SIGHTINGS


 
Drudge Says Clintons Hit
With 'Theft Of Government
Property' Charges
10-11-98
 
 
**EXCLUSIVE DETAILS**

A congressional subcommittee has written a blistering report that will level new charges against the president and first lady, accusing them of taking part in the 'theft of government property.'
 
The DRUDGE REPORT has obtained the report, soon to be released on, where else, the Internet [ http://www.house.gov/reform/neg/reports/whodb/whodb.htm ] -- and the more than 500 pages of back up material outlining the committee's findings in the White House Database project.
 
The subcommittee's findings become the obsession of key players on The Hill over the weekend and was moving under the media radar in scandal-fatigued Washington.
 
"No one here wants another scandal," one lawmaker told the DRUDGE REPORT in Washington.
 
It was not known late Sunday if the Database findings will be incorporated into the House Judiciary Committee's impeachment investigation.
 
The story involves a White House computer database allegedly used as a political fundraising tool.
 
The report charges that "White House personnel took government data and transferred it to the Democratic National Committee to assist in campaign fundraising."
 
The database, which cost 1.7 million in tax dollars, included records of people who attended White House social events, meetings and other functions as well as the White House Christmas card list.
 
An investigative subcommittee of the House Government Reform and Oversight Committee has gathered hundreds of documents and conducted dozens of depositions that it says shows a trail of unlawful activity -- a trail that leads to the president and his wife!
 
"The pattern of evidence obtained by the committee implicates the president and theFirst Lady in the possible theft of government property," the report states in its opening summary.
 
Concluding its two year investigation into the White House Database, the subcommittee charges that "the president's involvement in the plan to convert government property to the DNC and the ultimate accomplishment of that plan motivated the White House to mount an extraordinary effort to delay and impede the investigation."
 
Deputy Counsel to the President Cheryl Mills [a Harold Ickes recruit] has been hit with a charge of "lying to the committee and obstructing the investigation by withholding documents."
 
The Mills matter has been referred to the Department of Justice for investigation.
 
The DRUDGE REPORT has obtained a confidential secret memo from the woman who was co-ordinating the computer project, Marsha Scott, the memo was given to the First Lady and White House big shots Bruce Lindsey and Harold Ickes.
 
The First Lady, in her own handwriting, notes on the memo outlining the computer database and sharing its information with the DNC: "This sounds promising, please advise."
 
Another Scott memo states: "This is the president's idea and it's a good one."
 
[The committee report states that Hillary Clinton "actually received a demonstration of the Database."]
 
It has been learned that White House staffer Scott walked out of a deposition exploring the matter.
 
One Scott memo sent to Hillary Clinton and Bruce Lindsey on January 26, 1994 -- marked "confidential" -- reveals that Scott was concerned about the loyalty of those who would work on the Database project.
 
Scott wrote:
 
"Another unanticipated obstacle has been the recent downsizing efforts throughout the EOP [Executive Office of the President] which resulted in the removal of... the young, computer enthusiasts who kept up with the cutting edge technologies. When they were let go we were left for the most part with an older, certainly less enthusiastic groups whose allegiance is, in my opinion, highly questionable."
 
A deputy White House lawyer had warned all involved in the project that data from the computer may be provided to sources outside of the federal government "only for authorized purposes."
 
David Watkins, then assistant to the president, said in an eyes only "privileged and confidential" memo: "The White House Database will be government property and can not be used by a campaign entity."
 
The report accuses the White House of sharing files from the database with the DNC and the Clinton/Gore reelection campaign -- even using White House staffers to transfer the information. The trail from White House to DNC is detailed in hundreds of pages of documents and testimony.
 
The report's summary concludes:
 
"The committee has obtained evidence that Deputy Counsel to the President Cheryl Mills perjured herself and obstructed the investigation to prevent Congress and the American public from finding out that the president and the First Lady were involved in the unlawful conversion of government property; the president and the first lady were involved in the unlawful conversion of governments property to the use of the DNC and the Clinton/Gore campaign; and numerous other individuals, including Erskine Bowles and Marsha Scott were also involved in the unlawful conversion of government property to the use of the DNC and the campaign through the diversion of data and resources."
 
The WASHINGTON POST has taken a pass on the report, it has been learned.





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