FACTS:

The  auditor  general  refuses  to  authorize  the  payment  of  the  treasury warrant  issued  in  the  name  of  Placido  Urbanes,  now  in  the  hands  of Benjamin  Abubakar.    The  auditor general  refuses  to  do  so  because,  first, the money available for redemption of treasury warrants was appropriated by law and the subject warrant doesn’t fall within the purview of the law; second, one of the requirements was not complied with, which is it must be sworn that the holders of the warrant covering payment or replenishment
of  cash  advances  for  official  expenditures  received  them  in  payment  of definite government obligations.   
 

HELD:

Petitioner  holds  that  he  is  a  holder  in  good  faith  and  for  value  of  a negotiable instrument and is entitled to the rights and privileges of a holder in due course, free from defenses.  But this treasury warrant is within the scope  of  the  Negotiable Instruments Law.    For  one  thing,  the  document  bearing  on  its  face  the words “payable from the appropriation for food administration”, is actually an order for payment out of a particular fund, and is not unconditional, and doesn’t fulfill one of the essential requirements of a negotiable instrument.