Indictment: Illinois Governor Blagojevich shook down the Chicago Tribune
December 9, 2008
BY SUN-TIMES STAFF
Among the federal charges against Gov. Blagojevich is that he threatened to withhold substantial state assistance to the Tribune Company in connection with the sale of Wrigley Field to pressure the Chicago Tribune into firing editorial board members sharply critical of him.
Intercepted phone calls show that the Tribune Company, which owns the Chicago Tribune and the Chicago Cubs, explored the possibility of obtaining assistance from the Illinois Finance Authority as part of the Tribune Company’s efforts to sell the Cubs and the finance or sell Wrigley Field.
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In a Nov. 6 phone call, Blagojevich chief of staff John Harris explained to Blagojevich that the deal the Tribune Company was trying to get through the IFA was basically a tax mitigation scheme in which the IFA would own title to Wrigley Field and the Tribune would not have to pay capital gains tax, which Harris estimated would save the company approximately $100 million.
Intercepted calls allegedly show that Blagojevich directed Harris to inform the Tribune and an associate, identified as Tribune Financial Advisor, that state financial assistance would be withheld unless members of the Chicago Tribune's editorial board were fired, primarily because Blagojevich viewed them as driving discussion of his possible impeachment.
In a Nov. 4 phone call, Blagojevich allegedly told Harris that he should say to Tribune Financial Advisor, the Cubs chairman and the Tribune owner, "our recommendation is fire all those [expletive] people, get 'em the [expletive] out of there and get us some editorial support."
On Nov. 6, the day of a Tribune editorial critical of Blagojevich , Harris told Blagojevich that he told Tribune Financial Advisor the previous day that things "look like they could move ahead fine but, you know, there is a risk that all of this is going to get derailed by your own editorial page."
Harris also told Blagojevich that he was meeting with Tribune Financial Advisor on Nov. 10.
In a Nov. 11 intercepted call, Harris allegedly told Blagojevich that Tribune Financial Advisor talked to Tribune Owner and Tribune Owner "got the message and is very sensitive to the issue."
Harris told Blagojevich that according to Tribune Financial Advisor, there would be "certain corporate reorganizations and budget cuts coming and, reading between the lines, he's going after that section."
Blagojevich allegedly responded: "Oh. That's fantastic."
After further discussion, Blagojevich said, "Wow. Okay, keep our fingers crossed. You're the man. Good job, John."
In a further conversation on Nov. 21, Harris told Blagojevich that he had singled out to Tribune Financial Advisor the Tribune's deputy editorial page editor, John McCormick, "as somebody who was the most biased and unfair," according to the complaint.
After hearing that Tribune Financial Advisor had assured Harris that the Tribune would be making changes affecting the editorial board, Blagojevich allegedly had a series of conversations with Chicago Cubs representatives regarding efforts to provide state financing for Wrigley Field.
On Nov. 30, Blagojevich spoke with the president of a Chicago-area sports consulting firm, who indicated that he was working with the Cubs on matters involving Wrigley Field. Blagojevich and Sports Consultant discussed the importance of getting the IFA transaction approved at the agency's December or January meeting because Blagojevich was contemplating leaving office in early January and his IFA appointees would still be in place to approve the deal, the charges allege.
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