Title
Supreme Court
Penalty Increase for Swindling in Rural Banks
Law
Presidential Decree No. 1689
Decision Date
Apr 6, 1980
Presidential Decree No. 1689 is a Philippine law enacted in 1980 to combat swindling and fraud, imposing severe penalties for syndicate-based swindling and addressing individual cases involving significant amounts of money, with the aim of protecting public confidence in the banking and cooperative system and preventing economic sabotage.

Law Summary

Definitions and References

  • Swindling and estafa are defined according to Articles 315 and 316 of the Revised Penal Code, as amended.
  • A "syndicate" is defined as a group of five or more persons formed specifically to carry out the unlawful fraudulent acts.

Penalties for Syndicate-Based Estafa

  • Life imprisonment to death penalty is imposed if the crime is committed by a syndicate of five or more persons.
  • The illegal act must result in the misappropriation of funds from specified financial and cooperative institutions.

Penalties for Non-Syndicate Estafa

  • For estafa not committed by a syndicate, the penalty ranges from reclusion temporal (temporary imprisonment) to reclusion perpetua (perpetual imprisonment).
  • This applies if the fraud amount exceeds 100,000 pesos.

Legal and Social Policy Justifications

  • The law aims to combat an upsurge of fraudulent activities harming rural financial institutions.
  • It seeks to protect the integrity of cooperative and banking systems and the confidence of the public.
  • Describes such crimes as economic sabotage threatening national stability.

Effectivity

  • The decree took effect immediately upon signing on April 6, 1980.

Authorities and Enactment

  • Issued under the constitutional powers of the President of the Philippines.
  • Signed by President Ferdinand E. Marcos and authenticated by Presidential Assistant Juan C. Tuvera.

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