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* Despite a hatchet job by the Washington Post and other fantacists, claiming that Transportation Secretary Designate Ray LaHood was inextricably tied to indicted GOP fundraiser Bill Cellini and therefore could be a problemmatic appointment, the FBI found zero improprieties in LaHood’s background…
LaHood has come under fire for ties to William Cellini, the former associate of disgraced Gov. Rod Blagojevich who pleaded innocent to conspiracy charges in November. But committee Chairman John Rockefeller said an FBI report on LaHood was “sparkling clean.”
Any congresscritter in Illinois who earmarked road repair/construction money likely benefitted local asphalt pavers, who belong to an association run by Cellini. That doesn’t automatically mean they did something wrong, as the WaPo article more than suggested.
* And in that same spirit, let’s withhold immediate judgement on this revelation, at least for a few seconds…
For more than two years, Maltese’ bulging campaign fund had invested millions of dollars through a company headquartered in Tampa, Florida, the firm Invest Financial Corporation. Its CEO at the time was Robert Blagojevich, the governor’s older brother.
State records show that between July of 2000 and September of 2002, Robert Blagojevich’s company paid Maltese’ campaign fund nearly $3.3 million. The dozens of entries are listed as investment dividends, interest and proceeds from the sale of U.S. Treasury bills.
Some of the investment payments from Robert Blagojevich’s company occurred even after Mayor Maltese was convicted of swindling $12 million from the town through an insurance firm.
Lawyer Michael Ettinger, who represents the governor’s brother in the current federal investigation, was unaware of the link to Betty Loren Maltese.
On Wednesday at the I-Team’s request, Ettinger had Robert Blagojevich review the state records and Blagojevich reported that “he knows nothing about it” and that the investments must have been made by some other affiliated bank even though his was listed 41 times.
* Related…
* House panel takes shot at Blagojevich in stimulus: The U.S. House of Representatives’ Appropriations Committee voted on Wednesday to bar Illinois Gov. Rod Blagojevich, charged in a corruption scandal, from touching any money the state would receive from an economic stimulus package.
* Kirk Memo On Blagojevich & Stimulus
* Illinois Republicans critical of Obama stimulus plan
* LaHood: Spending stimulus wisely a top priority
* Politics: LaHood wants to make nice with union, is this a good sign for organized labor under Obama?
* Path of federal road funds upsets locals
* Much of Stimulus Won’t Be Spent Before 2011, CBO Says
* Ill. gov.’s brother: Up to 50 calls could be taped
posted by Rich Miller
Thursday, Jan 22, 09 @ 9:26 am
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Rich
I appreciate your “withhold judgment” comment related to BLM and Rob Blago. Chuck Goudie did a smear job on the two last night on ABC7. I am a major Blago hater and know nothing about Rob Blaog but I thought the story that Goudie did was gratuitous and implied something that may not be there. Way presumptuous Chuck. If you know something more - then say it - otherwise I thought you were just trying to connect some dots between two people under the FBI radar. Who’s next George Ryan too?
Comment by carbon deforestation Thursday, Jan 22, 09 @ 9:46 am
Well, we only have Rockefeller’s word that LaHood’s FBI report is “sparkling clean.” In any case, I assume the FBI confines itself to criminal wrongdoing, and doesn’t get into grey areas of Illinois ethical issues.
I just know that when we’re talking about “hatchet jobs,” LaHood seemed to be the lead hatchet man for Hastert (and Cellini?) when that old crew was trying to undermine Peter Fitzgerald. I remember well LaHood saying he was looking for a primary challenger for Peter going in to 2004.
Also recall just a few years ago when LaHood was pushing his own son to be the U.S. Attorney for Central Illinois?
Illegal, no, but it’s easy to see why LaHood is so popular with Dems.
Comment by GOP'er Thursday, Jan 22, 09 @ 9:49 am
When did imaginative journalism replace investigative journalism?
The washington post is saving money skipping that whole fact check or supportable foubndation encumberance to writing a story.
Comment by Ghost Thursday, Jan 22, 09 @ 9:53 am
So, in the somewhat unlikely event that the guv lasts until we get the $50 billion from the feds,
the state Legislature will potentially have control over these funds.
Not sure I feel totally comfortable with that either, but I guess all we can hope for is that the Obama admin puts a lot of transparency requirements on the use of the monies. I am, however, mindful that money is fungible, and this
could free up existing monies for more, shall we say, politically-oriented purposes.
Comment by Cassandra Thursday, Jan 22, 09 @ 9:57 am
Yes, sometimes a cigar is just a cigar, but with orange juice, milk, and toast, it can be a part of a nutritious breakfast!
Sorry to disappoint the smearmongers, but there is no there there regarding LaHood.
Comment by VanillaMan Thursday, Jan 22, 09 @ 9:58 am
Cass your mney is fungible comment is technicall correct but in application to how the State spends is incorrect. To get Federal money almost always requires the state to put up a certain percentage of funds. So generally to pull in the full amount of Federal funds would require the State to take its fungible money that could be spent elsewhere an decicate it to the corresponding projects elgible for Federal funding. In short, getting Federal money tends to lock up more State money aimed at specific projects then create more free funds.
Comment by Ghost Thursday, Jan 22, 09 @ 10:04 am
According to Chuck Goudie, Blagojevich and Maltese had one friend in common, Fast Eddie. Blago and Betty also have another friend in common, Juan Ochoa. Ochoa is the Latino pay-to-play fundraiser for the Guv and Congressman Gutierrez and who was rewarded by the Guv to head up McPier. Ochoa’s friend, Ramiro Gonzalez succeeded Betty as Cicero’s Mayor. Gutierrez endorsed Gonzalez for Mayor at the time. Gonzalez is a Republican and Gutierrez is a Democrat. Gonzalez kept Fast Eddie as the town’s lawyer. What a cesspool!
Comment by Latino pay to play. GOL! Thursday, Jan 22, 09 @ 10:36 am
GOPer, if past practices are any measure, the FBI background checks go far beyond criminal wrongdoing — and you better tell the truth, because it’s a crime to lie to the FBI.
Take the case of Henry Cisneros in the Clinton Administration. He was asked about and admitted to having a mistress while married. He even admitted to giving her money every month — but he lied about the amount. Here comes the Special Prosecutor and three years and millions of dollars later, he cops to a misdemeanor for lying to a federal agent.
You don’t want to be interviewed by the FBI. Ever.
Comment by wordslinger Thursday, Jan 22, 09 @ 10:46 am
The Blago/Maltese/Fast Eddie story doesn’t seem to be soup yet. I’m not sure what Goudie is trying to say.
Comment by wordslinger Thursday, Jan 22, 09 @ 10:46 am
Do we know that this particular federal bailout of the states will require state match and how much.
That would seem to favor the states whose finances are in better shape (they have more discretionary monies sitting around) and I though the focus was on areas under the greatest economic stress. Anyway, $50 billion is an awful lot of money and I am uneasy about what Illinois pols will do with it.
Comment by Cassandra Thursday, Jan 22, 09 @ 11:02 am
Sometimes a BIG fire can begin with just a LITTLE smoke. I’m just sayin’………
Comment by Little Egypt Thursday, Jan 22, 09 @ 11:24 am
ghost-
As it stands now, the federal stimulus $ is 100% federal with no state match required. I am sure there will be federal oversight required, as well as a final list of stimulus projects for everyone to see.
Comment by Six Degrees of Separation Thursday, Jan 22, 09 @ 12:19 pm
I don’t know why the locals are complaining about IDOT handling the local stimulus component. IDOT allocates all Moror Fuel Tax money as well as state and federal aid to the locals now, through its Bureau of Local Roads (and has for several decades). And there will be a formula distribution to the locals that will be theirs to spend, unless some of those “shovel ready” projects really aren’t.
Comment by Six Degrees of Separation Thursday, Jan 22, 09 @ 12:23 pm
I’m assuming most of the actual infrastructure work is done via contracts let by IDOT, not by state employees. And therein lie all kinds of opportunities for mischief.
Comment by Cassandra Thursday, Jan 22, 09 @ 1:25 pm
It’s kind of buried in this post but it’s good to see Foster and Kirk actually doing something concrete about this mess by trying to keep the dying Blago admin out of the mix on any stimulus $$$ from DC. After the Burris appointment there’s no telling what that knucklehead would do if a few hundred mil showed up on his desk.
It may not be the biggest legislative happening in history, but at least there are two elected officials doing something real to stop the insanity.
Comment by Adam Smith Thursday, Jan 22, 09 @ 2:27 pm
wordslinger—it appears Eddie V is connecting some dots for his new friends on Dearborn. Kerblam
Comment by 2ConfusedCrew Thursday, Jan 22, 09 @ 3:49 pm
The Cellini-La Hood non-story has indeed turned out to be a dud. If you’re going to impugn everyone who had a casual connection to Cellini in this state and line ‘em up, the line will stretch from Cairo to Zion. Show me some real red meat next time.
Comment by Six Degrees of Separation Thursday, Jan 22, 09 @ 5:51 pm