The accused's company received a duplicate cheque by mistake from a client for services already paid.
Knowing of the mistake, the accused deposited the cheque and transferred the funds to himself.
He was convicted of theft at trial, but the Court of Appeal set aside the conviction on the basis that property in the funds had passed to him under civil law.
The Supreme Court of Canada allowed the Crown's appeal and restored the conviction, holding that where a transferor mistakenly transfers property and the recipient knows of the mistake, property does not pass for the purpose of the criminal law if the law of property creates a right of recovery.
The accused's conversion of the funds with intent to deprive the owner constituted theft.
