People v. Rosano, 50 NY2d 1013 [1980] deals with a major indictment of a housing development contractor who did not complete the project. Many of the charges involve the provisions of Lien Law 79-a(3), which creates a permissible inference that a trustee's failure to keep the books or records required under 75(4) is evidence that he received or applied the funds for purposes other than those of the trust created by operation of law when the agreement was reached. Noting that the statutory inference does not relate to criminal intent, the court found the statute constitutional. The People were still required to prove defendant's guilt beyond a reasonable doubt, and the statute did not shift the burden of proof to the defendant. The court noted that "it is beyond dispute that there exists a rational basis between the fact proved (failure to keep records) and the fact presumed (applying trust funds for a non-trust purpose)." (50 NY2d 1013, 1017.)