This just in…
Tuesday, Jan 29, 2008 - Posted by Kevin Fanning
* 1:20 p.m.- Judge freezes Rezko account
A federal judge has frozen more than a quarter of a million dollars controlled by indicted businessman Tony Rezko, according to a court order made public today.
Judge St. Eve is expected to hear additional arguments from Duffy this afternoon on why Rezko should be released from jail to prepare for his Feb. 25 trial on corruption charges. She’ll also take up the frozen funds then.
More to come…
* 1:54 p.m. - The Judge has now ordered drug testing for star witness
St. Eve said Levine should submit to drug testing and any drug treatment that a pretrial services officer deems necessary. In a filing late Friday, Rezko’s defense team alleged that Levine had long abused drugs and questioned their impact on his memory of events.
Levine’s lawyer, Jeffrey Steinback, on Monday denied his client was a drug addict or had a drug problem.
* 2:10 p.m. - Daley backs Silverstein for ward race
Daley hinted strongly that Silverstein was planning to withold his support from Stone in the red-hot race for alderman against challenger Naisy Dolar last year. To firm up Silverstein’s support for Stone, Daley said he agreed to back Silverstein against Stone in the race for ward committeeman.
Daley said the Silverstein endorsement was hatched more than a year ago and had nothing to do with Stone’s decision to oppose the mayor’s tax-laden 2008 budget, which includes the largest property tax increase in Chicago history.
Stone called the mayor’s version “absolute bulls—.” The alderman said there was never any question he would have Silverstein’s support in the aldermanic race and the state senator needed no push from Daley.
“I don’t believe a word [Daley] says. I voted against his budget for the first time since he’s mayor and he’s teaching me a lesson. You give him 18 years of loyalty and he kicks you in the ass,” Stone said.
* 2:30 p.m. - The Governor denies knowing anything more about Rezko than what he reads in the papers
Blagojevich says candidates hope campaign donors are law-abiding and calls allegations against donors “one of the occupational hazards” of politics.
* 2:42 p.m. - More on Stuart Levine’s drug use
Rezko’s attorneys suggest that Levine called his source for drugs nearly 200 times between May 2002 and September 2004, according to the government’s own records.
* 3:30 p.m. - Rezko will remain in jail
A federal judge denied politically connected Chicago businessman Tony Rezko’s attempt to reinstate his bond Tuesday a day after his bond was revoked and he was sent to jail.
Rezko is due to start trial Feb. 25 on charges of mail fraud, wire fraud, money laundering and attempted extortion. He also is charged with swindling the General Electric Capital Corp. out of $10 million in loans involving the sale of a pizza business.
* 4:32 p.m. - Looks like FutureGen has fallen through. The Governor’s office just sent out a press release on it:
“The U.S. Secretary of Energy’s proposal to dismantle FutureGen is an example of politics at its worst. Secretary Samuel Bodman is not only jeopardizing the benefits FutureGen promises to deliver, but he deceived the people of East Central Illinois who spent time and resources competing for the project. We’re not giving up the fight to make FutureGen a reality in Illinois.
Just last night during his State of the Union Address, President Bush said that environmentally responsible energy is essential to keeping our economy growing, and that his budget provides strong funding for leading-edge technology, including clean coal. Secretary Bodman’s decision to reverse course on the most important clean coal project to date represents a striking contradiction to the President’s comments. I urge President Bush, who initiated FutureGen in 2003, to stand by the project and move it forward.”
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Question of the day
Tuesday, Jan 29, 2008 - Posted by Rich Miller
* There was some surprising news the other day…
In 2007, the number of workers belonging to a union rose by 311,000 to 15.7 million, the U.S. Department of Labor’s Bureau of Labor Statistics
reported
But that’s not the question.
* The Question: What is your opinion of labor unions?
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Maybe Obama ought to stay away for a while
Tuesday, Jan 29, 2008 - Posted by Rich Miller
* The governor’s office was not amused yesterday when Lynn Sweet wrote this on her blog…
The Obama Illinois campaign, in advance of the Feb. 5 balloting–where the Clinton team is making a run for Illinois delegates–is ramping up, with all the top Democratic office holders stumping for Barack Obama starting on Monday with one exception–Gov. Blagojevich. There’s just too much heat on Blagojevich
* I linked to the piece yesterday and got an e-mail from the governor’s office, but I was already out of the office and didn’t see it until much later. Sweet, however, received a terse phone call…
Blagojevich spokesman Abby Ottenhoff called to say that the Obama campaign has given Blagojevich an assignment, to woo six Democratic governors for Obama.
She also said that a new poll from the St. Louis Post-Dispatch shows the governor has better ratings than the legislature and aked that this be noted. The six governors on Blagojevich’s list are…
Freudenthal (WY)
Schweitzer (MT)
Bredesen (TN)
Ritter (CO)
Richardson (NM)
Henry (OK)
* Anyway, I told subscribers this morning and the esteemed Union League Club attendees of my somewhat tongue in cheek suggestion for the Obama campaign.
Since just about everybody who is anybody in Chicago politics has taken money from Rezko, including four of the five statewides that held that press conference for Obama yesterday (plus people like former Republican Gov. Jim Edgar - here’s a handy list), and since the Rezko story appears to be really heating up again, perhaps Sen. Obama’s campaign ought to just steer clear of Illinois until after Super Tuesday.
Thoughts on this?
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Bernie Stone’s tinfoil hat
Tuesday, Jan 29, 2008 - Posted by Rich Miller
* Alderman Bernie Stone had a couple of really bizarre reactions to this turn of events yesterday…
A member of Ald. Bernard Stone’s political organization who also serves as the 50th Ward’s Streets and Sanitation Department superintendent was charged Monday following an investigation into alleged vote fraud in last year’s aldermanic election.
Anish Eapen, 37, of the 7500 block of North California Avenue, faces charges of official misconduct, absentee ballot fraud and mutilation of election materials, officials said..
* We’ll get to the reaction in a moment, but here’s more of the background…
A source familiar with the investigation said Eapen and Ramos “would target different people—primarily Indian and Pakistani voters—and suggest that they take absentee ballots. They would give them reasons why they should be taking absentee ballots—not necessarily valid reasons. They would be present when they filled out the application for the absentee ballot and, in some instances, they would bring the absentee ballot back to the people to vote.”
* And the payoff…
“We know where this all started. We know it’s politically-based. When does it break? Eight days before an election where Congressman Schakowsky is backing my opponent. It stems from an election where Congressman Schakowsky was backing my opponent….Her aide was soliciting the state’s attorney to investigate. It’s absolutely a devious political trick. That my good friend Dick Devine can be part of it is shocking,” Stone said.
Yep. Jan Schakowsky is now dictating Dick Devine’s investigations. Sounds perfectly sane and reasonable to me.
* But the black helicopters don’t stop there…
He added, “For the last six months, there has been a virtual campaign directed at anybody who voted for Bernie Stone. I always thought the ballot box was sealed. Apparently, nobody who voted for anybody else has ever gone before the grand jury. How do investigators know how these people voted? Has the secrecy of the ballot box been breached?…. They’re being asked, `Why did you vote for Bernie Stone?’ “
Perhaps, alderman, they’re asking your voters about alleged misdeeds because your guys are the ones who absentee voted them. You don’t need some super-secret G-Man code on ballots to figure that out.
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Room for improvement?
Tuesday, Jan 29, 2008 - Posted by Rich Miller
* Another local sales tax increase may face legislators upon their return to Springfield…
Metro East officials may look to a temporary sales tax to fund costly repairs to the levee systems that protect the flood plain along the Mississippi River.
State Sen. William Haine, D-Alton, said Monday he would introduce a bill next week that would let Illinois counties impose up to a quarter-cent sales tax to pay for emergency levee repairs and storm water control measures.
If it becomes law, the legislation would provide a possible funding mechanism for a massive levee modernization project in Madison, St. Clair and Monroe counties. The price tag could be as much as $180 million.
Some of the levees are more than 60 years old. They’re high enough to withstand a major flood, but officials say there is a need to replace old pumps, pipes, gates and electrical panels and build new relief wells to prevent potential problems from underseepage.
Haine said the legislation would let counties establish commissions that could issue bonds for flood and storm water control and, subject to consent of their county boards, levy a sales tax of up to a quarter cent.
“This is as important as roads and bridges,” Haine said.
It doesn’t sound unreasonable, but I wonder how the governor might “improve” this tax hike. It’s not like he can let seniors ride free on levees. Thoughts?
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Morning Shorts
Tuesday, Jan 29, 2008 - Posted by Kevin Fanning
* Ward superintendent charged with vote fraud; more here
* Committee OKs landmark status for IBM building
* Seniors’ free rides begin March 17 — if they have RTA photo IDs
* 1st Chicago tavern busted for smoking
* District 6 candidates accept reality of O’Hare expansion
* Candidates have health care visions
* 2 contend for GOP nod in 3rd District
* Crowded field vying. for 3rd District Democratic nomination
* Illinois trooper in fatal crash should be fired, lawmaker says
* Sales tax could pay for Illinois levee repairs
* Report cites substandard care for deaths at VA hospital; more here
* Is Dan Seals Showing Impaired Judgment in Supporting Eddie Washington?
* Judge candidates question factor of race in bar polls
* Businessman challenges Schmitz in 49th District
* WTVP required to raise a little more cash
“If WTVP, Channel 47, can raise another $450,000, the public television station and its creditors will have reached a tentative deal for $5.25 million.”
* Illinois lawmakers want presidential election changes
* Roskam’s response to State of Union address
* State establishes scholarship fund for children of lost Armed Forces members
* Big loan gets Rezko jailed; more here
* Star witness has drug problem, defense says
* Rezko put in jail; bail is revoked
* Was Rezko as surprised as he looked?
* Rezko not reason for Blagojevich no-show at Obama event
* Bill Baar: Tony Rezko: “a philanthropist to the medical community”
* Illinois representatives’ reaction to State of the Union
* Illinois early voting ends Thurdsay
* Foreclosures land Illinois in group’s top 10 list
* Ralph Martire: Illinois tax policy generates far too many negatives
“But unfair taxation is only one of many flaws in Illinois’ tax system, which fails to respond to the modern economy or generate stable revenue while inefficiently over-relying on local property taxes to fund services. The collective result: a revenue system that cannot sustain public services.”
* Bush asks perseverance on sagging economy, patience on Iraq; read the transcript here
* State of rivals’ union? Tense
* Giuliani hints he may drop out if he loses Florida gamble
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Open thread
Tuesday, Jan 29, 2008 - Posted by Rich Miller
I’m doing a breakfast panel discussion at the Union League Club this morning, so the blog will have to wait a bit.
This is an Illinois politics open thread.
Try to be nice to each other, and, for Heaven’s sake, don’t do any real estate deals with Tony Rezko while I’m gone.
Kevin is in charge of monitoring comments whilst I’m away. Have fun.
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Question of the day
Monday, Jan 28, 2008 - Posted by Rich Miller
Tell us about the latest political mailers you’ve received, ads you’ve seen or heard, etc.
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Lead, follow, or get out of the way
Monday, Jan 28, 2008 - Posted by Rich Miller
* My syndicated newspaper column this week takes a look at how a looming national recession is spurring a hopelessly divided Washington, DC to take unifed action. And then I compare it to the current situation here in Illinois. The conclusion…
The capital plan will create hundreds of thousands of jobs all over Illinois, either directly or indirectly.
It will help cushion the blow of an economic downturn. Heck, even if nothing bad happens, it still will be hugely beneficial to the economy and to ordinary, everyday citizens who drive on those dilapidated roads and bridges, send their kids to crumbling schools and ride on rickety rail lines.
If Washington, D.C., politicians can get their act together, surely Springfield can.
The governor needs to decide whether he wants to be a silly, can’t-do buffoon who lives to score cheap political points, or a real leader.
He needs to do whatever it takes to get this done.
And if he can’t lead, he ought to get out of the way.
* Meanwhile, Kurt Erickson plays “Answer Man”…
Q: People always complain about the goofy things Blagojevich says and does. Is he the only one who acts this way?
A: Absolutely. Most lawmakers are very reasonable. For example, state Rep. Kenneth Dunkin, D-Chicago, recently introduced legislation that would ban a pedestrian from using a cell phone while crossing the street.
Q: Since Blagojevich previously served in the Illinois House and in Congress, wouldn’t it make sense that he’d know how to deal with the General Assembly?
A: You’d think. But, in a stop last week in Decatur, he made it clear that he’d prefer not having to deal with those pesky lawmakers. Here’s what he said: “I must confess, I kind of wish I could do just about everything by myself, because I feel Illinois would be a heck of a lot better.”
* Bernie’s column is also pretty funny, but probably not intentionally…
Like lots of folks, U.S. Rep. PHIL HARE, D-Rock Island, is worried that unless a capital projects bill is passed by the Illinois General Assembly, billions in federal matching dollars for highways and bridges will be lost.
To express that view, Hare told me in a visit to Springfield Friday, he has tried to contact Gov. ROD BLAGOJEVICH many times.
“Well, I haven’t talked to the governor,” Hare said. “I’ve sent three letters and made a number of calls.”
How many times did he call?
“Eighteen times,” he said.
He initially estimated those calls were made over the last four or five months, but when asked again, he said they may stretch back to last February.
* Related stuff, compiled by Kevin…
* Free rides for seniors? Why not for all?
* Letter from Congress: Build Illinois infrastructure
* A million here, a million there adds up to mystery
* Statehouse Insider
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* The Post-Dispatch has a new poll out, and many of you are not going to like some of the results.
For instance, when asked…
Illinois law has recently been changed to require that senior citizens be allowed to ride free on all local public transit systems. What’s your opinion?
71 percent said they agreed with the plan, and just 18 percent said they disagreed.
* Also, 42 percent said they had a favorable opinion of the governor (double the results in the last poll), while just 37 percent said the same about the Illinois Legislature. 54 percent said they viewed Dick Durbin in a favorable light.
* 41 percent approved of Blagojevich’s job performance, while 59 percent disapproved. That ain’t great.
* But, when asked…
Gov. Rod Blagojevich has said universal health care coverage for Illinoisans is the most important issue facing the state. What’s your opinion?
52 percent agreed that it was the most important issue while just 33 percent disagreed.
Go read the whole poll and discuss these and other results.
…Adding… The poll may have a bit of good news for Blagojevich, but Obama doesn’t want him around…
The Obama Illinois campaign, in advance of the Feb. 5 balloting–where the Clinton team is making a run for Illinois delegates–is ramping up, with all the top Democratic office holders stumping for Barack Obama starting on Monday with one exception–Gov. Blagojevich. There’s just too much heat on Blagojevich.
Blagojevich’s name is surfacing in too many corruption investigations, including that of indicted Tony Rezko, a major Blagojevich fund-raiser who has also raised money for Obama. With Rezko surfacing as a campaign issue for Obama–and with Blagojevich’s own problems, no wonder he won’t be at the Monday press conference in Chicago.
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The ol’ switcheroo
Monday, Jan 28, 2008 - Posted by Rich Miller
* This is one of the older tricks in the political playbook…
[GOP Congressional candidate Chris Lauzen] won the fundraising battle in the third quarter, raising $536,505 and thereby beating Oberweis at his own game.
Much of that money consisted of a $324,750 loan from Lauzen himself that he took out Sept. 27 — just three days before the reporting period ended. Curiously, he repaid that loan Oct. 1, which begs the question: Why did he need the loan? To maintain the appearance of being able to keep up with a man he accuses of buying the election with “big money and big insider establishment clout?”
Yep. That would be the answer. He wanted it to look like he had the personal finances to keep up with Oberweis. But then he repaid the loan a few days later, so he apparently doesn’t have the bucks to spend.
* Meanwhile…
Fundraising slowed in the fourth quarter for Jay Footlik in his bid to win the Democratic nomination in the 10th Congressional District.
Footlik… raised about $130,000 since Oct. 1 and had about the same amount on hand, according to the federal report he filed. Footlik, who returned home to the suburbs to run for Congress, had raised about a half-million relatively quickly last year.
His primary opponent, Dan Seals, had nearly five times that for the stretch run leading up to the Feb. 5 election.
* And…
In the world of campaign finance, money is often the barometer of strength.
By those terms and based on latest financial reports, Aaron Schock is looking like Superman compared to his opponents, having raised more than $800,000 for his congressional campaign to date with more fundraisers already planned. And John Morris, a professional fundraiser by trade, has raised just more than half that amount, nearly exclusively in individual contributions.
Jim McConoughey, on the other hand, raised only about $121,000 and is indebted to himself to the tune of about $270,000. He’s got $47,000 cash on hand, but about $44,000 in outstanding bills.
* More congressional stories, compiled by Kevin…
* Campaign director would pick Lauzen
* 14th Congressional District starting from scratch
* A rosy Rose Bowl remembrance
* 6th Dist. candidates talk economy
* Walls seeks No. 1 spot in the 1st
* In Illinois, Super Tuesday Will Be Even Bigger
* NARAL mailer blasting Congressman Lipinski
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* This can’t be good for Barack Obama’s post South Carolina momentum…
Antoin “Tony” Rezko, a key fundraiser for Gov. Blagojevich and other Illinois politicians, was arrested early today by federal agents after prosecutors alleged he had violated terms of the bond in his fraud case.
“Tony Rezko was arrested without incident at his home in Wilmette,” FBI spokesman Tom Simon said. “It was pursuant to a warrant issued following a government motion to revoke his bond.”
Rezko appeared briefly this morning before U.S. District Judge Amy St. Eve, who is to preside over his fraud trial next month. Another hearing will be held at 12:30 p.m. today; Rezko remains in federal custody.
* More…
Investigators had in recent weeks become concerned about the movement of some of his finances, a source said.
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