PHILIPPINE NATIONAL BANK VS JAVIER PABALAN GR 33112 15 JUNE 1978 FERNANDO FACTS: On 17 Dec 1970, Judge Pabalan issued

a writ of execution followed thereafter by a notice of garnishment of the funds of Philippine Virginia Tobacco Administration in the sum of P12,724.66 deposited with the petitioner bank. PNB La Union filed an administrative complaint against Pabalan for grave abuse of discretion, alleging that the latter failed to recognize that the questioned funds are of public character and therefore may not be garnished, attached or levied upon. The PNB La Union Branch invoked the doctrine of non suability, putting a bar on the notice of garnishment. ISSUES: (1) WON, the funds under PNB of PVTA may be garnished

RULING: Yes, said funds of PVTA may be garnished. Funds of public corporations which can sue and be sued are not exempt from garnishment. PVTA is also a public corporation with the same attributes, a similar outcome is attributed. The government has entered with them into a commercial business hence it has abandoned its sovereign capacity and has stepped down to the level of a corporation. Therefore, it is subject to rules governing ordinary corporations and in effect can be sued. Therefore, the petition of PNB La Union is denied.