Page 1 of 6
SETTLEMENT AGREEMENT
This Settlement Agreement (“Agreement”) is made and entered into by the Board of
Ethics of the City of Philadelphia, J. Shane Creamer Jr., the Executive Director of the Board,
and the Hon. R. Seth Williams, jointly referred to as “the Parties.”
RECITALS
A. The Board of Ethics of the City of Philadelphia is an independent, five-member City
board established in 2006 through voter approval of an amendment to the Philadelphia
Home Rule Charter. Pursuant to Section 4-1100 of the Home Rule Charter and Chapter
20-600 of the Philadelphia Code, the Board is charged with administering and enforcing
the City Ethics Code.
B. The Hon. R. Seth Williams is the District Attorney of Philadelphia. He took office in
January of 2010.
C. Philadelphia Code Section 20-610 requires that certain City officers, including the
District Attorney, file an annual City Statement of Financial Interests. The Statement is
due by May 1 of each year and contains financial information related to the previous
calendar year.
D. In a City Statement of Financial Interests, a City officer must disclose, among other
information, any persons that gave him or her gifts worth $200 or more in the aggregate
in the previous calendar year and any sources of income of $500 or more during the
previous calendar year. The filer must disclose the value and circumstances of each gift.
E. As defined by Code Section 20-601(10), a gift is:
A payment, subscription, advance, forbearance, rendering or deposit of money,
services or anything of value given to, or for the benefit of, an officer or
employee, unless consideration of equal or greater value is received. “Gift” shall
not include a political contribution otherwise reportable as required by law, a
commercially reasonable loan made in the ordinary course of business, or a gift
received from a Family member of the individual or from a relative within the
third degree of consanguinity of the individual or of the individual’s spouse or
Life Partner, or from the spouse or Life Partner of any such relative.
F. From 2011 through 2016, District Attorney Williams filed six City Statements of
Financial Interests for calendar years 2010 through 2015 (the “Original Statements”). In
these Statements, District Attorney Williams declared that he did not receive any
reportable gifts in the relevant calendar years.
G. In July of 2016, an attorney for District Attorney Williams contacted Board enforcement
staff and informed Board enforcement staff that District Attorney Williams had omitted
numerous items from the six City Statements of Financial Interests he filed for calendar
years 2010 through 2015. Based on this information, Board enforcement staff opened an
investigation into potential violations of the City Ethics Code. In the course of the
investigation, enforcement staff obtained information from District Attorney Williams
and subpoenaed documents from various third parties.
Page 2 of 6
H. In August of 2016, District Attorney Williams filed amended City Statements of
Financial Interests for calendar years 2010 through 2015 (the “Amended Statements” and,
together with the Original Statements, collectively, the “Statements”). The Amended
Statements revealed that District Attorney Williams omitted the following items from the
Original Statements, as set forth and described in more detail in the Amended Statements:
i. One source of income in 2010;
ii. Four sources of income in 2015;
iii. Nine gifts in 2010;
iv. 14 gifts in 2011;
v. 13 gifts in 2012;
vi. 21 gifts in 2013;
vii. 20 gifts in 2014; and
viii. 12 gifts in 2015.
I. Among the gifts District Attorney Williams failed to disclose in the Original Statements
were 20 gifts from individuals who had a financial interest that the District Attorney was
able to substantially affect through official action. These individuals included criminal
defense attorneys who were handling cases prosecuted by the District Attorney’s Office,
as well as subordinate employees and contractors of the District Attorney’s Office.
J. In addition, during their investigation, Board enforcement staff discovered that the
Amended Statements failed to disclose the following additional 10 items that should have
been disclosed:
i. In 2010:
a. a gift of $2,500 from Obermayer Rebmann Maxwell & Hippel, LLP;
b. a gift of $3,536.59 from William R. Miller, IV;
c. a gift of $500 from William R. Miller, IV; and
d. income from Zarwin Baum DeVito Kaplan Schaer Toddy, P.C.
ii. In 2011:
a. a gift of $1,000 from Widener University; and
b. income from Zarwin Baum DeVito Kaplan Schaer Toddy, P.C.
iii. In 2013:
a. a gift of $7,000 from Mohammad N. Ali;
b. a gift of $500 from Monumental Baptist Church; and
c. a gift of $630 from Orlando Cummings, Jr.
iv. In 2015, income from Zarwin Baum DeVito Kaplan Schaer Toddy, P.C.
Page 3 of 6
K. Section 20-604(1) of the City Ethics Code, as amended in 2014, prohibits a City officer
from accepting monetary gifts in any amount or non-monetary gifts worth more than $99
in the aggregate per calendar from a person who (1) is seeking official action from that
officer or (2) has a financial interest at the time, or in close proximity to the time, the gift
is received that the officer is able to substantially affect through official action.
L. In calendar years 2014 and 2015, District Attorney Williams accepted the following five
gifts from individuals who had a financial interest he was able to substantially affect
through official action:
i. In 2014:
a. $690 in Phillies and 76ers tickets from Scott DiClaudio, a criminal
defense attorney who was handling cases prosecuted by the District
Attorney’s Office;
b. $750 in Visa gift cards from Mr. DiClaudio;
c. $200 in cash from Pierre Gomez, a subordinate employee of the District
Attorney’s Office; and
d. $200 in cash from Daniel Kearney, a subordinate employee of the
District Attorney’s Office.
ii. In 2015, $1,000 in lodging from Richard Hoy, a criminal defense attorney who
was handling cases prosecuted by the District Attorney’s Office.
M. A violation of Code Section 20-610 or 20-604 is subject to a civil monetary penalty of
$1,000, which may be increased to $2,000 if an aggravating factor is present or decreased
to $250 if mitigating factors are present.
N. District Attorney Williams cooperated with the Board’s investigation of the violations
described in this Agreement.
O. The Parties desire to enter into this Agreement in order to resolve the matters described
herein.
Page 4 of 6
AGREEMENT
In consideration of the foregoing recitals and the mutual covenants and promises set forth herein,
and intending to be legally bound, the Parties hereby agree as follows:
1. By failing to disclose gifts and sources of income in the six original City Statements of
Financial Interests he filed for calendar years 2010 through 2015, District Attorney Williams
violated Philadelphia Code Section 20-610. He is subject to a civil monetary penalty of
$2,000 for each of the six Statements from which he made such omissions, for a total civil
monetary penalty of $12,000 for these violations of Code Section 20-610.
2. By failing to disclose the 20 gifts described in paragraph I in the six original City Statements
of Financial Interests he filed for calendar years 2010 through 2015, District Attorney
Williams violated Philadelphia Code Section 20-610. He is subject to a civil monetary
penalty of $1,000 per omitted gift, for a total civil monetary penalty of $20,000 for these
violations of Code Section 20-610.
3. By failing to disclose the 10 gifts and sources of income in the amended City Statements of
Financial Interests he filed in August of 2016, as described in paragraph J, District Attorney
Williams violated Philadelphia Code Section 20-610. He is subject to a civil monetary
penalty of $2,000 for each of these 10 omissions, for a total civil monetary penalty of
$20,000 for these violations of Code Section 20-610.
4. By accepting the five gifts described in paragraph L, District Attorney Williams violated
Philadelphia Code Section 20-604(1). He is subject to a civil monetary penalty of $2,000 for
each of these five prohibited gifts, for a total civil monetary penalty of $10,000 for these
violations of Code Section 20-604(1).
5. By April 30, 2017, District Attorney Williams shall disgorge to the City $2,840, which is the
total value of the prohibited gifts described in paragraph L. Payment shall be by check or
money order made payable to the City of Philadelphia and delivered to the offices of the
Board.
6. The aggregate civil monetary penalty for the violations described in paragraphs 1-4 is
$62,000, which District Attorney Williams shall pay on the following schedule:
6.1. $2,500 by December 31, 2017; and
6.2. At least $10,000 during each subsequent calendar year until the full amount is paid,
provided that the full amount shall be paid by December 31, 2022.
Payment shall be by check or money order made payable to the City of Philadelphia and
delivered to the offices of the Board.
7. Within 30 days of the Effective Date of the Agreement, District Attorney Williams shall file
amended City Statements of Financial Interests to correct the omissions described in
paragraph J.
Page 5 of 6
8. District Attorney Williams releases and holds harmless the Board and its staff from any
potential claims, liabilities, and causes of action arising from the Board’s investigation,
enforcement, and settlement of the matters described in the Agreement.
9. District Attorney Williams represents and warrants that, except for the corrected and
additional information set forth in this Agreement, the information contained in the
Statements (including, without limitation, the stated gift values) is accurate and complete in
all material respects.
10. In consideration of the above and in exchange for the compliance of District Attorney
Williams with all of the terms of the Agreement, the Board waives any further penalties or
fines against him for the violations described in the Agreement, provided that, if after the
Effective Date of the Agreement, the Board (i) learns of other violations by District Attorney
Williams of the laws enforced by the Board that occurred prior to the date hereof (“Other
Violations”) or (ii) learns that the information District Attorney Williams has provided
(including, without limitation, the value of the gifts as stated by District Attorney Williams in
the Statements) was materially inaccurate or insufficient (“Inadequate Disclosures”), the
Board shall not be barred by this Agreement from pursuing and shall have the right to pursue
such enforcement actions as the Board determines to be appropriate to address such Other
Violations or Inadequate Disclosures.
11. Nothing herein shall limit or impair the right of the Board to investigate and prosecute
District Attorney Williams for any violations of the City laws enforced by the Board
occurring after the date of this Agreement.
12. The Parties will not make any public statements that are inconsistent with the terms of the
Agreement.
13. If the Board is forced to seek judicial enforcement of the Agreement, and prevails, District
Attorney Williams shall be liable for attorneys’ fees and costs reasonably expended in
enforcing compliance with the Agreement. Fees for time spent by City attorneys shall be
calculated based upon standard and customary billing rates in Philadelphia for attorneys with
similar experience.
14. The Executive Director, or his Designee, will submit a signed copy of the Agreement to the
Board for approval. The Agreement shall become effective upon approval by the Board. The
Effective Date of the Agreement shall be the date the Board approves the Agreement.
15. Upon the Agreement becoming effective, the City shall file the Stipulated Judgment,
appended hereto. The Agreement and the Stipulated Judgment contain the entire agreement
between the Parties.
2
2. Plaintiff and Defendant agree that judgment be entered in favor of Plaintiff and against
Defendant in the amount of the Judgment Amount.
3. Plaintiff and Defendant agree that execution upon the Judgment Amount will be stayed
upon the condition that Defendant satisfies the terms of the Agreement including complying with the
payment schedule set forth in paragraphs 5 and 6 of the Agreement, to wit:
(a) (i) $2,840 by April 30, 2017; (ii) $2,500 by December 31, 2017, and (iii) at least
$10,000 per subsequent calendar year until the full amount is paid, provided that
the full amount shall be paid by December 31, 2022.
(b) All payments are to be made by check or money order made payable to “City
of Philadelphia.” All payments shall be directed to:
City of Philadelphia Board of Ethics
1515 Arch St, 18
th
Floor
Philadelphia, PA 19102
If a check is returned unpaid for insufficient or uncollected funds, Defendant
authorizes eCollect, LLC to: (i) make a one-time electronic funds transfer from his
account to collect a fee of twenty dollars ($20.00); and (ii) re-present his check
electronically to his depository institution for payment.
4. Defendant is making all payments pursuant to this Stipulated Judgment in the normal
course of his personal financial affairs.
5. In the event Defendant fails to make any of the Stipulated Payments on or before the due
date, Defendant shall be in breach under the Agreement and under this Stipulated Judgment, whereupon
Plaintiff may give written notice of such breach to Defendant. If Defendant fails to cure such breach by
paying the full amount then due within a grace period of fifteen days from the due date, Defendant shall
be in default under this Stipulated Judgment, whereupon Plaintiff may proceed immediately, without
further notice to Defendant, to execute upon aforesaid judgment for the full Judgment Amount, less any
sums received by Plaintiff, pursuant to this Stipulated Judgment.
6. Plaintiff may also recover any and all attorneys’ fees and costs reasonably incurred in
enforcing the Agreement and this Stipulated Judgment.
3
7. If Defendant makes all payments timely pursuant to paragraph 3 and otherwise complies
with the terms and conditions set forth in the Agreement, Plaintiff shall file a Satisfaction of Judgment.
8. In the event that Defendant has sought, or at any future time seeks, review in any court of
competent jurisdiction of the civil monetary penalties or disgorgement for the violations of The
Philadelphia Code covered by this Stipulated Judgment, Defendant acknowledges, and by signing this
Stipulated Judgment Defendant agrees, that any action seeking such review is hereby withdrawn, hence
waiving Defendant’s ability to seek relief from any such liabilities, now and in the future.
9. Defendant acknowledges that this Stipulated Judgment does not preclude future review of
Defendant’s personal books and financial records and, if after the Effective Date of the Settlement
Agreement, the Board of Ethics learns of additional violations or learns that the information Mr.
Williams has provided was materially inaccurate or insufficient, the Board is not precluded from
pursuing enforcement of such violations.
10. Defendant releases and holds harmless the Board of Ethics and its staff from any potential
claims, liabilities, and causes of action arising from the Board’s investigation, enforcement, and
settlement of the matters described in the Agreement.
11. Defendant agrees to notify Plaintiff of any change in address during the term of this
Stipulated Judgment. Said notice is to be submitted to Board enforcement staff in writing within 30
days of the relevant change.
12. This Stipulated Judgment and the Agreement contain all terms and conditions agreed
upon by the parties, and no other agreements, oral or otherwise, regarding the subject matter of this
Stipulated Judgment shall be deemed to exist or to bind any of the Parties hereto. Any and all
amendments to this Stipulated Judgment or the Agreement must be in writing, signed by the Parties
hereto.
