By NEDRA PICKLER
drudge.com

WASHINGTON (AP) - President-elect Barack Obama and two of his top
aides met last week with federal investigators building a corruption
case against Illinois Gov. Rod Blagojevich, accused of trying to swap
Obama's Senate seat for cash or a lucrative job.

The interviews with Obama, along with incoming chief of staff Rahm
Emanuel and adviser Valerie Jarrett, were disclosed Tuesday in an
internal report produced for Obama on contacts with Blagojevich. Obama
delayed releasing his report until those interviews were completed
with U.S. Attorney Patrick Fitzgerald's staff, incoming White House
attorney Greg Craig said in the review he wrote for Obama.

Obama had no contact with the governor or his aides, the report
states. Prosecutors have said Obama is not implicated in the case.

Emanuel was the only Obama transition team member who discussed the
Senate appointment with Blagojevich, and those conversations were
"totally appropriate and acceptable," Craig said Tuesday. No one on
Obama's transition team discussed any deals or had any knowledge of
deals, Craig's report said.

Sources have said Emanuel is not a target in the case. Jarrett was
never a target of the federal investigation, a transition official
said.

Craig's report identified close Obama friend Eric Whitaker as someone
approached by one of Blagojevich's top aides to learn "who, if anyone,
had the authority to speak for the president-elect" about the Senate
appointment.

The report states that Obama told Whitaker that "no one was authorized
to speak for him" and that "he had no interest in dictating the result
of the selection process."

Blagojevich was charged on Dec. 9 with plotting to use his governor's
authority to appoint Obama's Senate replacement and make state
appointments and contracts in exchange for cash and other favors. He
has denied any criminal wrongdoing and has resisted multiple calls for
his resignation, including one from Obama.

During Emanuel's interview with federal authorities, he listened to a
taped recording of a conversation with Blagojevich's office, according
to a transition official who spoke on condition of anonymity because
the person was not authorized to discuss information not included in
the report.

Craig's report states that Emanuel had "one or two telephone calls"
with Blagojevich and four conversations with John Harris, the
governor's chief of staff who later resigned after being charged in
the federal case. Craig told reporters Emanuel said he couldn't be
sure it was only one call.

Emanuel left for a long-planned family vacation in Africa on Tuesday
and was not available for comment.

The report was released in Washington while Obama was vacationing in
Hawaii. The president-elect did not make himself available for
questions.

The report said Obama authorized Emanuel to pass on the names of four
people he considered to be highly qualified to take over his seat -
Illinois Comptroller Dan Hynes, Illinois Veterans' Affairs Director
Tammy Duckworth, Rep. Jan Schakowsky and Rep. Jesse Jackson Jr.

Obama later offered other names of what he thought were qualified
candidates, including Attorney General Lisa Madigan and Chicago Urban
League Director Cheryle Jackson, the report said.

"Mr. Harris did not make any effort to extract a personal benefit for
the governor in any of these conversations," the report said. There
was no discussion of a Cabinet position, creation of a nonprofit
foundation for Blagojevich, a private sector position or of any other
personal benefit for the governor, according to the report.

The report said that earlier, Emanuel recommended Jarrett for the
Senate seat without Obama's knowledge, and Jarrett later accepted a
job as a senior White House adviser.

Craig revealed his findings into a memo to Obama. The memo was dated
Tuesday, but a transition official said an initial copy was given to
Obama on Dec. 15. On that day, Obama announced that the report was
ready but that he was withholding it from public release for a week at
the request of the U.S. attorneys still conducting their
investigation.



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