Blagojevich retrial expected in January

Gov. Rod Blagojevich will not face a retrial on corruption charges until January. His brother, Robert Blagojevich, will not face another trial at all.

Federal prosecutors dropped the four corruption counts against Robert that stemmed from four months he spent heading up his brother’s fundraising efforts in 2008.

Robert testified during the first trial, but the former governor did not. The jury was unable to reach agreement on any of the counts against Robert. Members of the jury have since told reporters they think he got caught up in an ongoing scheme and may not have intended to break the law.

Judge James Zagel said he plans to set a trial date for the former governor to begin no earlier than January 4. Blagojevich was convicted on one count of lying to federal agents, but the jury was unable to reach a unanimous decision on 23 other charges.

As Blagojevich celebrates, prosecutors plan

By Jamey Dunn

While Rod Blagojevich and his legal team seemed to celebrate a victory almost akin to an acquittal, federal prosecutors did not hesitate in getting the ball rolling on another corruption trial for the former governor. U.S. Attorney Patrick Fitzgerald said a hearing to set a new trial date is scheduled for Aug. 26.

The jury did find Blagojevich guilty on the charge of lying to federal agents. The count alleges he made a false statement to FBI agents in 2005 ,when he told them that he kept his role as governor and his fundraising enterprises completely separate, saying he kept a “firewall” between the two.

However, jurors did not come to a conclusion on the 23 other counts, including those connected to Blagojevich allegedly attempting to sell Barack Obama’s former U.S. Senate seat, hold up funding for a children's hospital and a school to extort campaign money and fundraising help, and use his elected office for personal gain.

Jurors also couldn’t agree on the four corruption charges that Blagojevich’s brother, Robert, faced stemming from his time heading the former governor’s fundraising efforts.

“I didn’t let you down. The jury has shown that the government couldn’t prove that I did anything wrong,” Rod Blagojevich said at a courthouse news conference. Blagojevich accused the prosecution of persecuting him since his arrest last December and called the felony charge he was convicted on “nebulous.” He said he plans to appeal the convictions.

Blagojevich’s father-and-son legal team, Sam Adam and Sam Adam Jr., both took personal responsibility for the single conviction ,saying it was a result of their showings as lawyers, not Blagojevich’s guilt.

Sam Adam Jr. said that the verdict proved a claim he had made early in the trial. “You are going to find out that he is a fundamentally non-corrupt individual. He is not corruptible.”

Adam went on to say that a retrial would be a waste of taxpayers' money and that prosecutors should instead give “the money that [they] would spend on a retrial … back to the people of Illinois.”

Republicans — who will likely revisit the trial and verdict throughout their campaigns for the November general election — were quick to respond by issuing a flurry of statements.

“While we hoped this decision would mark the end of an unfortunate chapter and put this embarrassing episode behind us, today’s conviction of Rod Blagojevich for lying to federal law enforcement officials will likely result in further action in the pursuit of justice. But one thing is clear: The people of Illinois are rightly frustrated about the unchecked power of politicians like Rod Blagojevich who put the special interests before taxpayers. This important election in November marks the single best opportunity in our lifetime to finally clean house in Springfield,” Sen. Bill Brady, Republican candidate for governor said in a written statement.

However, Gov. Pat Quinn was a little slower to give his thoughts. After canceling two public events at the Illinois State Fair, he held a news conference late in the evening and called for unity.

“Whatever your party, whatever you region, whatever your beliefs, we are Illinoisans and we are all Americans.”

Quinn added: “Clearly today is a sad day for our state. Another former governor was convicted of a felony by a jury of 12 men and women, good and true.”

He declined to discuss the other counts against Blagojevich, saying they still had to be decided by a jury. After giving his statement, Quinn started to walk toward his office as reporters shouted questions. He then seemed to reconsider and returned to the lectern.

When asked if he had any culpability in Blagojevich’s alleged corruption because he ran for reelection with Blagojevich after rumors of wrongdoing had surfaced, Quinn said: “When I saw something that wasn’t right, I decided to go for the power of recall. … I think that is the best way to deal with an issue that we saw in government. If there is a situation where the voters feel an incumbent is not keeping true to the public, then there ought to be a way for the public to act.”

Political scientists and Statehouse watchers took a long view, saying Blagojevich should not be treating the verdict as a victory and that the system worked — at least to some degree.

“It is serious. It’s a felony. … He’ll probably lose his law license. He’s going to jail,” said Kent Redfield, an emeritus professor at the University of Illinois Springfield and director of the Sunshine Project, a nonprofit campaign contribution database connected to the Illinois Campaign for Political Reform.

Charlie Wheeler, longtime Statehouse reporter for the Chicago Sun-Times and current director of the Public Affairs Reporting program at the University of Illinois at Springfield, said until the jury talks to the media, it is too early to speculate on what the outcome may mean or on the odds of conviction in a retrial. “The only thing on which there is any clarity is the fact that 12 people decided that he did lie to federal agents. … It’s only a [Blagojevich] victory in the sense that [he hasn’t] lost yet.”

(Note: Juror's reportedly left the courthouse today without making statements. For some insight on the jurors' deliberation, see the Chicago News Cooperative, Chicago Tribune and the Chicago Sun-Times' Blago Blog, which are reporting on jurors' early statements. )

Blagojevich deliberations start next week

By Jamey Dunn

A jury could begin deliberating the fate of former Gov. Rod Blagojevich as early as Tuesday.

The defense in Blagojevich's federal corruption trial rested Wednesday without calling a single witness to refute the prosecution’s corruption case against the former governor. Blagojevich opted not to testify, even though his lawyer, Sam Adam Jr., had told jurors during opening statements that his client would take the stand.

Adam said at a Chicago press conference that the government did not prove its case, so there was no need to present a defense. He acknowledged that telling jurors Blagojevich would take the stand and then changing strategy could damage his client's credibility. The jury has been instructed not to take the change in plans into account while deciding on Blagojevich’s guilt or innocence, but Adam said human nature dictates that it will likely play a factor. He plans to explain the decision to the jury during Monday’s scheduled closing statement, for which the Chicago Tribune reported he requested two and a half hours from Judge James Zagel.

The jury will hear also hear from the prosecution and Robert Blagojevich’s defense team. The former governor’s brother is facing charges from the time he spent heading up his brother’s political fundraising operation. Zagel plans to give legal instructions to jurors on Tuesday and send them into deliberations.

Zagel has not ruled on a motion to drop the conspiracy charges against Blagojevich but appears to believe there is enough evidence to move forward with the case. Zagel reserved the possibility that he may reconsider the motion after closing arguments.

While it looks as if arguments could be wrapped up Monday, little in this trial has gone according to estimated schedules. The prosecution finished earlier than expected, and in a surprise move, the defense did not present a case. The Chicago Sun-Times reported that proceedings are running behind schedule today, and it is possible that could affect the plans for Monday.

Blagojevich doesn't testify

By Jamey Dunn

Former Gov. Rod Blagojevich opted not to testify at his corruption trial today, and his defense team rested its case without calling a single witness.

Blagojevich’s lawyers said that the prosecution did not prove its case, so there was no need to respond with testimony from defense witnesses. “They’re the ones that failed to prove the case here. … The law is clear: The burden of proof is on the government,” said Sam Adam Sr., who heads Blagojevich’s legal team.

The jury did hear from Blagojevich’s brother, Robert, who had chaired his brother’s campaign fund since August 2008. Robert Blagojevich is on trial in connection with an alleged plot to sell Barack Obama’s former U.S. Senate seat, and his defense team decided to put him on the stand. Robert's wife, Julie Blagojevich, also testified.

Sam Adam Jr., who is defending the former governor alongside his father, had told jurors in his opening argument that they would hear from Blagojevich. He said today he still wants Blagojevich to testify, but his father’s opinion prevailed in the end. “It simply came down to an argument between an old bull and a young toad, and the old bull won,” the younger Adam said to reporters at in the Dirksen Federal Building in Chicago.

Rod Blagojevich has said for months that he was looking forward to taking the stand and defending himself. He said today that he still wanted to but was heeding the advice of his legal team. He told reporters, “I felt all along and believed all along that I was going to testify.”

Part of the defense’s strategy is to claim that Blagojevich was seeking the advice of lawyers during the secretly recorded phone conversations, which include speculation on what he could get in return for an appointment to Obama’s former Senate seat, the government presented as evidence. He called the conversations “brainstorming” with advisers and lawyers and said he never intended to do anything that broke the law.

“Yes, [prosecutors] proved some of the ideas were stupid, but they also proved some of the ideas were good,” Blagojevich said. He added that he did not take any money in connection with any corrupt actions. “The government, in their case, proved my innocence. They proved I did nothing illegal.”

Blagojevich proclaimed he had “learned a lot” during his corruption trial. “Perhaps maybe the biggest lesson I have learned is that I talk too much.”

The senior Adam conceded that the former governor’s verbosity was one of the reasons he hesitated to put him on the stand, saying “one of the concerns” was “that he talks too much.”

Blagojevich’s lawyers argued to have the conspiracy charges against their client tossed out on the basis that prosecutors did not prove their case. Judge James Zagel adjourned without ruling on the request. Lawyers are due back in court tomorrow morning. Closing arguments could begin as early as Monday.

When Blagojevich did take the stand (sort of)

Although Blagojevich made a surprise last-minute move today to forgo testifying in his criminal trial, he took almost the opposite action during his impeachment trial in January 2009. He maintained throughout those proceedings that he was not going to participate. In a surprise move before the last day of the trial, the public relations firm representing him announced via Twitter that then Gov. Blagojevich would come to Springfield to give a closing statement. (Blagojevich’s statement starts on page 589 and continues to page 636.)

However, he declined to make the statement under oath and continued to ignore legislators’ calls that he field questions.

Unlike during the criminal trial, Blagojevich pushed to call witnesses during his impeachment trial, saying their testimony would be key to proving his innocence. He cited not being able to call certain witnesses as one of his reasons for not answering questions.

His defense then is similar to the one being presented now: The prosecution didn’t prove its case, and he never intended to do anything illegal. From the transcript:

It is painful to be in a car and drive and see people sitting, standing at bus stops or walking down the street who voted for you, presumably, more of them did than didn't, and they've hired you and trusted you, and you're dying to tell them, I didn't do it, I didn't let you down, give me a chance to show you. It's painful, and it's lonely. But I want you to know, I want you to know I never, ever intended to commit a criminal act. I never, in any conversation, intended to violate any criminal law.

House Prosecutor David Ellis chastised Blagojevich for not participating in the full proceedings. From the transcript:

He could have put himself under oath and faced my questions and more importantly, much more importantly, faced your questions. But he didn't do that, did he? … He talked more about the evidence with Barbara Walters on The View than he did in this chamber today where he's facing impeachment and removal from office. He could have been here, and he wasn't. He could have provided the context for those recorded conversations, and he didn't. … He simply says there's no evidence and walks off the stage.

The defense tactics Blagojevich chose did not pan out for him at his impeachment trial. The Senate convicted him and removed him from office. However, that was a group of legislators, and with their positions comes inside knowledge of the system, personal experience dealing directly with the governor and political baggage. An impeachment trial is not a criminal trial. Time will tell if similar arguments from Blagojevich’s defense will persuade a jury that the state failed to prove its case.

Blagojevich pleads not guilty

Former Gov. Rod Blagojevich pleaded not guilty today in Chicago at his arraignment on new federal charges.

After leaving the courthouse, Blagojevich addressed reporters. He called on prosecutors to publicly play all taped conversations they have relating to his corruption case.

“I challenge the government. If you are on the side of truth and justice, as you say you are, and if this was a crime spree like you claim it was, then don’t hide behind technicalities. Play the tapes,” he said. Blagojevich’s lawyers filed a motion that would allow them to play as much of the tapes at the trial as they choose.

Blagojevich’s trial is set for June.

Blagojevich indicted, again

Federal prosecutors indicted former Gov. Rod Blagojevich a second time today.

The eight new charges in the indictment do not allege any new criminal behavior. The indictment upholds all the previous charges but also alleges that Rod Blagojevich, Rob Blagojevich and former chief of staff John Harris’ actions violated additional laws.

Prosecutors hope to ensure that an upcoming U.S. Supreme Court ruling relating to some of the original charges will not delay Blagojevich’s trial

Operation Board Games gets another witness

By Bethany Jaeger
Alonzo “Lon” Monk is cooperating in the ongoing investigation into extensive political corruption in former Gov. Rod Blagojevich’s office and political campaign. Monk pleaded guilty Tuesday morning to one count of wire fraud.

That’s just one of 19 counts leveled on participants in “Blagojevich Enterprise," which the feds allege primarily existed to “exercise and preserve power over Illinois government for the financial and political benefit of Blagojevich,” as well as his family members and friends. According to Monk’s plea, he received about seven to nine payments of $10,000 from Tony Rezko as “a gift, not a loan.” Monk joins list of witnesses in the governor’s June 2010 trial, so far including:

• John Harris, another former chief of staff who in July pleaded guilty to tax fraud.
• Rezko, who pleaded guilty in June 2008 and already is serving a prison sentence.
• **The late Christopher Kelly, who would have been a key witness, apparently committed suicide days after pleading guilty to other charges in September.

Monk’s plea agreement is here.

Monk, of Park Ridge, was Blagojevich’s former law school roommate, his general counsel when in Congress, his first chief of staff when he became governor in 2003, his campaign manager in his 2002 and 2006 gubernatorial bids and, most recently, a lobbyist. One of Monk's clients included a horse racetrack owner, reportedly John Johnston.

Monk’s guilty plea pertains to a scheme in November to December 2008 to pressure Johnston to raise $100,000 for Blagojevich’s political campaign (see Count 11 of the April indictment).

Part of the scheme allegedly was caught on secret FBI recordings. One brief conversation, according to the federal transcripts, was between Monk and Johnston about supporting Blagojevich’s campaign in return for the governor’s signature on a bill to subsidize the horse racing industry. The recording was played during Blagojevich’s impeachment trial in the Senate last January.

Monk, who was a lobbyist at the time of the recordings, was heard in another cell phone conversation with Blagojevich, telling the governor to call Johnston directly. “It’s better if you do it just from a pressure point of view,” Monk was heard saying to Blagojevich.

The scheme allegedly was under time constraints, as Blagojevich wanted the money before the end of the year, when a new state law — the so-called pay-to-play ban — would ban him from collecting political donations from contractors who do significant amounts of business with the state.

Monk’s plea also confirms conversations and actions taken to enrich themselves and Blagojevich’s campaign fund. For instance, before Blagojevich became governor in 2002, the plea says, Monk planned with Blagojevich, Rezko and Kelly to use the governor’s office and Monk’s chief of staff office for financial gain, dividing the proceeds among them. One scheme allegedly included a 2003 pension deal that refinanced $10 billion in pension obligation bonds, issuing all $10 billion at once so a particular investment firm would benefit and donate more money to the governor’s campaign. It also allegedly included pressuring engineering firms to contribute to Blagojevich’s campaign in return for state capital projects and pressuring Children’s Memorial Hospital in Chicago for a contribution in exchange for a state grant, according to the plea.

The feds also say that once convicted felon Stuart Levine had been confronted by the FBI in 2004 for rigging various state boards, the focus shifted to making money through Rezko’s real estate development, involving Blagojevich’s wife, Patricia, in marketing efforts.

One count of wire fraud carries a maximum prison sentence of 20 years and a fine of $250,000, although Monk’s plea agreement recommends a sentence between two and four years.

Blagojevich’s trial is scheduled to start June 2, 2010.