TBO.com - TBO is Tampa Bay Online

Richardson Drops His Cabinet Bid

ADVERTISEMENT

The Associated Press

Published: January 5, 2009

WASHINGTON - New Mexico Gov. Bill Richardson on Sunday announced that he was withdrawing his nomination to be President-elect Barack Obama's commerce secretary amid a grand jury investigation into how some of his political donors won a lucrative state contract.

Richardson's withdrawal was the first disruption of Obama's Cabinet process and the second "pay-to-play" investigation that has touched Obama's transition to the presidency. The president-elect has remained above the fray in both the case of arrested Illinois Gov. Rod Blagojevich and the New Mexico case.

CHANGE OF HEART: When Richardson was nominated, he gave assurances that he would come out fine in the investigation and the president-elect had no reason to doubt it. But as the grand jury continued to pursue the case, it became clear that confirmation hearings would have to be delayed for six weeks or even longer until the investigation was complete.

THE BACK STORY: A federal grand jury is looking into "pay-to-play" dealings between CDR Financial Products of California and someone in a position to push the contract through with the state of New Mexico. State documents show CDR was paid a total of $1.48 million in 2004 and 2005 for its work on a transportation program. CDR and its CEO, David Rubin, have contributed at least $110,000 to three political committees formed by Richardson, according to an AP review of campaign finance records.

RICHARDSON'S FUTURE: He said he will remain as New Mexico's governor and looks forward to working with the Obama administration.

RICHARDSON'S POLITICAL CLOUT: He is one of the most prominent Hispanics in the Democratic Party, having served in Congress and as President Clinton's ambassador to the United Nations and energy secretary. As governor, he has kept up an international profile with a specialty in dealing with rogue nations.

WHAT'S NEXT: Obama will need to select a new secretary of commerce. Also, two Senate confirmation hearings for Obama's Cabinet picks are scheduled for this week. They are:

THURSDAY: Tom Daschle, the former Senate majority leader who has been selected to be secretary of health and human services, will appear before the Health, Education, Labor and Pensions Committee.

FRIDAY: Rep. Hilda L. Solis of California, who was chosen as labor secretary, will go before the same committee.

Information from The New York Times and McClatchy-Tribune was used in this report.

Share this:

Loading Comments...

Email Print

ADVERTISEMENT