People v. Smith

273 P. 789, 206 Cal. 235, 1929 Cal. LEXIS 586
California Supreme Court·Decided January 16, 1929·No. Docket No. Crim. 3152.·Published·Cited by 12 cases

Opinion

*236 SHENK, J.

The defendant was charged in four counts with embezzlement of public funds during the time he was treasurer of the city of Imperial. On the first trial the jury disagreed. Counts 1 and 3 were dismissed on motion of the district attorney. On the second trial the defendant was acquitted on the fourth count and was found guilty on the second count which charged the embezzlement, on the ninth day of November, 1926, of the sum of $218.46 of the funds of the city of Imperial. He appeals from the judgment of conviction and from the order denying his motion for a new trial.

The grounds of the appeal are that the evidence is insufficient to support the verdict and that the court erred to the prejudice of the defendant in certain instructions given. It appears that one C. H. Hawkins was city recorder and justice of the peace of the city of Imperial. On November 1, 1926, he handed a check for the amount of fines collected during the preceding month, in the sum of $342, to his clerk for delivery to the defendant as city treasurer. This check was delivered to the defendant on November 9, 1926. On the same day the defendant signed and delivered to said clerk a receipt showing the deposit of that sum in the city treasury. The defendant had pursued the method of depositing in bank to the credit of designated accounts the funds of the city reposed to his custody. He maintained a checking account under the designation “W. D. Smith, Trustee.” The money represented by the check received from the city recorder could not, in whole, be credited to one fund. Thirty dollars was subject to be credited to the general fund and the balance to the street improvement fund. On November 9, 1926, he deposited the full amount of the check in the Farmers’ and Merchants’ Bank of Imperial to the credit of the street improvement bond account. On the same day he withdrew by check from said account the sum of $218.46 and deposited the same in the Pacific Southwest Trust and Savings Bank to the credit of the W. D. Smith Trustee account. Six days later, to wit, on November 15, 1926, the defendant deposited to the credit of a city treasurer account in the Farmers’ and Merchants’ Bank said sum of $342, being the amount received from the city recorder on November 9th. The accounts of the city *237 treasurer were experted on the thirtieth day of the same month. No shortage was discovered and the defendant thus fully accounted for all public moneys on hand on that day and said funds were thereupon turned over to the defendant’s successor in office. With this state of the treasurer’s accounts as to count 2, the defendant was, on December 28, 1926, formally charged with embezzlement of public funds.

The respondent insists that the evidence was sufficient to support the verdict because it further appeared in evidence that between November 9th and 15th certain amounts were withdrawn from the W. D. Smith Trustee account- and devoted to the defendant’s personal use, which withdrawals reduced the W. D. Smith Trustee account to the extent of $218.46. It is not claimed by respondent that on November 15th and thereafter all moneys received by the defendant from the city recorder were not on deposit in the proper accounts.

By reason of the strictness with which the law surrounds the custody and use of public funds, it may reasonably be contended that the showing with reference to the withdrawal and use of moneys from the trustee account during the times intervening between November 9th and 15th was sufficient to support a verdict of guilty of embezzlement of public funds, provided the jury was satisfied that all of the elements of the felony charged were present in the transaction and no prejudicial error was committed by the court. This brings us to the consideration of the most serious error complained of.

The court instructed the jury that whenever.a person is charged with embezzlement and it appears that the accused voluntarily or actually restores or tenders restoration of the property alleged to have been embezzled, or any part thereof, such fact is not a ground of defense “but it authorizes the court to mitigate the punishment in its discretion.” Without intimating what would be the effect of such an instruction in an ordinary embezzlement case, it is obvious that it is entirely inappropriate and misleading in the case of alleged embezzlement of public funds. Section 1203 of the Penal Code has in effect deprived a defendant in this class of crimes of the right to apply for probation and has absolutely divested the court of all power therein to grant probation. Except by an order of probation there *238 would be no way by which the trial court could “mitigate the punishment.” That the instruction was considered by the jury to the prejudice of the defendant is evidenced by the form of the verdict wherein the defendant was found guilty as charged in count two and “we recommend probation—unanimously.” The jury retired for deliberation at 4:40 P. M. and returned with the verdict at 9:30 the following morning, and it is conceded by the respondent that it was only by reason of the showing on the question of restitution that the jury recommended probation. We are satisfied from the record that the jury was misled by said instruction into rendering the verdict which was returned and that it is fairly apparent that but for such mistaken statement as to the powers of the court in the premises the jury would not have agreed upon a verdict of guilty.

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People v. Smith, 273 P. 789, 206 Cal. 235, 1929 Cal. LEXIS 586 (Cal. 1929).

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