UPDATED: Friday, March 25, 6:30 a.m.
PHILADELPHIA (KYW Newsradio) — Did Philadelphia City Councilmember Kenyatta Johnson “hold himself out as working in the public interest” while acting for private gain for himself and his family?
Or is he a “man of faith” whose interest in affordable housing and better schools aligned with a non-profit in his district?
And did his wife, Dawn Chavous, get a contract with that nonprofit simply because she is married to Johnson?
Or is she a workaholic with impeccable credentials, including a double-major degree from Ursinus and graduate work at Penn and Harvard?
Their fate will depend on how a jury answers those questions, raised during 3 ½ hours of opening statements by prosecutors and four defense attorneys, Thursday, in the federal bribery trial of Johnson, Chavous and former Universal Companies executives Rahim Islam and Shaheid Dawan.
Prosecutors allege that Islam and Dawan hired Chavous as a consultant and paid her $66,750 over 18 months, and that the real intent of the contract was to put Johnson “on retainer” to help Universal “on an as-needed basis” and that was why Johnson helped Universal with two properties the company owned in his district.
Related Jawncast, including a deep dive into the trial
Assistant U.S. Attorney Eric Gibson described Johnson and Chavous as a “power couple, controlling and influencing the second Council district.” But, he said, they were “living beyond their means.”
“Bribes in the 21st century are not cash in paper bags delivered at night,” said Gibson, as he sought to explain a complex fact pattern tying Chavous’ consulting fees to a zoning bill Johnson sponsored for a dilapidated theater Universal owned on South Street and Johnson’s help in holding onto Universal’s interest in several lots it owned jointly with the Philadelphia Housing Authority.
“[Johnson] does not want a paper trail leading to his own pocket,” Gibson said. He wanted “the bare minimum of cover,” which Gibson said was a “no-show job with minimal work” for his wife.
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Attorneys for Islam, Johnson and Chavous all focused on the work Chavous did for Universal, seeking to undermine the contention that it was a “bogus” contract that only served as cover for a bribe.
Chavous, they said, with her education and experience in government and charter schools, was perfectly suited to assist Universal with its objective of engaging a wider audience — “well-heeled institutions supporting charters,” said Islam’s lawyer David Laigaie. “By virtue of her background, Chavous had entrée to these institutions through professional and personal relationships.” He described a number of jobs Chavous had performed, including planning an anniversary celebration, arranging tours for potential donors, assisting with charter renewals and leases and helping navigate state grant and tax credit programs.
Johnson’s lawyer, Patrick Egan, conceded that the councilman had made a mistake by “not shouting from the mountaintops that his wife had a contract with Universal.”
However, Egan maintained, that is not a crime.
“He’s not charged with being a councilman while his wife had a contract; he’s charged with bribery,” Egan said, contending the “facts, testimony, evidence will not show [bribery]. They don’t add up.”
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Egan maintained that Johnson had supported Universal for years — long before Chavous’ contract, before Johnson and Chavous were even married — because they shared the same goals of better affordable housing and educational opportunities. Egan pointed to Johnson’s support for prior zoning issues and for state grants to Universal while Johnson was a state rep.
“Universal did not need to bribe Mr. Johnson,” Egan said. “I don’t know anybody that bribes someone to do something they would do anyway.”
Chavous’ lawyer Barry Gross noted that Chavous phased out her contract months before the zoning bill that the government says was part of the quid pro quo with Universal.
She cut the hours she was billing in the summer of 2014 and ended the contract altogether in September because she had her first child, now 7.
“If it was a bribe, why not keep charging?” he asked. “Because it was not a bribe.”
Dawan’s attorney Thomas Fitzpatrick spent his opening statement rebutting the government’s contention that the bribe and legislation were part of a scheme to keep Universal afloat in the face of financial devastation, partly caused by Islam and Dawan charging excessive expenses and losing $600,000 in a bid to expand Universal’s charter school operation to Milwaukee.
Universal’s budget was $60 million at the time of the alleged bribery, Fitpatrick said. He called charters “about as sure an investment as a corporation can have, because the funding is certain,” guaranteed through multi-year contracts with school districts.
“A six-figure loss on a $60 million budget is a drop in bucket,” he said. “It’s certainly not the kind of money you go out and bribe a city councilman not to lose.”
Fitzpatrick’s arguments drew some chuckles from spectators, most of whom were supporters of Johnson and Chavous. Judge Gerald McHugh admonished them to refrain from vocal reactions.
Testimony began Thursday afternoon with Universal COO Tamelia Hinson-Threadgill, the step-daughter of music producer Kenny Gamble, who founded Universal with Islam and Dawan in 1999. Gamble is not charged in the case.
Stay with KYW Newsradio for continuing coverage of the trial.