People v. Reese

29 P.2d 450, 136 Cal. App. 657, 1934 Cal. App. LEXIS 978
CourtCalifornia Court of Appeal
DecidedFebruary 13, 1934
DocketDocket No. 2291.
StatusPublished
Cited by20 cases

This text of 29 P.2d 450 (People v. Reese) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Reese, 29 P.2d 450, 136 Cal. App. 657, 1934 Cal. App. LEXIS 978 (Cal. Ct. App. 1934).

Opinion

*659 THE COURT.

This appeal of the defendants is from judgments of conviction against- each of them, and from orders denying their motions for new trial. They were both convicted by verdicts of the jury on an indictment against them, including one charge of conspiracy, ten counts of grand theft, and six counts of violation of the Corporate Securities Act.

The sufficiency of the evidence to sustain the judgment as to each of the several counts on which the defendants were convicted of the crime of grand theft is challenged. In that connection, an inspection of the record reveals the fact that the incriminatory evidence, as it affected the offense charged in count 9 of the indictment, in substance was that one Castle was the owner of a ranch that was encumbered by a mortgage of $14,500, and that a Mrs. Twedell was the owner of a bungalow court- that was encumbered by a mortgage of $8,000. The owners of said respective properties agreed to an exchange thereof on the basis that the $8,000 on the bungalow court would be increased to $12,000, and that Castle would receive 4,000 shares of stock in a mining-company. Pursuant to the terms of the escrow that was made by the parties to the exchange agreement, and of which Castle not only was cognizant but actually had personal knowledge, the $4,000 realized from the increase of the loan on the bungalow court was paid, not to either of the defendants herein, but was paid $3,500 thereof to Mrs. Twedell, and the remaining $500 to one Mitchell. In no way was it shown that either of the defendants received any benefit in any way from the exchange, or from the transaction in general, - other than that long after the exchange had been made the defendants became the owners of the encumbrances on each of the exchanged properties. According to the testimony of the complaining witness, the only way in which the defendants were connected with the transaction was that on one occasion, when negotiations for the exchange were pending, Mrs. Carter was present, at which time “she said if they could get money enough to go ahead they would start to mine, and this $4,000—she didn’t mention this $4,000— if they could get enough money together they would start mining in sixty to ninety days. . . They were going to use it to install machinery, . . . iShe said that they were going *660 to use the money to install bigger machinery in the mine and that the mine would start in sixty to ninety days on a 100-ton production.”

Regarding the question of the sufficiency of the evidence as it affects count 10 of the indictment, it appears 'from the testimony given by the complaining witness that defendant Mrs. Carter asked to “borrow” $500 from her for thirty days, for which Mrs. Carter agreed to pay ten per cent interest and give the complaining witness 500 shares of stock as a bonus; that at that time Mrs. Carter said she wanted the money “to put the mine on production, . . . trying to raise money to put the Virginia Dale Mine on production”. But other evidence introduced with reference to the commission of the alleged offense has the effect of creating considerable doubt as to whether Mrs. Carter ever borrowed any money from the complaining witness, or that Mrs. Carter or defendant Reese ever received the benefit of any money lent by the complaining witness. It was shown very clearly, if not conclusively, that one Blehm was the borrower; that he, together with the defendants and one other person, signed a promissory note; that it was Blehm’s own stock in the company that was given as a bonus; that he alone gave the complaining witness a “memorandum contract”, and that it actually represented a fractional interest of his own undisputed interest in the mine; and that when the complaining witness delivered the money or her cheek it was not to either of the defendants, but to said Blehm.

As to count 11 of the indictment, it appears that a Mrs. Lasher, who was a woman well advanced in years and whose testimony was given approximately three years after the transaction of which she complained occurred, and whose various statements were confused, inconsistent and at times contradictory one with the other, was to the effect that she let Mrs. Carter have a lot and some cash, for which the father of Mrs. Carter gave to Mrs. Lasher his promissory note; that later, at the request of the complaining witness, defendant Reese gave to her nephew a “conveyance memorandum” of a fractional interest in the mine. In connection with this count, the alleged false pretenses of the defendants consisted in the following: “She (Mrs. Carter) thought the mines were all right—she thought the mines were all right, and she wanted to borrow my money to put in the mines, *661 and she wanted to put some machinery in, so she could run it night and day.”

And as to whether the complaining witness relied upon the statements made to her by Mrs. Carter, the sum total of the incriminatory evidence was:

“Q. Did you believe Mrs. Carter when she told you she wanted your money to put in new machinery at the mine? A. I never had confidence in anybody better than I had in her. The Court: That might be true, but that doesn’t tell us whether you believed in her, or not. You might not believe in anybody. A. I did believe in her. Q. And you relied on her statements in giving her this money and these lots? A. I did. Q. Would you have given them to her if you had not believed in those statements and relied upon them? A. Well, I don’t know as I would. Q. Would you or would you not, if you had not believed her? A. Well, it was good interest; I was getting 10 per cent interest, and I thought that was pretty good. Q. Would you have given her the money if you had not believed what she told you? A. I don’t know as I would. Q. Pardon me? A. I don’t think I would. Q. You can tell me whether you would or would not, can’t you? A. I had to believe— Mr. Kelby: We submit that is an answer to the question. The Court: If there has been an answer, I haven’t heard it. Q. By Mr. Blalock: Will you answer the question ‘yes’ or ‘no’ for me: Would you have given Mrs. Carter this money and this lot if you had not believed her? A. No, I would not.”

Regarding count 12 of the indictment, and upon the charges of which the defendants were convicted, the evidence of the alleged false pretense of the defendants in substance was as follows:

‘‘He (Reese) told me that the mine was all right. He said the hazard had gone out of it now, because they had it thoroughly examined, and had drilled holes every sixty —I don’t know whether it was sixty feet or something like that, to see if the vein went through, and he said that the mine was perfectly all right, and it would not be very long that our investment would be a success. ... He said this (exhibiting a small gold brick) came out of the mine, and we intend to get them into $10,000 bricks, instead of these little bricks, and it will not be very long, because what we want to do is double the capacity of the mine.” Mrs. Carter *662 said: “We have a good thing, Emil, and we want all our friends to get in on this. . . . First we got our relatives in, and we found we couldn’t make it, so we have to take in our relatives’ friends and our friends and we are going to make a million out of it before we know it.”

The witness testified that after

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Bluebook (online)
29 P.2d 450, 136 Cal. App. 657, 1934 Cal. App. LEXIS 978, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-reese-calctapp-1934.