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          WORLD> America
          Obama, 2 aides met with Blagojevich investigators
          (Agencies)
          Updated: 2008-12-24 11:08

          Prosecutors have accused Blagojevich of scheming with aides and advisers to reap some personal benefit in the Senate appointment, starting days before Obama's Nov. 4 election through Dec. 5. Their conversations are characterized and quoted in the criminal complaint, including discussions about swapping the appointment if Obama provided a Cabinet post, an ambassadorship and help raising millions for a private foundation that Blagojevich could tap for personal use.


          In this December 22, 2003, file photo, Rep. Rahm Emanuel, D-Ill.(R), answers a question as Illinois Gov. Rod Blagojevich (L), listens during a news conference in Chicago. [Agencies]

          But Obama's report says none of Blagojevich's aides reached out to the president-elect's staff. Only the contact with Whitaker is noted in the report.

          Emanuel's contacts with the governor and his staff are identified in Obama's report.

          During Emanuel's interview Saturday with federal authorities, he listened to a taped recording of at least one conversation he had with Blagojevich's office, according to a transition official who spoke on condition of anonymity because the person was not authorized to discuss information not included in the report.

          Craig's report states that Emanuel had "one or two telephone calls" with Blagojevich and four conversations with John Harris, the governor's chief of staff who later resigned after being charged in the federal case. Craig told reporters Emanuel said he couldn't be sure it was only one call.

          Harris' lawyer, James Sotos, declined to comment Tuesday.

          Emanuel left for a long-planned family vacation in Africa on Tuesday and was not available for comment.

          The report was released in Washington while Obama was vacationing in Hawaii. The president-elect did not make himself available for questions.

          The report said Obama authorized Emanuel to pass on the names of four people he considered to be highly qualified to take over his seat -- Illinois Comptroller Dan Hynes, Illinois Veterans' Affairs Director Tammy Duckworth, Rep. Jan Schakowsky and Rep. Jesse Jackson Jr.

          Obama later offered other names of what he thought were qualified candidates, including Attorney General Lisa Madigan and Chicago Urban League Director Cheryle Jackson, the report said.

          "Mr. Harris did not make any effort to extract a personal benefit for the governor in any of these conversations," the report said. There was no discussion of a Cabinet position, creation of a nonprofit foundation for Blagojevich, a private sector position or of any other personal benefit for the governor, according to the report.

          The report said that earlier, Emanuel recommended Jarrett for the Senate seat without Obama's knowledge, and Jarrett later accepted a job as a senior White House adviser.

          Obama's report states Jarrett did not have any contact with the governor or his staff about the appointment, and had no sense Blagojevich was seeking something in exchange. But she discussed the appointment with Tom Balanoff, the head of the Illinois chapter of the Service Employees International Union, the report states.

          SEIU officials are referenced, but not named, in an FBI affidavit filed with the federal complaint against Blagojevich. Blagojevich is quoted as discussing some of his schemes with a union official.

          Balanoff, believed to be one of the unnamed parties referenced in the affidavit, told Jarrett that he spoke to the governor about her possible appointment to the Senate, the Obama report says. In that conversation, Balanoff also told Jarrett that the governor "raised with him the question" of being appointed Obama's health and human services secretary.

          Balanoff said he told Blagojevich that wouldn't happen, and Jarrett agreed, the report states.

          There was no suggestion to Jarrett that the Senate appointment was linked to the Cabinet post, the report states.

          Blagojevich mentioned in a Nov. 5 conversation with an aide taped by the FBI that he would take the HHS job or "various ambassadorships" in exchange for appointing Obama's choice, according the affidavit. The affidavit states he discussed again days later with an unnamed SEIU official, believed to be Balanoff.

          The governor told advisers in a Nov. 10 discussion that "it was unlikely" Obama would give him the HHS appointment or an ambassadorship, and he discussed other favors he could seek, according to the complaint.

          Obama's report also addresses confusion over earlier statements by David Axelrod, a top adviser who had said at one point that Obama discussed the Senate appointment with Blagojevich. Axelrod had discussed potential recommendations for the Senate appointment with Obama and Emanuel, and "was under the impression" that Obama would offer those to Blagojevich.

          "He later learned that it was Mr. Emanuel who conveyed those names," the report states.

          Craig revealed his findings in a memo to Obama. The memo was dated Tuesday, but a transition official said an initial copy was given to Obama on Dec. 15. On that day, Obama announced that the report was ready but that he was withholding it from the public for a week at the request of prosecutors still conducting their investigation.

          The report is based on the Obama team investigating itself, and was conducted by interviewing staff and taking their answers about any contacts at their word. Gibbs said this was consistent with the charge given to Craig by the president-elect.

          A transition official said Craig doesn't have the legal power to more thoroughly investigate and try to corroborate the accounts The official spoke on condition of anonymity to more freely discuss the thinking behind the inquiry.

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