P v. Maynarich (2nd Dist., Div.5) U.S. Currency Is a "Bank Bill or Note", Falling Under PC 473

In 2012, Mr. Maynarich was discovered to have three counterfeit fifty dollar bills in his possession.  He was charged with, and pleaded to, a felony violation of PC 475(a) which makes criminal, via PC 470(d), the possession of counterfeit "bank bills or notes".  

Following the November 4, 2014, passage of Proposition 47, Maynarich petitioned the trial court to reduce his felony 475(a) conviction to a misdemeanor.  Proposition 47 amended PC 473(b), the sentencing statute for forgery, to read,

[A]ny person who is guilty of forgery relating to a check, bond, bank bill, note, cashier’s check, traveler’s check, or money order, where the value of the check, bond, bank bill, note, cashier’s check, traveler’s check, or money order does not exceed nine hundred fifty dollars ($950), shall be punishable by imprisonment in a county jail for not more than one year [a misdemeanor] . . . .

Since three times fifty is well below 950, Maynarich's forgery appeared to be eligible for the relief sought.  But, the trial court denied Maynarich's petition, finding that U.S. currency was not one of the items listed, specifically not a bank bill or bank note.  Maynarich appealed.

The Second Division reverses and remands.

Resolving the issue of whether U.S. currency is a bank bill or bank notes requires a brief historical study of finance and reserve banking and the opinion does this nicely.  Section 475 was enacted in 1872, and at that time "bank bill" and "bank note" meant the same thing, "a written promise by a bank to pay a particular sum of money to the holder, passing from hand to hand as money".  As time passed, most private banks were forbidden to issue bank notes or bills.  However, some banks, specifically the Federal Reserve Banks of the United States, were, and still are, permitted to issue bank notes.  And a quick glance at any paper U.S. currency will reveal the words, "Federal Reserve Note".  In other words, U.S. currency is a note issued by a Federal Reserve bank, a bank note.

Thus the panel reverses the trial court's denial and remands the case for a determination of whether Maynarich poses an unreasonable risk to public safety.  Given the charge and the fact Maynarich was granted probation at his initial sentencing, I'll bet bank notes Maynarich gets his misdemeanor.