City of Princeton v. Baker

35 S.W.2d 524, 237 Ky. 325, 1931 Ky. LEXIS 600
Court of Appeals of Kentucky (pre-1976)·Decided February 10, 1931·Published·Cited by 13 cases

Opinion

Opinion op the Court by

Judge Willis

Beversing.

Princeton, a city of the fourth class, instituted an action against Maude Head Baker, S. W. Baker, and Bus B. Baker, to recover a large sum of money. Maude Head Baker was the wife of G-us B. Baker, who had been the mayor of the city of Princeton at the same time his wife had been city treasurer and collector. Bus B. Baker was also committee for S. W. Baker, who had been adjudged incompetent to manage his estate, but prior to that event he had become bound as surety upon the official bond of Mrs. Baker as city treasurer. The action was dismissed upon the pleadings, and the city has prosecuted an appeal.

It was alleged in the petition that the offices of collector and treasurer had been combined and Mrs. Bakef was elected to fill the office.s for a term of two years beginning the first Monday in January, 1928. Her salary was fixed by ordinance at $75 per month. It is alleged that, after the salary was fixed, Mrs. Baker was elected treasurer and gave bond with S. W. Baker as her surety, which was duly approved by the board of council. It was further alleged that the city had no clerk, and that Mrs. Baker undertook to perform the duties of clerk of the city council. The petition further alleged that Mrs. Baker, unlawfully and without legal right, issued to herself a number of cheeks payable out of the funds she held as treasurer, setting forth an itemized list, giving the date, serial number, and amount'of each separate check, amounting altogether to the sum of $1,298.-29. It was then alleged that the money had been taken *328 by the defendant Mrs. Baker as compensation for her services.as treasurer and collector, in addition to the regular salary fixed before ■ ■ her election. It was then charged that the defendant' Mrs. Baker unlawfully and without right also took from the city funds the suni of $8,588.88, itemized list of which was exhibited, showing dates, serial numbers of checks, and amount of each one. A third list .of checks was exhibited, giving the dates, serial numbers, and amounts, aggregating $2,971.22.

It was then alleged that the defendant took from the treasury $1,283.69 as additional compensation without any order or authority from the board of council of the city. The same allegation is made respecting the other items. It is then alleged that a number of checks were unlawfully issued by the treasurer, payable to cash, giving the dates, serial numbers and amounts, aggregating $472.45. It was alleged that these checks were payable to cash and indorsed by defendant Mrs. Baker, except eight checks which were collected by her without any indorsement. It was then averred thát all of the checks were' collected out of the funds of the city by Mrs. Baker without any order or' authority from the board of council. It was also alleged, for the year 1928, that Mrs. Baker and her husband, Bus B- Baker, charged their private electric light and private telephone' bills, amounting to $193.10, to-the city, and that they were paid from city funds by Mrs.' Baker without any order or authority from the council. It was then alleged that Mrs. Baker paid to her husband, Bus B. Baker, out of city funds, the sum of $264.34, giving the dates and serial numbers of the checks. It was averred that these payments were made without the order or authority' of the council, and without any record on the minutes. •

It was also alleged that Mrs. Baker collected or received a large sum for permits issued by her, and retained $224 thereof. The allegations respecting these fees retained- are not very clear. It was not alleged that the fees were lawfully collected. If they were not the city could not recover the amount, as any fees wrongfully collected would be due the parties from whom they were illegally exacted. Harper v. City of Catlettsburg, 102 S. W. 294, 31 Ky. Law Rep. 293; Com. v. Griffy, 208 Ky. 469.

It was charged in the petition that Mrs. Baker illegally paid for floor covering on the office of.the mayor, without' an order of council or authority so to do. It *329 was charged that in November, 1929, Mrs. Baker illegally collected a check to herself for $49.01, without any authority or order appearing on the records of the council. It was then charged in general terms that Mrs. Baker, without proper or any orders of council, paid the sum of $31,239.56 to various and sundry persons, firms, and corporations. It was further alleged that the city employed a firm of accountants to audit the books at an expense of $1,014.65, which was made necessary by the failure of Mrs. Baker, to audit the accounts and to perform her duties as treasurer.

The petition then proceeded to make a restatement or summary of the facts averred, and the amounts claimed by the city and then followed an allegation that, during the time Mrs. Baker was treasurer and paying out the money theretofore specified, her codefendant, Gus B. Baker, knew of each and all of the payments, knew that Mrs. Baker was countersigning vouchers as clerk, when she was not clerk, knew that she was signing his name as mayor, and knew she was thus making large payments out of the city treasury to herself. He was also aware of the acts of the treasurer in appropriating to herself and to his use and benefit large amounts which belonged to the city, and he failed to protect the city from the loss, or to prevent the improper vouchers from being honored.

Judgment was sought against the defendants for the full amount of the money paid out by the treasurer in the manner stated.

An amended petition was filed before the defendants appeared. The amended petition exhibited in full the report of Kyan & Timmering, expert accountants, who had audited the books of the city.. The amended petition also alleged that, after the filing of the original suit, the defendants Gus B. Baker and Mrs. Maude Head Baker had executed a ,mortgage to the First National Bank and Farmers’ National Bank to prefer said banks and to defraud the city. Gus B. Baker filed a motion to require the plaintiff to elect whether it would prosecute the action for breach of contract against Maude Head Baker and her surety, or against the defendant Gus B. Baker for tort. S. W. Baker and Gus B. Baker, his committee, filed a motion to require plaintiff to file the original bond signed by S. "W. Baker for Maude Head Baker, to paragraph its petition and amended petition, and to require the pleading to be made certain, definite, and specific. *330 Defendant also moved to require plaintiff to file checks mentioned in the petition, and to require plaintiff to file the complete audit referred to in the amended petiton.

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City of Princeton v. Baker, 35 S.W.2d 524, 237 Ky. 325, 1931 Ky. LEXIS 600 (Ky. 1931).

35 S.W.2d 524 (City of Princeton v. Baker) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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