Blumenthal Testifies For Starr

White House damage-control expert Sidney Blumenthal Thursday went before the grand jury probing allegations that President Clinton had a sexual affair with Monica Lewinsky and then conspired to cover it up.

Blumenthal, a former journalist who is close to both Mr. Clinton and first lady Hillary Rodham Clinton, was called to testify for a third time before the grand jury convened by independent counsel Kenneth Starr.

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Blumenthal's lawyer, Jo March, said then that her client was asked whether he had talked with Mr. Clinton or Mrs. Clinton about Starr's office, and if the Clintons or anyone else at the White House had directed him to take action against Starr. Blumenthal answered "absolutely not" to the latter question.
Starr's team is investigating allegations that the president had an affair with Lewinsky, a former White House intern, and then pressed her and others to lie about it. Both Mr. Clinton and Lewinsky have denied the accusations, and Mr. Clinton has said he never asked anyone to lie.

Earlier Thursday, Democratic fund-raiser Nathan Landow appeared before the grand jury. Prosecutors had wanted to ask him about his contacts with one of the witnesses in the Paula Jones sexual harassment case, Kathleen Willey.

Landow left after about an hour, saying only, "I'm done."

Expected later Thursday before the jury was Lewinsky's first lawyer, Francis Carter.

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After Starr appealed to the Supreme Court last week to rule on whether the White House could claim executive privilege, Mr. Clinton dropped his claim of privilege for Blumenthal's testimony.

Bruce R. Lindsey

The White House also is claiming, with the backing of the Justice and Treasury Departments, that Secret Service agents should be protected from revealing what they saw and heard while guarding the president.

The Supreme Court refused Thursday to l bypass a court of appeals and decide before its current term ends in July whether the White House is entitled to these claims of privilege.

Kenneth Starr

Prosecutors have secret tape recordings made by a Lewinsky friend, Linda Tripp, in which the former intern alleged she had an affair with Clinton and was asked to cover it up.

Lewinsky's new defense team, hired Tuesday, has made initial contact with prosecutors, marking a fresh start in efforts to save the former White House intern from a possible criminal indictment.

But a difficult task lies ahead for veteran lawyers Jacob Stein and Plato Cacheris: negotiating a binding agreement that would trade Lewinsky's cooperation for immunity from prosecution. Click here for an explanation of immunity by CBS News Legal Correspondent Kristin Jeannette-Meyers.

William Ginsburg

Two major factors could ease the way for an immunity deal for Lewinsky following the bitter breakdown of talks between prosecutors and her former lawyer, William Ginsburg.

The spokesman for Starr, Charles Bakaly, pointed out that Starr has known Cacheris and Stein for years and worked with Stein during the Senate ethics investigation of former Sen. Bob Packwood, R-Ore.

Stein was Packwood's lawyer, and Starr was hired to review Packwood's diaries so personal information - not relevant to the probe of sexual and official misconduct - could be blacked out.

Lewinsky's new lawyers have contacted Strr's office, and while no negotiations have occurred, serious talks are imminent, said sources familiar with the case who spoke on condition of anonymity.

Monica Lewinsky

In the early days of the controversy, Ginsburg came close to sealing a deal for full immunity. He provided a written offer outlining her testimony and received a letter back indicating prosecutors could accept the terms, according to people close to the situation.

But the effort fell apart at the last minute, and relations soured as Ginsburg went to court, claiming Starr reneged on the deal. Starr won that legal battle.

Sources familiar with the original offer have said Lewinsky offered to change her public story and acknowledge a physical relationship with President Clinton, but was vague on whether she was asked to lie or obstruct justice.

Meanwhile, news organizations, including The Associated Press, said Wednesday they would ask the Supreme Court to rule on whether the news media should have access to court hearings in the grand jury investigation involving Lewinsky.

"The need for public access and openness is particularly strong in this case," said a 30-page brief the news organizations prepared to file with the court.

An appeals court has ruled that the First Amendment provides no right of public access to the court arguments over various issues, including executive privilege and attorney-client privilege, invoked by the president and White House lawyers. Edited transcripts of those hearings have been released weeks later.

The appeals court decision "conflicts with the decisions of other circuits and this court and contradicts the strong history of open judicial hearings," the news organizations said.