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Protected: SUBSCRIBERS ONLY: This just in… Update on today’s hearing *** UPDATED X2 ***

Wednesday, Apr 23, 2008 - Posted by Rich Miller

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Blagojevich speaks at prayer breakfast, dodges press; Plus: Hynes slams guv *** UPDATED X1 ***

Wednesday, Apr 23, 2008 - Posted by Rich Miller

* We just found out that Gov. Blagojevich was in town today

The Democratic governor attended a public event Wednesday morning without giving notice to reporters, and he quickly left without taking any questions.

In a brief speech at his annual prayer breakfast, Blagojevich did not address the new allegations.

* Listen to the speech...

[audio:GOV-4-23.mp3]

“It’s not like you get a chance to go to governor’s school.”

*** UPDATE *** Bethany Jaeger has more.

* Meanwhile, Comptroller Dan Hynes gave a speech in Southern Illinois this morning, which included a few jabs at the governor…

Now we know what leadership isn’t. Leadership isn’t having a big title or flying around in an airplane. And it isn’t fighting. As Dwight Eisenhower once said: “You do not lead by hitting people over the head — that’s assault, not leadership.” […]

It’s shocking to think that we’re almost three-fourths of the way through the legislative session – because there’s been very little “getting down to business.” You see, to be committed, you first have to – for lack of a better term – show up. Be engaged. And that starts at the top. A few years ago, the Governor complained that the General Assembly was spending like a bunch of drunken sailors. But I think the real problem is a captain hiding in his quarters.

Think about it.

The economy is slowing. Our revenues are disappearing. The deficit is worsening. Our infrastructure is crumbling. Our backlogs are growing. And our hospitals are closing.

And, all the while, our Governor – he’s hiding.

Read the entire speech by clicking here.

*** UPDATE *** Pat Quinn wants Blagojevich to answer questions on Ata

Illinois Lieutenant Governor Pat Quinn is demanding answers from Govenor Rod Blagojevich about allegations that came up in a federal corruption case. In a guilty plea yesterday, Ali Ata—the former head of the Illinois Finance Authority—said he got the job after contributing thousands of dollars to Blagojevich’s campaign.

Blagojevich quickly left a public event this morning without addressing Ata’s accusations. But Lieutenant Governor Pat Quinn says that’s no way to handle the situation.

QUINN: To be running away and not fully engaging the people of Illinois, who are the voters, the taxpayers, the people who we are accountable to, I don’t think that’s the right way to go. I think Governor Blagojevich should speak to the public and answer questions about anything and everything.

And if the allegations about the governor are true?

QUINN: Well, if anyone committed wrongdoing, I think they should, uh, turn themselves in and suffer the consequences.

  35 Comments      


Oh, man, it just keeps getting weirder

Wednesday, Apr 23, 2008 - Posted by Rich Miller

* The Bush administration’s blatant politicization of the Justice Department is well documented. And now comes word that some Blagojevich insiders tried to take advantage of that environment to oust Patrick Fitzgerald as US Attorney….

As federal investigators closed in, Gov. Rod Blagojevich insiders were angling with Bush administration architect Karl Rove to get U.S. Attorney Patrick Fitzgerald kicked out of office, according to disclosures made in federal court. […]

Federal prosecutors said in court that co-schemer Steven Loren was ready to testify he was told Illinois Republican insider Bob Kjellander was working to get Fitzgerald removed.

Powerbroker Bill Cellini “said it was Bob Kjellander’s job to take care of the U.S. Attorney,” Assistant U.S. Attorney Carrie Hamilton said in court late Tuesday, in reading Loren’s earlier grand jury testimony.

The statement was not further explained Tuesday, but in court this morning Hamilton told U.S. District Judge Amy St. Eve that she expected Rezko business partner Ali Ata, who is cooperating with authorities, to testify Rezko told him the same thing in 2004.

It’s not too much of a stretch to believe that Fitzgerald got wind of the machinations and reacted by indicting Rezko in October of 2006 - just a month before election day. Tradition has been not to interfere with campaigns by making high-profile indictments like this so close to voting.

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Protected: SUBSCRIBERS ONLY - Today’s hearing; Dunn; Statehouse pros and cons; Health care; Noland; Lobsters; Jakobsson; Fat; Budget; Reform (Use all caps in password)

Wednesday, Apr 23, 2008 - Posted by Rich Miller

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Question of the day

Wednesday, Apr 23, 2008 - Posted by Rich Miller

* During an interview with the Daily Herald, Rep. Suzie Bassi described the Statehouse atmosphere as “toxic,” said she’d rather have “Humpty Dumpty” as governor than Rod Blagojevich, and said…

The nine-year veteran of the legislature in Springfield added that she thinks Lt. Gov. Patrick Quinn could “bring people together” [if he were governor]

* Question: Do you think Pat Quinn would be a more stable, unifying force than Rod Blagojevich? Explain.

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Big, big trouble for Blagojevich

Wednesday, Apr 23, 2008 - Posted by Rich Miller

“As we’ve said many times before, we don’t endorse or allow the decisions of state government to be based on campaign contributions,” Blagojevich spokeswoman Abby Ottenhoff said.

That’s the standard response to every new bombshell allegation that Gov. Rod Blagojevich traded jobs, contracts and appointments for campaign contributions. And it was issued again yesterday.

But, as I reminded subscribers this morning, Blagojevich has defied all credibility by forcefully denying that he is “Public Official A,” including right up to this very minute

[The spokesperson said that] based on the descriptions arising from the case, the governor is not Public Official A.

Since that statement has already proved to be false, nothing else should be believed.

It’s their own fault.

* On to the coverage

A former top official in Gov. Blagojevich’s administration said Tuesday the governor gave him a $127,000-a-year state job in exchange for pouring cash into Blagojevich’s campaign fund, including tens of thousands of dollars out of his own pocket.

That bombshell from Ali Ata came as the onetime director of the Illinois Finance Authority pleaded guilty in a deal in which prosecutors plan to have him testify in the ongoing corruption trial of former Blagojevich fund-raiser Tony Rezko.

* Remember that some of these alleged bribes were handed over during the 2002 campaign, when gubernatorial candidate Rod Blagojevich was claiming he was a reformer who would sweep out the corruption in state government…

The plea deal says that just before the governor took office claiming the mantle of reform, Blagojevich met with Ata at Rezko’s office, accepted a $25,000 check and then started talking about the Lemont businessman getting a high-level state job.

The following year, Blagojevich again thanked Ata at a Navy Pier fundraiser for another $25,000 donation, the court records show.

“During this conversation, Public Official A told defendant that he had been a good supporter, indicated that Public Official A was aware that the defendant had made another substantial donation to Public Official A’s campaign and told the defendant that Public Official A understood that the defendant would be joining Public Official A’s administration,” it said.

“Just before the governor took office,” is actually early September, according to campaign finance documents. That was the height of the season, when Blagojevich was hammering away at the Republican culture of corruption.

Ata, Ali
6719 Stonewall
Downers Grove, IL 60516
Occupation: Marketing
Employer: Nalco Chemical
$25,000.00
9/4/2002
Individual Contribution
Friends of Blagojevich

* Here’s a somewhat overlooked item from Ata’s plea agreement

Beginning in or around mid-2003 and continuing through 2004, the defendant provided large sums of cash to Rezko in response to persistent and urgent pressure from Rezko to do so. The defendant provided Rezko with tens of thousands of dollars in cash on four or five occasions during 2003 and 2004, including while he was the Executive Director of the IFA. In total, the defendant provided Rezko with approximately $125,000 in cash during this period, which monies he had withdrawn from a family food distribution business that he was then operating.

This is explained by various news reports as…

Ata withdrew $125,000 from a family business and paid it to Rezko to keep his job.

You gotta wonder were that $125K went. Did Rezko keep it all for himself or did he pass some of it along?

* There’s also this from the plea agreement

[Ata] intentionally concealed the fact that in 2003 he had provided to Rezko, at Rezko’s insistence, a portion of his partnership interest in a real estate venture, in exchange for Rezko’s use of his influence in state government to reverse a state agency’s decision to terminate a lease agreement relating to

Ata was plucked clean.

* Here’s a tidbit from yesterday’s Rezko trial, which I’ll put in context in a bit…

[Steve Loren, former attorney for the Teachers’ Retirement System of Illinois] recalled once sharing a ride home with Levine, who has also pleaded guilty, and asking Levine who Pekin would split his fee with. He said Levine told him it was to go to Ald. Dick Mell, the governor’s father-in-law.

“I said: ‘How can these people be so stupid?’ ” Loren said, explaining it was an obvious conflict for Mell to get consulting money off a state deal.

According to prosecutors, the deal with Mell never went through, and the money instead went to Rezko associate Joseph Aramanda.

* Ata had contributed $5,000 to Dick Mell’s campaign funds in earlier days, but Mell denies knowing anything about the deal.

According to Ata’s plea agreement, he and “Individual D” formed a real estate company together, Addison Venture LLC. “Individual D” then allegedly helped falsify documents so that Ata could avoid paying all the taxes owed on a quick sale of a Chicago property.

“Individual D” has previously been identified as Joseph Aramanda. Aramanda contributed $10K to Blagojevich’s campaign fund in 2002.

These guys were thick as thieves, perhaps literally.

* And now Ata is prepared to go the distance for the G

Ata’s lawyer, Thomas McQueen, said Ata would do whatever the government asked of him, including offering court testimony. He may get that chance sooner rather than later, as a prosecutor at Rezko’s corruption trial said Ata could be called as a witness.

This isn’t the beginning of the end. That started a while ago. But you can almost see the light at the end of the tunnel.

* By the way, I uploaded this video in 2006. It shows Tony Rezko escorting Gov. Blagojevich through a crowd. But is that Ata as well? Here’s his pic from the Sun-Times…

And here’s the video…


  85 Comments      


Ozinga defends minority company

Wednesday, Apr 23, 2008 - Posted by Rich Miller

* Martin Ozinga has been slammed by Democrats over a Tribune story from 2005 that alleged he had set up a minority front company to score contracts from the City of Chicago. Ozinga is the odds-on favorite to replace Tim Baldermann on the 11th District congressional ballot against Sen. Debbie Halvorson.

Anyway, Ozinga told the Tribune this week that he is “proud” of that minority company

“Our efforts with Metro Mix were always completely transparent, on top of the table, done in conjunction with many, many, many discussions of all the government agencies involved,” he said from his new campaign office in Mokena. “And I am—I was then, and I am to this day—proud of all the people who worked hard, put forth so much effort into trying to create a business opportunity that would have been so very beneficial, but that was probably just not meant to be.”

Ozinga said he started Metro Mix as a way to create jobs and promote economic development in minority neighborhoods.

Metro Mix initially had trouble being recognized as a minority-owned business—officials said Ozinga’s ties to the company were too close—so the group restructured with new minority ownership to meet requirements. Eventually, however, Ozinga had a disagreement with one of the new partners in the mid-1990s, and the company folded.

“I have no regrets, and I appreciate everybody that participated,” he said. “And nowhere along the line did we violate any rules, regulations or attempt to create any kind of an atmosphere that was anything less than above board and straightforward.”

Ozinga has said the same thing to Republican bigwigs, but the allegations remain. Regardless of the latest Tribune story, expect the company to be a big issue in the DCCC’s direct mail campaign this fall.

* Meanwhile, Phil Hare has named Tom O’Donnell his new chief of staff

O’Donnell, a native of upstate New York and a graduate of SUNY-Plattsburgh, most recently served as chief of staff for Congressman Rush Holt (D-NJ). Before that, he spent 13 years working for Hare’s predecessor Congressman Lane Evans, nine of those as legislative director.

  8 Comments      


Sun-Times mocks the Tribune

Wednesday, Apr 23, 2008 - Posted by Rich Miller

* Last week, the Chicago Tribune editorial board recused itself from writing editorials on the proposed sale of Wrigley Field to the state. Today, the Sun-Times editorial board mocks Mother Tribune

And now Sam Zell’s own newspaper has abandoned him. The Chicago Tribune’s editorial board announced the other day that it would “recuse” itself — run to the sidelines, fold its arms and remain neutral — from the debate over Zell’s efforts to sell Wrigley Field to the taxpayers of Illinois.

The Tribune’s “economic self-interest” in the sale of Wrigley is simply too great, the paper explained in a curious editorial, for the paper to take a credibly independent stand — too many readers just wouldn’t buy it. […]

But we also see the paper’s recusal from the debate for what it is — a tacit acknowledgement that the boss hasn’t got a leg to stand on. If Zell’s case for selling Wrigley to the state had any real merit, we suspect those on the paper’s editorial board would take a strong stand in favor of it — and find no need to recuse themselves.

As it is, Zell’s scheme to palm his ballpark off on the taxpayers runs counter to cherished free-market principles the Tribune has championed for 150 years.

Fat chance Zell would let his editors write that.

* According to Forbes, Zell is the world’s 164th richest person, with a net worth of $6 billion. He even has some low-income housing projects in Egypt (hmmm, my wife has been hinting about taking a trip to Egypt for a while).

There is no reason on God’s Green Earth why the government should help pad Zell’s considerable coffers with this Wrigley buyout. The Sun-Times is absolutely correct. Dump this idea.

Discuss.

  12 Comments      


Morning Shorts

Wednesday, Apr 23, 2008 - Posted by Kevin Fanning

* Miller: Vote ‘yes’ in November to constitutional convention

* Ex-Daley aides push further appeal of patronage convictions

McCarthy’s lawyer, Patrick Deady, said a three-judge appellate panel that last week affirmed the men’s convictions had nearly “obliterated” previous limits placed on mail fraud. Deady and his co-counsel argue that none of the men personally gained from the scheme, which they say would have been required under the court’s previous interpretation of the mail fraud statute’s “honest services” provision.

* Children’s “Museum” Option 3: ‘The Lincoln Campus’

* Study: Midwest has the worst drunken driving rates

* Illinois may close its last prison farm

* Governor declares Equal Pay Day

* Farmers to be paid for seized grain

* Opposition voiced against track plan

* Should Cook County Voters Decide Fate Of Taxes?

* Staffing ‘Crisis’ at Juvie Jail Goes to Court

* Fixing Slums By Creating Mixed-Income Housing

* State treasurer representative discusses flood recovery loans

* State office recycles old Illinois license plates

* Support victims’ rights - SB 2784

* Stop the Violence

* Illinois labor law discriminates against teenagers - HB 5141 would fix it

* Happy Earth Day, Lois Wille

* Stop work on enforcing Web gambling ban, lawmakers urge

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Protected: SUBSCRIBERS ONLY - Today’s edition of Capitol Fax

Wednesday, Apr 23, 2008 - Posted by Rich Miller

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* Isabel’s afternoon roundup
* Madigan trial roundup: Solis leaves the witness stand
* Question of the day: Golden Horseshoe Awards
* Appellate court grants 35-day stay in Grayson release hearing
* Open thread
* Isabel’s morning briefing
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