To: lazarre who wrote (17148 ) 7/21/1998 9:48:00 PM From: Catfish Respond to of 20981
Specter contemplates Reno suit Philadelphia Inquirer July 21, 1998 Specter urges special fund-raising probe Reno had refused to name a prosecutor on Democratic practices. By Chris Mondics INQUIRER WASHINGTON BUREAU WASHINGTON -- Amid growing frustration on Capitol Hill over Attorney General Janet Reno's refusal to appoint a special prosecutor to probe Democratic fund-raising practices in the 1996 election, Sen. Arlen Specter is pressing his Republican colleagues to ask the courts to take the case out of her hands. Within the ranks of the GOP Senate majority, Pennsylvania's Specter has been circulating a draft of a lawsuit that accuses Reno of ignoring a wide body of evidence that President Clinton and key advisers violated federal election law -- and asks that the courts appoint an independent counsel. Specter's lawsuit says there is evidence that the President and his staff violated the law through the improper raising and spending of so-called soft money. The suit also contends that Reno ignored evidence gathered by her own department of an illegal Chinese scheme to influence the 1996 election that allegedly touched on the White House. "I hope to get federal district court to order Reno to appoint independent counsel," Specter said yesterday. "I think the conclusions [ of the lawsuit ] are very, very strong." To build support for such action, Specter has been conferring privately with Sens. Orrin G. Hatch (R., Utah), the chairman of the Senate Judiciary Committee, and Fred Thompson (R., Tenn.), who ran last year's hearings on campaign finance abuses. Earlier efforts by Specter to persuade colleagues to proceed with such a lawsuit failed to generate much enthusiasm, in large measure because there was still hope among some Republican senators that Reno would make an appointment. But the disclosure last week that Reno had decided against the appointment, even after FBI Director Louis J. Freeh had advised her in a memo that she faced a potential conflict of interest, has focused renewed attention on Specter's proposal. That disclosure came during a Judiciary Committee hearing during which Thompson stated that he had been briefed on the memo by a senior official of the Justice Department. Democratic Party officials have argued that there was nothing inherently improper about their use of "soft money" and that Republicans did the same. They say that the illegal and improper campaign contributions cited in Specter's lawsuit accounted for only a small portion of overall fund-raising by Democrats, and that fund-raising practices have since been tightened. Specter's lawsuit would be based in part on the law that allows the appointment of independent counsel. That law gives the majority party members of the Judiciary Committee -- as a group -- standing to request (though not order) that the federal courts appoint a special prosecutor. No member of Congress has ever utilized that section of the independent counsel law. And while federal district courts in two instances have ruled in favor of individual citizens seeking the appointment of a special prosecutor, those decisions were overturned on appeal. The draft lawsuit reprises some of the disclosures of the Senate campaign finance hearings last year, using them to support Specter's contention that the Justice Department cannot be expected to conduct a vigorous investigation of the fund-raising activities of the President and Vice President. As evidence that the President violated federal election law, the lawsuit cites statements by former presidential adviser Dick Morris that Clinton regularly sat in on strategy meetings focusing on the content of Democratic Party advertising campaigns, often rewriting scripts. The proposed lawsuit contends that the President violated the law because the advertisements, which in several instances urged the reelection of the President, were paid for with the "soft money." Under federal election law, such largely unregulated funds, which can be raised in unlimited amounts, can be used only for so-called party-building purposes such as voter outreach. They may not be used to directly benefit a candidate for federal office. The lawsuit cites a videotape of a meeting at the White House between the President and several Democratic Party contributors in which the President seems to credit the use of unregulated soft money for reviving his political fortunes. "That's not a smoking gun; that's a firing gun," Specter said. "You can see the bullet." The lawsuit also cites the case of John Huang, the former executive of the Lippo Group, an Asian financial services and manufacturing conglomerate. Huang, a longtime Clinton acquaintance, was appointed deputy finance chairman of the Democratic National Committee in December 1995, apparently at the urging of the President. Huang went on to raise $3.4 million for the DNC, nearly half of which was returned because it came from illegal foreign sources or was of suspect origins. Overall, the lawsuit says, the President and his allies engaged in a wide-ranging conspiracy to evade campaign finance laws. "There is specific and credible evidence that the President and Vice President participated in this conspiracy by trading access to the President, Vice President and other executive branch officials for political contributions," the draft says.freerepublic.com