United States v. Upham

2 Mont. 170
Montana Supreme Court·Decided August 15, 1874·Published·Cited by 7 cases

Opinions

Wade, O. J.

This is an indictment charging tbe defendants with a conspiracy to defraud tbe United States, and they ask a reversal of tbe judgment herein for tbe following reasons:

[173]*1731. That no offense is alleged in the indictment, and that the court in which the same was found is unknown to the law.

2. That improper testimony was allowed to go to the jury.

3. That the testimony is insufficient to sustain the verdict.

4. That the court erred in the charge to the jury; and

5. That one of the jurymen was incompetent by reason of bias and prejudice.

1. The court described in the caption of the indictment is The United States district court of the Territory of Montana for the second judicial district.”

The court thus described is unknown to the Territory. We have no- United States district courts ” here. Our courts are statutory courts, created by acts of congress, and, although exercising the jurisdiction of circuit and district courts of the United States, they cannot for this reason be denominated “district courts of the United States.”

But the record accompanying the indictment shows that the indictment was found by the grand jury of the district court of the second judicial district of the Territory of Montana, which court had undoubted jurisdiction to find such indictment, and the wrong description of the court in the caption of the indictment does not vitiate it, especially so when the record shows that the com*t in which the indictment was found had jurisdiction of the offense.

2. It is contended that no offense is charged in the indictment, and this conclusion is arrived at by maintaining that no Indian agent, clerk or employee in the Indian service can under the statute be Convicted of the crime of embezzlement, for the reason that congress has failed to make embezzlement a crime as to such persons, and, this being the ease, that there can be no crime of conspiring to procure embezzlement to be committed. It is indeed true that no Indian agent, as such, can commit the crime of embezzlement. By virtue of his office, he has every opportunity to commit the crime, being charged with the duty of receiving and disbursing large quantities of goods for the government, but, for some inexplicable reason, congress has failed to make such person capable of committing the crime of embezzlement. But whether or not this indictment charges an offense [174]*174does not depend upon this consideration. The defendants are not charged with conspiring to procure an embezzlement to be committed, but-are charged with a conspiracy to procure the United States to be defrauded. The charging part of the indictment, leaving out descriptions, etc., is as follows: “ That Ensign, Upham and G-iddings wickedly devising and intending to cheat and defraud the United States, fraudulently, maliciously and unlawfully did conspire, combine, confederate and agree together, to cause and procure certain goods, wares and merchandise to be embezzled, and disposed of for money, with the intent thereby to defraud the United States,” and that, to carry out such conspiracy, they did certain acts which are set forth in the indictment. The word “embezzlement” may be left out of this charge, and'yet it would be perfect and complete, and would then stand in this way: “ That the defendants conspired and agreed together to procure certain goods to be disposed of for money, with the intent to defraud the United States.” Do' these latter words, which are the substance of the charge in the indictment, come within the statute upon which the indictment was founded. The language of the statute is as follows: “ If two or more persons conspire, either to commit any offense against the laws of the United States, or to dffrcmd the United States in any manner whatever, and any one or more of said parties to said conspiracy shall do any act,” etc.

Under this statute, there may be two classes of conspiracies. First, a conspiracy to commit an offense against the laws, and, second, a conspiracy to defraud the United States in any manner, whether by a violation of the laws, or by any other fraudulent act.

Transposing the statute, it reads, “If two or more persons conspire to defraud the United States, in any manner whatever,” and any one or more of such persons do any act to cany such conspiracy into execution, such persons shall be deemed guilty of a misdemeanor, etc.

And although a conspiracy to procure an embezzlement to be committed would be impossible for an Indian agent or employee, because there is no such crime for them, yet a conspiracy to procure the United States to be defrauded may. be committed even by an Indian agent, and, turning to the charge in the indictment, [175]*175we find that this Indian agent, clerk and trader conspired and agreed together to procure the goods of the United States, to be disposed of for money, fraudulently, and intending thereby to cheat and defraud the United States. 'Such an act, if carried into execution, is a fraud upon the United States and within the statute.

It is contended that these defendants, or, at least, that the defendant Ensign is the servant, agent or trustee of the United States, and that these goods were rightfully in his possession, having been placed there by the government for certain uses and purposes, and that if Ensign disposed of these goods wrongfully, or converted them to his own use, he is guilty simply for a breach of trust, and only liable upon his bond for such acts. 'We may admit that Ensign was the agent and trustee of the United States, and that the goods come rightfully to his possession, and that he could not, therefore, be guilty of stealing such goods; yet all this does not in the least take away his power to enter into a conspiracy to defraud the United States by combining and confederating with others to fraudulently dispose of such goods. A breach of trust is a fraud, and a breach of trust accompanied by a conspiracy to fraudulently dispose of the goods intrusted to his care, is a fraud upon the United States, and directly within the statute. And so, admitting that the goods come rightfully to the possession of Ensign, he still had the power to enter into the conspiracy as charged.

3. The next question relates to the admissibility of testimony. The question objected to is as follows: “ State what and how much was distributed at the first public distribution ? ”

The goods had been deposited with Ensign, and whether they had been rightfully or wrongfully disposed of was the' question. The object of the question propounded, and the other questions of like character, was to ascertain what part of such goods had been distributed to the Indians. If the Indians had not received the goods, and they had been disposed of, this was a circumstance properly given to the jury for consideration,— at least, it could not have prejudiced the defendants, and we can see no objection to permitting the question to be answered.

4. Insufficiency of the evidence to sustain a conviction. Neces[176]*176sarily, all tbe evidence is not contained in tbe record. Tbe record does not preserve tbe appearance of tbe witnesses, tbeir manner of giving tbeir testimony, tbeir interest, tbeir hesitation, tbeir eagerness or tbeir feeling.

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United States v. Upham, 2 Mont. 170 (Mo. 1874).

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