Watch CBS News

Babbitt Escapes Indictment

A special prosecutor has concluded there is not enough evidence to indict Interior Secretary Bruce Babbitt or anyone else in connection with a federal Indian casino investigation.
The prosecutor's office said in a statement Wednesday that the evidence uncovered in the 19-month investigation "would not support a finding" that Babbitt committed perjury or any other criminal act.

Special Prosecutor Carol Elder Bruce was to file a report on her investigation with a three-judge federal panel, probably in the coming weeks, closing the case, sources said.

"Ms. Bruce is declining prosecution and will not seek an indictment of Secretary Babbitt or anyone else," said the prosecutor's statement. It said the investigation included 450 witnesses and 630,000 pages of documents.

The case involved allegations that Babbitt had lied to Congress in his explanation as to why the Interior Department in 1995 rejected a permit for a proposed casino by three Wisconsin Indian tribes. Supporters of the casino charged that the decision was influence by promises of campaign contributions to the Democratic Party by rival tribes opposed to the permit.

The prosecutor's office said its investigation found no evidence to "support a finding of a criminal quid pro quo" and that perjury allegations against Babbitt, involving his congressional testimony, could not be proven.

Babbitt issued a statement saying he was "gratified that the grand jury and independent counsel have determined after an exhaustive ... investigation that no charges are justified in this matter."

Attorney General Janet Reno asked in February 1998 that a special prosecutor investigate the casino issue and Babbitt's congressional testimony. A month later, Bruce, a 10-year veteran of the U.S. attorney's office in Washington, was given the case by a three-judge panel.

The case was one of five independent counsel investigations of Clinton administration Cabinet officers in addition to Kenneth Starr's investigation of the president. One investigation involving Labor Secretary Alexis Herman remains unresolved.

Bruce sought to determine whether a request by three Chippewa tribes to open a casino in Hudson, Wis., was denied because of pressure from the White House after rival Indian tribes offered campaign contributions to the Democratic Party. The rival tribes eventually gave more than $300,000 to the party.

Babbitt, who testified for two days before the Bruce grand jury, denied there was any connection between campaign contributions and the casino decision. He also has denied intending to mislead senators during a hearing in late 1998 investigating the casino deal.

View CBS News In
CBS News App Open
Chrome Safari Continue