Rafael p. Lunaria, G.R. No. 160127
Petitioner,
Present:
PUNO, C.J., Chairperson,
CARPIO,
-
versus -
AZCUNA, and
LEONARDO-DE
CASTRO, JJ.
Promulgated:
People of the
Respondent. November 11, 2008
x-----------------------------------------------------------------------------------------x
PUNO, C.J.:
This
is a petition for review on certiorari
under Rule 45 of the Revised Rules of Court, to reverse and set aside the
Decision of the Court of Appeals (CA),[1]
and the Resolution which denied petitioner’s motion for reconsideration. The CA affirmed the decision of the Regional
Trial Court (RTC) of
The Case
Records[3] show that sometime in October 1988, petitioner entered into a partnership agreement with private complainant Nemesio Artaiz, in the conduct of a money-lending business, with the former as industrial partner and the latter the financer. Petitioner, who was then a cashier of Far East Bank and Trust Company in Meycauayan, Bulacan, would offer loans to prospective borrowers which his branch was unable to accommodate. At the start of the business, petitioner would first inform Artaiz of the amount of the proposed loan, then the latter would issue a check charged against his account in the bank (proceeds of which will go to a borrower), while petitioner would in turn issue a check to Artaiz corresponding to the amount lent plus the agreed share of interest.
The lending business progressed satisfactorily between the parties and sufficient trust was established between the parties that they both agreed to issue pre-signed checks to each other, for their mutual convenience. The checks were signed but had no payee’s name, date or amount, and each was given the authority to fill these blanks based on each other’s advice.
The
arrangement ended on November 1989, when Artaiz was no longer willing to
continue the partnership.[4]
One of the checks issued by petitioner to Artaiz was dishonored for
insufficient funds.[5]
When Artaiz went to petitioner to ask why the latter’s check had bounced,
petitioner told Artaiz that he had been implicated in a murder case and
therefore could not raise the money to fund the check.[6]
Petitioner requested Artaiz not to deposit the other checks that would become
due as he still had a case.[7]
Petitioner
was charged with murder in December 1989 and detained until May 1990, when he
was released on bail. He was eventually acquitted in December 1990. According
to Artaiz, he went to petitioner in May 1990, after petitioner had been
released on bail, and demanded payment for the money owed Artaiz. Petitioner again requested more time to
prepare the money and collect on the loans.
Artaiz agreed.[8]
In June 1990, petitioner allegedly went to Artaiz’s residence where both had an
accounting. It was supposedly agreed
that petitioner owed Artaiz P844,000.00 and petitioner issued a check in
that amount, post-dated to December 1990.[9]
When the check became due and demandable, Artaiz deposited it. The check was dishonored as the account had been closed. A demand letter was subsequently sent to petitioner, informing him of the dishonor of his check, with a demand that he pay the obligation.[10] Artaiz also went to petitioner’s house to get a settlement. According to Artaiz, petitioner proposed that his house and lot be given as security. But after Artaiz’s lawyer had prepared the document, petitioner refused to sign. At this point, Artaiz filed the instant case.[11]
The
RTC found petitioner guilty as charged and sentenced him to suffer the penalty
of imprisonment of one (1) year, and to pay Artaiz the amount of P844,000.00,
and the cost of suit.[12]
On appeal, the CA found no error and affirmed the decision in toto.[13]
The Issues
In the petition before us, petitioner alleges that the CA gravely erred in:
I. Not reversing the RTC decision convicting
petitioner for violation of B.P. Bilang
22;
II. Not holding that the prosecution failed to
establish the elements of the crime of the violation of B.P. Bilang 22:
1.
the
prosecution failed to establish that the subject check was duly “made” or “drawn”
and “issued” by petitioner;
2.
the
subject check was received by the private complainant without giving any
consideration therefore;
3.
the
oral testimony of private complainant is full of serious inconsistencies and
contradictions and should have been disregarded by the trial court;
4.
private
complainant’s testimony should have been stricken off the records for being
hearsay in nature;
5.
the
prosecution dismally failed to overcome the presumption of innocence of the
accused in criminal cases;
6.
to
hold petitioner liable for violation of B.P. Blg. 22 in this case would result
in a terrible injustice;
III. In the
alternative,… in not applying in petitioner’s favor the rule of preference in
the imposition of penalties in B.P. Blg. 22 cases, i.e., the [CA] erred gravely
in not deleting the penalty of imprisonment and imposing in lieu thereof a fine
upon petitioner.
The Ruling
We affirm the conviction but with modification on the penalty.
At the outset, the first and second
grounds raised by petitioner are essentially factual in nature, impugning the
finding of guilt by both the CA and the RTC.
Petitioner would have this court re-evaluate and re-assess the facts,
when it is beyond cavil that in an appeal by certiorari, the jurisdiction of
this Court is confined to reviews of errors of law ascribed to the CA. This
Court is not a trier of facts, and the findings of fact by the CA are
conclusive, more so when it concurs with the factual findings of the RTC. Absent any showing that such findings are
devoid of any substantiation on record, the finding of guilt is conclusive on
us.[14]
Moreover,
we have gone over the records and find no error in the decision of the
appellate court holding that the elements of the crime have been established by
the prosecution, i.e., (1) the
making, drawing, and issuance of any check to apply for account or for value;
(2) the knowledge of the maker, drawer, or issuer that at the time of issue he
does not have sufficient funds in or credit with the drawee bank for the
payment of the check in full upon its presentment; and (3) the subsequent
dishonor of the check by the drawee bank for insufficiency of funds or credit
or dishonor for the same reason had not the drawer, without any valid cause,
ordered the bank to stop payment.[15]
Petitioner makes much of the argument that the check was not “made” or “drawn” within the contemplation of the law, nor was it for a consideration. The evidence on record belies these assertions. As correctly held by the CA:
Under the first element,
[petitioner] wants Us to believe that he did not draw and issue the check. Citing the Negotiable Instruments Law, he
said the he could not have “drawn” and “issued” the subject check because “it
was not complete in form at the time it was given to [Artaiz].”
At the outset, it should be borne in mind that the
exchange of the pre-signed checks without date and amount between the parties
had been their practice for almost a year by virtue of their money-lending
business. They had authority to fill up
blanks upon information that a check can then be issued.
Thus, under the Negotiable Instruments Law, Section 14
of which reads:
“Blanks, when
may be filled. — Where the instrument is wanting in any material
particular, the person in possession thereof has prima facie authority to
complete it by filling up the blanks therein. xxx”
[T]his practice is allowed.
Because of the presumption of authority, the burden of
proof that there was no authority or that authority granted was exceeded is
carried by the person who questions such authority.
Records show that [petitioner] had not proven lack of
authority on the part of Artaiz to fill up such blanks. Having failed to prove lack of authority, it
can be presumed that Artaiz was within his rights to fill up blanks on the
check.
xxx xxx xxx
Under the second element, [petitioner] states that the
making and issuing of the check was devoid of consideration. He claimed that the transaction for which the
check was issued did not materialize.
However, it should be noted that when lack of consideration is claimed,
it pertains to total lack of consideration.
In this case, records show that [petitioner] recognized that there was
an amount due to Artaiz, such that he had his own version of computation with
respect to the amount he owed to Artaiz.[16]
We also note that with respect to the second element of the crime, consideration was duly established in Artaiz’s testimony.[17]
It bears repeating that the lack of criminal intent on the part of the accused is irrelevant.[18] The law has made the mere act of issuing a worthless check a malum prohibitum, an act proscribed by legislature for being deemed pernicious and inimical to public welfare.[19] In fact, even in cases where there had been payment, through compensation or some other means, there could still be prosecution for violation of B.P. 22. The gravamen of the offense under this law is the act of issuing a worthless check or a check that is dishonored upon its presentment for payment, not the nonpayment of the obligation.[20]
We now come to the penalty imposed. On this ground, we rule for petitioner.
Since 1998,[21] this Court has held that it would best serve the ends of criminal justice if, in fixing the penalty to be imposed for violation of B.P. 22, the same philosophy underlying the Indeterminate Sentence Law be observed, i.e., that of redeeming valuable human material and preventing unnecessary deprivation of personal liberty and economic usefulness with due regard to the protection of the social order.[22] This policy was embodied in Supreme Court Administrative Circular No. 12-2000,[23] authorizing the non-imposition of the penalty of imprisonment in B.P. 22 cases. We also clarified in Administrative Circular No. 13-2001, as explained in Tan v. Mendez,[24] that we are not decriminalizing B.P. 22 violations, nor have we removed imprisonment as an alternative penalty. Needless to say, the determination of whether the circumstances warrant the imposition of a fine alone rests solely upon the judge. Should the judge decide that imprisonment is the more appropriate penalty, Administrative Circular No. 12-2000 ought not to be deemed a hindrance.
Nevertheless, we note that ultimately, this case was a
derivative of the breakdown of petitioner and Artaiz’s partnership, which was precipitated by petitioner being
implicated and detained for a murder charge, from which he was subsequently
acquitted. Under the circumstances of
the case, and bearing in mind the guidelines set in Administrative Circular No.
13-2004, we deem the imposition of a fine alone would best serve the interests
of justice, pegged at the maximum amount provided for by law, which is two
hundred thousand pesos (P200,000.00),[25] with
the proviso that subsidiary imprisonment will be meted out which shall not
exceed six months in case of insolvency or nonpayment. Petitioner should also
pay Artaiz the amount of P844,000.00, and the cost of suit.
IN VIEW WHEREOF,
the petition is DENIED and the Decision of the Court of Appeals in
CA-G.R. CR No. 20343 is AFFIRMED with
MODIFICATION. Petitioner is ordered to
indemnify Nemesio Artaiz in the amount of P844,000.00 and the cost of
suit, with legal interest from date of judicial demand. The sentence of imprisonment of one (1) year
is SET ASIDE and, in lieu thereof, a FINE in the amount of P200,000.00 is imposed upon
petitioner, with subsidiary imprisonment not to exceed six months in case of
insolvency or nonpayment.
SO ORDERED.
REYNATO
S. PUNO
Chief Justice
WE CONCUR:
RENATO C. CORONA
Associate Justice
|
ADOLFO S. AZCUNA
Associate Justice
|
TERESITA J. LEONARDO-DE CASTRO
Associate Justice
Pursuant to Section 13, Article VIII of
the Constitution, I certify that the conclusions in the above decision had been
reached in consultation before the case was assigned to the writer of the
opinion of the Court’s Division.
REYNATO S. PUNO
[1] In
CA-G.R. CR No. 20343 promulgated on
[2]
The information dated
[3]
Records, pp. 82-83. See TSN,
[4]
TSN,
[5]
[6]
[7]
[8]
[9]
TSN,
[10]
[11]
[12] See records, pp. 96-100.
[13]
[14] Tan v. Mendez, 432 Phil. 760 (2002); Luis Wong v. CA, G.R. No. 117857, February 2, 2001, 351 SCRA 100; and Aleria Jr. v. Velez, G.R. No. 127400, November 16, 1998, 298 SCRA 611, 618.
[15] Ting v. CA, 398 Phil. 481 (2000); Sycip, Jr. v. CA, G.R. No. 125059, March 17, 2000, 328 SCRA 447. See Batas Pambansa Bilang 22 (1979), Section 1.
[16] Records, pp. 85-86. (Citations omitted)
[17] See TSN,
[18] People v. Lo Ho Wing, G.R. No. 88017,
[19] Macalalag v. People, G.R. No. 164358,
December 20, 2006, 511 SCRA 400; Tan v.
Mendez, 432 Phil. 760 (2002); People
v. Laggui, G.R. Nos. 76262-63, March 16, 1989, 171 SCRA 305, 311; People v. Manzanilla, G.R. Nos.
L-66003-04,
[20] Macalalag v. People, G.R. No. 164358;
[21] Vaca v. CA, G.R. No. 131714,
[22] Supreme Court Administrative Circular No. 12-2000, as clarified by Administrative Circular No. 13-2001.
[23] G.R. No. 138669, June 6, 2002.
[24] 432 Phil. 760 (2002).
[25] Pursuant to Section 1 of B.P. 22.