Cordero v. Prensa Insular De Puerto Rico, Inc.

169 F.2d 229, 1948 U.S. App. LEXIS 2201
CourtCourt of Appeals for the First Circuit
DecidedJuly 23, 1948
DocketNo. 4282
StatusPublished
Cited by7 cases

This text of 169 F.2d 229 (Cordero v. Prensa Insular De Puerto Rico, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the First Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cordero v. Prensa Insular De Puerto Rico, Inc., 169 F.2d 229, 1948 U.S. App. LEXIS 2201 (1st Cir. 1948).

Opinion

MAGRUDER, Circuit Judge.

This is an appeal from a judgment of the Supreme Court of Puerto Rico, entered March 26, 1947, directing the issuance of a peremptory writ of mandamus requiring appellant Rafael de J. Cordero, the Auditor of Puerto Rico, to permit appellees to inspect and take notes of certain documents relating to transactions between the Government of Puerto Rico and the firms Concrete Industries, Inc., and Caguas Development Company. By way of defense, it was contended, inter alia, that certain provisions of the Organic Act relating to the powers and duties of the Auditor deprived the court below of jurisdiction in the premises, and that in so far as the relief sought purports to be authorized by provisions of insular statutes later to be mentioned, those local enactments must be held to be invalid under the Organic Act. The Supreme [231]*231Court of Puerto Rico, upon full consideration, rejected these contentions.

Since the court below ruled adversely to the Auditor’s claim of immunity, founded on the Organic Act, a claim not frivolous and colorable, but substantial in character, it is settled that this court has jurisdiction of the pending appeal pursuant to 28 U.S.C.A. § 225, regardless of the amount in controversy. Municipality of Rio Piedras v. Serra, Garabis & Co., Inc., 1 Cir., 1933, 65 F.2d 691; Russell & Co. v. People of Puerto Rico, 1 Cir., 1941, 118 F.2d 225, 229, affirmed 1942, 315 U.S. 610, 62 S.Ct. 784, 86 L.Ed. 1062; Fitzsimmons v. Leon, 1 Cir., 1944, 141 F.2d 886, 888; Gallardo v. Gonzalez, 1 Cir., 1944, 143 F.2d 947, 949; see Arroyo v. Puerto Rico Transportation Co., 1 Cir., 1947, 164 F.2d 748, 750. Our jurisdiction extends to the entire case, including questions of local law. Mercado Riera v. Mercado Riera, 1 Cir., 1945, 152 F.2d 86, 92.

Appellee Prensa Insular de Puerto Rico, Inc., owns and publishes El Imparcial, a daily newspaper of general circulation throughout Puerto Rico. Appellee Antonio Ayuso Valdivieso is the president of the corporation, in control of the editorial and news reporting policy of the newspaper. On January 31, 1947, the paper commenced a campaign or crusade against “corruption” in Puerto Rico, charging that the Insular Government had acquired by condemnation proceeding, at an exorbitant price, an estate owned by Caguas Development Company, a firm in which the Commissioner of the Interior was a partner, and that the condemnation proceeding was resorted to for the purpose of evading §§ 202, 203 and 205 of the Political Code of Puerto Rico prohibiting public officers from being interested in business transactions with the Insular Government. Following publication of this article, a reporter of El Imparcial called at the office of the Auditor on February 3 or 4, seeking further information as to the condemnation proceeding and also as to transactions between the government and Concrete Industries, Inc.; but he was refused information by the Auditor.

Appellant, after a search of documents in his office, learned that there had been transactions between Concrete Industries, Inc., and the War Emergency Program. He further learned that the Commissioner of the Interior, and his brother, a senator, were directors, officers and stockholders of that corporation. He instituted an investigation of his records to determine the number of government transactions with Concrete Industries, Inc., and with Caguas Development Company, and immediately stopped payment on a pending settlement warrant for the former.

On February 4, 1947, the Auditor received a letter from appellee Ayuso in the latter’s “capacity as taxpayer of Puerto Rico and as Managing Editor of ‘El Impartial’ ”, requesting information “for purposes of publication relating to a campaign of public interest” whether Concrete Industries, Inc., and Caguas Development Company had sold construction materials to the Puerto Rican Government or its agencies and municipalities, and if so to furnish quantities, dates, and amounts.

Not having received an answer from the Auditor, Ayuso, accompanied by a notary public, went to the Auditor’s office on February 6 and there served on him a notarial “Act of Demand” calling upon the Auditor to “show to the appearing party, Mr. Antonio Ayuso Valdivieso, and allow him to take notes and data on, all the warrants and vouchers of payment together with the invoices, subsidiary documents and other papers pertaining to the transactions effected between the Government of Puerto Rico, its Municipalities, Agencies, Dependencies, and Authorities and the firms ‘Concrete Industries, Inc.’ and ‘Caguas Development Co.’ during the period from April seventeenth, nineteen hundred and forty-five, to February sixth of the present year.”

In response to this Act of Demand, the Auditor stated to the notary that “he would not show any of the documents under his custody to Mr. Ayuso nor to any other person not directly interested therein, unless by order of a Court.”

The investigation which the Auditor had ordered was completed on February 15, [232]*2321947. All the vouchers pertaining to Concrete Industries, Inc., were placed in the hands of the District Attorney, and the matter was referred to the Department of Justice for appropriate action. No vouchers were found relating to any transaction with Caguas Development Company.

Meanwhile, on February 11, 1947, appellee had filed in the Supreme Court of Puerto Rico a petition for a writ of mandamus commanding the Auditor to permit the inspection of the records referred to above. By order of the court, an alternative writ was issued, directing the Auditor to allow the inspection or to show cause why he had not done so. The Auditor filed his answer, setting up various special defenses, and the cause came on for hearing before the Supreme Court of Puerto Rico on February 24, 1947.

At the hearing, the facts as above summarized appeared in evidence. We gather from the Auditor’s testimony that he has never issued any formal regulation governing the conditions under which documents in his custody may be inspected; but he stated that it has been “the practice of the Auditor’s Office to furnish a party with a certified copy of any desired document, provided a party interested in the account is involved.” He added, however, that this was “the only case in which an inspection has-been demanded. I do not know of any other case.” We shall assume in appellant’s favor, though the point .is doubtful, to say the least, that the evidence sufficiently established an administrative practice which might be deemed the legal equivalent of a formal regulation by the Auditor precluding inspection by appellees under the circumstances stated. Cf. Haas v. Henkel, 1910, 216 U.S. 462, 480, 30 S.Ct. 249, 54 L.Ed. 569, 17 Ann.Cas. 1112; United States v. Birdsall, 1914, 233 U.S. 223, 231, 34 S.Ct. 512, 58 L.Ed. 930; Buscaglia v.

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Bluebook (online)
169 F.2d 229, 1948 U.S. App. LEXIS 2201, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cordero-v-prensa-insular-de-puerto-rico-inc-ca1-1948.