Iqbal v. State
Iqbal v. State
Opinion of the Court
| ¶ This criminal case stems from transactions between the appellant, Zafar Iqbal, and Magness Oil Company, a wholesale and retail distributor of petroleum products. Iqbal was charged with and convicted of theft of property and sentenced to two years’ imprisonment followed by three years’ suspended imposition of sentence. Iqbal seeks reversal of the conviction, arguing that the criminal proceeding was merely an attempt to collect a debt. He further alleges that he was denied his constitutional rights to counsel and to due process when documents prepared and signed by his attorney were used against him. We hold that the State presented sufficient evidence to establish that Iqbal obtained fuel by deceiving Magness Oil into believing that he has interests in certain property. We also hold that Iqbal failed to show that the State created a conflict of interest between him and his trial attorney. Therefore, we affirm.
| ^Background
We recount the evidence in the view most favorable to the State.
In November 2007, three automatic drafts were returned for insufficient funds. Jeffrey attempted to contact Iqbal, but to no avail. He went to Iqbal’s residence to look for him and was finally able to make contact. Jeffrey kept in contact with Benny via cell phone, and Benny ^instructed Jeffrey to sign a handwritten contract. Jeffrey explained that Iqbal represented himself to be the owner in any and all conversations. While at Iqbal’s home, Jeffrey drafted a “gas supply agreement” by hand. In the agreement, Iqbal is listed as the station owner. The agreement provided, in relevant part, “For security of gasoline station owner agrees to provide Magness Oil Company titles to two vehicles owned by station owner, 2nd mortgage of owner personal house, and assign proceeds of debt of three customer charge accounts.” Despite this agreement, Magness Oil never received the vehicle titles, the mortgage, or the assignment of proceeds. As it turned out, Iqbal did not own any vehicles or a house (the house in which he lived was in Betty Jane’s name).
On November 20, 2007, Iqbal traveled to Mountain Home and signed a normal consignment fuel-supply contract with Magness Oil. At trial, Benny explained that he was going to enter into a contract with Iqbal or turn the returned drafts to the hot-check office. The contract listed Iqbal as the owner of the One Stop, and Benny testified that Iqbal told him that he owned the One Stop with his wife Betty Jane.
At trial, Benny presented five unpaid invoices for fuel deliveries in March 2008, totaling $104,540.81 (there was testimony questioning whether this amount was actually paid in full, but for the purposes of this appeal, we assume that it was not). On March 29, he called Iqbal and told him that he owed money on the account. Iqbal wanted another delivery of gas, but he told Benny that he could not pay for the previous invoice. Benny threatened to file a complaint with the sheriffs office and the prosecuting attorney if Iqbal did not pay.
|4On March 31, 2008, Benny received a letter from Iqbal’s attorney, indicating that Iqbal had filed for Chapter 7 bankruptcy in August 2007 and that Iqbal had started taking delivery from another fuel provider. This was the first time Benny learned that Iqbal had filed bankruptcy. Other documents entered into evidence show that Iqbal filed for Chapter IB bankruptcy in August 2007 (it was converted to a Chapter 7 filing in January 2008). An amended filing shows Magness Oil as a creditor to the tune of $104,000.
During the bankruptcy proceedings, Benny learned that Iqbal did not own any real property or vehicles. He also learned that Iqbal did not own an interest in the One Stop. Benny testified that, had he known that Iqbal was merely an employee of the One Stop, he would not have done business with him. He also stated that he relied on the handwritten contract as proof that he was the owner. A few weeks after receiving the letter from Iqbal’s attorney, Benny filed a criminal complaint with the sheriffs office, who forwarded the matter to the prosecuting attorney. Iqbal was then charged with theft of property.
Betty Jane filed for Chapter 13 bankruptcy in October 2008. She filed a statement of financial affairs in bankruptcy court in December 2008. This statement listed her as 51% owner of the gas station and Iqbal as 49% owner. Regarding the statement of her current income, the filing listed Betty Jane as “manager” of the One Stop and Iqbal as the “eo manager.” She testified, however, that the filing was a mistake and that she owned 100% of the business. She could not explain why the filing had Iqbal as 49% owner. Also entered into evidence was a brief in support of a motion to dismiss, filed by Iqbal’s attorney. In the brief | Jtself, there are several references to “Zafar Iqbal d/b/a Chuck Wagon, Inc./One Stop.” There is a similar reference in an affidavit attached as an exhibit.
The court also heard testimony from Roger Mason and John Grisham, both of whom also deliver fuel to retail stores. Both sold gas to Iqbal, who represented himself to be the owner of the One Stop. Another distributor, Milton Satterfield, also testified that he delivered fuel to the One Stop and did business with Iqbal, not Betty Jane. In cross-examination, however, he stated that Betty Jane signed the authorization form for electronic drafts.
At the end of the State’s case, Iqbal moved for directed verdict. He argued that the proceeding was strictly an attempt to collect a debt, which was inappropriate for a criminal proceeding. The court denied his motion. The jury found Iqbal guilty of one count of theft of property, and he was sentenced to two years’ imprisonment, followed by three years’ suspended imposition of sentence. He was also ordered to pay $104,540.81 in restitution to Magness Oil.
Directed Verdict Motion
First, Iqbal argues that the circuit court should have granted his motion for directed verdict. As he did at trial, he asserts that the criminal proceeding against him was merely an attempt to collect a debt and that such procedure is not supported by the law.
When considering a challenge to the sufficiency of the evidence to support a conviction, we consider the evidence in the light most favorable to the State, considering only the evidence in favor of the guilty verdict, and affirm if the conviction is supported by Insubstantial evidence.
To convict Iqbal of theft of property, the State had to prove that he knowingly obtained the property of another person, by deception or by threat, with the purpose of depriving the owner of that property.
A criminal defendant’s intent or state of mind is seldom capable of proof by direct evidence and must usually be inferred from the circumstances of the crime.
The crux of Iqbal’s argument is that the mere nonpayment of a debt cannot form the basis for a theft charge. He is correct in this regard. As to a person’s intention to perform a |spromise, a jury may not infer “deception” solely from the fact that the person did not subsequently perform the promise.
In Cates v. State,
In Wiley v. State,
And in Cox-Hilstrom v. State,
In the aforementioned cases, there was no evidence upon which a jury could find that the appellant used deception to deprive the victims of their property. That being said, the appellate courts have affirmed convictions after the victim has come to realize that they had been deceived out of their money.
holn Dean v. State,
In Wilson v. State,
Finally, the appellants in Williams v. State
Returning to the case presently before us, the State presented testimony regarding the Iqbals’ bankruptcies and Benny Magness’s desire not to deal with customers who have filed bankruptcy. The record shows that Iqbal did not file for bankruptcy until after he started receiving product from Magness Oil, and we find nothing in the record suggesting that Iqbal affirmatively hid that status.
Nonetheless, we affirm Iqbal’s conviction because the State presented substantial evidence that he knowingly deceived Magness Oil in an effort to get fuel for the One Stop. Specifically, a jury could reasonably find that Iqbal represented himself to be the owner of the One Stop when in fact he was not, that he represented himself to own certain other property intended to be used as collateral when in fact he did not, and that he made these representations so that Magness Oil would continue to supply him fuel for the One Stop. This case is not like Cates, Wiley, and Cox-Hilstrom, where the court had nothing before it to explain the nonpayment of an obligation. Rather, we liken this case to Dean and Wilson, where the appellants made affirmations to induce their victims to give up their money.
In light of the evidence suggesting that Iqbal misrepresented what he owned to induce Magness Oil to give him fuel for his wife’s convenience store, we hold that the State presented sufficient evidence to support a conviction for theft of property. We affirm on this point.
_[¿2Right to Counsel and Due Process
Next, Iqbal asserts that he was denied his constitutional rights to counsel and due process when several documents prepared by his attorney were used against him. He acknowledges that he made no objection at trial, but he contends that the introduction of those documents created a massive conflict of interest and that such a claim is an exception to the contemporaneous-objection rule, as outlined in Wicks v. State.
At trial, the State presented three documents prepared by Iqbal’s attorney, who also served as his attorney during the bankruptcy proceedings. The first was a letter from counsel to Benny, notifying Benny that Iqbal had filed for bankruptcy. The second was a copy of Iqbal’s bankruptcy filing, which listed his trial counsel as his bankruptcy attorney. An amended version of the filing showed a $104,000 debt owed to Magness Oil. The third was a brief in support of a motion to dismiss in this case and an attached affidavit. In these documents, there are several references to “Zafar Iqbal d/b/a Chuck Wagon, Inc./One Stop.” Iqbal’s trial attorney did not object to the admissibility of any of these documents.
Normally, a contemporaneous objection is necessary to preserve a matter for appeal.
We pass on the question of whether this case presents a scenario that would fall under an exception under Wicks. Assuming (but not deciding) that it does,
Iqbal’s entire argument is premised upon his assumption that the introduction of those documents was the equivalent of forcing his attorney to be a witness against his client. No such thing happened here. We agree that a lawyer is prohibited from mixing the role of 114advocate and witness.
In short, we hold that Iqbal failed to show that a conflict of interest arose as a result of the court allowing the State to introduce documents produced by his trial attorney in this case. We affirm on this point as well.
Affirmed.
. See, e.g., Watson v. State, 358 Ark. 212, 188 S.W.3d 921 (2004); DeShazer v. State, 94 Ark. App. 363, 230 S.W.3d 285 (2006) (both noting that, in reviewing the sufficiency of the evidence to support a criminal conviction, appellate courts view the evidence in the light most favorable to the State, considering only the evidence that supports the guilty verdict).
. Mitchem v. State, 96 Ark.App. 78, 238 S.W.3d 623 (2006).
. Baughman v. State, 353 Ark. 1, 110 S.W.3d 740 (2003).
. Booker v. State, 335 Ark. 316, 984 S.W.2d 16 (1998).
. Id.
. Phillips v. State, 88 Ark.App. 17, 194 S.W.3d 222 (2004).
. Ark.Code Ann. § 5-36-103(a)(2) (Supp. 2009).
. Ark.Code Ann. § 5-36-101(3)(A)(i), (iii), (v) (Repl. 2006).
. See Hardcastle v. State, 25 Ark.App. 157, 755 S.W.2d 228 (1988); Hixson v. State, 266 Ark. 778, 587 S.W.2d 70 (Ark.App. 1979).
. Gikonyo v. State, 102 Ark.App. 223, 283 S.W.3d 631 (2008).
. Id.
. Id.
. Kerby v. State, 233 Ark. 8, 342 S.W.2d 412 (1961) (quoting Baker v. State, 4 Ark. 56 (1842)).
. Ark.Code Ann. § 5-36-101(3)(B).
. 267 Ark. 726, 589 S.W.2d 598 (Ark.App. 1979).
. 268 Ark. 552, 594 S.W.2d 57 (Ark.App. 1980).
. 58 Ark.App. 109, 948 S.W.2d 409 (1997).
. 258 Ark. 32, 522 S.W.2d 421 (1975).
. 277 Ark. 43, 639 S.W.2d 45 (1982).
. 2009 Ark. App. 848, 2009 WL 4851104.
. 270 Ark. 781, 606 S.W.2d 366 (1980).
. Id.
. Id.
. The State cites Rackley v. State, 371 Ark. 438, 267 S.W.3d 578 (2007), and Cook v. State, 76 Ark.App. 447, 68 S.W.3d 308 (2002), in support of its position that the Wicks exception is inapplicable here. In both cases, the appellate court declined to extend Wicks to claims of ineffective assistance of counsel where an attorney represents co-defendants. We believe the present case is distinguishable and decline to apply those cases here.
. See Ark. R. Prof! Conduct 3.7 (stating that lawyer shall not act as advocate at a trial in which he or she is likely to be a necessary witness except under narrowly defined circumstances); Smith v. Wharton, 349 Ark. 351, 78 S.W.3d 79 (2002) (citing several cases for the proposition that attorneys should not act as trial counsel and as a material witness).
. Cook v. State, 361 Ark. 91, 204 S.W.3d 532 (2005) (citing Cuyler v. Sullivan, 446 U.S. 335, 100 S.Ct. 1708, 64 L.Ed.2d 333 (1980)).
. Id.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.