Bill Richardson: Unlucky Target in Pay-to-Play Investigation

by Deb Cupples |  President-elect Barack Obama has some terribly unlucky friends and associates.  A few weeks ago, for example, Illinois Governor Rod Blagojevich was charged with corruption related crimes after he got caught on tape suggesting that he should get money in exchange for performing his gubernatorial duty to appoint someone to replace Obama in the U.S. Senate.

In June, Obama's ex-friend and long-time political supporter Antonin "Tony" Rezko was convicted of crimes related to "using his political clout to orchestrate a multi-million-dollar kickback scheme." (Chicago Tribune)

Now, Obama's pick for Commerce Secretary, New Mexico Governor Bill Richardson, is apparently under investigation for corrupt activities. The Los Angeles Times reports:

"New Mexico's Gov. Bill Richardson, who is the newly named Secretary of Commerce in Obama's about-to-be Cabinet, is also being investigated by a federal grand jury in his home state for possibly steering state bond business from the New Mexico Financial Authority toward David Rubin, a significant campaign contributor, according to an NBC News report, among others.

"NBC's Lisa Myers reports that two former state officials say they've recently been questioned by a federal grand jury specifically about allegations that Richardson or aides pushed state business worth nearly $1.5 million in fees toward CDR Financial Products in 2004. The company is headquartered in Beverly Hills.

"This was about the same time as CDR's founder, Rubin, donated $100,000 to two of Richardson's political action committees; mainly it appears to cover expenses of the governor and his staff at the Democratic Party's National Convention in Boston that summer.

"Rubin also donated another $29,000 to Richardson's unsuccessful presidential campaign this year and last.

"The probe is part of a broad national federal exploration of 'pay-to-play,' in which government officials reap financial or other benefits in return for state business." (LA Times)

It would be interesting to know how many unlucky Democrats versus Republicans are being targeted in the pay-to-play probes.  Memeorandum has commentary.

Other Buck Naked Politics Posts:

* Bush's Costly Wars: What about Private Profiteers?

* Cleaning up Political and Corporate Culture Could Help Economy

* Caroline Kennedy Didn't Donate to Many NY Dems? 

* Real Bonuses Based on Fake Profits

* Someone Please Take the Economy Away from Mr. Paulson

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