Phenneger v. People

276 P. 983, 85 Colo. 442, 1929 Colo. LEXIS 225
CourtSupreme Court of Colorado
DecidedMarch 11, 1929
DocketNo. 12,133.
StatusPublished
Cited by25 cases

This text of 276 P. 983 (Phenneger v. People) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Phenneger v. People, 276 P. 983, 85 Colo. 442, 1929 Colo. LEXIS 225 (Colo. 1929).

Opinion

Mr. Justice Alter

delivered the opinion of the court.

F. G. Phenneger, plaintiff in error, hereinafter referred to as defendant, was tried and convicted of the crime of embezzlement, and sentenced to the penitentiary for a term of years. To review that judgment he prosecutes this writ, and relies upon 93 assignments, which may be classified as follows: (1) Refusal of court to segregate witnesses; (2) prejudicial remarks of court, made in the presence of the jury; (3) admission of improper and immaterial evidence; (4) admission of improper rebuttal evidence; (5) refusal to direct a verdict of not guilty; (6) undue restriction of cross-examination; (7) improper evidence as to values; (8) improper evidence as to reputation; (9) giving, and refusal to give, certain instructions.

The information in this case, filed by the district attorney February 25, 1928, charges: “That F. G. Phenneger on, to-wit, the first day of March in the year of our Lord nineteen hundred and twenty-seven at the City and County of Denver aforesaid, in the State of Colorado, was the agent, to-wit: President of American Tax Company, a corporation, and that by virtue of his employment as such agent the said F. G. Phenneger did then and there have in his possession and under his care two thousand five hundred dollars in money of the value of two thousand five hundred dollars of the moneys, goods and personal property of the said American Tax Company, a corporation, and that while so in possession thereof, the said F. G. Phenneger without the consent of said American Tax Company, a corporation, did then and there feloniously embezzle and fraudulently convert to his own use the said two thousand five hundred dollars *445 in money and so the said F. G-. Phenneger then and there, in manner and form aforesaid, the said two thousand five hundred dollars in money of the value of two thousand five hundred dollars of the moneys, goods and personal property of the said American Tax Company, a corporation feloniously did steal, take and carry away, contrary to the form of the statute in such case made and provided, and against the peace and dignity of the People of the State of Colorado.”

The evidence in this case discloses that the defendant organized the American Tax Company, a Colorado corporation, in 1925, and immediately upon its organization became, and until March, 1928, was, its president and general manager.

The American Tax Company was incorporated for $1,000,000, and its stock consisted of 1,000,000 shares of the par value of one dollar.

At the first meeting of its board of directors, the defendant proposed to transfer to the company certain property in exchange for 50,000 shares of the capital stock of the company. This proposal was accepted and the transfer made.

It was necessary to arrange for financial assistance in the organization and promotion of the company, and the selling of its stock. This the defendant arranged to provide, and as compensation therefor, he was to receive five per cent of the receipts from stock sales. Later on in the history of the company, in addition to the commission on sales, the defendant received a salary from the company.

Some time after the organization of the company, the defendant began to draw money in excess of his commission and salary. The secretary of the company, prior to March 31, 1927, called the defendant’s attention to the fact that he had overdrawn his account about $30,000. The defendant attempted to balance this $30,000 overdraft by returning to the treasury 30,000 shares of his stock in the company.

*446 On March 1, 1927, the defendant caused the company’s check for $2,500 to be drawn to his order. After the check was signed by the defendant as president and countersigned by the secretary, the defendant cashed it. This is the basis of the charge in this criminal case.

The defendant testified that his practice of drawing money, in excess of that actually due him for salary and commissions, was with the knowledge and consent of the board of directors of the company, and was done by him in perfect good faith, and without any attempt at concealment. All of which is emphatically denied by the members of the board.

We should also state that the account of this defendant, on the company’s books, appears to be in perfect balance, but this balance was accomplished by the return of stock, as mentioned above.

We shall now proceed to consider the assignments of error in the order mentioned above.

1. At the commencement of the trial, before the opening statements had been made, and before any witnesses had been sworn, the following occurred:

“Mr. Mowry: At this time I would like to move to have the witnesses segregated.
“The Court: Unless there is some particular reason for it, Mr. Mowry, the motion will be denied.
“Mr. Mowry: I have a particular reason, or I wouldn’t make the motion.
‘ ‘ The Court: The motion will be denied.
“Mr. Mowry:. Does your Honor want to hear my reasons %
“The Court: You may state them, certainly.
“Thereupon and out of the hearing of the jury Mr. Mowry made the following statement ‘The reason assigned for my motion is that part of the defendant’s defense is based on the fact that there is a conspiracy between Maudru and Doherty, who is the complaining witness, and other directors, to lay the blame for the condition of the company upon the defendant, ’
*447 “The Court: The court will rule that the witnesses in this case will not he separated or sequestered, for the reason that it does not think there is any necessity for it.
“Mr. Mowry: We save an exception.”

In Short v. People, 27 Colo. 175, 186, 60 Pac. 350, Mr. Chief Justice Campbell, delivering the opinion of the court, said: “In criminal as in civil trials presumptions of the correctness of the rulings of the trial court and of the regularity of the'proceedings below, are indulged by a court of review, and the burden of showing prejudicial error rests upon him who asserts it; * * * ”

In Kelly v. People, 17 Colo. 130, 132, 29 Pac. 805, Mr. Justice Elliott, speaking for this court, said: “The examination of witnesses out of the presence and hearing of each other is sometimes a valuable aid to the discovery of truth, and the furtherance of justice. The exclusion of witnesses from the court-room during the trial is a matter resting in the sound judicial discretion of the trial court.”

In Rogers v. People, 76 Colo. 181, 183, 230 Pac. 391, Mr. Justice Allen, speaking for the court, said: “The contention most urged is that the court erred in overruling defendant’s motion to exclude witnesses from the court room. * * * However, in this state this court has held that this is a matter resting in the sound discretion of the court. Kelly v. People, 17 Colo. 130, 29 Pac. 805.

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Bluebook (online)
276 P. 983, 85 Colo. 442, 1929 Colo. LEXIS 225, Counsel Stack Legal Research, https://law.counselstack.com/opinion/phenneger-v-people-colo-1929.