Huang gets immunity in GOP probe of Democratic fund raising

October 28, 1999
Web posted at: 1:32 p.m. EDT (1732 GMT)

WASHINGTON (CNN) -- The Republican-led House Government Reform Committee voted unanimously Thursday to grant immunity to political fund-raiser John Huang in exchange for his testimony on Democratic fund raising.

The step clears the way for Huang to repeat in public his allegations about former White House Deputy Chief of Staff Harold Ickes, who played a key role in President Clinton's 1996 re-election effort.

Huang says Ickes asked him to solicit political donations while both were federal employees, a violation of federal law.

The government reform committee, led by Rep. Dan Burton, R-Indiana, is investigating fund raising in the 1996 campaign.

Fund-raising allegation

The panel voted 30-0 to give Huang limited immunity from prosecution. The action comes amid reports from government sources that Huang told federal investigators that Ickes called him to his office in 1995 and asked him to raise money for the congressional campaign of Jesse Jackson Jr., son of the civil rights leader.

At the time, both Huang and Ickes were federal employees. Huang was a political appointee working at the Commerce Department. Under the Hatch Act, federal law bans certain government employees from soliciting campaign contributions from subordinates.

It is a felony punishable by up to three years in prison.

If Huang's account is true, Ickes' request came while the White House was closely watching the plans of the elder Jackson, who was weighing a possible challenge against Clinton as an independent presidential candidate.

Huang reportedly told the investigators he donated $1,000 to the younger Jackson's campaign and raised an additional $6,000 to satisfy Ickes' request.

Ickes denies breaking any fund-raising laws.

He and his lawyers, Robert Bennett and Amy Sabrin, did not return calls this week to their offices. Huang's lawyer, Ty Cobb, declined comment.

No independent counsel

The Justice Department conducted an initial inquiry into Huang's allegations but decided not to seek an independent counsel to investigate the matter.

"We have reviewed all of these instances and look at it to determine whether it triggers the independent counsel," Atttorney General Janet Reno said Thursday. "In this instance, we determined that it did not."

Republicans repeatedly have criticized Reno for not seeking an independent counsel to investigate Democratic fund raising in the 1996 campaign.

A source said one reason the Justice Department declined to move against Ickes may have involved a question as to whether Ickes qualified as Huang's superior.

There were also difficulties in corroborating Huang's story about Ickes. One source said it was not a close call as to whether to go forward.

Reports could embarrass administration

Still, the revelations -- and Huang's forthcoming testimony -- could prove politically embarrassing to both the Clinton administration and the first lady.

Ickes is now a key strategist to Hillary Rodham Clinton as she gears up her Senate campaign in New York.

Huang was a pivotal figure in the 1996 campaign finance controversy. The Democratic National Committee gave back $1.6 million Huang helped raise because it came from overseas nationals or because party officials could not determine where it came from.

Earlier this year, Huang was sentenced to probation after pleading guilty to charges he conspired to violate federal fund-raising laws. As part of a plea deal, he agreed to cooperate with investigators.

Jackson Sr., Jr.: No White House help

The elder Jackson, who took an active role fund raising and campaigning for his son, said Wednesday he spoke often to Ickes during that period, but doesn't recall ever discussing whether the White House could assist the congressional campaign.

"We did not pursue them to support Jesse's campaign," the elder Jackson said of the White House.

Asked whether he'd talked to presidential aides about the White House supporting his son, the elder Jackson replied, "No. I have no knowledge of that, no recollection of that at all."

Jackson's son, now a congressman from Illinois, said the FBI interviewed him about three months ago.

"I did not talk to Mr. Ickes during my campaign about fund raising, about raising any money for our efforts, and I indicated this to the FBI," the younger Jackson said.

Correspondent Pierre Thomas and The Associated Press contributed to this report.

RELATED STORIES

Hatch: Reno decision on Ickes 'death knell' for independent counsel (01-30-99) Reno says no to Clinton 'issue ad' probe (12-7-98) Reno postpones decision on Ickes' probe (11-30-98) Independent counsel decision intensifies pressure on Reno (11-25-98) No independent counsel for Gore (11-24-98) Reno triggers 90-day probe into Ickes' fund-raising (09-01-98) Ickes stepping down (11-11-96)

RELATED SITES
U.S. Department of Justice Office of Independent Counsel Donald C. Smaltz Web site