The longtime civil rights leader already came under fire this month for he made against Obama in what he thought was a private conversation during a taping of a "Fox & Friends" news show.
In additional comments from that same conversation, first reported by the blog TVNewser, Jackson is reported to have said Obama was "talking down to black people," and referred to blacks with the N-word when he said Obama was telling them "how to behave."
Though a Fox spokesman confirmed the TVNewer's account to The Associated Press, the network declined to release the full transcript of the July 6 show and did not air the comments.
Fox News host Bill O'Reilly said the network had nothing to do with the latest on this embarrassing moment for Jackson, reports CBS News senior White House correspondent Bill Plante.
"We're not out to get Jesse Jackson," O'Reilly said. "We're not out to embarrass him. We're not out to make him look bad."
Jackson - who is traveling in Spain - apologized in a statement Wednesday for "hurtful words" but didn't offer specifics.
"I am deeply saddened and distressed by the pain and sorrow that I have caused as a result of my hurtful words. I apologize again to Senator Barack Obama, Michelle Obama, their children as well as to the American public," Jackson said in a written statement. "There really is no justification for my comments and I hope that the Obama family and the American public will forgive me. I also pray that we, as a nation, can move on to address the real issues that affect the American people."
A spokeswoman for Jackson's civil rights organization, Rainbow/PUSH Coalition, said she could not confirm that Jackson used the slur.
Jackson has called on the entertainment industry, including rappers, actors and studios, to stop using the N-Word. He also urged the public to boycott purchasing DVD copies of the TV sitcom "Seinfeld" after co-star Michael Richards was taped using the word during a rant at a Los Angeles comedy club in 2006.
The Rev. Al Sharpton, who has joined Jackson in opposition of the word, said on CBS News' The Early Show on Thursday that he was "very disappointed" by this latest revelation.
"I think this certainly does not reflect the Reverend Jackson that we all know and love," Sharpton said. "I think that we have to be consistent. We have denounced the N-word… I think clearly all of us must strive to do in private what we profess in public. Once we take this public position we have that responsibility. I've said and many of those in other groups, NAACP and others, that we've all used it in the past. And we've got to stop it as we challenge this nation. We can't challenge others without challenging ourselves."
"I still hold Reverend Jackson in high esteem, but I certainly do not at all condone the use of the word by Reverend Jackson, myself or anyone else," he added. (