FORMER OBAMA BACKER REZKO COOPERATING WITH FEDS

Chicago Sun Times

October 7, 2008
BY NATASHA KORECKI

Federal prosecutors asked a judge Monday to indefinitely postpone Tony Rezko's scheduled Oct. 28 sentencing on corruption charges, acknowledging they are engaged in talks with the former top political fund-raiser for Sen. Barack Obama, Gov. Blagojevich and others "that could affect . . . sentencing."

The Chicago Sun-Times first reported in August that Rezko might be cooperating with prosecutors. Since then, the talks, and the prosecution's efforts to confirm information Rezko has provided, have been an open secret. In September, sources close to the investigation confirmed the talks to the Sun-Times but said there was no deal with Rezko.

The 53-year-old Wilmette businessman, who at one time was a top adviser to Blagojevich, was convicted in June of wide-ranging corruption tied to state deals. He could face a lengthy prison term and still faces two more criminal trials.

Several criminal-defense lawyers, who spoke to the Sun-Times only on the condition they not be named, said prosecutors have asked to interview or reinterview their clients about allegations that Blagojevich's campaign took contributions in exchange for state contracts or appointments. One lawyer said prosecutors told him they sought the interview in response to new information provided by Rezko.

On Sunday, the Sun-Times reported the FBI has interviewed witnesses about a rehab project at the governor's home that was done by a Rezko-owned contractor.

Federal authorities also have been reviewing real estate dealings involving Blagojevich's wife Patti, who works in real estate, and campaign contributors including Rezko.

A U.S. attorney's office spokesman would not comment Monday. Rezko's lawyers could not be reached.

If a judge agrees to delay Rezko's sentencing, it could be good news for Democratic presidential nominee Obama because the former Obama friend and fund-raiser was set to be sentenced just days before the Nov. 4 election.