A. A. Chandler v. Alabama Municipal

This is an appeal from a declaratory judgment in which the trial court held that the Alabama Municipal Insurance Company has
no duty to defend a civil action brought against A. A. Chandler on the grounds that he had fraudulently and illegally obtained
public funds. We affirm. On May 10, 1990, P. M. Johnston, the district attorney of Lamar County, Alabama, filed a civil suit against A. A. Chandler,
individually and as mayor of the City of Vernon, Alabama. The complaint alleged that Chandler had illegally received $47,000
by fraudulently and unlawfully depleting the public funds of the City of Vernon; it sought a return of those funds to the
city. The suit filed by the district attorney was the result of an eight-count indictment brought against Chandler by a Lamar
County grand jury charging him with obtaining money by deceit, in violation of § 13A-8-3, Code of Alabama 1975,
and the unlawful and felonious use of his official position to obtain direct, personal gain, in violation of § 36-25-5.