Feds indict Blagojevich: He could face 20 years in prison

CHICAGO — Ousted Gov. Rod Blagojevich was indicted Thursday on charges of trying to auction off President Barack Obama’s vacant U.S. Senate seat along with new corruption allegations that he tried to extort a congressman.

A sweeping 19-count federal indictment alleges that Blagojevich discussed with aides the possibility of getting a Cabinet post in the new president’s administration, substantial fundraising assistance or a high-paying job in exchange for the Senate seat.

The indictment does not allege any wrongdoing by Obama or his associates.

Prosecutors also accused Blagojevich and members of his inner circle of scheming to line their pockets with millions of dollars in ill-gotten gains, squeezing contractors, hospital owners and others seeking state business for kickbacks they planned to split after the governor left office.

“I’m saddened and hurt but I am not surprised by the indictment. I am innocent,” Blagojevich said. “I now will fight in the courts to clear my name. I would ask the good people of Illinois to wait for the trial and afford me the presumption of innocence that they would give to all their friends and neighbors.”

His brother, two former aides, a former fundraiser and a lobbyist were also indicted. Blagojevich’s wife, Patti, was not indicted.

According to the indictment, the corruption stretches back to when Blagojevich became governor in 2003. He and three coconspirators agreed then to use his position for financial gain and split the proceeds after he left office, the indictment said.

The indictment alleges that Blagojevich:

  • Told an aide he wanted to stall a $2 million state grant to a school supported by a congressman until the lawmaker’s brother held a fundraiser for the governor.

    Was involved in a corrupt scheme to get a massive kickback in exchange for the refinancing of billions of dollars in state pension funds.

    Told an aide he didn’t want executives with two financial institutions getting further state business after he concluded they were not helping his wife get a high-paying job.

    Withheld state aid sought by the Tribune Co. unless the company fired unfriendly editorial writers at the Chicago Tribune.

    Also, convicted fixer Tony Rezko paid Patti Blagojevich a $14,396 real estate commission “even though she had done no work” to earn it and later hired her at a salary of $12,000 a month plus another $40,000 fee, the indictment said.

    Most of the charges carry a maximum sentence of 20 years in prison and a $250,000 fine.

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