California Penal Code 503 defines embezzlement as the use of money or property entrusted to you by the owner for personal benefit. This offense is commonly known as employee theft, and it involves violating the trust put on you by the property owner. Depending on the amount of money or property value involved, prosecutors can charge embezzlement as a felony or a misdemeanor.
Before you face a conviction for embezzlement, the prosecution must prove all the elements of the crime beyond a reasonable doubt. A conviction for embezzlement will make you spend significant time behind bars and face severe collateral consequences, including difficulty obtaining employment, deportation, and loss of your professional license.
If you or your loved one faces charges under PC 503, you will benefit from the expert legal insight we offer at Desert Defense Lawyers. We serve clients battling criminal charges in Palm Desert, CA.
Understanding Penal Code 503
California law defines embezzlement as the fraudulent appropriation of property entrusted to you by the owner. This offense is commonly committed by employees trusted by their employer to manage money and property. Although most people associate embezzlement with substantial amounts of money, the offense can occur with small amounts.
The prosecution must prove these elements before you face a conviction for embezzlement:
You were Directly or Indirectly Entrusted with Property by Its Owner
The first element that the prosecutor must prove when establishing your liability under PC 503 is that you were entrusted with property or funds by its owner.
A Relationship of Trust Existed Between You and the Alleged Victim
The prosecutor must prove that a relationship of trust existed between you and the alleged victim of your crime. Concrete evidence of the relationship between you and your employer must be clear to secure a conviction for embezzlement. When your employer gives you access to temporary possession of the property, their acts indicate that they trust you.
You Fraudulently Converted or Used the Property
You will be found guilty of embezzlement if the prosecution can prove that you violated the trust bestowed upon you by the property owner. You do this by using the property or funds for something other than its intended purpose. Under PC 503, you act fraudulently when you cause a financial loss to another person by breaching their trust.
You Acted with a Fraudulent Intent
The final element the prosecution must prove to establish your liability under PC 503 is that you intended to defraud the alleged victim. This means you intended to deprive the owner of their property or money. Even when you intend to return the property, temporary deprivation of the property will count as embezzlement.
Legal Penalties for Embezzlement
Embezzlement can be charged as grand or petty theft, depending on the circumstances of your case and your criminal history. You will be charged with grand theft if the property value or money you embezzled is $950. Grand theft charges can also arise if the crime involves a firearm or an automobile.
Grand theft is a worker and can be charged as a felony or a misdemeanor. A misdemeanor conviction in this case is punishable by:
- A jail sentence of up to one year
- Misdemeanor probation
- A $1,000 fine
As a felony, embezzlement attracts the following penalties:
- A prison sentence ranging from sixteen months to two or three years
- Felony probation
- Up to $10,000 in fines
If you embezzle money or property worth $950 or less, you will be charged with petty theft. Petty theft is often a misdemeanor, and your conviction will result in a one-year jail sentence, summary probation, and a $1,000 fine.
Probation for Embezzlement
California law has three sentencing alternatives: fines, incarceration, and probation. The court will sentence you to probation as an alternative to incarceration. Probation allows you to serve a part of your sentence on community service. You can be sentenced to probation for a felony or misdemeanor embezzlement charge.
Formal pronunciation lasts up to five years and is imposed on defendants who face a felony conviction. On the other hand, defendants facing misdemeanor charges can be sentenced to summary probation for up to three years. Although probation is a more lenient sentence, it is not available to all defendants.
You can negotiate with the prosecution for this sentence if you are a first-time offender or do not have an extensive criminal history. When you are sentenced to probation for embezzlement, the court will impose the following probation conditions:
- Victim restitution. The court may order that you reimburse the victims of your crime for the loss you caused them.
- Court fines. While on probation, you must pay all the fines the court imposes at your conviction.
- Avoid committing other offenses. You should avoid committing other crimes while serving your probation.
- Mandatory reporting to a probation officer. If you are sentenced to felony probation, you must regularly report your progress to the court-appointed probation officer.
Aggravating Factors for Embezzlement
California law defines aggravating factors as the circumstances that increase the weight of your crime. If the following aggravating factors exist in your case, you risk facing a longer prison or jail sentence:
- You have a prior conviction. California law is strict on repeat offenders, and if you have a prior conviction for a theft crime, you could face an added sentence.
- You committed the crime against an elder. Elders are a vulnerable group in society. Therefore, you could face enhanced penalties if you embezzled money or property belonging to someone over fifty years.
- You embezzled a high-value property. You will face additional years behind bars if you embezzle high-value property or a lot of money.
In addition to the criminal penalties you face for embezzlement, there is an added risk of immigrants facing charges for this offense in California. After your conviction, you could face severe immigration consequences. Since embezzlement is a crime of moral turpitude, it could result in your deportation or inadmissibility.
Defenses Against Embezzlement Charges
Embezzlement attracts severe legal and collateral consequences. If you face an arrest and charges under this statute, you must understand your legal rights and hire a skilled attorney to help you build a solid defense. The following are common legal defenses you can present against embezzlement charges:
Lack of Intent
A key element that the prosecution must prove to establish your liability under PC 503 is that you acted with an intent to deprive the property owner when you misused the money or property entrusted to you. Proving a criminal intent can be challenging for the prosecutor. Therefore, you can avoid a conviction by arguing that you did not intend to embezzle.
False Allegations
Some allegations of embezzlement are often based on false allegations. A person could falsely accuse of this offense out of revenge or jealousy. Sometimes, the perpetrator of the offense can accuse you of shifting the blame from themselves. With the guidance of a skilled attorney, you can uncover the false allegations scheme and avoid a conviction.
Lack of Control
You will be guilty of embezzlement if the prosecution proves you controlled the property or money. This is done by showing that the property owner entrusted it to you. If you can prove to the court that you were not in control of the alleged funds or assets, you will not be convicted of embezzlement.
Authorization
You could face an arrest and charges under PC 503 for using funds or property belonging to another person without authorization. You commit this crime by violating the trust put in you by the property owner. You can avoid a conviction under this statute by proving that the action you took was authorized by the property owner and not aimed at depriving them of the property or funds.
Duress
The prosecution in your embezzlement case must prove that you fraudulently converted or used the property entrusted to you for your benefit. Duress means that you were forced or coerced to commit the crime. Duress may be a valid defense for your case if you took or used the funds for fear of harm from another person.
Good Faith Belief
You will be convicted of embezzlement for taking or using money or property belonging to another person for personal benefit. However, you must have known that you were not allowed to use it for the purpose you did. You can fight your charges and avoid a conviction by arguing that you reasonably believed you had the right to use the money or property.
Mistake of Fact
Embezzlement charges arise from using funds or property for something the owner does not intend. You could use a mistake, in fact, as a defense to your charges if you made an honest error that was mistaken as an intent to embezzle the funds.
Entrapment
Under California law, entrapment occurs when law enforcement officers entice you to commit a crime that you could not have committed without their insight. Sometimes, arrests and charges for embezzlement arise from sting operations or informants. If you can prove that a police officer or an informant entrapped you, you could avoid a conviction under PC 503.
Insufficient Funds
Before your conviction for embezzlement, the prosecution must prove all the elements of the crime beyond a reasonable doubt. The prosecution does this by presenting physical evidence, circumstantial evidence, and witness testimony to substantiate their account of events. You can avoid a conviction based on insufficient evidence if the elements are not proven.
Expunging a Conviction for Embezzlement
The consequences of a conviction for embezzlement go beyond incarceration and fines. When the conviction enters your record, it can impact your career, personal life, and immigration status. Fortunately, you can avoid these collateral consequences of your conviction by seeking post-conviction relief.
Under California 1203.4, an expungement is a legal proceeding that releases you from the disabilities of your criminal conviction. You will be eligible for an expungement if you meet the following criteria:
- You have completed your probation. This means you have served the probation term and followed all the probation conditions.
- You are not facing charges or serving a sentence for another offense.
Expunging your convocation involves filing a petition under PC 1203.4. After a successful expungement, the court allows you to withdraw a guilty or no-contest verdict and enter a not-guilty verdict.
If your conviction for embezzlement is expunged, you can answer no when asked about your convictions. Additionally, employers cannot discriminate against you for an expunged conviction.
Offenses Offenses Related to Embezzlement in California
Embezzlement is a serious white-collar crime involving abusing the trust a property owner puts in you by using it for personal gain. When you face charges under PC 503, the prosecution can introduce charges for the following related offenses:
Burglary
California PC 459 defines burglary as entering a commercial or residential building to commit theft or another felony offense. If you entered another person's property to access the funds or property you embezzled, you can be charged with burglary instead of embezzlement. Before you are convicted under PC 459, the prosecution must prove that:
- You entered a building, structure, or locked vehicle.
- You entered the structure or building intending to commit a theft crime or another felony offense.
Even when you fail to commit the intended crime, entering a building or vehicle without authorization is enough to find you guilty of burglary. Burglary could be first or second-degree. First-degree burglary involves entering residential property and is always charged as a felony. A conviction for felony burglary is punishable by:
- Two to four to six years in prison
- Felony probation
- A $10,000 fine
You will be charged with second-degree burglary for entering a commercial building. Second-degree burglary is a wobbler and can be charged as a felony or misdemeanor. As a felony, the crime is punishable by a prison sentence of sixteen months to two to three years. When charged with a misdemeanor, burglary is punished with a jail sentence of up to one year.
Forgery
You will be charged with forgery when you falsify a signature or sign another person's name on legal or financial documents with fraudulent intent. The prosecution can file forgery charges alongside embezzlement if you falsify a seal or signature while committing embezzlement.
Forgery is a serious offense that can result in felony or misdemeanor charges. When charged as a misdemeanor, PC 470 attracts a jail sentence of up to twelve months, a $1,000 fine, and summary probation. A felony conviction, on the other hand, will see you spend sixteen months, two, or three years in prison.
If you face a conviction for forgery and embezzlement, you may be looking into a lengthy time behind bars. Therefore, seeking expert legal guidance is critical to battling your charges.
Receiving Stolen Property
Under California PC 496, receiving stolen property is the crime you commit when you conceal, receive, purchase, or withhold property that you know is stolen. If you receive property that has been embezzled, you could be arrested and charged with this offense. A conviction under this statute arises when the prosecution proves these elements:
- You bought, received, concealed, or withheld a stolen item.
- You knew or should have known that the property was stolen.
Depending on the nature and value of the item you received, PC 496 can attract misdemeanor or felony charges. Misdemeanor PC 496 is punishable by a jail sentence of up to one year. A felony conviction, on the other hand, will attract a prison sentence ranging from sixteen months to two or three years.
Misappropriation of Public Funds
California PC 424 makes it illegal for a trustee or public officer to use the funds entrusted to them improperly. You could be arrested and charged under this statute for acts including:
- Appropriating public funds without proper authorization
- Loaning or profiting from public funds without authority
- Making false accounts or altering accounts
- Failure to pay or transfer public funds to unauthorized accounts
If the prosecution can prove that you engaged in the following acts with fraudulent intent, you will be convicted and punished for misappropriation of public funds. A violation of PC 424 is charged as a felony. A conviction for the offense will result in a jail sentence of two, four, or six years.
Find a Skilled Criminal Defense Attorney Near Me
You could be arrested and charged with embezzlement if you use money or property entrusted to you for something other than the intended purpose. Embezzlement is charged under PC 503, and multiple elements and legal issues must be cleared up to obtain a conviction against you.
If you are found guilty of violating PC 503, you risk facing severe criminal consequences, including incarceration and hefty fines. Additionally, the conviction can taint your criminal record and affect multiple aspects of your life. Fortunately, not all artists under this statute will result in a conviction.
With the guidance of a skilled criminal lawyer, you can build a solid defense and avoid the consequences of a conviction. At Desert Defense Lawyers, we have the legal expertise and experience you need to protect your rights and secure a favorable outcome in your case in Palm Desert, CA. Contact us at 888-293-0396 for much-needed guidance.
