Dalhia O.

Tuplano

Activity 7.

1. Discuss and illustrate the imposable penalties for bouncing check.

Under the Section 1 of BATAS PAMBANSA BLG. 22 entitled AN ACT PENALIZING THE MAKING OR
DRAWING AND ISSUANCE OF A CHECK WITHOUT SUFFICIENT FUNDS OR CREIDT AND FOR OTHER
PURPOSES, any person who makes or draws and issues any check to apply on account or for value, knowing at
the time of issue that he does not have sufficient funds in or credit with the drawee bank for the payment of such
check in full upon its presentment, which check is subsequently dishonored by the drawee bank for
insufficiency of funds or credit or would have been dishonored for the same reason had not the drawer, without
any valid reason, ordered the bank to stop payment, shall be punished by the following penalties. In simple
words, a person is liable; knowing that he does not have sufficient funds when the clients issues a check is
punishable by law under the penalties mentioned below.

1. Imprisonment of not less than 30 days but not exceeding 1 year.

2. Fine of not less than but not more than double the amount of the check, which shall not to exceed Php
200,000
- Imprisonment or fines shall be the arrangement for violating the BP. 22 or both of them.
3. Both imprisonment and fine.
- In such cases, circular #12-2000 and circular #12-200 is considered.
*Circular # 12-2000 - if there is good faith or a clear mistake on the part of the accused and he is a first time
offender or the issuance of the check was the offshoot of a legitimate business transaction, imposition of fine
alone should be considered as the more appropriate penalty.
- It recommends that fines be imposed instead of prison sentence for verdicts involving B.P. 22.
*Circular #13-2001 - It clarifies that circular # 12-2000 does not remove imprisonment as an alternative penalty
for violations of BP22 but merely lays down a rule of preference in the application of the penalties.
- It states that imprisonment is still possible under B.P. 22 verdicts and that if the accused is unable to pay the
fine imposed, subsidiary imprisonment may still attach.