Lazatin v. Commissioner of Customs
REITERATIONFacts
The Antecedents: A shipment consigned to petitioner Angela Lazatin arrived from the United States, declared as "seven boxes of 'automatic musical instruments.'" Upon examination, customs authorities found the shipment to be jukeboxes. The Central Bank release certificate described them as "musical instruments" under Commodity Code 890110 of Circular 44. However, customs examiners determined they fell under Code 890101 (phonographs and gramophones), the importation of which was expressly prohibited under the Statistical Classification of Commodities revised on July 1, 1955. Procedural History: The goods were ordered seized for violating Central Bank Circular 44 in relation to sections 1363(f) and 1250 of the Administrative Code. However, they were released upon petitioner posting a bond. The Collector of Customs later ordered the goods forfeited, but since they were released, petitioner and her surety were ordered to pay the bond amount. This decision was affirmed by the Customs Commissioner and the Court of Tax Appeals. The Petition: Petitioner appealed to the Supreme Court, arguing that the revised Statistical Classification of Commodities from July 1, 1955, was invalid for lack of publication in the Official Gazette, and thus could not be applied to her importation. She also contended that the jukeboxes were correctly classified as "musical instruments" under Code 890110, and that the forfeiture proceedings should be abated due to the lifting of foreign exchange control.
Issue(s)
Whether the Statistical Classification of Commodities revised on July 1, 1955, is invalid for lack of publication in the Official Gazette. Whether jukeboxes can be classified as "musical instruments" under Code 890110, n.e.s. Whether proceedings for forfeiture of illegally imported goods are abated by the subsequent lifting of foreign exchange control.
Ruling
The Supreme Court affirmed the decision of the Court of Tax Appeals, ordering the forfeiture of the goods or payment of the bond amount. The Court ruled that the importation was illegal and forfeiture was justified.
Ratio Decidendi
On the validity of the Statistical Classification of Commodities: The Court held that while the 1955 revision was not published, the prohibition against the importation of jukeboxes was already effective under the 1953 Statistical Classification of Commodities. The 1953 classification, which was published, did not include phonographs or jukeboxes in the categories for which foreign exchange could be allocated, implying their prohibition under the principle of inclusio unius est exclusio alterius. The 1955 revision merely specified what was already implicitly banned. The Court reiterated the principle that regulations must be published to have legal force, citing People vs. Que Po Lay, but found that the prohibition was established even without the 1955 revision's publication. On the classification of jukeboxes as "musical instruments": The Court agreed with the Tax Court that jukeboxes cannot be classified as "musical instruments." Lexicographical definitions indicate that musical instruments are contrivances that produce music, whereas jukeboxes are devices designed to reproduce music. Therefore, classifying jukeboxes under Code 890110 (musical instruments, n.e.s.) would be a strained interpretation, especially when a specific code for phonographs and gramophones (which jukeboxes are akin to) existed and was prohibited. On the abatement of forfeiture proceedings: The Court dismissed the contention that the lifting of foreign exchange control abated the forfeiture proceedings. It clarified that proceedings for the forfeiture of illegally imported goods are not criminal in nature, as they do not result in the conviction of the wrongdoer or the imposition of a penalty. Therefore, the repeal or abrogation of a law does not necessarily wipe out liabilities incurred before such repeal, particularly in forfeiture cases.
Main Doctrine
The importation of goods not included in the published Statistical Classification of Commodities issued by the Central Bank is deemed prohibited, even if not explicitly listed as banned, based on the principle of inclusio unius est exclusio alterius. Proceedings for forfeiture of illegally imported goods are not criminal in nature.