WASHINGTON, Jan. 5, 2009

Richardson Pick Proves Hitch For Obama

Kathleen Sebelius On Short List To Replace N.M. Gov. For Commerce Post

  • Play CBS Video Video Richardson Quits As Cabinet Pick

    Gov. Bill Richardson has withdrawn his nomination as President-elect Obama's new Commerce Secretary over a legal inquiry in N.M. Some feel this is a sign there may be flaws in Obama's vetting process.

  • President-elect Barack Obama announcing his Commerce Secretary-designate New Mexico Gov. Bill Richardson last month.

    President-elect Barack Obama announcing his Commerce Secretary-designate New Mexico Gov. Bill Richardson last month.  (AP)

  • In-Depth Obama's Cabinet

    The latest names and status of posts within Obama's new administration.

(CBS/AP)  When he ran for president, Bill Richardson touted more than an adventurous style and impressive resume. He was the guy who embraced flaws as a strength, the one who said the American people "don't want blow-dried candidates with perfection."

A federal grand jury investigation into what could be a serious flaw, however, has led New Mexico's governor to a tough decision to leave the national political stage - at least for now.

Richardson on Sunday withdrew as Barack Obama's nominee to be Commerce Secretary - an unexpected hitch in what has been a generally smooth transition for the president-elect so far.

A federal grand jury is looking into how a California firm that contributed to Richardson's political activities won a lucrative state government contract.

The former U.S. diplomat sounded diplomatic in announcing his decision. He said he has done nothing wrong, but figured a dragged-out confirmation could slow down Obama's work. And so Richardson withdrew, spoke with pride about sticking with his job as governor, and told Obama he's still eager to serve down the line.

"The governor is confident that he will be cleared," said Richardson's spokesman, Gilbert Gallegos.

"It is with deep regret that I accept Governor Bill Richardson's decision to withdraw his name for nomination as the next Secretary of Commerce," Obama said in a statement.

Putting aside the setback, Obama said: "It is a measure of his willingness to put the nation first."

CBS News White House correspondent Bill Plante reports that Kansas Gov. Kathleen Sebelius is said to be on the short list of possible replacements.

A federal grand jury is looking into how Beverly Hills financial services company, CDR Financial Products, earned a $1.5 million state contract after contributing to Governor Richardson's political action committees.

Richardson denied any wrongdoing, but said Sunday that the pending investigation threatened to stall the confirmation process for several weeks or months.

CDR spokesman Allan Ripp, in an exclusive telephone interview with CBS News, said, “The firm adamantly doesn’t practice pay-for-play under any circumstance on any playing field. It is pay for performance, pay for expertise, pay for track record, and pay for merit.”

As a result of Richardson's problems, questions are now surfacing over Obama's transition team's vetting process.

Richardson's withdrawal was the first bump in Obama's Cabinet process and the second "pay-to-play" investigation that has touched Obama's transition to the presidency. The president-elect
has not been implicated in either the New Mexico case or accusations that Illinois Gov. Rod Blagojevich tried to sell Obama's former Senate seat.

CBS News chief Washington correspondent Bob Schieffer says this latest turn demonstrates to Obama how events can always thwart the intentions of an incoming Chief Executive.

"No president can completely control his agenda," he told CBS Early Show. "There's something here that we don’t know yet - the fact that Bill Richardson suddenly asked that his name be withdrawn, there's something coming down the road that he's going to have to deal with."

Obama meets with congressional leaders Monday about a massive economic recovery bill he wants passed quickly. Obama transition officials said Richardson's withdrawal would not affect the stimulus plan because the Commerce Department was not heavily involved.

Obama spokesman Robert Gibbs said he expected a new commerce secretary would be chosen soon but didn't have a timetable. Gibbs denied that those tasked to look into Richardson's background missed something.

"Everyone knew about this investigation," says Politico.com's Mike Allen. "The President-elect took a chance. The question is why. Did (Obama's) vetters ask enough questions? Did (Richardson) give the right answers?"

A senior Obama adviser said Richardson gave assurances before he was nominated last month he would come out fine in the investigation. But as the grand jury pursued the case, it became clear that confirmation hearings would be delayed at least six weeks until the investigation was complete, said the adviser, speaking on condition of anonymity about the discussions because they were private.

Aides to both men insisted Richardson made the decision to withdraw and was not pushed out by Obama. But one Democrat involved in discussions over the matter said transition officials became increasingly nervous during the last couple of weeks that the investigation could become an embarrassment to Obama, who ran on a clean government pledge.

Richardson, 61, is one of the most prominent Hispanics in the Democratic Party, having served in Congress, and in the Clinton administration as ambassador to the United Nations and Energy Secretary. As governor he has kept up an international profile with a specialty in dealing with rogue nations. He sought the Democratic presidential nomination this year, but eventually dropped out and endorsed Obama, who considered him for Secretary of State.

© MMIX, CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.
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by samrt-2009 January 6, 2009 3:33 AM EST
Where is the outrage from the liberals on the pay to play scandals rocking the states of Illinois and New Mexico.

If this was about Republicans, HITCH would hardly be the word used by them.

Posted by thgdriver1 at 05:14 PM : Jan 05, 2009
====================
Good point but you don''t go far enough or have enough respect for the intelligence of your fellow citizens. Most people understand very well that our entire political establishment is run on the basis of "Pay-For-Play." The quandary we all face at election time is trying to determine who is the least crooked of those we are permitted to vote for. It''s also why so many choose not to vote. It''s not so much apathy as frustration with a rigged system.
Reply to this comment
by toolmangler-2009 January 6, 2009 1:02 AM EST
He is a great speaker as long as the teleprompter don''t stop working
Posted by thgdriver1 at 03:46 PM : Jan 05, 2009




Bushit couldn''t remember where he was or his name without a teleprompter.
Reply to this comment
by toolmangler-2009 January 6, 2009 12:59 AM EST
I give Richardson kudos for this move. He is taking the heat and nullifying it. Guilty or not doesn''t matter now.
Reply to this comment
by opedanderson January 5, 2009 8:47 PM EST
Can imagine what Matthews and Olbermann would be screaming if this was the McCain WhiteHouse getting ready for office?

They would have both had strokes by now.

As it is.......a bunch excuses and "oh wells"

We have elected a man we know NOTHING about......stay tuned. Wright, Ayers, Rezko, Blago, now Richardson.....the hits keep on coming.....
Reply to this comment
by thgdriver1 January 5, 2009 8:14 PM EST
Where is the outrage from the liberals on the pay to play scandals rocking the states of Illinois and New Mexico.

If this was about Republicans, HITCH would hardly be the word used by them.
Reply to this comment
by renojmc January 5, 2009 7:44 PM EST
This would be hilarious if it wasn''t so serious. This trhee-ring circus known as the democrat party already has their new theme for 2009: "Pay to Play!"

Obama hasn''t even taken office yet and the stench of the democrat political sewer can be smelled from coast to coast.
Reply to this comment
by BruinUrsis January 5, 2009 7:09 PM EST
Um..Id personally like to KNOW what the "Othert" glitches in the Obama Admin. were as of last nights commentary from Meg about her saying.."YET another setback"..in her story concerning the Bill Richardson backout?
I am NOT aware of ANY other glitch in his current nominations of Cabinet posts. BTW..NBC agrees with me also as of last night!
Reply to this comment
by thgdriver1 January 5, 2009 7:01 PM EST
He had better at least make the voters laugh.

Posted by Questionnews

All the Dimwitocrats make me laugh especially that empty suit Nobama.
Reply to this comment
by questionnews January 5, 2009 6:57 PM EST
[Al Franken is a comedian?? I thought he was a talk show host.]
[Posted by Questionnews at 02:01 PM : Jan 05, 2009]

he was an original writer and ''''periodic'''' cast member of saturday night live. he was the creator/writer/actor of a couple of the classic characters from the early history of the show.

Posted by bobnjersey at 03:45 PM : Jan 05, 2009


That''s insane! So his qualifications for being a Senator is being a talk show host of a bankrupt radio station & scribbling one-liners for SNL???

Can the bar get any lower? Is there even a bar left anymore? There has to be a better qualified Dem in Minn. He had better at least make the voters laugh.
Reply to this comment
by thgdriver1 January 5, 2009 6:54 PM EST
he was an original writer and ''''periodic'''' cast member of saturday night live. he was the creator/writer/actor of a couple of the classic characters from the early history of the show.

Posted by bobnjersey

You''ll have to excuse Boob-n-Jersey. Not much to do there except watch the boob tube. Jersey, you know, the state they don''t charge you to get in, only to get back out.
Reply to this comment
by thgdriver1 January 5, 2009 6:46 PM EST
"The President-elect took a chance. The question is why.

Huh?

Why??!

Because that empty suit the Dimwitocrats put into the White house don''t know squat that''s why. He is a great speaker as long as the teleprompter don''t stop working or he has a speech memorized. He sure showed us how good he was when Joe the plumber asked the unexpected question. Does anyone remember Nobama doing that again during the election? NO!! He was not president elect 48 hours when he insulted a very respected former first lady and had to call her to apologize. No wonder his handlers had him hid away in Hawaii!!
Reply to this comment
by bobnjersey January 5, 2009 6:45 PM EST
[Al Franken is a comedian?? I thought he was a talk show host.]
[Posted by Questionnews at 02:01 PM : Jan 05, 2009]

he was an original writer and ''periodic'' cast member of saturday night live. he was the creator/writer/actor of a couple of the classic characters from the early history of the show.
Reply to this comment
by questionnews January 5, 2009 6:38 PM EST
thgdriver1, you obviously don''''t know the words or the beat to the "ghostbuster''''s" song, because you can''''t get that many words in and stay with the beat. At least the words in the song somewhat rhymed. %$#@&*(

Posted by geeimbad at 03:23 PM : Jan 05, 2009


Better to debut here than on American Idol. Can you imagine what Simon would have done to him.
Reply to this comment
by geeimbad January 5, 2009 6:23 PM EST
thgdriver1, you obviously don''t know the words or the beat to the "ghostbuster''s" song, because you can''t get that many words in and stay with the beat. At least the words in the song somewhat rhymed. %$#@&*(
Reply to this comment
by thgdriver1 January 5, 2009 6:17 PM EST
The following can be sung to the tune of Ghostbusters.

When a senate seats for sale, and ya think nobody''s looking, who ya gonna call, Nobama!

When ya need some bucks, and ya need to be elected, all ya gotta do, is sell state contracts!

When they ask a tough question, and you don''t know what to say, all ya gotta do, is hide in Hawaii!



Reply to this comment
by questionnews January 5, 2009 6:14 PM EST
I don''''t see how any republiscum can possibly have the chutzpah to voice criticism of the democrats given what they have foisted on the country for the past 8 years. Obama has made more good decisions in two months before he''''s even president than shrub made in his entire 8 disasterous years. BTW if anyone didn''''t see it - you all have to read Frank Rich''''s op-ed piece in the NY Times yesterday. The title "A Preident Forgotten, not Gone." It''''s a perfect sum-up of the "Bush years."

Posted by usclimey at 03:02 PM : Jan 05, 2009

Being Independent, I find it quite easy to pile criticism on loser, criminal, scumbag bottom feeders regardless of party affiliation. I''m all for any whistleblower that nails a corrupt politician''s nuts to a chair, be it Repub or Dem.
Just because some scummy little gangbanger from the Crips turns in (or criticizes) some scummy little gangbanger from the Bloods it doesn''t mean that one is any better than the other. The only ones that do are usually part of the "Gang" & loyalty is blinding.
Reply to this comment
by usclimey January 5, 2009 6:02 PM EST
I don''t see how any republiscum can possibly have the chutzpah to voice criticism of the democrats given what they have foisted on the country for the past 8 years. Obama has made more good decisions in two months before he''s even president than shrub made in his entire 8 disasterous years. BTW if anyone didn''t see it - you all have to read Frank Rich''s op-ed piece in the NY Times yesterday. The title "A Preident Forgotten, not Gone." It''s a perfect sum-up of the "Bush years."
Reply to this comment
by thgdriver1 January 5, 2009 5:57 PM EST
Strike two for Nobama and Associates INC. Change we can believe in is all I could hear from The libs and CBS. This is better then a raise in pay.

Nice choice Nobama! LMFAO!!
Reply to this comment
by tigerrram9 January 5, 2009 5:54 PM EST
If any wrong doing in this investigation it will be on the state comptroller. Remember that the state comptroller handles the money and state bids, not the governor. Remember Sarah''s bridge to nowhere and
Trooper Gate? She had her hand on the money until congress started asking questions. I have faith that Gov. Richardson will come out okay in this grand jury investigation. I will keep an eye on this and I know the state comptroller will soon resign and others will follow, but the governor will be cleared.
Reply to this comment
by geeimbad January 5, 2009 5:30 PM EST
Xlib, I "almost" fully agreed. Had to leave some room for another debate. Good debate.
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