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Another day, another allegation.
A criminal investigation into whether lucrative state pension business was being traded for campaign contributions to Gov. Blagojevich has developed a Hollywood storyline:Federal authorities want to know if an investment firm then co-owned by the Oscar-winning producer of “Million Dollar Baby” was pushed to donate money to Blagojevich as it vied for a $220 million state deal, the Chicago Sun-Times has learned.
The producer, Tom Rosenberg, and Capri/Capital Advisors were approached in 2004 about contributing to the governor and were told it was a condition for securing investment funds from the state Teachers’ Retirement System, sources familiar with the investigation said.
Capri rejected the request, sources said, and — after a delay — the firm got the business.
The guv’s office and all others involved (except Tony Rezko, who could not be reached and is rumored to be in the Middle East) deny any wrongdoing. The fact that nobody paid a bribe weakens the story some, but the fact that it was solicited is damning info indeed.
posted by Rich Miller
Wednesday, Sep 20, 06 @ 9:26 am
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This is beginning to remind me of the whole “Whitewater Scandal.” How long did angry republicans throw dirt at Bill Clinton before realizing that the allegations were nothing more than allegations. This is another example of somebody telling somebody that somebody told somebody something about some scheme. Rich puts his finger on the problem though — no contribution was made and the work went on. This is getting ridiculous. Why do we continue to let angry republicans smear our top democrats with these baseless allegations? Why does the media continue to cover this type of triple hearsay as if its news?
Is Stu Levine a credible source? He is a crook who has made millions from the republican establishment’s schemes. This is stupid.
Comment by Juice Wednesday, Sep 20, 06 @ 9:46 am
I dont understand how Rezko who has been involved in phony minority contracts could get contracts worth hundreds of millions from our Federal Government. Has Rezko or his cronies given to Republicans ? I remember when Gov Rod went to Hollywood, I think Chuck Goudie did a story about State Troopers who had to babysit him, and drove SUV’s to Hollywood.
Comment by Anthony Wednesday, Sep 20, 06 @ 9:52 am
NUTS! I was hoping to be the first one to explain away Blagojevich’s latest scandal! But NOoo, one of his flying monkeys beat me to it!
“This is beginning to remind me of the whole “Whitewater Scandal†- brilliant!
The governor has had so many scandals to cover it seems he has an army of bloggers and suck-ups to be right on target for the his latest exploits.
Dang! Blagojevich’s campaign millions can cover up a whole lotta crap!
Comment by anon Wednesday, Sep 20, 06 @ 9:57 am
What Blagojevich is trying to do now, is villify Levine further so that when his story is officially out, the attacks on Levine can reduce the damage to Blagojevich’s campaign.
Comment by VanillaMan Wednesday, Sep 20, 06 @ 9:59 am
Party of the first part offers a bribe to party of the second part to go to the dance. Party of the second part says we don’t pay to dance. Party of the second part goes to the dance.
And, so, why did everybody else pay to get into the dance.
Comment by Marie Wednesday, Sep 20, 06 @ 10:02 am
This raises questions about the ethics of the many, many business owners who gave money to Blago because they thought it would smooth the way to a hefty state contract.
Ultimately, we taxpayers pay for these contributions, remember, because the contractors just tack the corruption costs onto their bill.
Corruption is expensive and we’re paying because the money comes not to the state coffers but to Blago’s campaign coffers. As I’ve been saying, if Blago is going to sell these contracts, why shouldn’t we taxpayers get the money.
Blago is hopeless from a corruption perspective but maybe we need to shine a spotlight on all those corrupt contractors and wannabees as well.
Evidently, they could just say no. Perhaps a Hall of Shame for Illinois contractors who also
contributed to Blago’s corruption/retirement fund.
Comment by Cassandra Wednesday, Sep 20, 06 @ 10:11 am
Sorry, I mean campaign/retirement fund.
Comment by Cassandra Wednesday, Sep 20, 06 @ 10:14 am
If the Feds have proof that Blago has been engaging in this type of behavior, then they should immediately freeze his campaign fund. If not, then there is nothing to this story. Either way, it makes me wonder if the Sun-Times is trying to atone for their shoddy “poll” released earlier this week.
Comment by Bluefish Wednesday, Sep 20, 06 @ 10:25 am
one thing is unfortunately left out of the article. Capri Capital is a minority owned firm and Tom Rosenberg is a small partner (of course we all like his movies though). Blago is preaching on am radio and Black churches every weekend. he claims his healthcare programs help poor Black and Hispanic families. But here he and his people are pressuring minority businesses, who already have it tough enough, to give large contributions to get business. let’s not forget it’s stated that the owners had already given $16 grand. How much more could they possibly want?
i’m sure there are a lot more minority owned investment firms and construction firms who were cut out, because they wouldn’t give contributions also.
Comment by Big Al Wednesday, Sep 20, 06 @ 10:31 am
Once again, this looks like the George Ryan story replayed with a bit actor in an Elvis haircut. In the end, after the feds plod along step by step, Blagojevich is toast.
All hail soon to be Governor Quinn.
Comment by Anon2 Wednesday, Sep 20, 06 @ 10:33 am
With reportedly 2000 recorded phone calls from Stu’s home phone recorded by the Feds…this is only the begining of the Rosenberg, Kelly, Rezko TRS relationship…Levine and Rosenberg have been in dealings together for decades…should get very interesting!
Comment by In deep Stu du Wednesday, Sep 20, 06 @ 10:37 am
Well Bill Cellini’s name keeps coming up. He has feed at the GOP trough for years. Wonder how much he has given JBT?
Comment by Anon Wednesday, Sep 20, 06 @ 10:40 am
“Another day, another allegation”
How many points will Blago’s poll numbers go up after this story? I really am thunderstruck by the voter’s blindness. I have had a great deal of respect for the voter’s ability to sift through BS, however, I now doubt their abilities. A very high ranking democrat used to tell me the voters were sheep and I would argue the contrary but I suspect he was right.
If I were betting on November’s election, I would say that the Governors race would be within 2% points either way and the Cook County President within 3 or 4 points going for Stroger. If the Suntimes polling is correct I am way off and way out of touch.
I mean, what do you have to do to lose support in this state? Daley fixes jobs and elections and his poll numbers stay high, new examples of Blago’s corruption are revealed every day and his reelection prospects soar, Son of Stroger puts his foot in his mouth quicker than Chuck Norris and a poll shows him 30% ahead. What gives?
I am a democrat because I am pro-labor but this is getting ridiculous.
I hope the unions are successful in funding many honest candidates in the coming municipal elections.
Comment by Garp Wednesday, Sep 20, 06 @ 10:54 am
Sheep? There are many, many herds, Garp.
Given that the Sun-Times actually published their bogusly conducted outlier polls, I suspect I am beginning to see a fleece growing on my morning paper as well.
You can bet the farm that if those polls were screwy the other way, say Topinka up 10 and Peraica up 12, they NEVER would have been published by a Chicago paper.
Comment by Bubs Wednesday, Sep 20, 06 @ 11:39 am
Rich, please help me out on this story. When I went out this morning to get the paper and saw the headlines, I though, “Wow, smoking gun!” After reading the story, I felt more like I was watching a circus where whe clown climbs in the cannon, they light the fuse, then out of the barrel comes the “POP” flag. Where’s the story? No soliciation, no donation, and they still have business.
Another graph in the story puzzled me. The CST made a point to say that essentially Cellini was still getting busines, even though he’s a Republican. If he had been cut off, BECAUSE he’s a Republican, that would be a story, maybe. But they write it as though we should somehow have expected that to happen, then are surprised when it didn’t.
Lastly, it seems these “pay to play” stories are a lot of one plus one equals something other than two. If the work being done is justifiable, if the bid was public and compeitive, and if the best or most competitive response wins, then what’s the issue? People who do business in government are politically active in support of Republicans and Democrats at every level of government. You would have to believe in a conspiracy beyond the wildest imagination even in Illinois to believe that procurements are delivered to the highest donor on even a RARE occasion, much less routinely. Do people who do business with government contribute? Obviously they do. Just the same way hospitals sponsor health fairs, and beer companies buy ads in football games. So far, these stories provide a lot of sturm und drang but very little concrete evidence to support their hypothesis.
Comment by Little Egypt Native Wednesday, Sep 20, 06 @ 1:01 pm
Perhaps the next question that should be asked is why are Teacher Pension Funds investing in Hollywood movies. That seems pretty risky to me.
The movie could have bombed big time and left all investors including the Pension Funds with losses on their hands.
Comment by Louis G. Atsaves Wednesday, Sep 20, 06 @ 1:47 pm
rich, I don’t know if they can handle the truth
Comment by buttermaker Wednesday, Sep 20, 06 @ 2:27 pm
“Little Egypt Native” I’ll try to answer.
1) You said there was no solicitation. That’s clearly not what the article claimed.
2) People tend to forget that Cellini’s Ashpalt Pavers Association was solicitous of Blagojevich in the 2002 campaign. The governor received tens of thousands of dollars from asphalt pavers in 2002, and even more since. Historically, the asphalt guys were Republicans and the concrete guys were Democrats. Blagojevich broke the mold.
3) It’s not the contribution, it’s the solicitation before the contract was even completed and it supports what Joe Cari claimed in his plea bargain. Here’s another excerpt from the CS-T story:
===Still, the alleged solicitation of Capri seems to fit a Blagojevich “fund-raising strategy” outlined in a federal court guilty plea entered by prominent Chicago attorney Joseph Cari last year.
According to Cari’s plea, two close associates of the governor allegedly helped “pick law firms, investment banking firms and consultants that would help Public Official A.” Sources have identified Blagojevich as “Public Official A,” and the associates as Rezko and Kelly.
Last October, after the plea deal, a Sun-Times analysis of campaign contributions found that Blagojevich netted more than $500,000 in donations tied to firms doing business with state pension systems.===
Comment by Rich Miller Wednesday, Sep 20, 06 @ 2:41 pm
Anon 10:40 am. I believe if you check the State Board of Elections records you will find that Cellini has given very little (if any money) to Topinka. They aren’t the best of buds!
Comment by politicaljunkie Wednesday, Sep 20, 06 @ 3:01 pm
Rezko sure seems to be hiding, err working, in the Middle East a lot lately. Do you think Syria will allow him to be extradited back to Illinois if he gets indicted?
Comment by Buck Flagojevich Wednesday, Sep 20, 06 @ 4:16 pm
How long until the indictment(s) is handed down?
Comment by huh? Wednesday, Sep 20, 06 @ 4:47 pm
Louis, the pension funds don’t invest in the movies. Relax. The investments with Capri/Capital are in real estate; office buildings, warehouses, sutff like that.
Comment by NumbersGuy Wednesday, Sep 20, 06 @ 4:54 pm
Rich, first of all, thanks for actually reading and responding.
But consider the source. Levine is a long-time Republican who wanted to stay relevant when the seismic shift took place, and, apparently, continue his corrupt (yet lucrative) practices. The noose starts closing on him, and to loosen it, he starts talking. But that doesn’t mean any of it is true. And we shouldn’t swallow hook, line and sinker something said by someone trying to avoid spending the rest of his life behind bars. It doesn’t make Levine a very credible source.
Rich, you say the story indicates there was a soliciation — the campaign denies it. So we’re left to believe Levine — see above.
But here’s the point I would most like for you to address:
Despite Cellini’s Republican ties, his family’s investment firm has been entrusted with investing $340 million in state pension cash since Blagojevich, a Democrat, took office. That firm, Commonwealth Realty Advisors, has provided above-average rates of return, records show.
The media writes about this as though it would expected for a Republican operative to be aced out of a deal, and there is some amazement that he wasn’t. I would say that proves the point of those defending the administration — that entities providing good service/rate of return get business.
Again — people who do business in and around government are likely to be politically active and see some benefit to being involved politically. But that’s a long way from the quid-pro-quo all of these stories — and headlines — keep looking for, but never quite find.
Comment by Little Egypt Native Wednesday, Sep 20, 06 @ 5:41 pm
Well, well, well, now we have Little Egypt Native who is sounding a whole lot like Bill and B. Hicks. People who do business in and around government ABSOLUTELY POSITIVELY are politically active and the benefits they see to that involvement is that they get no bid contracts where most people would have to get in the bidding line. Levine says one thing and the campaign denies it. Well excuse me if I don’t believe anything that your governor says. He is ducking and dodging the media in an attempt to avoid answering tough questions. He’s holding his child in his arms to avoid answering questions and then has his wife write coarse letters to the editor lambasting the press for doing their jobs. This idiot of a leader believes that he can issue press releases in lieu of holding press conferences, again an attempt to dodge questions. Now he’s backing out of debates, which comes as no surprise because the only thing he could do at those is to walk off the stage like a spoiled brat if someone asks him a tough question and holds his feet to the fire for an answer.
I used to wonder why in the world would Alabama put up with George Wallace, as crooked and corrupt as he was. I wondered by Louisiana put up with their governor, as crooked and corrupt as he was. There’s no connecting the dots with GoverNOT Hairdo. It’s all out there in the open, the no bid contracts, illegal hiring. bypassing veterans, campaign contributions from out of state (why?), press releases announcing programs the state cannot fund, giving money for a ballpark that has no ball team, putting a school at the top of the list for $1.9M in emergency repairs when in 5-6 years that same school will be moved into a new $20+M school their own taxpayers are funding. Need I say more? We are all idiots for re-electing this guy. I don’t care what your politics are. A crook is a crook is a crook. Don’t continue to let Illinois be the laughing stock of the nation. If you don’t like JBT, then vote green. But at least don’t give Elvis your vote. Let him know that no matter how much money he has, your vote is not for sale.
Comment by Little Egypt Wednesday, Sep 20, 06 @ 6:08 pm
Little E, I’m too busy for banter. I’ll get with you later. You know, phone calls and such.
You just keep up the blog work, bro. You’re doing fine.
Comment by B Hicks Wednesday, Sep 20, 06 @ 6:33 pm
Little Egypt Native: Let’s try another tact with you. The governor’s AllKids page states that there are 253,000 kids without health insurance in Illinois. So, he establishes AllKids (with no funding yet), slides KidCare (and it’s federal revenue stream) into it, without federal approval, and proceeds to blanket the state with millions upon millions of print media, fact sheets, postcards, and other handouts regarding AllKids. And on these items, his picture and/or name is prominent, with larger face type than the title of the program. IF THERE ARE 253k KIDS WITHOUT HEALTH INSURANCE, WHY DO WE NEED MILLIONS AND MILLIONS OF PRINT MATERIAL SENT OUT EVERY MONTH FOR THE LAST 3 MONTHS? (And there are many more mailing to come during the next month and a half before the election.
And also, why does he NOT mention, except in the application, that your child must be without insurance for 1 YEAR to be eligible. I don’t know one family that wants to take this chance with their child, even if they are paying high dollars for insurance.
Now add to that the fact that the money for all of this is coming out of the state agencies who are doing the printing and absorbing the postage from this (which totals about $400k for one agency alone). This is money the agency can use to provide services for the people of Illinois but it is being used to print what is essentially campaign literature for the governor. None of this expense is coming from his campaign fund.
So if this is “Governor Blagojevich’s All Kids Program” then HE better damn well pay for it, not the already burdened taxpayers. Now explain all this away for your boy.
Comment by Anonymous Wednesday, Sep 20, 06 @ 7:15 pm
When you remember he’s not the sharpest knife in the drawer you can understand poor Rod’s confusion on this one. Based on her recently disclosed birthday present, I’m sure he thought “Million Dollar Baby” was a movie Rosenberg was making about Amy and he, her doting dad, was surely due something for a film about his daughter!
Comment by Casey Jones Wednesday, Sep 20, 06 @ 7:37 pm
B. Hicks, wow another beautiful night and you’re working phones for Governor Quinn.
Comment by Little Egypt Wednesday, Sep 20, 06 @ 8:22 pm
Yeah, whatever. But I KNOW it’s not going to be Governor Topinka.
Comment by B Hicks Wednesday, Sep 20, 06 @ 8:30 pm
I didn’t realize my question about how the media was reporting the QPQ story would veer off into rants about AllKids etc.
The Governor of Illinois — Ryan, Edgar, Thompson and Blagojevich — receives donations from out of state. The Republican Governors of Missouri, California, New York and Florida receive donations from out of state. Does that tarnish their reputation? I don’t see why. I thought people had a right to give to people they like, agree with, or just plain feel like giving to. I don’t see the relevance.
My question was, is, and continues to be, although no one will address it — doesn’t it seem odd the CST pointed out that Cellini is a Republican but is still getting business from a D administration, inferring they would expect him to be cut off? The implication is that they, as smart political insiders, would expect the Democratic administration to cut him off. But the fact they haven’t — nor Kjellander, nor probably numerous others I would have no way of knowing about — actually proves the point that there is no QPQ.
I’m sorry, I just found the whole article, and especially the front page headline screaming out in purple prose, all sizzle and no steak. All hat and no horse. Pick one.
If you don’t like the Governor personally, that’s ok with me. Believe me, I’ve skipped over many a race where I didn’t care for a candidate personally. But address the substance of my question, please, instead of talking about the Governor’s hair. If that’s the criteria for this election — Topinka and Whitney have nothing on the Gov!
Comment by Little Egypt Native Wednesday, Sep 20, 06 @ 8:49 pm
Rich, I think most of these posters either didn’t read the whole story, didn’t understand it, or don’t know the background of the “fundraising scheme” you describe in your 2:41 post. You are spot on in your characterization.
This may have gone beyond “triple hearsay” to quote Juice (and Blago) if Levine is naming names on tape. MAY have. The S-T certainly infers as much.
Secondly, all the filings in re; Levine seem to indicate a pattern, that being that his overtly criminal activity coincided with the arrival of the Blago administration. Hence, these lines about “Repub..schemes” and “long time Repub..” may be interesting demographically but are apparently not so to the US Attorney.
Comment by NumbersGuy Wednesday, Sep 20, 06 @ 10:02 pm
Numbers Guy, I did all of that and more.
Once again– the stories take one marginally new revelation and use it to “prove” their own conclusion. Any casual reader of the papers understands the background of the alleged “scheme” — understanding what is alleged doesn’t lead to concurrent belief in the individual making the allegation. Levine says this is what he thought, this is what he heard, this is what he believed etc. Here’s a guy who ran at least three different sophisticated criminal enterprises, leveraging his role as an appointed board member of various institutions. I would think those facts would be enough to give all of us reason to question his veracity.
And the media coverage of these “allegations” is still the thrust of my posts here; revealing another of his scenarios which fit HIS version of events, remembering now that he’s under intense pressure to save his own financial and person freedom, is hardly worthy of 24 point front page headlines, a huge photo with a prominent celebrity, and a story which in the end doesn’t match the hype.
Comment by Little Egypt Native Thursday, Sep 21, 06 @ 8:51 am