http://washingtonpost.com/wp-dyn/articles/A26757-2001May14.html




Hatch Rejects Probe of Nominee
Democrats Doubt Testimony by Solicitor General Candidate


By Thomas B. Edsall
Washington Post Staff Writer


Tuesday, May 15, 2001; Page A04

Senate Judiciary Committee Chairman Orrin G. Hatch (R-Utah) yesterday
rejected a Democratic proposal for a bipartisan staff investigation into
allegations that Theodore B. Olson, President Bush's nominee to be solicitor
general, inaccurately played down his role in a controversial magazine
inquiry into the activities of Bill and Hillary Clinton in Arkansas.


"No, we've gone far enough on this," Hatch said, when asked by reporters
whether he would support calling or interviewing witnesses who dispute Olson.
Later, a top Hatch aide quoted him as saying that "any further investigation
appears to be just a dilatory question."


Sen. Patrick J. Leahy (D-Vt.), the ranking committee Democrat, proposed in a
letter to Hatch that the Republican and Democratic investigative staffs
conduct a joint inquiry into Olson's testimony, including extensive
interviewing and examination of documents.


Hatch said that instead of interviewing witnesses, he has suggested to
Democrats that they meet individually with Olson to discuss their concerns.


Last week, Hatch put off action on the Olson nomination, saying there were
"legitimate" questions about his testimony. The Judiciary Committee is
scheduled to take up the Olson nomination again on Thursday.


The committee is evenly split, 9 to 9, between Republicans and Democrats.
Sen. Arlen Specter (R-Pa.) said on "Fox News Sunday" that the allegations
concerning Olson "warrant a look," adding that "being a member of the
committee, I have a duty to take a close look at it." Specter said he expects
Olson ultimately to win approval.


The issue concerns whether Olson was misleading or evasive in his answers
about his involvement in the "Arkansas Project," a $2.4 million investigative
reporting effort conducted by the American Spectator magazine and funded by
foundations under the control of conservative billionaire Richard Mellon
Scaife.


In his April testimony to the Judiciary Committee, Olson said, "I was not
involved in the [Arkansas] project in its origin or its management." In
written answers to additional questions about his involvement in either the
Arkansas Project or the Spectator's reporting on the Clintons, Olson said he
knew about the Spectator's stories and was at social events with reporters
for the magazine, but, "I do not recall giving any advice concerning the
conduct of the project or its origins or management."


Douglas Cox, Olson's law partner at Gibson, Dunn & Crutcher and a spokesman
for Olson, said the dispute over Olson's testimony amounts to "just a word
game." The senior Hatch aide repeated this view, quoting Hatch as saying, "It
comes down to what the definition of the Arkansas Project is."


The Spectator, Cox said, was involved throughout the 1990s in the sustained
pursuit of stories alleging a variety of Clinton-related scandals, and Olson
was fully aware of this general activity. Olson was not, however, aware of a
specific project financed by Scaife until sometime in 1997, Cox said.


Arkansas Project expense reports compiled by the Spectator show payments to
Olson's law firm of $14,341.45 for the period of March through August 1994.
Olson himself was hired in 1994 by the magazine specifically to determine the
potential criminal exposure of the Clintons in light of the magazine's
reporting, sources said. Olson said in his written answers that his legal
services for the Spectator included "legal research," but "were not for the
purpose of conducting or assisting in the conduct of investigations of the
Clintons."


Olson, who joined the magazine's board at the start of 1996, told the
committee that he did not learn of the project until mid-1997, when questions
were raised about the accounting of the money for the project.


Peter Hannaford, who served on the board with Olson, said he recalled the
board getting a routine briefing on the Arkansas Project and its financing
sometime before a meeting held in May 1997.


Staff writer Helen Dewar contributed to this report.

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