Phil's Observations

Thursday, January 20, 2005

Mell & Blag ... what's next?

Courtesy of Associated Press

CHICAGO (AP) -- With the threat of a defamation lawsuit looming, powerful Chicago Alderman Richard Mell on Thursday recanted allegations that the chief fund-raiser for his son-in-law, Gov. Rod Blagojevich, traded government appointments for campaign contributions.
"When I said that you, as the governor's chief fund-raiser, traded appointments to commissions and state boards for $50,000 donations I knew that to be inaccurate," Mell wrote in a letter to Christopher Kelly, who had been Blagojevich's campaign finance director. "My comments were based upon my misreading of earlier published reports and were an exaggerated extrapolation made by me in the heat of the moment."
Paul Levy, Mell's attorney, said Kelly signed a legal document that prevents him from suing Mell over the issue.
Kelly, in a statement read by his lawyer, said he insisted Mell acknowledge he misspoke "or be forced to tell his story in a court of law.""The truth is not negotiable, and we stood our ground and the truth has emerged," Kelly's statement said.
Mell, the father of Blagojevich's wife, Patti, made his accusations during a public argument with Blagojevich after the governor closed a landfill run by a distant cousin of his wife. Mell accused Blagojevich of shutting down the landfill to punish him for criticizing the governor in the past and to polish his public image.
The influential Democrat said he spoke in the heat of the moment after he had been told that people in the governor's office were saying he was part of an illegal landfill operation, which he denied.
"I probably overreacted when a (Chicago) Sun-Times reporter called me and I said things that, in retrospect, I certainly wouldn't have," Mell told The Associated Press.
Attorney General Lisa Madigan, Cook County State's Attorney Richard Devine and Blagojevich's executive inspector general are investigating Mell's accusation.
Mell said if the investigations are based only on his comments, they should be halted. Robert Clifford, Kelly's attorney, declined to go that far.
"It's not for me to say where she should go," Clifford said about Madigan, whose office and Devine's were working together. "From what I know about the matter, it's closed and should be closed."
On Friday, Kelly denied the accusation and threatened to sue Mell for defamation if he did not retract his statement publicly.
Mell told the Chicago Tribune last week that he based his allegations on articles that appeared in that newspaper in November. The Tribune investigated the amount of money donated to the Blagojevich campaign by appointees and found that more than 120 appointees donated $1.9 million total to his campaign fund.
In his letter, Mell apologized to Kelly for "any distress that my comments may have caused you or your family," and said it was "never my intention to impugn your reputation. I know that you would never compromise your integrity."
Levy denied that the threat of litigation prompted the letter.
"The litigation was not the concern. The concern was setting the record straight and correcting an error," Levy said.
"The alderman misspoke under the pressure of an emotional moment. He made a mistake and he wanted to correct that mistake," Levy said. "Frankly, he really wanted to do the right thing. This letter is evidence of that intent on his part."
The unusually public family fight began Jan. 6 when Blagojevich shut down a landfill run by Frank Schmidt, a distant cousin of the governor's wife. Schmidt vehemently denied rumors that he suggested he could operate his dump unlawfully because of his family ties.
The governor ordered the Illinois Environmental Protection Agency to investigate Schmidt's Land Reclamation Services Inc. in Joliet, then told the agency to shut down the landfill after the investigation found multiple violations.
Mell reacted angrily, saying Blagojevich was acting as a "white knight" trying to show he was "the champion of virtue."
Days later, Mell choked back tears when he said he was right to criticize the governor but wanted the fight to end for the sake of his family.
Kicknit 1/20/2005

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