House ethics panel defers investigation of Jesse Jackson Jr. at request of law enforcement

By Larry Margasak, AP
Wednesday, September 16, 2009

Ethics panel defers probe on Jesse Jackson Jr.

WASHINGTON — The House ethics committee said Wednesday it will put off for now an expanded investigation into whether Rep. Jesse Jackson Jr. or his representatives tried to buy President Barack Obama’s former Senate seat.

The committee revealed that the deferred investigation now includes allegations that Jackson, a Democrat, improperly used his staff in Washington and Chicago to mount a public campaign to secure the Senate seat.

The committee acted at the behest of federal prosecutors who already are investigating former Illinois Gov. Rod Blagojevich. The panel normally defers investigations when requested by law enforcement, to avoid interference with prosecutors.

The committee is looking into Jackson’s interactions with Blagojevich, who has been indicted on corruption charges including alleged attempts to sell the seat now held by Democratic Sen. Roland Burris.

According to a criminal complaint, Jackson was one of several candidates to whom Blagojevich tried to shop the seat. Jackson’s supporters were willing to raise $1.5 million for Blagojevich if he picked the congressman, according to the criminal complaint.

Jackson, in a statement, said Wednesday, “As I’ve said from the beginning, I have done nothing wrong, nor have I been accused of doing anything wrong. While the Blagojevich investigation goes on, I will continue to cooperate fully with the ongoing probe.

“Everyone knew that I was interested in the Senate appointment. I was deeply honored and humbled to receive the support of public officials, organizations and citizens from across the state. My efforts and actions were all public, ethical and legal.”

Jackson’s alleged use of staff was in a report by the new Office of Congressional Ethics, which reviews potential ethical violations by House members and staff and refers cases to the ethics committee of five Democrats and five Republicans.

The referral, made public by the ethics committee, stated, “In the course of conducting this review, the OCE learned that staff resources of the representative’s Washington, D.C. and Chicago, Illinois offices were used to mount a ‘public campaign’ to secure the representative’s appointment to the U.S. Senate.

“In doing so, Representative Jackson may have violated federal law and House rules concerning the proper use of the Member’s Representational Allowance.” The allowance is a monetary amount allotted to each congressional office for official operations.

The committee also said it would delay for 45 days inquiries involving California Democratic Rep. Maxine Waters and Missouri Republican Rep. Sam Graves.

Waters’ came under scrutiny after former Treasury Department officials said she helped arrange a meeting between regulators and executives at OneUnited Bank last year, without mentioning her husband’s financial ties to the institution. Her husband, Sidney Williams, served on the bank’s board until early last year and owned at least $250,000 in its stock.

The congresswoman said the National Bankers Association, a trade group, requested the meeting. She defended her role in assisting minority-owned banks in the midst of the nation’s financial meltdown and dismissed suggestions she used her influence to steer government aid to the bank.

The committee has been investigating whether Graves used his position on the Small Business Committee to invite a longtime friend, and business partner of his wife, to testify at a committee hearing on the federal regulation of biodiesel and ethanol production.

The committee said it extended the review, in part, to provide Graves with recently discovered material that may be favorable to his case. An earlier review by the Office of Congressional Ethics, which refers cases to the ethics committee, found no wrongdoing, the ethics committee said.

The ethics committee statement started a public feud with the Office of Congressional Ethics, which is run by a non-congressional board of directors that gives cases a preliminary review.

“The OCE Board did find substantial reason to believe that a substantive violation may have occurred” in the Graves case, the OCE said. The OCE added that it did not withhold any pertinent information that could clear Graves.

Graves said in a statement, “I look forward to a quick review of the facts and answering any questions that the committee may have. I believe that a speedy review will show that all the rules of the House concerning testimony in front of the Small Business Committee were followed.”

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