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Holiday Sale: An Open Senate Seat From Illinois.
A portion of the criminal complaint against Illinois Governor Rod Blagojevich is on Smoking Gun.
I've never met Blagojevich, but I once met the man who made him Governor, David Axelrod. In the primaries, Blagojevich beat a good man (whom I was favoring), Chicago Public Schools Superintendent Paul Vallas. Vallas had done a terrific job improving Chicago schools, while fighting some of the very different school reforms of the three foundations on which Bill Ayers and Barack Obama worked together. But, as we've seen in the last year, Axelrod is a master campaign manager and Blagojevich ran on a platform of change -- more particularly, ending "pay to play."
Not only does the complaint refrain from making allegations of wrongdoing by Obama and the Obama transition team, at one point Blagojevich is recorded expressing frustration with the idea that Obama might expect his Senate candidate to be appointed without giving anything in return except gratitude.
The most interesting of the allegations involves SEIU, the ACORN-related union that has been close to Obama for many years. It appears that SEIU might have been pushing for the Senate slot the candidate whom Obama was thought to support. The complaint does not identify that candidate, though she is described as female and an Obama aide. My guess from clues is that she is Valerie Jarrett, who may have pulled out from consideration.
Eventually, Blagojevich was angling for one of two possibilities:
1. Obama to set up a $10 to $20 million non-profit organization for Blagojevich to run after he left office, perhaps with money from Warren Buffet or Bill Gates.
2. A three-way deal in which Blagojevich appoints Obama's choice as Senator and SEIU hires Blagojevich's wife for its Change to Win organization, and then hires Blagojevich to run Change to Win when he leaves office for several hundred thousand dollars a year.
The complaint alleges that Blagojevich did meet with SEIU about the Senate seat, but it's unclear whether any corrupt deal was discussed with SEIU.
SEIU ties in the Gov. BLAGOJEVICH Complaint.
I've been trying to sort out in my mind what SEIU's involvement might be. Here are the main SEIU-related
109. On November 12, 2008, ROD BLAGOJEVICH spoke with SEIU Official, who was in Washington, D.C.
Prior intercepted phone conversations indicate that approximately a week before this call, ROD BLAGOJEVICH met with SEIU Official to discuss the vacant Senate seat, and ROD BLAGOJEVICH understood that SEIU Official was an emissary to discuss Senate Candidate 1's interest in the Senate seat.
During the conversation with SEIU Official on November 12, 2008, ROD BLAGOJEVICH informed SEIU Official that he had heard the President-elect wanted persons other than Senate Candidate 1 to be considered for the Senate seat.
SEIU Official stated that he would find out if Senate Candidate 1 wanted SEIU Official to keep pushing her for Senator with ROD BLAGOJEVICH. ROD BLAGOJEVICH said that "one thing I'd be interested in" is a 501(c)(4) organization. ROD BLAGOJEVICH explained the 501(c)(4) idea to SEIU Official and said that the 501(c)(4) could help "our new Senator [Senate Candidate 1]." SEIU Official agreed to "put that flag up and see where it goes."
110. On November 12, 2008, ROD BLAGOJEVICH talked with Advisor B.
ROD BLAGOJEVICH told Advisor B that he told SEIU Official, "I said go back to [Senate Candidate 1], and, and say hey, look, if you still want to be a Senator don't rule this out and then broach the idea of this 501(c)(4) with her."
Government Attempt to Get Newspaper Editorial Board Members Fired:
From the government's criminal complaint against Gov. Blagojevich (some paragraph breaks added):
13.... b. Defendants Rod Blagojevich and John Harris, together with others, offered to, and threatened to withhold from, the Tribune Company substantial state financial assistance in connection with Wrigley Field, which assistance Rod Blagojevich believed to be worth at least $100 million to the Tribune Company, for the private purpose of inducing the controlling shareholder of the Tribune Company to fire members of the editorial board of the Chicago Tribune, a newspaper owned by the Tribune Company, who were responsible for editorials critical of Rod Blagojevich ....
69. Intercepted phone calls reflect that Rod Blagojevich and John Harris, together with others, are corruptly using and threatening to use the powers of Rod Blagojevich's office as Governor of the State of Illinois to exert financial pressure on the owners of the Tribune Company, the parent corporation of the Chicago Tribune newspaper, to fire Chicago Tribune editorial board members who were responsible for editorials sharply critical of Rod Blagojevich's actions as Governor and, among other things, calling for his impeachment.....
72. On the evening of November 3, 2008, Rod Blagojevich talked to Deputy Governor A. Rod Blagojevich stated that he was concerned about possibly being impeached in the Spring and that the Chicago Tribune will be "driving" the impeachment discussion. Rod Blagojevich asked Deputy Governor A to check to see if the Tribune has recently "advocate[d]" that he be impeached. In fact, the Chicago Tribune recently had published editorials critical of Rod Blagojevich.
73. In another call between Rod Blagojevich and Deputy Governor A that occurred a short time later on November 3, 2008, Rod Blagojevich and Deputy Governor A discussed an editorial from the Chicago Tribune regarding the endorsement of Michael Madigan and calling for a committee to consider impeaching Rod Blagojevich. During the call, Rod Blagojevich's wife can be heard in the background telling Rod Blagojevich to tell Deputy Governor A "to hold up that fucking Cubs shit... fuck them." Rod Blagojevich asked Deputy Governor A what he thinks of his wife's idea. Deputy Governor A stated that there is a part of what Rod Blagojevich's wife said that he "agree[s] with." Deputy Governor A told Rod Blagojevich that Tribune Owner will say that he does not have anything to do with the editorials, "but I would tell him, look, if you want to get your Cubs thing done get rid of this Tribune."
Later, Rod Blagojevich's wife got on the phone and, during the continuing discussion of the critical Tribune editorials, stated that Tribune Owner can "just fire" the writers because Tribune Owner owns the Tribune. Rod Blagojevich's wife stated that if Tribune Owner's papers were hurting his business, Tribune Owner would do something about the editorial board. Rod Blagojevich then got back on the phone. Rod Blagojevich told Deputy Governor A to put together the articles in the Tribune that are on the topic of removing Rod Blagojevich from office and they will then have someone, like John Harris, go to Tribune Owner and say, "We've got some decisions to make now."
Rod Blagojevich said that "someone should say, 'get rid of those people.'" Rod Blagojevich said that he thinks that they should put this all together and then have Harris or somebody go talk to the Tribune owners and say, "Look, we've got decisions to make now ... moving this stuff forward (believed to be a reference to the IFA helping with the Cubs sale) ... someone's gotta go to [Tribune Owner], we want to see him ... it's a political fuckin' operation in there." Deputy Governor A agreed and said that Harris needs to be "sensitive" about how he does it.
Rod Blagojevich said there is nothing sensitive about how you do it and that it's "straight forward" and you say "we're doing this stuff for you, we believe this is right for Illinois [and] this is a big deal to [Tribune Owner] financially" but what Rod Blagojevich is doing to help Tribune Owner is the same type of action that the Tribune is saying should be the basis for Rod Blagojevich's impeachment. Rod Blagojevich said Tribune Owner should be told "maybe we can't do this now. Fire those fuckers."
Deputy Governor A suggested that Rod Blagojevich say, "I'm not sure that we can do this anymore because we've been getting a ton of these editorials that say, look, we're going around the legislature, we gotta stop and this is something the legislature hasn't approved. We don't want to go around the legislature anymore." Rod Blagojevich agreed and said that he wants Harris to go in and make that case, "not me." Deputy Governor A agreed and said that he likes it. Rod Blagojevich asked Deputy Governor A to put the list of Tribune articles together....
76.... Rod Blagojevich stated that "our recommendation is fire all those fucking people, get 'em the fuck out of there and get us some editorial support."
There's a good deal more factual detail in the complaint — have a look if you're interested. Thanks to Sean Parnell of the Center for Competitive Politics for the pointer.
It appears that Obama Camp was not willing to cut a deal with Blagojevich.
Here are the government allegations that reference Blagojevich's frustration with the Obama Camp's apparent unwillingness to pay Blagojevich for appointing Obama's presumed favorite as Senator.
101. c. ROD BLAGOJEVICH said that the consultants (Advisor B and another consultant are believed to be on the call at that time) are telling him that he has to "suck it up" for two years and do nothing and give this "motherf**ker [the President-elect] his senator. F**k him. For nothing? F**k him."
ROD BLAGOJEVICH states that he will put "[Senate Candidate 4]" in the Senate "before I just give f**king [Senate Candidate 1] a f**king Senate seat and I don't get anything." (Senate Candidate 4 is a Deputy Governor of the State of Illinois). ROD BLAGOJEVICH stated that he needs to find a way to take the "financial stress" off of his family and that his wife is as qualified or more qualified than another specifically named individual to sit on corporate boards.
According to ROD BLAGOJEVICH, "the immediate challenge [is] how do we take some of the financial pressure off of our family." Later in the phone call, ROD BLAGOJEVICH stated that absent getting something back, ROD BLAGOJEVICH will not pick Senate Candidate 1.
HARRIS re-stated ROD BLAGOJEVICH's thoughts that they should ask the President-elect for something for ROD BLAGOJEVICH's financial security as well as maintain his political viability.
HARRIS said they could work out a three-way deal with SEIU and the President-elect where SEIU could help the President-elect with ROD BLAGOJEVICH's appointment of Senate Candidate 1 to the vacant Senate seat, ROD BLAGOJEVICH would obtain a position as the National Director of the Change to Win campaign, and SEIU would get something favorable from the President-elect in the future.
d. One of ROD BLAGOJEVICH's advisors said he likes the idea, it sounds like a good idea, but advised ROD BLAGOJEVICH to be leery of promises for something two years from now. ROD BLAGOJEVICH's wife said they would take the job now. Thereafter, ROD BLAGOJEVICH and others on the phone call discussed various ways ROD BLAGOJEVICH can "monetize" the relationships he is making as Governor to make money after ROD BLAGOJEVICH is no longer Governor.
102. Later on November 10, 2008, ROD BLAGOJEVICH and Advisor A discussed the open Senate seat. Among other things, ROD BLAGOJEVICH raised the issue of whether the President-elect could help get ROD BLAGOJEVICH's wife on "paid corporate boards right now." Advisor A responded that he "think[s] they could" and that a "President-elect . . . can do almost anything he sets his mind to."
ROD BLAGOJEVICH states that he will appoint "[Senate Candidate 1 [[Obama's presumed favorite]]] . . . but if they feel like they can do this and not f**king give me anything . . . then I'll f**king go [Senate Candidate 5]." (Senate Candidate 5 is publicly reported to be interested in the open Senate seat). ROD BLAGOJEVICH stated that if his wife could get on some corporate boards and "picks up another 150 grand a year or whatever" it would help ROD BLAGOJEVICH get through the next several years as Governor. . . .
104. On November 11, 2008, ROD BLAGOJEVICH talked with JOHN HARRIS about the Senate seat. ROD BLAGOJEVICH suggested starting a 501(c)(4) organization (a non-profit organization that may engage in political activity and lobbying) and getting "his (believed to be the President-elect's) friend Warren Buffett or some of those guys to help us on something like that."
HARRIS asked, "what, for you?" ROD BLAGOJEVICH replied, "yeah."
Later in the conversation, ROD BLAGOJEVICH stated that if he appoints Senate Candidate 4 to the Senate seat and, thereafter, it appears that ROD BLAGOJEVICH might get impeached, he could "count on [Senate Candidate 4], if things got hot, to give [the Senate seat] up and let me parachute over there." HARRIS said, "you can count on [Senate Candidate 4] to do that."
Later in the conversation, ROD BLAGOJEVICH said he knows that the President-elect wants Senate Candidate 1 for the Senate seat but "they're not willing to give me anything except appreciation. F**k them."
UPDATE: If true, these allegations hint that Obama or his transition team were victims of an extortion/bribery attempt.
Is It a Crime To Trade a Senatorial Appointment Decision for a Cabinet Job?
The charges against Illinois Governor Rod Blagojevich are extremely serious, and much of them allege garden variety corruption, albeit on a massive scale. But I wonder whether one of the items should indeed form the basis for a corruption prosecution:
Rod Blagojevich has been intercepted conspiring to trade [his decision to appoint someone to] the senate seat [vacated by the President-elect] for particular positions that the President-elect has the power to appoint (e.g. the Secretary of Health and Human Services).
It's true that a cabinet position has a salary attached to it, which I believe is somewhat larger than that of the Governor of Illinois. And I agree that trading a decision to appoint someone a Senator for a pot of money is classic criminal bribery.
But my sense is that political deals of the "I appoint your political ally to X and you appoint me to Y" variety are pretty commonplace, though perhaps done with more subtlety than seemed to be contemplated here. Should these deals indeed be treated as criminal bribery? Have they generally been so treated? What if the deal didn't involve appointment-for-appointment swaps but vote-for-vote swaps or vote-for-appointment swaps — e.g., "if you vote the way I want you to vote, I'll vote the way you want me to vote" or "if you vote the way I want you to vote, I, the Speaker of the House, will make sure that you're appointed to the committee chairmanship you always wanted" or "if you solidly support me during this Congress, I'll appoint you to the Cabinet"?
Here this proposed deal seems part of a broader pattern of corruption (though this also means that the prosecution would likely do just fine if they had excluded the deal, and focused on the prospect of trading the appointment for a private-sector position). But the government's theory, I take it, would apparently treat such a deal as a federal crime — assuming the federal jurisdictional requirements are met — even if it were a standalone deal by an otherwise uncorrupt official. So that, I think, makes it worth considering how the law should treat these sorts of deals involving political appointments.
"It depends on what the meaning of the word ['contact'] is."
Obama claimed Tuesday:
"I had no contact with the governor or his office and, so we were not -- I was not aware of what was happening," Obama said.
Now Politico reports that he did have contact:
Obama and Blagojevich both attended the National Governors Association meeting last week in Philadelphia and were photographed shaking hands at the event.
Before the meeting, Blagojevich was quoted saying he had asked Obama's transition team for federal stimulus aid of $3 billion over the next three years to help fill Illinois' estimated $2 billion deficit.
Blagojevich and Obama not having contact in Philadelphia
Apparently, "contact" does not include a private meeting with governors in Philadelphia, or a public shaking of hands in front of the cameras.
It is not really plausible that Obama was interested in who was replacing him in the Senate, and that Blagojevich was desperately interested in shaking down Obama for money or favors, and that Obama's refusal to yield to Blagojevich's bribery/extortion attempt was conveyed to Blagojevich — but somehow in over a month there was no contact between the Obama camp and the Governor's team.
All this leads me to wonder if Obama is becoming like Clinton?
When Obama says that "I had no contact," does he mean that I DID have contact, but it was indirect so I don't have to admit it to you?
And when Obama says that "I was not aware of what was happening," does he mean that I WAS aware of what was happening, but not to a level of certainty that I could be meet a legal "knowledge" standard beyond a reasonable doubt? (see DRJ at Patterico on this point)
And when Obama says that "I had no contact with the governor or his office and . . . I was not aware of what was happening," does he mean that my staff DID have contact with the governor or his office and they WERE aware of what was happening?
As with Clinton, should we presume that Obama is saying something that is technically not a lie, but that the full truth is closer to the opposite of what he is trying to make us think?
I suppose "It depends on what the meaning of the word ['contact'] is" and "what the meaning of the word ['aware'] is."
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