People v. Biddison

24 N.Y. Crim. 343, 136 A.D. 525

This text of 24 N.Y. Crim. 343 (People v. Biddison) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Biddison, 24 N.Y. Crim. 343, 136 A.D. 525 (N.Y. Ct. App. 1910).

Opinion

Clark, J.:

In November, 1904, the defendant procured the incorporation of the “ Central Coal, Lumber and Construction Company ” in the District of Columbia, with a capital of $500,000 to buy and sell lands, lumber, coal and timber and to issue bonds on its assets, to sell stock or bonds and loan out the same and to do any other business connected therewith in accordance with its charter.

The defendant testified that he was one of the incorporators; that A. Graham Donnelly was another, and the three others lawyers’ clerks in Washington, members of an incorporating concern that did that business; that he owned all the stock; that Donnelly was elected president; John R. Polk, secretary, and that he was elected a director, being one of the incorporators.

Donnelly testified that the defendant asked him to be an incorporator and that he objected upon the ground that he was not a commercial man, but that it was agreed that he was to go on for a dummy or straw man for the purposes of organization; that he did not know the name of the company until he saw it on the defendant’s office door; that he never attended any meetings of the officers or board of directors, and he did not know that there were any directors. He gave a power of attorney to the defendant authorizing him to sign all papers, bonds, stock or other documents for and in relation to the business of the Central Coal, Lumber and Construction Company, but in nowise to bind him individually for obligations of said company, which was dated March 3, 1906.

Polk testified that he had resided in Indiana and had not been in New York from about the 23d of March, 1905, until [345]*345some time in February, 1909 ; that he was never present at any meeting of the board of directors of this company; that at the defendant’s request he had given him a power of attorney dated the 18th of November, 1905.

In March, 1906, the defendant made an arrangement with King, a printer, for the printing of some bonds of the Central Coal, Lumber and Construction Company. Three hundred were to be printed on paper with brown borders and numbered from 1 to 300, and 300 were to be printed with orange-colored borders, and it is conceded that they were numbered from 1 to 300, and were identical in every respect with the brown bonds as far as the printed matter was concerned when they came off the press, except in the color. King testified that the defendant said that the orange bonds were wanted for samples. He also testified that he received his pay for printing them from Dun-ton.

Dunton testified that after he had advanced $100 to the defendant for a payment to be made on his house, the defendant said he wanted to get out these bonds in order to lend them to people who wanted to use them as collateral security, and it was necessary for him to live along until he got the bonds out, and when he got the bonds out he would have no difficulty in lending the bonds, and I would be paid back my money, and he would take up the bonds that were deposited and float them all.” That besides the $100 already referred to, he advanced $524 and that he received $200,000 of the brown bonds as security for the entire sum of $624; that he put these 200 brown bonds in the safe and that he had not received the $624 back that he paid.

The defendant was indicted for forging a bond of the Central Coal, Lumber and Construction Company and it was physically attached to the indictment. It was one of the orange bonds; it was for $1,000 with coupons attached. It was dated November 15, 1904, and bore the corporate seal and purported to bear the [346]*346signature of A. Graham Donnelly, president; attest, J. R. Polk, secretary. It was entitled “ First mortgage, twenty year, 5 % bond,” and it recited that for value received the company promises to pay on the 15th of November, 1924, at the office of the trastee, New York city, to the registered owner of this, bond $1,000 in gold coin of the United States of the present standard of weight and fineness, and to pay interest thereon from November 15, 1904, at the rate of five per cent, per annum. “ This bond is one of a duly authorized issue of registered bonds of the company, the aggregate amount thereof is limited so that there shall never he at any time outstanding bonds of said issue for an aggregate sum exceeding $300,000, all of which bonds have been or may be issued under and in pursuance of, and are to be secured by a first mortgage or deed of trust, dated November 15, 1904, duly executed by the company to John A. P. Glore of New York, as Trustee, conveying the property and franchises of the Central Coal, Lumber and Construction Company, named in said mortgage or deed of trust, to which reference is hereby made for a description of the property and franchises mortgaged, and the nature and extent of the security, and the rights of the holders of said bonds under the same, and the terms and conditions upon which said bonds are issued. The Central Coal, Lumber and Construction Company reserve the right to redeem this bond upon any interest date upon giving ninety days’ notice at 110% and accrued interest. This bond shall not become obligatory for any purpose until it shall have been authenticated by the certification hereon indorsed by the Trustee under said mortgage or deed of trust.” The bond also bore the following: “Trustee’s certificate. This bond is one of a series of bonds described in the within-mentioned mortgage, or deed of trust.

“J. A. P. GLORE,

" Trustee"

[347]*347The signatures of Donnelly and Polk were written by the defendant in simulation of their handwriting and he claims authority therefor under the powers of attorney heretofore alluded to. The bond upon its face states that it shall not become obligatory for any purpose until it shall have been authenticated by the certification thereon indorsed by the trustee. A facsimile of the signature of the trustee was put upon the certificate by the defendant by means of a rubber stamp which he had had made.

Glore, the trustee, testified that he never signed an orange-colored bond; that he never told the defendant that he might have a rubber stamp made with the name J. A. P. Glore on it, nor that he might stamp that name on any of the orange-colored bonds; that he never authorized him, either directly or indirectly, to sign these bonds; that he was not trustee of any other bonds than the brown bonds, based upon the $300,000 mortgage upon land in Wisconsin; that he never heard of any other mortgage and that he did not know anything about orange bonds at all.

The judgment of conviction, depends upon the finding of fact by the jury that the signature of Glore, the trustee, was put upon that bond without authority, and that, therefore, the bond was a forged bond, purporting to be that which it was not. Such finding is amply supported by the evidence. The proof sustains conviction upon the ground that defendant uttered the forged bond. He loaned ten of the orange bonds to Dresser to use as collateral and received a money payment and a promissory note for such use. The defendant testified that the bonds were lent under a trust receipt to be returned in four days and if not so returned Dresser was to pay $500 for time use for four months. Dresser deposited them as collateral for a loan obtained by him. The defendant took the stand in his own behalf, and while he testified that he had authority from Glore [348]

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Bluebook (online)
24 N.Y. Crim. 343, 136 A.D. 525, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-biddison-nyappdiv-1910.