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Holder, Blago, Richardson: Triangle of Sleaze
A rough week for the Obama administration’s corruptocracy.

By Michelle Malkin


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It was a rough week for the corruptocracy. White House officials better ho-ho-hold on tight because the sleigh ride isn’t going to get any smoother.

On Wednesday, disgraced former governor Rod Blagojevich (D., Ill.) received a 14-year prison sentence for scheming to sell Pres. Barack Obama’s Senate seat, along with several other pay-to-play schemes. Blago played the distressed daddy for the federal judge, invoking his young daughters and wife (who held her notoriously foul tongue in check) to bemoan how his “life is in ruins.”

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How far Blago’s fallen from the glory days of 2008, when he was gloating at the prospect of naming a candidate to fill then-President-elect Obama’s seat. “I’ve got this thing, and it’s f**king golden,” he crowed. All that glitters now, though, are the paparazzi flash bulbs that Blago faces on his perp walks.

Earlier this week, Bill Richardson, former Democratic governor of New Mexico, disgraced former presidential candidate, and failed Obama Commerce Secretary nominee, faced new reports of a federal grand jury looking into his possible violations of campaign-finance laws. The funny-money business is tied to an alleged mistress payoff a la disgraced former presidential candidate and senator John Edwards (D., N.C.).

Additionally, the Wall Street Journal reports, investigators are probing how “Richardson’s close allies steered more than $2 billion of public money into investment funds run by money managers who in turn agreed to pay millions of dollars in consulting fees to high-profile Democratic fundraisers and other supporters of Richardson.”

The star that joined together this little constellation of sleaze? Disgraced U.S. Attorney General Eric Holder.

Holder and Blago go way back. Holder himself suffered selective amnesia about the relationship during his confirmation hearing. He somehow “forgot” to mention that Blagojevich had appointed him to probe corruption in Illinois casino-licensing decisions. State officials had objected to Blago’s crony appointment of fundraiser Christopher Kelly to the state gaming board. Kelly’s business partner was now-convicted felon and shakedown artist Tony Rezko, Obama’s former bagman and real-estate fixer.

Holder pocketed $300,000 from Blago to “investigate” and — surprise, surprise — concluded that no corruption existed. They stood shoulder to shoulder at a 2004 news conference to make the announcement. But Holder failed to disclose it on his Senate Judiciary Committee questionnaire, which he signed five days after Blagojevich’s arrest in December 2008 for putting Obama’s U.S. Senate seat up for sale.

After duping a Senate majority (including 19 Senate Republicans) into approving his AG nomination despite multiple admissions of failure, neglect, and sabotage of the rule of law, Holder moved up to perform more cover-ups for Obama’s pals. In August 2009, Holder’s DOJ announced it was dropping federal corruption charges against Richardson after a year-long federal probe into pay-to-play allegations involving one of his large political donors and state-bond deals.

“It’s over. There’s nothing. It was killed in Washington,” a source close to the investigation told the Associated Press. Even as they tapped Richardson to serve as Obama’s first Commerce Secretary, the White House transition team knew about Richardson’s pay-to-play scandal involving a California company, CDR Financial Products. FBI and federal prosecutors had launched their probe of CDR’s activities in New Mexico in the summer of 2008.

The feds had been digging into a nationwide web of favor-trading between financial firms and politicians overseeing local-government-bond markets. CDR was tied to a doomed bond deal in Alabama, which, according to Bloomberg News, threatened to cause the biggest municipal bankruptcy in U.S. history. CDR raked in nearly $1.5 million in fees from a New Mexico state financial agency after donating more than $100,000 to Richardson’s efforts to register Hispanic and Native American voters and to pay for expenses at the 2004 Democratic National Convention, the news service reported.

The state agency that awarded the money consisted of five Richardson appointees and five members of his gubernatorial cabinet. CDR made contributions both shortly before and after securing consultant work with the state of New Mexico. CDR’s president also contributed $29,000 to Obama’s presidential campaign. After Holder dropped the case, New Mexico Republicans blasted the lack of transparency in the decisions and the refusal to heed the advice of experienced, non-political prosecutors and FBI investigators.

Mother Jones writer James Ridgeway’s comment on the day of Richardson’s Commerce Secretary nomination withdrawal proved quite prescient: “It may be premature to say that Obama and his team have too high a tolerance for corruption. But this first self-destruct among his cabinet picks could well prove all the more damaging because it’s something they should have seen coming from miles away.”

The same applies, of course, to Holder himself — who admitted at a House hearing that the Operation Fast and Furious scandal under his watch was “flawed,” “reckless,” “tragic,” and “deadly.” How much longer will America tolerate this reign of error and terror?

— Michelle Malkin is the author of Culture of Corruption: Obama and His Team of Tax Cheats, Crooks & Cronies. © 2011 Creators Syndicate, Inc.

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COMMENTS   18

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   12/09/11 00:39

C'mon, c'mon. All those Bush AGs were far far worse. Gulp. Weren't they?

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   12/10/11 19:22
   12/09/11 08:09

The 19 GOP Senators seriously failed in their responsibility. Holder NEVER should have been confirmed. Did you see him yesterday. He apparently doesn't care about congressional oversight.

This, my friends, is what tyranny looks like.

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   12/09/11 08:23

How long will America tolerate this reign of terror? As long as their accomplices in the mainstream media keep carrying the water for this utterly corrupt administration. The few voices crying in the wilderness aren't enough to galvanize the American people into action. Were this a Republican administration, the media hacks would all be screaming impeachment, prosecution and jail time.

Or until they are voted out of office. November 2012 is the most important election in my lifetime.

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Fil-TX
   12/09/11 08:44

I'm shocked, SHOCKED that this is happening in "most transparent administration in history". There was to be no lobbyist, no cynicism, bipartisan accord, the waters of the ocean cooling and the earth healing. Isn't that what we have after 3yrs? Not so much. Chicago politics comes to Washington. Hopefully, in 2012, these guys will either be back in Chicago or in prison.

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   12/09/11 10:23

You did not include Mr. Corzine!!! Was the corruption not obvious enough to make your list? Must have been timing...

I think Rahm went to Chicago to "tie up" loose ends. That included making sure Blago was never heard from again. Any other city would have raised no red flags. But Chicago is different. I also think it is home base for all the fraud the dems are planning for the next election in the voting precincts. In the end, that's where all this money is going. Pure and simple. As one famous host says..."follow the money"...

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Senlin
   12/09/11 10:25

When Richardson was testing presidential waters, and later cabinet positions, the press refused to recount that Richardson was the bag man to pay off Lewinski and get her out of town. According to the Starr Report, in a section which has not been denied or controverted, Richardson (then US Ambassador to the UN) was called by a White House advisor (Lanny Davis as I recall) and told the WH had need to place a "problem" woman in New York (Monica's preference). Richardson okayed the deal immediately, not even knowing her name. He then went down (or sent staff down -- he didn't recall!) for a pro forma "interview" of Monica in her Watergate apartment. The uneducated and lamebrained WH "intern" was immediately extended a $60K+ per year staff job on Richardson's UN staff in NYC. (Interestingly, Monica turned it down -- probably felt she was overqualified). Clinton would have lost the impeachment vote if the House had added the charge of putting his doxey on the public payroll. I have to assume it did not because the practice of putting kin and lovers on the payroll is standard operating procedure for the Congress as well.

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clay b
   12/11/11 04:11

Evidently you forgot that Monica wound up with a $72,000 a year sinecure at the Pentagon for which I am sure she was well qualified. Of course the MSM was too polite to delve into the appointment.

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   12/09/11 10:31

It is just amazing to me that the mainstream media thinks so little of its credibility that it is willing to go down with the Obama ship. But, I guess that's the problem with arrogance -- you don't think it can happen because you're so brilliant. Rush was saying yesterday that the media created the Obama administration so they have to prop it up or admit failure. Well, whether they admit it or not, we nimrods out here see it so clearly that we tune them out. It's scary though -- look at Herman Cain -- they still are able to ruin lives. I'm ready for their lives to be ruined instead.

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Insearchofaleader
   12/09/11 11:17

Michelle great recap!!! It is scary how corrupt this administration is. But if we aren't going to impeach and prosecute, this will continue.

They need to be charged, they have taken an oath and they are ALL violating that oath.
From Steven Chu to Eric Holder, to Kathleen Sebilious, to Bit Sis!!

In addition, why don't we start focusing on the mainstream media by name and identifying their "investigative journalists" by name and asking for their research and results - by name on a daily basis??? They can hide behind the "main stream" media title, but it is harder to hide when you are called out by name. ie where is Brian Ross of ABC - he's supposed to be this great investigative reporter, or NBCs Brian Williams - doesn't he profess to get at the truth. How about good ol Wolf does he really know how to expose or investigate anything with a D after their name?

It is time to call them out weekly, identify the area(s) of concern and identify those "journalists" who have NOT DONE THEIR WORK!! It would make a great web site. Perhaps when they get exposed regularly, and the negative press hurts their ability to negotiate their precious employment contracts they will begin to "really investigate" for the good of the country - not their own political agendas.

Perhaps we could have journalist stars of the week and the Big losers. Naming them is the only way to hold them accountable!

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   12/09/11 11:34

There's no surprise here. None of this should astonish anyone. Obama has been a corrupt, sleazy s#*t of a politician since he ruined his mentor in his first race for office.

Blago is a fall guy. His sentence, while satisfying, is way out of proportion to his crime, for no money ever changed hands. He has been knocked over, has taken one for the team, so that BHO can point to him as an example of how His DOJ tirelessly pursues corruption in both parties.

I predict that Blago will be pardoned, aquitted on appeal, given years off for good behavior, transferred to supervised leave, released on a technicality, some such thing, within 6 months of the November 2012 election. You can betcha boody on it.

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   12/09/11 13:00

What is most indicative that Obama follows the Chicago Way is not merely the scope of the corruption; it is that Obama never intervenes to stop it and never bothers to offer justifications or excuses. He simply ignores it all, corruption and compaints about corruption alike.

The Chicago Way is well known to those who live in or near Chicago. The attitude is, "We help our friends. So what? You expected something else? What are you gonna do about it?" They truly don't care what anyone thinks, and see no need for explanations, excuses or justifications.

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   12/09/11 14:16

thanks MM for the article. Holder apparently has a culture of corruption in his character. No wonder Obama wanted him as a part of his administration.

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   12/09/11 14:59

Above the fold and here since dawn. I am what, comment number 12?

This shark is j-u-m-p-e-d.

What might the problem be?

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   12/10/11 19:33

It would be lovely to be able to properly impeach and dispense with this criminal enterprise legally known as the Obama Administration, but an election is looming, the damage has been done, and time is short. The window to prevent this destruction is four years past and as always, the overhaul will be more expensive than the preventative maintenance.
Our mission, as thinking patriotic Americans, is to electorally dismiss these statist pukes in the face of what promises to be an onslaught of voting fraud of epic proportion. This will be preceeded by a propaganda campaign already underway and abetted by a compliant, groupthink - ridden, and essentially state - operated media.
Upon the completion of that monumental task, these aforementioned pukes are to be prosecuted for their crimes to the fullest extent of the laws they have abused. It is imperative to publicly humiliate serial felons who engage in Constitutional destruction, simply as a means of deterrence. Real political crimes have a tradition of remaining unpunished so as not to disturb the rapport of the "club". The Club is dirty and must be torn down!
Let's face reality, Holder should never have been confirmed given his firm's record of pro bono support of terrorism, but that would relate to our job as voters to hire competent representatives.
If we don't participate in politics, we get ruled by inferior people.

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TNBrit
   12/11/11 23:19

I understood the US constitution guarantees us a 'free press'. The left wing, majority media needs to be investigated and prosecuted; they have far too much power over the majority of Americans who rely on BHO's propaganda machine for what they believe is the news.

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   12/13/11 11:47

If Obama is "The One", then Holder is "The Two"

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   12/14/11 23:32

All these guys came out of Chicago, for pete's sake. Their level of corruption tolerance is much higher than most...so high in fact they don't even know what it's like to live without it! How do you think Obama got where he is? By skill, talent, work, smarts? No. By corruption. That's how you live in Chicago. Sheesh. Get a clue.

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