Criminal embezzlement and fraud charges in California involve unlawfully taking or misappropriating property or money with the intent to deceive or deprive the owner. Embezzlement typically occurs when someone with lawful access to property steals or misuses it, while fraud involves intentionally misleading someone for personal gain.
If you are facing one of these charges, an experienced California criminal defense attorney can handle your case by investigating the facts, identifying weaknesses in the prosecution’s evidence, and developing a strong defense strategy. They may challenge the charges, negotiate a plea deal, or represent you at trial to secure the best possible outcome, minimizing penalties or achieving a dismissal.
Elements of a Criminal Embezzlement or Fraud Charge in California
In California, criminal embezzlement and fraud are serious crimes involving unlawful taking or misappropriation of property or money by someone in a position of trust. A prosecutor must establish several key legal elements to convict the accused (the defendant) of embezzlement or fraud.
Embezzlement
First, the prosecutor must prove that the defendant was entrusted with property. The defendant must have had lawful access to the property, typically because they were in a position of trust, such as an employee or manager.
Next, the prosecution must show that the defendant unlawfully took or used the property. The defendant must have taken the property for personal use or otherwise used it without the owner’s consent.
Finally, the prosecutor must establish that the defendant intended to permanently deprive the property owner. Simply borrowing the property or intending to return it does not meet the legal definition of embezzlement.
Fraud
Fraud in California involves intentionally deceiving someone for financial gain. A prosecutor must prove five elements to secure a conviction for fraud.
The prosecution must show that the defendant made a false statement or misrepresentation, which can be lying, concealing a material fact, or using a false document. Furthermore, the prosecutor must prove that the defendant knew the statement was false. The defendant must have been aware the information they provided was not true when they made the statement.
In addition, the prosecution must show that the defendant intended to deceive the victim. The defendant must have intended to trick or deceive the victim into believing the false statement. The prosecution must also prove that the victim relied on the false statement. The victim must have believed the false information and acted based on it. Finally, the prosecutor must establish that the victim suffered financial loss, meaning that as a result of the fraud, the victim must have lost money or property.
In both embezzlement and fraud cases, the prosecutor’s job is to prove that the defendant’s actions were deliberate and unlawful. If the prosecutor fails to establish these elements beyond a reasonable doubt, the defendant may not be convicted. California law treats both crimes seriously, and a conviction can lead to severe penalties, including imprisonment and fines.
What Are the Potential Penalties for a California Embezzlement or Fraud Charge?
In California, the penalties for criminal embezzlement or fraud can be severe, depending on the amount of money involved, the circumstances of the crime, and whether the defendant has a prior criminal record. Both crimes are considered serious offenses, and the penalties can include prison time, fines, restitution, and probation.
Penalties for Embezzlement
Embezzlement in California can be either a felony or a misdemeanor, depending on the value of the property taken and the defendant’s criminal history.
- Misdemeanor Embezzlement – The defendant can face misdemeanor charges if the embezzled property is valued at $950 or less. The penalties for a misdemeanor conviction include:
- Up to one year in county jail
- Fines of up to $1,000
- Restitution: The court may order the defendant to repay the victim for the stolen property.
- Felony Embezzlement – If the embezzled property is valued at over $950, the defendant may face felony charges. The penalties for felony embezzlement can include:
- Two to three years in state prison
- Fines up to $10,000
- Restitution: The defendant may have to repay the victim for the stolen property, plus additional damages.
In some cases, the court may allow the defendant to serve probation instead of prison time, particularly if the defendant is a first-time offender and shows remorse.
Penalties for Fraud
Fraud is also typically charged as a felony, although it can be a misdemeanor in certain circumstances. The penalties depend on the amount of money involved and other factors.
- Misdemeanor Fraud – If the fraud involves a smaller amount of money, typically less than $950, the defendant can face:
- Up to one year in county jail
- Fines up to $1,000
- Restitution to the alleged victim.
- Felony Fraud – If the fraud involves more than $950 or involves other aggravating factors (such as the use of fake documents or a large-scale operation), the penalties can be more severe, including:
- Sixteen months to three years in state prison
- Fines up to $10,000 or more
- Restitution to the alleged victim.
For both embezzlement and fraud, the court may also impose additional consequences, such as probation, which can include requirements like community service, counseling, or regular check-ins with a probation officer.
What Are the Collateral Consequences You Can Face for Embezzlement or Fraud in California?
A conviction for criminal embezzlement or fraud in California can have serious collateral consequences beyond jail time or fines. These repercussions are the additional, often long-term effects that can affect various aspects of a person’s life. While these consequences are not part of the formal sentence, they can be just as damaging, if not more so, than the legal penalties themselves.
First, a conviction for embezzlement or fraud results in a permanent criminal record. This record can make it difficult to find employment, secure housing, or obtain certain licenses. Many employers and landlords conduct background checks, and a criminal history can raise red flags. For example, jobs that involve managing finances or handling money may be off-limits if a person has been convicted of financial crimes like embezzlement or fraud.
Furthermore, even if a person can find a job following a conviction, having a criminal record may limit career opportunities. Many employers hesitate to hire someone with a history of dishonesty or financial crimes. For example, professions in banking, insurance, or law enforcement may be closed to someone convicted of embezzlement or fraud. In addition, a person may be disqualified from government jobs or positions that require security clearances.
Besides criminal penalties, the victim of embezzlement or fraud may file a civil lawsuit to recover damages. If convicted, the defendant can be ordered to pay restitution to the victim, but there may also be additional civil penalties. Civil lawsuits can result in financial burdens long after the criminal case is resolved.
Also, certain professions, such as law, healthcare, or real estate, require a professional license. A conviction for embezzlement or fraud can lead to the revocation or suspension of such licenses. Without a professional license, a person may be unable to continue working in their chosen field.
Finally, a conviction for embezzlement or fraud can cause irreparable damage to a person’s reputation. Friends, family, and colleagues may lose trust in the individual, and rebuilding relationships following such a conviction may be difficult. The stigma of being labeled a “fraudster” or “thief” can affect social and professional circles for years.
Steps to Take If You Are Facing an Embezzlement or Fraud Charge in California
Being charged with a financial crime is a serious matter, and the legal consequences can be severe. If you face a criminal embezzlement or fraud charge in California, taking immediate and thoughtful steps to protect your rights and future is crucial.
The first and most important step is to hire a skilled criminal defense attorney with experience handling embezzlement or fraud cases. A knowledgeable lawyer will understand the nuances of the law, build your defense, and represent you in court. They can guide you through the legal process, explain your options, and work to achieve the best possible outcome for your case. Never try to navigate this process alone.
Next, avoid discussing your case. Never discuss the details with anyone other than your attorney, including talking to friends, family members, or coworkers. Anything you say can be used against you in court, especially if law enforcement or investigators are involved. Your lawyer will advise you on what to say, when to say it, and when to remain silent. Always follow their guidance carefully.
Furthermore, make sure that you fully understand the charges you are facing. Embezzlement and fraud can involve complicated legal definitions, so it is essential to have your attorney explain the specifics of the charges. In some cases, charges may be reduced or dismissed if the prosecution cannot meet their burden of proof and prove every element.
Gathering evidence and documentation is another important step. If you have any evidence supporting your innocence, such as emails, receipts, contracts, or witness statements, make sure to provide it to your attorney. Your lawyer will determine what is relevant and how to use it in your defense. This evidence can be crucial in challenging the prosecution’s case.
Besides that, consider possible plea bargains. In some cases, your lawyer may negotiate a plea bargain with the prosecution. A plea deal can reduce the charges or penalties you face in exchange for a guilty plea. While you should never make this decision without consulting your attorney, understanding the potential for a plea bargain is an important part of the process.
Finally, you should prepare for trial or sentencing. If your case goes to trial, be ready to participate in the process. Your lawyer will prepare you by explaining what to expect in court, reviewing possible defenses, and coaching you on how to present yourself. If you are facing sentencing, your lawyer will work to minimize the penalties by stressing mitigating factors or negotiating for a lighter sentence.
Potential Legal Defenses to Embezzlement and Fraud Charges in California
If you are facing a criminal embezzlement or fraud charge in California, your defense strategy will depend on the specific facts of your case. However, you can raise several potential legal defenses to challenge the charges against you.
One of the key elements in both embezzlement and fraud is the defendant’s intent to deceive or steal. If you did not intend to defraud or permanently deprive the owner of property, you may not be guilty of the crime. For example, if you accidentally took money or property that was mistakenly given to you or if you had a legitimate reason to use the funds, you can argue that there was no criminal intent. Showing that your actions were unintentional can be a strong defense.
Another defense is that you did not take the property or money without the owner’s consent. If you were authorized to use or take the property, you cannot be guilty of embezzlement or fraud. This defense may apply if, for example, your employer or another individual permitted you to use company funds, but there was a misunderstanding about the scope of that permission. The charges may be dismissed if you show that the property was taken with consent.
Furthermore, in a fraud case, the prosecutor must prove that you made a false statement or misrepresentation to the victim. You can argue that there was no fraud if you did not make any false statements. For example, if you gave the victim accurate information, even if it was misinterpreted, you may have a valid defense.
A mistake of fact occurs when someone commits an act under a misunderstanding or false belief about a fact. If you took property or funds because you honestly believed you had a right to them, your attorney may argue you made an honest mistake. This defense can be effective if you can show that your belief was reasonable under the circumstances.
Next, if the prosecution cannot prove the essential elements of the crime beyond a reasonable doubt, you may have a defense based on insufficient evidence. The prosecution must establish that you committed the crime, and if they fail to do so, the case can be dismissed or result in an acquittal. Your attorney may challenge the evidence presented, argue inconsistencies, or point to gaps in the prosecution’s case.
Your defense will depend on the specific facts of your case, so it’s important to consult with an experienced criminal defense attorney to determine the best strategy for your situation.
Contact an Experienced Criminal Defense Attorney in California Right Away
If you are currently facing an embezzlement or fraud charge in California, a skilled criminal defense attorney can be extremely helpful throughout your case. Your lawyer will guide you throughout the process, aggressively defend you against the charges, and work to secure the best possible outcome for your case. Contact Chudnovsky Law, a knowledgeable team of California criminal defense lawyers, about your legal options right away.