In the Philippines, "Fraud" is a broad term that encompasses various deceitful practices, but it is most commonly prosecuted under the crime of Estafa (Criminal Deceit) as defined in Article 315 of the Revised Penal Code (RPC).
Filing a criminal complaint for Estafa is a serious legal undertaking that requires a clear understanding of the law, the specific elements of the crime, and the procedural steps involved in the Philippine justice system.
I. What is Estafa?
Estafa is committed when a person defrauds another through unfaithfulness, abuse of confidence, or false pretenses, resulting in damage or prejudice to the victim.
Under Article 315 of the RPC, Estafa is generally categorized into three types:
- With Unfaithfulness or Abuse of Confidence: This occurs when someone receives money, goods, or any personal property in trust, or on commission, or for administration, and then misappropriates or converts it to their own use.
- By Means of False Pretenses: This involves using a fictitious name, falsely pretending to possess power, influence, qualifications, or agency, or using other similar deceits to induce someone to part with their money or property.
- Through Fraudulent Means: This includes acts like inducing someone to sign a document through deceit or issuing a check without sufficient funds (though the latter is also covered by Batas Pambansa Blg. 22 or the Bouncing Checks Law).
II. Elements of the Crime
For a complaint to prosper, the prosecution must prove the following elements beyond reasonable doubt:
| Element | Description |
|---|---|
| Deceit | The accused used fraud, false pretenses, or abuse of confidence. |
| Inducement | The deceit was the moving cause that led the victim to part with money or property. |
| Prejudice/Damage | The victim suffered a financial loss or injury capable of pecuniary estimation. |
| Intent | The accused intended to defraud the victim from the beginning. |
III. The Filing Process: Step-by-Step
Filing a criminal case does not start in court; it starts with the Preliminary Investigation conducted by the Prosecutor's Office.
1. Preparation of the Complaint-Affidavit
The victim (Complainant) must prepare a Complaint-Affidavit. This is a sworn statement detailing:
- The identity of the Respondent (the person being sued).
- A chronological narration of facts.
- Specific acts showing the deceit and the damage caused.
- Annexes: Attach evidence such as contracts, receipts, screenshots of conversations, demand letters, and proof of payment.
2. Filing at the Prosecutor’s Office
The complaint is filed at the Office of the City or Provincial Prosecutor where the crime (or any of its essential elements) was committed.
- Filing Fee: Generally, there are no filing fees for criminal complaints at the Prosecutor's level, though some administrative fees may apply.
- Verification: The Complainant must sign the affidavit in the presence of a duty prosecutor.
3. The Preliminary Investigation
Once filed, the case is assigned to an Investigating Prosecutor.
- Subpoena: The Prosecutor issues a subpoena to the Respondent, attaching the Complaint-Affidavit.
- Counter-Affidavit: The Respondent is given a period (usually 10 days) to submit their Counter-Affidavit.
- Reply and Rejoinder: The Complainant may file a "Reply" to the counter-affidavit, and the Respondent may follow with a "Rejoinder."
4. The Resolution
After evaluating the evidence, the Prosecutor will issue a Resolution.
- Dismissal: If there is no "probable cause," the complaint is dismissed.
- Information: If "probable cause" exists, the Prosecutor will file a formal document called an "Information" in the appropriate court (MTC or RTC).
IV. Jurisdiction and Penalties
The court where the case will be tried depends on the amount involved and the penalty prescribed by law.
- RA 10951: This law amended the Revised Penal Code, adjusting the thresholds for the value of fraud to reflect modern inflation.
- Penalties: The penalty for Estafa ranges from Arresto Mayor (1 month and 1 day to 6 months) to Reclusion Temporal (12 to 20 years), depending on the amount defrauded.
Note: If the fraud is committed by a syndicate (5 or more people) or results in the misappropriation of funds solicited from the general public, it may be classified as Presidential Decree No. 1689 (Syndicated Estafa), which is a non-bailable offense punishable by Life Imprisonment.
V. Key Considerations
- Demand Letter: Before filing for Estafa (especially for misappropriation), it is often legally necessary to send a formal Demand Letter to the respondent. Failure to return the money/property after demand is often used as evidence of "intent to defraud."
- Civil Liability: In the Philippines, when you file a criminal action, the civil action for the recovery of civil liability (the money lost) is deemed impliedly instituted with the criminal action unless you waive it or reserve the right to file it separately.
- Prescription Period: The time limit for filing an Estafa case varies depending on the penalty, but generally, for grave felonies, it is 15 to 20 years. However, it is always best to act immediately.
VI. Comparison: Estafa vs. BP 22
While often related, Estafa and BP 22 are distinct:
- Estafa (Art. 315): Focuses on the deceit used to obtain money via a check. It is a crime against property.
- BP 22: Focuses on the act of issuing a worthless check, regardless of the intent or the presence of deceit. It is a crime against public order.