Scandal tests Obama, observers say
CHICAGO, Dec. 12 (UPI) -- U.S. President-elect Barack Obama's reaction to the corruption scandal surrounding the Illinois governor will test his pledge of openness, observers said.
Obama Thursday said his aides were collecting and would release information on any contacts between transition staff and the office of Gov. Rod Blagojevich, accused in a federal complaint of trying to sell Obama's vacant Senate seat, among other things.
Obama's responses -- which morphed from saying he never contacted Blagojevich and wouldn't comment further to Thursday's expression of disappointment and pledge -- are the first test of his team's ability to address a political scandal and maintain Obama's promise of transparency, the Los Angeles Times said Friday.
"This may be an early test run for his administration," said Scott McClellan, a former press secretary for President George Bush. "This is how he might handle a scandal within his own administration, even though this may only tangentially involve members of his team."
Melanie Sloan, executive director of Citizens for Responsibility and Ethics in Washington, said Obama's initial response about not commenting on an on-going investigation "sounded exactly like the comments we've gotten from President Bush. And I don't think that's much of an answer. The answer that he'll (make public) the complete list is finally the right answer."
While others said Obama better be able to back initial comments of being unaware of any contact, former White House counsel John Dean, convicted for his role in the Watergate scandal that toppled President Richard Nixon, was willing to cut Obama some slack.
"This sort of thing catches you out of left field," Dean said, "particularly during a transition, which is an incredibly busy time."
Jackson allies held Blagojevich fundraiser
CHICAGO, Dec. 12 (UPI) -- A fundraiser for Illinois Gov. Rod Blagojevich was held to encourage the governor to name Rep. Jesse Jackson Jr. to a vacant senate seat, attendees said.
Businessmen with ties to both the Illinois congressman and Blagojevich, accused of trying to sell President-elect Barack Obama's U.S. Senate seat, discussed raising at least $1 million for Blagojevich's campaign to push Jackson's selection, the Chicago Tribune reported Friday.
Two businessmen who attended an October lunch meeting told the Tribune that businessman and Blagojevich supporter Raghuveer Nayak and Blagojevich aide Rajinder Bedi told attendees the fundraising effort was aimed at supporting Jackson's bid for the Senate.
That meeting led to a Blagojevich fundraiser Saturday, co-sponsored by Nayak and attended by Blagojevich and Jackson's brother, Jonathan, several people who attended the event told the Tribune.
Blagojevich and Jackson met to discuss the Senate seat on Monday, the day before federal prosecutors arrested Blagojevich and charged him with trying to peddle Obama's Senate seat among other things.
In accompanying documentation, prosecutors alleged Blagojevich was considering awarding the seat to "Senate Candidate 5" because emissaries for the candidate pledged to raise more than $1 million for Blagojevich's campaign fund. Jackson later was identified as "Senate Candidate 5."
The congressman has denied knowing about emissaries or promises to raise funds in exchange for the seat. He said he was contacted by federal prosecutors and agreed to meet with them.
Jackson spokesman Rick Bryant Thursday called Nayak a Jackson "family friend and supporter."
Jackson's attorney, James Montgomery, said he couldn't rule out that such discussions occurred by people who didn't have his client's blessing.
SEIU named in Blagojevich complaint
CHICAGO, Dec. 12 (UPI) -- The Service Employees International Union was named in the litany of corruption charges outlined a criminal complaint against Illinois Gov. Rod Blagojevich.
The complaint said Blagojevich was seeking a position paying upward of $250,000 in exchange for considering naming Valerie Jarrett to fill President-elect Barack Obama's U.S. Senate seat, The New York Times said. Jarrett was Obama's first choice as his successor.
Among the charges a federal investigation leveled against Blagojevich is an accusation that he was trying to sell Obama's seat to the highest bidder. The governor was arrested Tuesday.
The Illinois branch of SEIU in a statement said, "We have no reason to believe that SEIU or any SEIU official was involved in any misconduct." The union said it was cooperating with federal investigators.
Union leaders said the criminal complaint didn't accuse the unnamed official of wrongdoing.
Envoy urges Pakistani to act on terrorists
CHENNAI, India, Dec. 12 (UPI) -- Because Pakistani militant organizations have been linked to the attacks on Mumbai, Pakistan must respond appropriately, a British envoy said.
Richard Stagg, British high commissioner to India, said, "We take the view that there is clear evidence that the attacks in Mumbai have links to organizations in Pakistan and we have been urging the government of Pakistan to take effective and appropriate measures to deal with this," the Times of India reported Friday.
Stagg made his observations during a visit to Chennai.
The envoy called the Mumbai attacks "ghastly and appalling," saying they were an attack on India as a country, its values and its people. More than 170 people died in the November attacks Indian officials blame on militants based in Pakistan.
Tensions between India and Pakistan, two nuclear powers, have increased since the assault on India's financial and entertainment hub.
New higher limit Zimbabwe currency issued
HARARE, Zimbabwe, Dec. 12 (UPI) -- The Reserve Bank of Zimbabwe introduced new $200 million and $500 million notes in Harare on Friday.
The RBZ says the new notes should pave way for the increase in withdrawal limits to $500 million a week.
A week ago, the RBZ unveiled $10 million, $50 million and $100 million notes.
Officials say the 500 million Zimbabwean dollar note is worth about $8 in U.S. currency, enough to buy eight loaves of bread, in the southern African country's latest sign of spiraling hyperinflation.
Rare snowfall jams in New Orleans area
NEW ORLEANS, Dec. 12 (UPI) -- Power was expected to be restored Friday in New Orleans after a freak snowstorm played havoc with the area's power grid, officials said.
The sudden storm Thursday briefly closed several major transportation arteries, including the Huey P. Long Bridge, Interstate 310 and the Hale Boggs Bridge in St. Charles Parish, The Times-Picayune newspaper in New Orleans reported Friday.
Officials from area utility companies said tree limbs snapped under the heavy, wet snow, disrupting power for more than 60,000 customers. Representatives said they expected to have power restored to most homes and businesses overnight but some outages were experienced Friday.
Thursday's snowstorm was only the eighth measurable snowfall in New Orleans since 1947 and the first since the Christmas Day snow of 2004, National Weather Service forecaster Jim Vasilj told The Times-Picayune.
At the fast-moving storm's peak in Louisiana, 8 inches of snow was on the ground in Amite, 5 inches in Bogalusa, 4 inches around Covington and at least 1 inch along the south shore of Lake Pontchartrain from New Orleans to LaPlace, the weather service said.
"It's like a hurricane hitting Montana," Buddy Boe, a spokesman for St. John the Baptist Parish government, told the newspaper.
