and Headquarters Agreement explicitly grant immunity from legal process to bank officers and employees only with respect to acts performed by them in their official capacity, except when the Bank waives immunity. In other words, officials and employees of the ADB are subject to the jurisdiction of the local courts for their private acts, notwithstanding the absence of a waiver of immunity. Liang cannot also seek relief under the mantle of "immunity from every form of legal process" accorded to ADB as an international organization. The immunity of ADB is absolute whereas the immunity of its officials and employees is restricted only to official acts. He stands charged of grave slander for allegedly uttering defamatory remarks against his secretary. Considering that the immunity accorded to petitioner is limited only to acts performed in his official capacity, it becomes necessary to make a factual determination of whether or not the defamatory utterances were made pursuant and in relation to his official functions as a senior economist.