Pace

The defendant in this case was accused by the district attorney of the crime of violating the Corporate Securities Act, committed as follows:

The case was submitted to the jury upon a stipulation of facts based upon the testimony given and the evidence in troduced at the preliminary hearing. From this stipulation; the following material facts may be gleaned:

That the United Candy Shops was a corporation formed under the laws of the state of California; that some time prior to March 8, 1923 (the exact dates not appearing in the stipulation), the commissioner of corporations of California issued an original and several supplemental permits granting to the United Candy Shops permission to sell certain portions of its capital stock; that these permits were all revoked on March 8, 1923; that the defendant, S. A. Pace, was granted a broker’s permit on February 21, 1922, which entitled him to sell securities; that this permit was revoked on December 8, 1922; that the defendant was a director of the United Candy Shops and, some time in the month of February, 1923, was elected president of the corporation; that during the period that the permits to sell stock and the defendant’s permit…