Source: http://lawlibrary.chanrobles.com/index.php?option=com_content&amp;view=article&amp;id=50101:gr-149858-2007&amp;catid=1496&amp;Itemid=566
Timestamp: 2019-04-19 15:03:27+00:00

Document:
G.R. No. 149858 - FRANCISCO M. BAX v. PEOPLE OF THE PHILIPPINES, ET AL.
FRANCISCO M. BAX, Petitioner, v. PEOPLE OF THE PHILIPPINES and ILYON INDUSTRIAL CORPORATION, Respondents.
Challenged in the instant Petition for Review on Certiorari1 are the Decision2 of the Court of Appeals dated December 19, 2000 and its Resolution dated September 5, 2001 in CA-G.R. CR No. 23356 affirming in toto the Decision dated December 14, 1998 of the Regional Trial Court (RTC), Branch 70, Pasig City declaring petitioner guilty of nine (9) counts of violations of Batas Pambansa Bilang 22 (B.P. 22), otherwise known as the Bouncing Checks Law.
On August 16, 1994, Francisco M. Bax, petitioner, was charged with violations of B.P. 22 (10 counts) before the Metropolitan Trial Court (MeTC), Branch 71, Pasig City,3 docketed as Criminal Cases Nos. 14354 to 14363.
said accused well knowing that at the time of issue he did not have sufficient funds in or credit with the drawee bank for the payment in full of the face amount of such check upon its presentment, which check could have been dishonored for insufficiency of funds had not the accused, without any valid reason, ordered the bank to "Stop Payment", and despite receipt of notice of such dishonor, the accused failed to pay said payee the face amount of the said check or made arrangement for full payment thereof within five (5) banking days after receiving notice.
Except as to the numbers and dates of the other nine checks issued by petitioner, and the reason for their dishonor (drawn against insufficient funds), the Informations in Criminal Cases Nos. 14355-14363 and the above Information are similarly worded.
Sometime in October 1993, petitioner, for and in behalf of Vachman Industries, Inc. (VACHMAN), purchased 80 metric tons of chemical compounds, known as caustic soda flakes, from Ilyon Industrial Corporation (ILYON), respondent.
On December 6, 1993, ILYON delivered 27 metric tons of caustic soda flakes to petitioner. Again in January 1994, ILYON delivered another 27 metric tons of caustic soda flakes to petitioner. In payment therefor, petitioner issued ten (10) checks amounting to P464,750.00 in favor of ILYON.
Upon presentment of the checks to the United Coconut Planters Bank for payment, they were dishonored for being drawn against insufficient funds. Despite ILYON's demand, petitioner failed to make good the bounced checks for the reason that he has been encountering financial problems. As a result, ILYON caused the filing of ten (10) Informations against petitioner.
WHEREFORE, in view of all the foregoing, the Court hereby renders judgment finding the accused, Francisco Bax, "GUILTY" of the crime of Violations of Batas Pambansa Bilang 22, (10) counts, and accordingly sentences him to suffer imprisonment of six (6) months in each case and to pay the offended party the sum of P464,750.00, the amount of all the ten (10) checks and to pay the cost.
(c) the total amount of indemnity to be paid by the accused to the complainant-corporation is PHP 417,500.00.
On appeal,4 the Court of Appeals in CA-G.R. CR No. 23356 rendered its Decision on December 19, 2000 affirming in toto the RTC Decision. Petitioner filed a motion for reconsideration but it was denied by the appellate court in a Resolution dated September 5, 2001.
The basic issue is whether the prosecution was able to prove the guilt of petitioner by evidence beyond reasonable doubt.
The Solicitor General contends that the Court of Appeals did not err in affirming the RTC Joint Decision sustaining that of the MeTC because all the elements of violation of B.P. 22 are present in each case. Petitioner, on the other hand, maintains that since he did not receive a written notice of dishonor, not all the elements of the offense have been established by the prosecution. Accordingly, he should be acquitted.
SECTION 1. Checks without sufficient funds. - 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 imprisonment of not less than thirty days but not more than one (1) year or by a fine of not less than but not more than double the amount of the check which fine shall in no case exceed Two hundred thousand pesos, or both such fine and imprisonment at the discretion of the court.
The same penalty shall be imposed upon any person who having sufficient funds in or credit with the drawee bank when he makes or draws and issues a check, shall fail to keep sufficient funds or to maintain a credit to cover the full amount of the check if presented within a period of ninety (90) days from the date appearing thereon, for which reason it is dishonored by the drawee bank.
Where the check is drawn by a corporation, company or entity, the person or persons who actually signed the check in behalf of such drawer shall be liable under this Act.
We find that the prosecution failed to prove the second element.
While it is true that ILYON, through its president, Benedict Tan, asked petitioner to pay the dishonored checks, however, such kind of notice is not the one required by B.P. 22.
We thus find that the prosecution failed to prove by evidence beyond reasonable doubt that petitioner is guilty of violations of B.P. 22.
We however modify the award of petitioner's civil liability to ILYON from P417,500.00 to P425,250.00. In Criminal Case No. 14354, petitioner was acquitted by the RTC since the reason for the dishonor was his "stop payment order" to the drawee bank to enable VACHMAN to reconcile its accounts with ILYON. Hence, only the face value of the remaining nine (9) checks should be included in the computation of petitioner's civil liability. Each check has a face value of P47,250.00 which, if we multiply by nine, yields P425,250.00.
WHEREFORE, we REVERSE the Decision of the Court of Appeals. Petitioner Francisco M. Bax is acquitted in Criminal Cases Nos. 14355 to 14363 for violations of B.P. 22 for failure of the prosecution to prove his guilt beyond reasonable doubt. He is ordered, however, to pay the offended party, ILYON, the face value of the nine (9) checks in the total amount of P425,250.00 with 12% interest per annum from the filing of the Informations until fully paid.
1 Filed under Rule 45, 1997 Rules of Civil Procedure, as amended.
2 Penned by Associate Justice Mercedes Gozo-Dadole (retired) and concurred in by Associate Justice Ma. Alicia Austria-Martinez (now a member of this Court) and Associate Justice Hilarion L. Aquino (retired).
3 Presided by Judge Luis D. Martinez.
4 From the Decision of the RTC in Criminal Cases Nos. 14355 to 14363.
5 Vergara v. People, G.R. No. 160328, February 4, 2005, 450 SCRA 495.
6 Marigomen v. People, G.R. No. 153451, May 26, 2005, 459 SCRA 169.
7 Vergara v. People, supra at 501.
8 King v. People, G.R. No. 131540, December 2, 1999, 319 SCRA 654.
10 G.R. No. 139292, December 5, 2000, 347 SCRA 75.
11 Danao v. Court of Appeals, G.R. No. 122353, June 6, 2001, 358 SCRA 450, 459.
12 Rico v. People, G.R. No. 137191, November 18, 2002, 392 SCRA 61.

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