GOVERNMENT vs.

SPRINGER

Sometime in the 1900s, the National Coal Company (NCC) was created by the Philippine
Congress. The law created it (Act No. 2822) provides that: The voting power shall be
vested exclusively in a committee consisting of the Governor-General, the President of the
Senate, and the Speaker of the House of Representatives.
In November 1926, the Governor-General (Leonard Wood) issued E.O. No. 37 which divested
the voting rights of the Senate President and House Speaker in the NCC. The EO emphasized
that the voting right should be solely lodged in the Governor-General who is the head of the
government (President at that time was considered the head of state but does not manage
government affairs).
However, in December 1926, NCC held its elections and the Senate President as well as the
House Speaker, notwithstanding EO No. 37 and the objection of the Governor-General, still
elected Milton Springer and four others as Board of Directors of NCC. Thereafter, a quo
warranto proceeding in behalf of the government was filed against Springer et al
questioning the validity of their election into the Board of NCC.

ISSUE: Whether or not the Senate President as well as the House Speaker can validly elect the
Board Members of NCC.

RULING: No. E.O. No 37 is valid. It is in accordance with the doctrine of separation of powers.
The Supreme Court emphasized that the legislature creates the public office but it has nothing to
do with designating the persons to fill the office. Appointing persons to a public office is
essentially executive. The NCC is a government owned and controlled corporation. It was
created by Congress. To extend the power of Congress into allowing it, through the Senate
President and the House Speaker, to appoint members of the NCC is already an invasion of
executive powers.