HomeMy WebLinkAbout425 BeluchMr. Theodore X. Beluch
Phoenixville Borough Councilman
245 Hall Street
Phoenixville, PA 19460
Re: No. 84 -54 -C
Dear Mr. Beluch:
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
ORDER OF THE COMMISSION
_ Novemb
er 4, 1985
Order No. 425
The State Ethics Commission has received a complaint regarding you and a
possible violation of Act 170 of 1978. The Commission has now completed its
investigation. The individual allegations, conclusions, and findings on which
those conclusions are based are as follows:
I. Allegation: That you, a councilperson in Phoenixville Borough, violated
Section 5(b)(5) of the Ethics Act, 65 P.S. 405(b), which requires the
reporting of sources of income totalling $500 or more by failing to report a
gambling operation as a source of income for 1981 and 1982 and "X's Kitchen"
as a source of income in 1982.
A. Findings:
1. You have served as a councilmember of Phoenixville Borough Council at
least from 1980 through March 5, 1985 and, as such, are subject to the
requirements of the Ethics Act (Act 170 - 1978).
2. Your Statement of Financial Interests filed for calendar years 1981 and
1982 do not list X's Kitchen or gambling as a source of income.
3. According to a Trustee of the Friendship Fire Company, Phoenixville, PA,
you obtained permission to have your daughter operate a sandwich shop in the
bar area of the Fire Company Club.
a. You state that you obtained permission to operate this kitchen and
had a telephone installed in your name because you believed a
non - member - your daughter - could not gain approval to operate the
kitchen.
Mr. Theodore X. Beluch
.v-Page 2
b. You state that your daughter was the owner of the kitchen and you
received no income or profits from its operation.
c. According to the Fire Company Trustee, there was no formal agreement
on the operation of the kitchen and no payments were ever made to you
during 1981 -1983 from the operation from this kitchen.
4. December, 1982, you were arrested for operating an illegal numbers game in
the Friendship Fire Hall.
a. You pleaded nolo contendere to the charge of gambling and were
sentenced to two years' probation, fined $500 and required to pay the
cost of prosecution.
5. You state that your income from the gambling operation was never $500 or
more in any calendar year.
6. Neither the Chester County District Attorney's office nor the
Phoenixville Police Department have any information indicating that your
gambling operation resulted in income in excess of $500 per year.
B. Discussion:
Section 5. Statement of financial interests.
(b) The statement shall include the following information
for the prior calendar year with regard to the person
required to file the statement and the members of his
immediate family:
(5) The name and address of any person who is the
direct or indirect source of income totalling in
the aggregate of $500 or more. However, this
provision shall not be construed to require the
divulgence of confidential information protected
by statute or existing professional codes of
ethics.
November 4, 1985
There is no evidence that you earned $500 or more through your gambling
operation and we find no violation of the Ethics Act. Rut, we must make you
aware that all sources of income of $500 or more must be reported should you
realize income at this level in the future.
We also find no evidence that you realized income of $500 or more from
the operation of X's Kitchen. However, we must express our concern and
disapproval of your knowingly creating the false impression that you were the
owner of this operation. Effective public leadership demands honest and open
Mr. Theodore X. Beluch
Page 3
communications with constituents. In this case, you purposely structured
conditions to create a false appearance and raised questions about the
accuracy and completeness of your Statements of Financial Interests. While we
find no violation of the Ethics Act, we must express our disapproval of your
actions because they do not provide the kind of leadership the public has
every right to expect.
C. Conclusion: You did not violate the State Ethics Act by failing to report
your gambling operation and X's Kitchen as sources of income of $500 or more
because we find no evidence that you realized income at this level. We will
take no further action in this matter.
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 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).
JJC /sfb
By V he C omr3i s c i o n,
erbepi!` B. Conner
Chairman
November 4, 1985