XXXXX DRUDGE REPORT XXXXX JULY 6 2000 22:00:21 ET XXXXX

PLEA BARGAIN IN WORKS WITH RIADY, SAY GOVT OFFICIALS

According to publishing sources, government officials are telling
the NEW YORK TIMES in Thursday editions that negotiations for a
plea bargain have heated up between Clinton friend and fundraiser
James Riady and the *Justice Dept* .
                    ^^^^^^^^^^^^^^

TIMES scribe David Johnston reports the officials say that chief
political-finance prosecutor Robert Conrad is under increasing
pressure to reach a deal.

"It was not clear whether Conrad has insisted that Riady plead
guilty to a felony or whether he might accept a lesser charge and
settle the case without a trial. But, the officials said, Riady
is unlikely to accept any deal unless it includes a provision
that would spare him a prison sentence."

Riady is being investigated for illegally coordinating political
contributions to the Democratic Party from employees of the
Indonesia-based Lippo Group. Riady and his wife also contributed
hundreds of thousands of dollars.

Riady also helped out Clinton friends in need like Webster
Hubbell, who received a $100,000 consulting fee after leaving the
Justice Dept. in a cloud of scandal.

Developing...

X X X X X


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