Oracle specific SQL query with AND and OR compound statements?

Not an answer, just some debugging assistance with the luxury of code formatting. Perhaps you could move your WHERE clause into the columns and leave the data unfiltered to see exactly what is going on. This often helps you see something that may not be obvious.

You should see in your resultset that a 1 appearing in C1 OR C2 will result in a 1 appearing in C3. Try that and comment back.

If what you say is happening really were happening it would be most surprising, and worrying, because it would indicate something dramtaically wrong with Oracle. Fortunately it is not the case: as this SQL Fiddle demonstrates the uncompounded condition does match on both columns, not just the first one.

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