Rod Blagojevich found guilty at retrial

A jury has convicted Rod Blagojevich of nearly all the corruption charges against him, including trying to sell or trade President Barack Obama's old Senate seat.

Jurors delivered their verdicts Monday after deliberating nine days.

Blagojevich had faced 20 charges, including the Senate seat allegation and that he schemed to shake down executives for campaign donations. He was convicted on all charges regarding the Senate seat.

He testified for seven days, denying wrongdoing. Prosecutors said he lied and the proof was on FBI wiretaps. Those included a widely parodied clip in which Blagojevich calls the Senate opportunity "f------ golden."

Jurors in his first trial deadlocked on all but one charge, convicting Blagojevich of lying to the FBI.

Blagojevich already faces up to five years for the lying conviction.

Ill. Gov. Blagojevich pledges to fight, won't quit

Gov. Rod Blagojevich said Friday he will be vindicated of criminal corruption charges and has no intention of letting what he called a "political lynch mob" force him from his job.

"I will fight. I will fight. I will fight until I take my last breath. I have done nothing wrong," Blagojevich said in his first official public comments since his arrest last week on federal corruption charges.

The Democrat is accused, among other things, of plotting to sell or trade President-elect Barack Obama's U.S. Senate seat.

"I'm not going to quit a job the people hired me to do because of false accusations and a political lynch mob," Blagojevich said.

Blagojevich had been itching to talk, even though his attorney Ed Genson didn't like the idea.

Genson has said he plans to challenge the court-ordered wiretaps at the heart of the allegations against Blagojevich. Genson called the wiretaps inappropriate, if not illegal.

Genson said he expects a federal grand jury to indict his client, which likely would unseal many of the documents supporting the charges.

The governor is also accused of trying to strong-arm the Chicago Tribune into firing editorial writers who criticized him, and pressuring a hospital executive for campaign donations.

Blagojevich attorney says wiretaps were illegally obtained

A lawyer for Illinois Gov. Rod Blagojevich told state lawmakers Thursday that the federal wiretaps at the heart of the pay-to-play allegations against his client were illegally obtained, and therefore should be kept out of any impeachment proceedings. The wiretaps are crucial to the federal charges filed against Blagojevich last week. Prosecutors say they caught the Democratic governor discussing efforts to auction off Barack Obama's U.S. Senate seat and pressure a hospital executive for campaign donations.

Genson told the impeachment committee that it shouldn't consider any material from the wiretaps, saying the evidence was "illegally obtained."

Earlier on MSNBC, Genson said the governor maintains his innocence: "He's telling me that he's not guilty, he's telling me that he wants to fight."

The panel was expected to hear later Thursday from the state's top internal watchdog, who says his own past probes of the Blagojevich administration have turned up improper contracts, incomplete records and sloppy handling of tax money.

Meanwhile, Attorney General Lisa Madigan denied a request by Genson to have the state pay for Blagojevich's impeachment defense. The move was all the more significant because Genson said federal officials are seeking to freeze the governor's campaign fund — $3.6 million as of June — a source Blagojevich could tap to pay his legal bills.

Madigan's office said the impeachment review is a case against Blagojevich's capacity as governor and isn't a court action — a classification that doesn't entitle the governor to taxpayer-funded legal representation.

Genson also appeared before the House panel Wednesday and challenged it on multiple fronts. He said three members should be removed, the committee's rules should be changed and it should not consider accusations in a criminal complaint against the governor.

Blagojevich, who left his home Thursday morning without speaking to reporters, has been under siege since his arrest last week. He got some good news Wednesday when the court rejected Madigan's claim that the governor's legal troubles made him unfit to serve.

The court's decision renewed calls from Republicans for a special election to choose Obama's successor in the Senate. They argue that neither Blagojevich nor Lt. Gov. Patrick Quinn — who would take over if Blagojevich goes — should be allowed to make the appointment.

Genson said he doesn't expect Blagojevich will make an appointment.

"Harry Reid said that they're not going to accept anybody he picks," said Genson, referring to the Senate majority leader. "Why would he do that?"

Blagojevich spokesman Lucio Guerrero said he didn't know if Genson was correct about the governor's intentions.

The Illinois House has appointed a 21-member committee to review the possibility of impeachment. The panel, divided 12-9 between Democrats and Republicans, will recommend whether the full House should move to impeach Blagojevich. If that happened, the state Senate would then decide whether the governor is guilty.

Disgraced Illinois governor weighs legal options

Illinois Gov. Rod Blagojevich met with a renowned Chicago criminal lawyer Saturday as he weighed his legal options on how to fight a scandal that has left his career in tatters and disrupted President-elect Barack Obama's White House transition.

The Democratic governor had a four-hour meeting with Ed Genson in the lawyer's downtown office Saturday. Genson has defended newspaper baron Conrad Black, R&B singer R. Kelly and numerous public figures on corruption charges, earning a reputation as the lawyer big shots call when they get in a bind in Chicago.

Genson confirmed the two met but wouldn't discuss details of their dialogue. When asked if he would take the case, Genson said: "We'll make our mutual decision on Monday."

Blagojevich had brushed back calls for his resignation after he was charged with trying to sell Obama's Senate seat. He sought to project a business-as-usual image amid the turmoil, going to work every day and handling state business.

As the legal maneuvering intensified, some observers speculated that he might be trying to leverage the governorship to his advantage in his criminal case — just like prosecutors said he did with the Senate seat for financial gain.

"I would be saying, 'Let me see what I can get in exchange for you resigning. Don't just give it up for nothing. Let me see if I can get you a better deal,'" said Steve Cron, a defense lawyer from Santa Monica, Calif.

Others suggested his lingering refusal to resign is more rooted in his ego than anything else. The governor has been known to love being in the spotlight, whether the attention is good or bad.

"You would think he would see his life collapsing around him," said Chicago defense lawyer John Beal, who was in the courtroom with Blagojevich this week and noted how carefree he seemed. "But he was the center of attention and seemed to love it."

The scandal continued to hound Reps. Jesse Jackson Jr. and Rahm Emanuel, Obama's choice for chief of staff. About a dozen protesters stood outside Jackson's office Saturday demanding his resignation, and Republicans called for more information from Obama about Emanuel's role in the Senate selection process.

The Chicago Tribune reported that Emanuel had conversations — captured on wiretaps — before the election with the Blagojevich administration about who would replace Obama in the Senate. The report did not suggest any dealmaking in the conversations, and Obama has strongly denied that anyone on his team committed wrongdoing.

Jackson was identified as one of the candidates Blagojevich was considering to replace Obama, and a criminal complaint said his supporters were willing to raise $1.5 million for the governor to make the appointment happen.

Blagojevich's political future remains in limbo. The Legislature could start impeachment proceedings as soon as Monday, and the Illinois Supreme Court could act on a request by Attorney General Lisa Madigan to strip him of his powers.

Madigan's staff has taken steps to rewrite lender-assurance language on a short-term borrowing plan, according to a spokeswoman for state Comptroller Dan Hynes. That would head off any problems the state has had in paying its bills over the Blagojevich scandal.

The governor has not made any public comments about his future. Spokesman Lucio Guerrero said the governor plans to sign a bill Monday that provides tax credits to filmmakers in Illinois.

Beal, the Chicago lawyer, said Blagojevich may be contemplating a deal with prosecutors or be in denial. Beal said he has seen many white-collar clients go through a defiant denial stage after they're charged with a crime.

"It often takes awhile to sink in on a gut level how much trouble they've gotten themselves into and what their options are," Beal said.

Chicago defense attorney and former assistant U.S. attorney Ron Safer said the prospect of trading a resignation in a plea deal with federal prosecutors may be far-fetched, but Blagojevich's nature seems to be a self-serving one in which he gains a personal advantage from every action he takes.

Safer sized up the prospect of a possible resignation and plea deal from his perspective as a former federal prosecutor: "If he came in and said, 'Look, I want to plead guilty. I want to cooperate. I want to accept responsibility. I'm going to resign my office,' all of those would indicate to me acceptance and would be relevant to me as a prosecutor."