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Hawk mishandled children's trust funds, CPA says

Published online on Friday, Aug. 21, 2009

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HANFORD -- A defense witness testified Thursday in Dave Hawk's murder trial that Hawk, who is accused of embezzling more than $300,000 from his children's trust accounts, had breached his responsibility as a trustee of the accounts.

Hawk, 51, of Lemoore was charged in mid-2007 with embezzlement and was awaiting trial in that case when he was arrested in May 2008 in connection with his ex-wife's murder.

Debbie Hawk's body has never been found.

Jim Braun, a certified public accountant, testified that Hawk, as the trustee, should not have commingled his children's trust funds with other bank accounts and should have kept records of how money from the trust funds was spent.

However, Braun said during a testy exchange with prosecutor Larry Crouch in Kings County Superior Court that he believes Hawk was naive about managing the trust fund money.

When Crouch asked whether all of Hawk's alleged criminal activities related to the trust funds were due to his naiveté, Braun said, "We have a lot of improper acts. I would leave it to the jury to decide."

Testimony heated up when Crouch asked Braun whether Hawk's purchase of a $26,000 Lexus for his former live-in girlfriend, Mary Royer, was an appropriate use of the trust funds.

The car purchase could be, Braun said, because "vehicles are often used to transport family members around."

Twice during Braun's testimony, Visiting Judge Daniel E. Creed admonished him for surly comments he had made to Crouch, telling him to simply answer the questions.

Braun also testified that Hawk could spend the money on the children's "health, education, support or maintenance," because of the broad language in the trust agreements.

Hawk did not attempt to conceal his transactions with the trust funds, Braun said.

Earlier Thursday, Creed denied a motion to dismiss all charges against Hawk. His attorneys contended the prosecution had not provided sufficient evidence to prove Hawk's guilt.

Hawk's attorneys are expected to conclude their case Monday. Closing arguments would begin Tuesday, Creed said.


The reporter can be reached at ejimenez@fresnobee.com or (559) 622-2420.

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