Sue Hartigan <[EMAIL PROTECTED]> writes:


Grand Jury Hears First Lady Tapes
 
>           WASHINGTON (AP) -- As a grand jury in Arkansas watched
>           first lady Hillary Rodham Clinton's videotaped
>           testimony Wednesday, her lawyer confirmed she had
>           refused to answer two questions in the Whitewater
>           inquiry on grounds of marital privilege.
> 
>           Questions in Saturday's five-hour White House session
>           that Mrs. Clinton declined to respond to dealt with
>           ``conversations that plainly fell under the
>           long-standing common law privilege for marital
>           communications,'' attorney David Kendall said in a
>           statement.
> 
>           After the grand jury gathered at the federal courthouse
>           in Little Rock, Ark., Whitewater prosecutor Kenneth
>           Starr spent about 45 minutes in the area of the
>           building where the grand jury meets.
> 
>           Deputy Whitewater prosecutor W. Hickman Ewing Jr., who
>           conducted most of the questioning of Mrs. Clinton,
>           declined to comment as he entered the building carrying
>           two briefcases.
> 
>           Mrs. Clinton's invoking the marital privilege is the
>           latest instance of Whitewater prosecutors being unable
>           to get answers to questions in the investigation.
> 
>           Starr will speak on the issue of executive privilege in
>           a speech Friday to a convention of the Association of
>           Defense Trial Attorneys in San Antonio.
> 
>           The grand jury in Little Rock, which is focusing on the
>           actions of Mrs. Clinton and former law partner Webster
>           Hubbell, expires May 7. A grand jury in Washington also
>           is investigating Hubbell regarding possible tax
>           violations stemming from payments totaling more than
>           $700,000 in 1994 and 1995 after his resignation from
>           the Justice Department. Many of the payments were
>           arranged by friends of the president and first lady.
> 
>           President Clinton has invoked executive privilege to
>           protect the confidentiality of some conversations with
>           top aides in the investigation involving former White
>           House intern Monica Lewinsky.
> 
>           The Justice and Treasury departments argue that Starr
>           can be barred from questioning Secret Service officers
>           about Clinton's relationship with Ms. Lewinsky.
> 
>           The Whitewater probe ``is a great investigation for the
>           law of evidence,'' said New York University law
>           professor Stephen Gillers. ``We've got executive
>           privilege, attorney-client privilege, spousal
>           privilege, a brand-new Secret Service persons'
>           privilege, and all that's left'' that hasn't been
>           invoked ``are clergyman's privilege, physician-patient
>           privilege and the privilege against
>           self-incrimination.''
> 
>           Gillers said that if Mrs. Clinton had answered the
>           questions, that would have risked loss of the marital
>           privilege covering all other conversations with her
>           husband.
> 
>           Regarding conversations between Mrs. Clinton and her
>           husband, Starr was pressing into an area where he
>           should have expected to be rebuffed, said Bruce
>           Yannett, a white-collar criminal defense lawyer.
> 
>           ``It is pretty unusual for a prosecutor to ask a
>           married spouse about confidential conversations with
>           the other spouse and expect to get an answer,'' and ``I
>           don't think anyone should be particularly surprised or
>           offended'' by invoking the privilege, said Yannett, a
>           former federal prosecutor who was on the staff of
>           Iran-Contra prosecutor Lawrence Walsh.
> 
>           The videotaped questioning focused on Mrs. Clinton's
>           work while at the Rose Law Firm in Little Rock for the
>           failing savings and loan owned by the Clintons'
>           Whitewater partners, Jim and Susan McDougal.
> 
>           Kendall declined to specify the questions that prompted
>           refusals to answer based on marital privilege.
> 
>           Mrs. Clinton and her law firm terminated a retainer
>           agreement with McDougal's S&L on July 14, 1986, three
>           days after federal regulators removed McDougal from
>           control of the institution. But Mrs. Clinton has given
>           no indication she was aware of the serious action taken
>           days before by regulators. She said the retainer was
>           ended because the Rose Law Firm was doing more work for
>           federal regulators and wanted to phase out its work for
>           S&Ls.
> 
>           A document from July 14, 1986, however, indicates that
>           Clinton, who was governor at the time, was well aware
>           of McDougal's troubles. Staff aide Betsy Wright wrote
>           the governor a note asking whether he still had stock
>           in Whitewater in light of McDougal's ``current
>           problems.'' ``No -- Do not have any more,'' Clinton
>           scribbled back to Wright.

-- 
Two rules in life:

1.  Don't tell people everything you know.
2.

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