1. What is the purpose of the law?
The purpose of the law is to penalize the
making or drawing and issuance of a check
without sufficient funds or credit and for other
purposes. In order to afford protection to
business and the public in general, and prevent
the circulation of worthless checks, Batas
Pambansa (BP) Blg. 22, also known as “An Act
Penalizing the Making or Drawing and Issuance
of a Check Without Sufficient Funds or Credit and
For Other Purposes,” was approved in April
1979.
The law punishes the acts of making and
issuing a check with knowledge by the issuer that
at the time the check is issued, that he does not
have sufficient funds, and the failure to keep
sufficient funds to cover the full amount of the
check if presented within a period of 90 days
from the date appearing on the check.
Section 1 of the law provides: “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. The
officer who is accused of signing the check must
receive the notice of dishonor.
Penalty imposable for conviction for issuance of
bouncing check
• Court has not decriminalized B.P. 22 violations,
nor have removed imprisonment as an
alternative penalty.
• Imprisonment of 30 days to 1 year and/or Fine
of not less than the amount, but not more than
double the amount of the check, which shall not
exceed Php. 200,000.00 The penalty is not
removed, but the courts should reserve imposing
imprisonment as a penalty for serious cases.
When the violation of BP 22 negatively affects
the social order
The essential elements: 1. A check is postdated
or issued in payment of an obligation contracted
at the time the check is issued; 2. Lack or
insufficiency of funds to cover the check; and 3.
Damage to the payee thereof. It is the deceit or
fraud attendant to the issuance of the check
which is punished.
There are two ways of violating the said law: By
making or drawing and issuing a chack to apply
on account of for value. Knowing that, at the
time of issue, that the check is not sufficiently
funded. Elements:
1. The making, drawing, and issuance of any
check to apply for an 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 such 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.
By having sufficient funds in or credit with the
drawee bank at the time of issue but failing to do
so to cover the full amount of the check when
presented to the drawee bank without a period
of ninety (90) days. Elements: Any person makes
or draws and issues a check;
1. Such a person has sufficient funds in or credit
with the drawee bank;
2. Failure 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; and
3. For which reason, it was dishonored by the
drawee bank.