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HomeMy WebLinkAbout328 MelmanMr. Milton Melman 1571 NW 20th Avenue Pines of Delray N. Apt. 201 Delray Beach, FL 33445 RE: No. 84 -42 -C Dear Mr. Melman: STATE ETHICS COMMISSION 308 FINANCE BUILDING HARRISBURG, PENNSYLVANIA 17120 ORDER OF COMMISSION November 28, 1984 Order No. 328 The State Ethics Commission has reviewed the possibility that you have violated the State Ethics Act, Act 170 -1978. The nature of the alleged violation is as follows: 1. Allegation: That as a public official, you failed to file a Statement of Financial Interests by May 1, 1983, for calendar year 1982, as required by the State Ethics Act and regulations. A. Findings: 1. An audit of the Statement of Financial Interests for calendar year 1982 required to be filed by May 1, 1983, was conducted by the State Ethics Commission. Your statement was not on file. 2. You served as a compensated member of the State Employees Retirement Board during calendar year 1982. a. The law applicable to this entity specifies that its members are authorzied to receive compensation other than reimbursement for expenses. b. You resigned or left this office in April, 1983. c. The powers and duties of this Board as set forth in the laws of this Commonwealth include the power to: 1) establish rules and regulations for the administration of the fund and ledger accounts created by this act and for the transaction of its business. 2) Adopt for the retirement system one or more mortality tables, and such other tables as shall be deemed necessary. Mr. Milton Mel man Page 2 November 28, 1984 3) Certify the rates of deduction from salary necessary to pay the annuities authorized under the provisions of this act; 4) Certify biennially the amount of appropriation, which shall be made by the Commonwealth and other agencies to the State Employes' Retirement Fund, which amounts shall be based on estimates furnished by the actuary, and shall be credited to the proper accounts created by this act. 5) prepare and have published, annually, a financial statement showing the condition of the fund and various accounts created by this act, and setting forth such other facts, recommendations and data as may be of use in the advancement of knowledge concerning State employes' pensions and annuities, and said retirement board shall submit said financial statment to the Governor of the Commonwealth of Pennsylvania, and shall file copies in the offices of the Secretary of the Commonwealth, of the State Insurance Department, and of the head of each department, for use of the State employes and the public. 3. You were a public official as that term is used in the Ethics Act and upon leaving office as set forth above became a former public official. 4. You had not filed a Statement of Financial Interests for calendar year 1982 according to our records, so the following steps were undertaken to secure your filing. 5. A letter was addressed to you by the Executive Director of the State Ethics Commission, Edward M. Seladones. a. This letter was dated August 8, 1983. b. This letter was addressed to you at 4074 Fawn Drive, Harrisburg, PA, 17112. c. This letter was mailed regular first class mail. d. We received no response to this letter. 6. Another letter was addressed to you by the Executive Director of the State Ethics Commission, Edward M. Seladones. a. This letter was dated November 4, 1983. b. This letter was addressed to you at 4074 Fawn Drive, Harrisburg, PA, 17112. Mr. Milton Melman Page 3 November 28, 1984 c. This letter was mailed certified, return receipt requested, No. 5254754. This letter was accepted by Milton Melman on November 23, 1983. 7. You responded to our letter on November 29, 1983, stating that because we returned your form and since you were no longer a resident of Pennsylvania, that you felt you didn't have to file. 8. A letter was addressed to you by the Executive Director of the State Ethics Commission, Edward M. Seladones, February 7, 1984, stating that you are required to file statements with the State Ethics Commission for 1982 and 1983, and enclosing blank forms for your use. 9. We had not received your Statement of Financial Interests for 1982 as of September 6, 1984. a. Based on the above, we issued an Order on September 6, 1984. b. On September 18, 1984, we received your Statement of Financial Interests for calendar year 1982. B. Discussion: Section 4. Statement of financial interests required to be filed. (a) Each public employee employed by the Commonwealth shall file a statement of financial interests for the preceding calendar year with the department, agency or bureau in which he is employed no later than May 1 of each year that he holds such a position and of the year after he leaves such a position. Any other public employee shall file a statement of financial interests with the governing authority of the political subdivision by which he is employed no later than May 1 of each year that he holds such a position and of the year after he leaves such a position. 65 P.S. 404(a). The State Ethics Commission has ruled that all "public officials" are also "public employees" and, thus, subject to Section 4(a)'s requirements. See Carter, 79 -066. Also, the regulations of the State Ethics Commission, which have the force and effect of law specify that "public officials" shall file a Statement of Financial Interests for each year they hold office. 51 Pa. Code 4.4(a). The Commonwealth Court has also agreed that "public officials" are subject to the filing requirements of Section 4(a) of the Ethics Act. See Kremer v. State Ethics Commission, 56 Pa. Cmwlth. 160, 424 A.2d 968 (1981). Mr. Milton Melman November 28, 1984 Page 4 Sections 4.4(a) and 4.4(d) of the State Ethics Commission regulations state: (a) Incumbent officials of the Commonwealth's executive, legislative, and judicial branches and other statewide offices who are not candidates shall file their Statement of Financial Interests with the Commission and a copy with the agency in which they hold office by May 1 of each year in which they hold office. 51 Pa. Code 4.4(a). (d) Former public officials shall file a Statement of Financial Interests for their last year of service by May 1 of the succeeding year. This statement shall be filed at the same offices they filed when they were incumbent officials. 51 Pa. Code 4.4(d). The powers and duties of this Board indicate this body has either the authority to expend public funds or to otherwise exercise the power of the State or any political subdivision. In addition, you were authorized to receive compensation for your services. You are subject to the Ethics Act because of the Board's authority and the compensation provided by law. You have failed to file the Statement of Financial Interests required by the law and State Ethics Commission regulations despite being advised of this requirement. For purposes of the Act, accurate and complete Statements of Financial Interests must be available to the public served by the public official or public employee. We realize that errors caused by oversight or misunderstanding may need to be corrected. You received our letters informing you about your obligation to file a Statement of Financial Interests. You held a responsible position with the Commonwealth and must be presumed to have an understanding of forms and administrative and legal requirements. We believe you understood your filing obligation. In addition, Section 9(b) states: Section 9. Penalties. (b) Any person who violates the provisions of Section 4 is guilty of a misdemeanor and shall be fined not more than $1,000 or imprisoned for not more than one year, or be both fined and imprisoned. 65 P.S. 409(b). Mr. Milton Melman November 28, 1984 Page 5 However, we have now reviewed this matter and your late fiing of your Statement and we find no evidence that your failure to file was willful or intended to conceal personal financial gain realized through your office or confidential information gained through that office. Therefore, we will take no further action. C. Conclusion: You violated the Ethics Act and State Ethics Commission regulations by not filing a Statement of Financial Interests with the State Ethics Commission as set forth above despite official notification of your obligations. However, we find no evidence that your failure to file was willful, you have now filed, and we, therefore, decline to refer this to a law enforcement agency for review or take any further action. Our files in this case will remain confidential in accordance with Section 8(a) of the Ethics Act, 65 P.S. 408(a). However, this Order is final and will be made available as a public document 15 days after service (defined as mailing) unless you file documentation with the Commission which justifies reconsideration and /or challenges pertinent factual findings. See 51 Pa. Code 2.38. During this 15 -day period, no one, including the Respondent unless he waives his right to challenge this Order, may violate this confidentiality by releasing, discussing or circulating this Order. Any person who violates the confidentiality of a Commission proceeding is guilty of a misdemeanor and shall be fined not more than $1,000 or imprisoned for not more than one year or both, see 65 P.S. 409(e). RED /na B cc: Governor's Office of Boards & Commissions Robert Bowers, Personnel Officer State Employees Retirement Board mmi a .ivt.A.... Herb-rt B. Conner Cha rman