Will Rezko Blow Up Obama?

By Larry C. Johnson (bio/blog)

Today's arrest of slumlord Tony Rezko could be very bad news for Barack Obama's presidential ambitions.  Rezko was arrested because he lied to the Feds--he claimed in November 2006 he had no assets and was virtually broke, but in April 2007 he received $3.5 million from a company owned by an Iraqi billionaire who also happens to be a convicted felon .  The man's name?  Nadhmi Auchi.

So what does this have to do with Obama?  Well, buried in a footnote in the motion for an arrest warrant, we learn that Auchi was denied a visa to the United States because of his conviction in France on fraud charges.  Auchi's buddy, Rezko sent a request to the U.S. Department of State in November 2005 for a visa waiver.  And Rezko asked unidentified "Illinois government officials" to ask for clearance as well.  How much you want to bet one of those officials was Barack Hussein Obama?

So here's the test.  Was Obama smart enough, hell, let's say brilliant, to just say no?

We may not find out until Rezko's trial starts on 25 February.  Imagine this nightmare scenario.  Obama nails down the Democratic nomination for President on Super Tuesday.  But then comes the Rezko trial and we learn Obama was doing favors to get an Iraqi felon a visa to the United States.  You know, he is just helping out one of his major fund raisers.   Will his story line about a new day in Washington still sound plausible?  Will folks still believe he's serious about not being beholden to "special interests?"

I don't begrudge Obama trying to help out a buddy.  I just wish he'd cut the holier than thou act.  He's playing the Washington game like many others.  In this case, however, he may get dirtied up.  And in that case he could take the Democrats with him.

Tags: Barack Obama, Chicago Politics, indictment, Patrick Fitzgerald, Tony Rezko (all tags)

Comments

53 Comments

Re: Will Rezko Blow Up Obama?

Obama should have waited to run for office until this Rezko thing was cleared up. It's going to kill his campaign because his name is constantly coming up with Rezko's. And he's changed his story numerous times about what kind of relationship he had with Rezko. Dumb. But, hey that's what happens when you've never run a tough race.

by Ga6thDem 2008-01-28 04:49PM | 0 recs
Wait...I don't think that's right.

by nerdoff 2008-01-28 06:57PM | 0 recs
Re: Will Rezko Blow Up Obama?

Maybe Hillary should have waited until the Hsu thing cleared up.  That one has more legs.

by Drummond 2008-01-28 09:41PM | 0 recs
Re: Will Rezko Blow Up Obama?

No it doesn't because she gave ALL the money back. Obama still has large amounts of Rezko money.

by Ga6thDem 2008-01-29 03:06AM | 0 recs
Re: Will Rezko Blow Up Obama?

That's a point of contention which the Republicans are poised to exploit.

by Drummond 2008-01-29 08:30AM | 0 recs
Re: Will Rezko Blow Up Obama?

I doubt it- it was barely reported on the political newspage I look at- it will blow up big..... IF he wins the nomination.

by reasonwarrior 2008-01-28 04:56PM | 0 recs
WOW

If this is true Larry, the shit is about to hit the fan. I knew there was more to Rezko than just donations and acquiring property.

God help us all!

by lonnette33 2008-01-28 04:57PM | 0 recs
Rec'd

by lonnette33 2008-01-28 04:59PM | 0 recs
Re: Interesting diary.

Most of Obama's major endorsers received campaign contributions from Rezko, including Dick Durbin and Claire McCaskill.

by hwc 2008-01-28 04:59PM | 0 recs
Really?

Dang, then I guess the Rezko scandal will only get BIGGER if this still brews. How sad that Obama and his allies won't come clean on Rezko. The sooner they speak, the less serious of a problem this will be for us in the fall.

by atdleft 2008-01-28 05:45PM | 0 recs
That's sure to sink him. It's a certainty.

by nerdoff 2008-01-28 06:58PM | 0 recs
Re: Interesting diary.
worse yet we nomonate Obama and Rezko gets offered
(bribed) to turn states evidance on Obama or face 50 years     he would be tempted to make anything even if ther was nothing there
by marketingman 2008-01-28 05:00PM | 0 recs
Just another black man in jail.

Just how we like 'em hear at mydd.

by nerdoff 2008-01-28 07:00PM | 0 recs
here

at mydd

by the way "my" dd--is there anything more precious and wimpy in the entire blogosphere? My dd. My double douchebag. My doublestuffed dillhole. What a bunch of fucksticks.

by nerdoff 2008-01-28 07:04PM | 0 recs
we can not wait to find out if he helped

this felon get a visa.  Someone has to find out before the trial.  We can not risk him becoming the nominee and taking the party down.  We can not afford another four years of republicans in the whitehouse.

by MollieBradford 2008-01-28 05:01PM | 0 recs
Re: Will Rezko Blow Up Obama?

Nice try... but no prize.

If the guy got the visa with the help of "Illinois government officials" in 2005, then that couldn't have been Obama.  Barack Obama was elected to the Senate in 2004, so he wasn't part of Illinois government anymore, he was a "federal government official." Far more likely that this is related to the governor's office - Blago has deep ties here.

by lifelongdem 2008-01-28 05:33PM | 0 recs
Re: Will Rezko Blow Up Obama?

Larry said 2005. Obama was in the Senate when.

by lonnette33 2008-01-28 05:38PM | 0 recs
Re: Will Rezko Blow Up Obama?

"then"

by lonnette33 2008-01-28 05:39PM | 0 recs
The funny part about the wankers at this site

is the fact that they'll all have Obama signs in their window after Barack (note the personal first name basis) wins the nomination. Especially you lonette 33 (whoever the fuck you are).

by nerdoff 2008-01-28 07:09PM | 0 recs
Re: The funny part about the wankers at this site

bu-bye

by Seymour Glass 2008-01-28 07:12PM | 0 recs
You say bu-bye

and I say Hello! hello hello I dont know why you say bu-bye (actually i do--it's because you're a mandroid with one testicle).

by nerdoff 2008-01-28 07:22PM | 0 recs
Re: Will Rezko Blow Up Obama?

Exactly - he was not an "Illinois government official in 2005" -- he had no role in Illinois state government once he was a member of the US Senate.

The wording is significant - if it had been "a government official from Illinois" then you could say that it might include Obama. But talking about "Illinois government officials" clearly is talking about state government officials. It strongly implies members of the Illinois state administrative branch (Gov Blago), but clearly not a federal elected official.

by lifelongdem 2008-01-28 07:22PM | 0 recs
Re: Will Rezko Blow Up Obama?

How would a state government official obtain a federal document?

by truthteller2007 2008-01-28 07:49PM | 0 recs
Re: Will Rezko Blow Up Obama?

What are you talking about?

The allegation the diarist is claiming has nothing to do with obtaining a document, federal or otherwise.

The quote:

" Rezko sent a request to the U.S. Department of State in November 2005 for a visa waiver.  And Rezko asked unidentified "Illinois government officials" to ask for clearance as well."

So Rezko asked someone in Illinois state government to call the  State Department to ask that the guy's visa waiver get approved. Nothing at all about obtaining a federal document. And no indication that anyone (state or federal) actually made such a request for clearance as well.

But hey, keep up the innuendo - may be the only hope you have to get Clinton nominated.

by lifelongdem 2008-01-28 08:09PM | 0 recs
Re: Will Rezko Blow Up Obama?

Only politicians on a federal level have the capability of requesting clearances for visas issued by the federal government.

by truthteller2007 2008-01-29 07:03AM | 0 recs
Re: Will Rezko Blow Up Obama?

No, anyone can ask for a clearance on a visa.

The diary makes clear that Rezko contacted the State Department to support the waiver request  -- are you claiming that Rezko was a federal politician?

I don't work for any government agency (I work for a union) and I've weighed in dozens of times to get an international visitor a visa to visit us when someone has a problem getting one. We routinely do that, as well as asking religious leaders, mayors, governors, university presidents, business leaders, non-profit groups, and members of congress to weigh in.

Funny thing about our system of government, citizens have the right to contact government agencies and ask them to do things. That includes helping foreign visitors get visas.

Please stop making things up when you don't have any familiarity at all with the subject... in this case you are so far off base it is laughable.

by lifelongdem 2008-01-29 07:24AM | 0 recs
Re: Will Rezko Blow Up Obama?

Wrong. Senators and members of the House from Illinois are "government officials of Illinois".  That's why Durbin and Obama are called the Senators from ILLINOIS.  Get it?

And let's face it.  Rezko's balls are in a vice tonight.  He thought he'd gotten away with pleading poverty and then constructing a money laundering scheme with the help of his lawyers.  Whoops!!  Boy are Rezko's lawyers in trouble.  More importantly, the FEDS now have leverage on Rezko to get him singing.  If the tune he sings features Obama, game over.

by Larr Johnson 2008-01-28 05:41PM | 0 recs
And that's what scares me the most!

by atdleft 2008-01-28 05:46PM | 0 recs
And that's what scares me the most!

What happens when Rezko speaks? What happens if he comes clean? What happens if he implicates Obama... And Obama's still not talking?

Obama can't afford to keep ignoring Rezko as if it doesn't exist. If he intends to be our nominee, he needs to come clean NOW. He needs to talk now, before our entire party is at risk.

by atdleft 2008-01-28 05:49PM | 0 recs
Re: And that's what scares me the most!

What do you mean he needs to "come clean NOW." ??? He's already said he only knew the man because he did 5 hours work for him. And he said it on national television before millions. The cock has crowed. It is done!

by Julia02110 2008-01-28 07:07PM | 0 recs
Re: And that's what scares me the most!

Wow. You've got some Rezko reading to do.

Obama also knows him because Rezko was his first major campaign contributor back in 1995 and his been one of his largest contributors ever since.

He knows him because Rezko was his campaign co-chair.

He knows him because he has called Rezko his "political godfather".

He knows him because Rezko purchased $925,000 worth of Obama's $2.6 million home for him.

by hwc 2008-01-28 08:55PM | 0 recs
Re: Will Rezko Blow Up Obama?

Holy crap!

by durendal 2008-01-28 05:56PM | 0 recs
Re: Will Rezko Blow Up Obama?

wrong -- they are not "Illinois government officials" -- if you want to parse the language, in this case "Illinois" is the adjective modifying government --- it is clearly talking about state government, not federal. Get it?

by lifelongdem 2008-01-28 07:24PM | 0 recs
Re: Will Rezko Blow Up Obama?

Illinois Government Officials = State employees

Government officials of Illinois = Could state or federal.

However, the document clearly said "Illinois Government Officials" as in Illinois State government.

Nice try though.

Barack is Mr. Nice Guy, but he is also a very competent lawyer. I guarantee you that he has gotten ahead of this long before running. I mean, the guy went back to Harvard to pay his parking tickets before he announced his  candidacy.
This is  probably a trap by the Obama Campaign to trip up Hillary if she decides to run with it or link Rezko back to Bush if the Repubs try to nail him in November.

by xodus1914 2008-01-29 03:39AM | 0 recs
Hey, I've got a bridge for sale.

Interested?

by ineedalife 2008-01-29 03:59AM | 0 recs
Re: Will Rezko Blow Up Obama?

Well done Larry!

by durendal 2008-01-28 05:54PM | 0 recs
Re: Interesting diary.

No, most of his money went to Blago. In this decade that is. Before the Dems took over in Illinois he was a fund-raiser for the Republicans and George Bush. Even though Obama and Rezko are buddies from way back, Rezko helped defeat Al Gore. Nice group of friends Obama has.

by ineedalife 2008-01-28 06:18PM | 0 recs
Re: Interesting diary.

he raised 2 million for duubya

by Seymour Glass 2008-01-28 07:07PM | 0 recs
Rezko's friends

Bush is his friend. Rezko cochaired a major fundraiser for Bush's presidential campaign in 2003. This, according to an indepth article on Rezko in Chicago Magazine, Nov 2007. The article goes so far as to suggest Rezko may have paid some of Obama's tuition at Harvard Law School. He was courting him back then...

http://www.chicagomag.com/Chicago-Magazi ne/November-2007/Mr-Inside-Out/index.php ?cp=2&si=1#artanc

And in the S.C. debate, Obama says of Rezko: "I, uh... uh... only did about 5 hours work for him."

That line alone will come to haunt him!  

by Julia02110 2008-01-28 06:28PM | 0 recs
Re: Rezko's friends

the trib says obama was the lawyer for 5 different non profits involved in rezko deals.  how much govt money was lost in those?

by Seymour Glass 2008-01-28 07:10PM | 0 recs
Re: Will Rezko Blow Up Obama?

Nope. Nothing will happen. Will barely be reported by the hate-mongers. Can you imagine Olberman actually saying something negative about Obama? Nope.

Flash back to 2000 when GW could do no wrong. 2004 for that matter. That is what we have here. A whitewash by the media. This Rezko story was big in Illinois for some time before intrepid bloggers brought it to the fore.

by India 2008-01-28 06:32PM | 0 recs
Re: Will Rezko Blow Up Obama?

Maybe we all should send links to all the media - Olbermann, Wolf and all the rest. Who has a list of e-mail addresses? Olbermann reads DKos, but he won't find out anything there.

by georgiast 2008-01-28 06:56PM | 0 recs
Re: Will dirty tactics blow-up HRC?

You people are amazing.  You have whipped yourselves into a complete rather.  You have collectively posted about ten diaries on this same subject in the last four days.

Fine, but there is no there, there.  This is all guilt by association and innuendo.

Patrick Fitzgerald has been investigating Rezko for over a year.  If he had some real dirt on Obama, don't you think we would have heard it?

Instead, Obama is mentioned indirectly in one paragraph of a 78 page indictment.

Your collective enthusiasm for "swift boating" a fellow Democrat is very unseemly.  Although I suppose I shouldn't complain, it is exactly this type of behavior that is feeding the anti-Clinton backlash.  Have you no shame?

by upper left 2008-01-28 08:48PM | 0 recs
Re: Will dirty tactics blow-up HRC?

Fitzgerald hasn't interviewed Obama yet.

Fitzy put Levine's nuts in a vice. Levine flipped on Rezko. Now, Fitzy has Rezko's nuts in a vice. The next act in the play is Rezko flipping on Illinois politicians.

by hwc 2008-01-28 08:58PM | 0 recs
Re: Will dirty tactics blow-up HRC?

Blogojevich may be in trouble, but I would bet my mortgage payment that Obama will never be charged with anything.

by upper left 2008-01-30 07:32AM | 0 recs
Of course it will blow him up!

Why let facts get in the way of a good story. Of course Rezko will blow up Obama. Why, just look at the 78-page indictment of Rezko, which has a reference to a "politician" who didn't know that the money he was given was tainted. That "politician"? Obama! And do you know why he didn't know? Because he wasn't involved in the scandal!

Oh, wait, there I go again, letting facts get in the way, let me start again.

Of course Rezko will blow up Obama. Why, just look at the plea statement of Rezko's co-conspirator! He describes working for a politician...um...Blagojevich ...the...uh...Governor of Illinois who...okay, didn't know about the fraud that was going on either.

Okay, wait. There's got to be a story here, right? I mean, Patrick Fitzgerald, who is famous for finding political corruption investigated this for  over a year. He produced 1.5 million documents to the other side, after combing through them himself. He didn't find anything! He's just waiting, right? Until the opportune moment...oh, wait, he's the career prosecutor who has never let politics sway any decision.

Yeah, I tried my best, but those darn facts kept getting in my way!

Well, don't you fret, Swift-Boat Veterans for Hillary, there's still the 3-week unpaid internship he GAVE TO A REZKO BUSINESSPARTNER'S SON! (You're really going to have to yell on that one, because once you get past "3-week unpaid internship" people will be laughing pretty hard.) Oh, and there are the two letters he wrote in support of a Rezko project. Which housed 97 elderly. Poor elderly. Who would have been homeless otherwise. (Talk quickly on this one and hope no one asks to see the letters, they look pretty innocuous. And DON'T mention the elderly!)

by Loreg 2008-01-28 09:06PM | 0 recs
Re: Will Rezko Blow Up Obama?

The weird thing about this arrest warrant is that it  is premised on the notion that Rezko is a flight risk. The warrant even acknowledges that the standard that had been used to determine whether or not Rezko was a flight risk back at the time of the Oct. 2006 indictment was whether or nor Rezko had any overseas assets he could make use of to essentially fund a life on the lamb in exile. Rezko successfully proved this late 2006 & 2007 and therefore was allowed his physical freedom. The bottom line, though, was that as long as Rezko didn't have any overseas assets or wasn't liquidating assets and transferring them overseas, then he wasn't a flight risk (or enough of a risk to warrant his arrest anyway).

Ok, so, this indictment cites evidence of funds transferred from a third-party overseas into the US on Rezko's behalf that were used to pay off various overdue financial obligations Rezko had. The warrant cites these overseas funds as evidence that Rezko actually did have finances he could access, and that combined with his failure to inform the court made him a risk to skedaddle before the trial.

I wonder though: why would a guy who is planning an escape have money wired into the US? Why would he care about paying off creditors? Why would he be putting money into US-based accounts for his family members? Giving money to the family of fugitive friends living in the US?

Now, I imagine the feds have asked the same questions. Given, though, that Rezko And I acknowledge that perhaps the Norman Hsu example has simply made the federal prosecutors more vigilant about guarding against flight risks than in the past. Still, there's another possibility.

What if Rezko is ready to "flip?" Ready to testify against a high profile person(s) whom the feds have been watching but not able to build a solid case against. Wouldn't this give them the ability to talk with and have access to Rezko as much as they need without tipping off people who may be watching Rezko to see if he's cooperating with the feds?

Just a theory...

by blueflorida 2008-01-28 11:06PM | 0 recs
Re: Will Rezko Blow Up Obama?

ZZZZZZZZZZZZZZZZZZZZZZZZZZZZZZ

by PositiveFreedom 2008-01-29 01:43AM | 0 recs
Re: Will Rezko Blow Up Obama?

Rezko is why Obama turned his back to Clinton.

by Jerome Armstrong 2008-01-29 03:40AM | 0 recs
Re: Will Rezko Blow Up Obama?

All depends on traction. Some Clinton friendly 527's have got to start running ads for this to go anywhere because the media who are in Obama's camp seem to be playing it down. Otherwise it's going to generate a lot of heat here and in blog world but not much in the real world.

by ottovbvs 2008-01-29 04:13AM | 0 recs
Re: Will Rezko Blow Up Obama?

Beware the slow, deliberate, cautious, apolitical prosecutor named Patrick Fitzgerald. Obama's Day One will be the day Patrick calls him in for a quiet little chat about this Rezko chap. Fitzgerald has been doing everything carefully by the book, carefully censoring Obama's name from documents, so when Obama's Day One arrives, Fitzgerald will be seen as conducting a legitimate fair minded inquiry.

by superetendar 2008-01-29 04:56AM | 0 recs
Re: Will Rezko Blow Up Obama?

I suppose you think Fitzgerald is still about to bring charges against Rove as well?

If there was real substance to this, why do you think the Chicago papers, the Clinton campaign, someone in the national media haven't come up with anyhting yet? (And don't tell me because the media loves Obama so much that they aren't willing to look at it in detail - there are plenty of reporters who would love to make their name bringing Obama down, and both Chicago papers have been digging on this since before Obama announced. And it surely isn't because the Clinton campaign has dirt on Obama but is reluctant to use it because they don't want to fight dirty).

Obama had a long time relationship with this unsavory character - he was a major player on the Chicago politician scene and for much of his history was viewed as a "good" developer helping the city.. That is a fact. But there is no evidence, no hint or suggestion, that Obama ever misused any position he held to do anything for this guy. Not even the most vehement anti-Obama diarist here has been able to post anything that goes beyond the loosest of innuendo.

You would think the Clintons would not want to fight a campaign focused on sleazy donors -- like the Republicans won't be trying to make mincemeat of them on that account.

by lifelongdem 2008-01-29 07:54AM | 0 recs
a good corruption story...

....should always include the part where the crooked politician does favors for the crook.

I don't see that here.
I've done some reading in the Chicago Tribune on this case and that gritty, nasty part of the case where the politician sells his soul for a bigger piece of the pie just hasn't come to light in this case.

http://www.chicagotribune.com/news/natio nworld/chi-obama-rezko-clinton-080122,0, 5430503.story?coll=chi_tab01_layout

At the most-
- Obama wrote letters supporting low-income housing for 97 elderly folks near his district (which was supported by the community); and

- he gave a one month internship to a kid who's father is friend's with Rezko.

Obama also opposed a major gambling deal by Rezko back in the Ill legislature.  (Strike that one month of free work he kicked back to the intern.)

Doesn't sound like Rezko is getting the bang for his buck..  C'mon, where's the dirt?  Where's the scandal?

I've heard of worse land scandals.  Just ask the Clintons.

by Damien in Texas 2008-01-29 09:53AM | 0 recs

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