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AG Candidate Holder May Face Conflict

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The Associated Press

Published: December 14, 2008

WASHINGTON - If confirmed as attorney general, Eric Holder may have to consider removing himself from overseeing the Chicago corruption probe that ensnared Illinois Gov. Rod Blagojevich, legal experts say.

Holder was a co-chairman of Barack Obama's presidential campaign, joining in 2007, about when a long-running investigation focused on a businessman who had been among the biggest fundraisers for Obama and Blagojevich.

The legal ethics issue could arise if Holder talked about the Chicago investigation with Obama or his staff.

"It's reasonable to ask Holder to recuse because he is a prospective witness," said Ron Rotunda, author of "Legal Ethics: The Lawyer's Deskbook on Professional Responsibility."

"If I were Holder, I would just recuse myself from the whole thing in order to ensure the integrity of the process," added Rotunda, who was a paid consultant in independent counsel Ken Starr's perjury and obstruction investigation of President Bill Clinton and former White House intern Monica Lewinsky.

On Saturday, an Obama transition aide said that if Holder becomes attorney general, he will follow all department guidelines on recusals.

In regard to the Chicago corruption probe, "I don't see main Justice and Holder getting terribly involved in this case. I see keeping this out in the U.S. attorney's office in Chicago," said Wayne State University law school professor Peter Henning, who teaches classes in legal ethics and white-collar crime.

"That said, having Holder recuse himself and not having any of the people involved with Obama involved in this case would be the wisest course," Henning added.

Another issue that Holder may be required to take a role in unless he recuses himself is the future of Patrick Fitzgerald, the U.S. attorney.

Ordinarily, an incoming administration of the opposite political party replaces U.S. attorneys. The politically sensitive nature of the Chicago investigation has led Obama, U.S. Sen. Dick Durbin, D-Ill., and Senate Judiciary Committee Republican Charles Grassley of Iowa to weigh in on the side of retaining Fitzgerald.

EARLY INQUIRIES

The Chicago investigation run by U.S. Attorney Patrick Fitzgerald has played out in two parts. The second unfolded with the sensational charge that Illinois Gov. Rod Blagojevich had tried to sell Obama's U.S. Senate seat.

Act One was the years-long investigation, trial and conviction of Chicago businessman and prolific political fundraiser Antoin Rezko. By the time Attorney General nominee Eric Holder joined Obama's campaign, the candidate had already dealt with one bit of controversy involving Rezko.

Rezko's wife sold a strip of a vacant lot to the Obamas for $104,500. The strip was next to Obama's newly acquired home. Later, Obama called his purchase of the land a mistake on his part, saying that people might think he had gotten a favor from Rezko.

The American Conservative Union jumped on the transaction, filing a complaint with the Senate ethics committee alleging that the purchase of the adjoining lot was an improper gift to Obama from Rezko and his wife.

Three months ago, it became clear that Rezko, facing a lengthy prison term, had begun cooperating with the investigation in Chicago - and that cooperation is continuing.

The Associated Press

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