What the transition knewThe transition hasn't yet responded to questions about Rod Blagojevich's indictment, but the key question is whether the transition was talking to prosecutors, whether Obama and Valerie Jarrett knew that Blagojevich had offered her the Senate seat in exchange for a labor job, and how she, the transition, or SEIU handled the solicitation of a bribe. (The existence of a transcript suggests that the SEIU official -- Andy Stern, the president, had met with Blagojevich just before the election on the subject, though nobody is identified in the complaint -- was wearing a wire.)
One piece of speculation: Jarrett's abrupt withdrawal from consideration for the Senate seat suggests Obama's circle aware of the investigation.
It is clear from the complaint that Obama refused to offer Blagojevich anything for appointing Jarrett."ROD BLAGOJEVICH said he knows that the President-elect wants Senate Candidate 1 for the Senate seat but 'they’re not willing to give me anything except appreciation. F*** them,'" says the complaint.
Here's the other relevant section of the complaint:
On November 12, 2008, ROD BLAGOJEVICH spoke with SEIU Official, who was in Washington, D.C. Prior intercepted phone conversations indicate that approximately a week before this call, ROD BLAGOJEVICH met with SEIU Official to discuss the vacant Senate seat, and ROD BLAGOJEVICH understood that SEIU Official was an emissary to discuss Senate Candidate 1’s interest in the Senate seat.
During the conversation with SEIU Official on November 12, 2008, ROD BLAGOJEVICH informed SEIU Official that he had heard the President-elect wanted persons other than Senate Candidate 1 to be considered for the Senate seat. SEIU Official stated that he would find out if Senate Candidate 1 wanted
SEIU Official to keep pushing her for Senator with ROD BLAGOJEVICH. ROD BLAGOJEVICH said that “one thing I’d be interested in” is a 501(c)(4) organization. ROD BLAGOJEVICH explained the 501(c)(4) idea to SEIU Official and said that the 501(c)(4) could help “our new Senator
.” SEIU Official agreed to “put that flag up and see where it goes.”
On November 12, 2008, ROD BLAGOJEVICH talked with Advisor B. ROD BLAGOJEVICH told Advisor B that he told SEIU Official, “I said go back to , and, and say hey, look, if you still want to be a Senator don’t rule this out and then broach the idea of this 501(c)(4) with her.”
http://www.politico.com/blogs/bensmith/1208/What_the_transition_knew.html?showall