Talk with Cecil, the mayor. He will tell you about how the Staff of Pergamon was stolen from him. He suggests talking to Conrad, the merchant who brought the item to town.
Find Conrad on a ship at the Cyseal docks. He'll give you some details on the theft, but nothing concrete. Get more information from Marv, who is standing on the docks near the ship. He'll tell you he saw Dietmar make off with the package. Inform Conrad of this, and he'll send you off after Dietmar.
Find Dietmar to the Northwest of the Cyseal Northwest wayportal. You'll have to fight him to get the staff.
- Return to Cecil and give him the Staff of Pergamon for +1 Spiritual Trait.
- Decide to keep the staff for +1 Materialistic Trait.
After talking with Cecil, the quest will be marked as completed.