TOM DELAY INDICTED

DeLay indicted, will step aside as majority leader
Texas Republican, 2 associates charged with criminal conspiracy

Wednesday, September 28, 2005; Posted: 2:04 p.m. EDT (18:04 GMT)

WASHINGTON (AP) -- A Texas grand jury on Wednesday charged Rep. Tom DeLay and two political associates with conspiracy in a campaign finance scheme, forcing the House majority leader to temporarily relinquish his post.

DeLay, 58, was accused of a criminal conspiracy along with two associates, John Colyandro, former executive director of a Texas political action committee formed by DeLay, and Jim Ellis, who heads DeLay's national political committee.

"I have notified the speaker that I will temporarily step aside from my position as majority leader pursuant to rules of the House Republican Conference and the actions of the Travis County district attorney today," DeLay said. (Watch CNN initial reporting on indictment -- 3:38)

GOP congressional officials said Speaker Dennis Hastert, R-Ill., will recommend that Rep. David Dreier of California step into those duties. Some of the duties may go to the GOP whip, Rep. Roy Blunt of Missouri. The Republican rank and file may meet as early as Wednesday night to act on Hastert's recommendation.

Criminal conspiracy is a state felony punishable by six months to two years in a state jail and a fine of up to $10,000. The potential two-year sentence forces DeLay to step down under House Republican rules. (Watch CNN's Jeffrey Toobin's explanation of charge -- 2:59)

White House press secretary Scott McClellan said the president still considers DeLay a friend and effective leader in Congress.

"Congressman DeLay is a good ally, a leader who we have worked closely with to get things done for the American people," McClellan said. "I think the president's view is that we need to let the legal process work."

The indictment accused DeLay of a conspiracy to "knowingly make a political contribution" in violation of Texas law outlawing corporate contributions. It alleged that DeLay's Texans for a Republican Majority political action committee accepted $155,000 from companies, including Sears Roebuck, and placed the money in an account.

The PAC then wrote a $190,000 check to an arm of the Republican National Committee and provided the committee a document with the names of Texas State House candidates and the amounts they were supposed to receive in donations.

The indictment included a copy of the check.

"The defendants entered into an agreement with each other or with TRMPAC (Texans for a Republican Majority Political Action Committee) to make a political contribution in violation of the Texas election code," says the four-page indictment. "The contribution was made directly to the Republican National Committee within 60 days of a general election."

The indictment against the second-ranking, and most assertive Republican leader came on the final day of the grand jury's term. It followed earlier indictments of a state political action committee founded by DeLay and three of his political associates.

Kevin Madden, DeLay's spokesman, dismissed the charge as politically motivated.

"This indictment is nothing more than prosecutorial retribution by a partisan Democrat," Madden said, citing prosecutor Ronnie Earle, a Democrat.

Madden later added: "They could not get Tom DeLay at the polls. They could not get Mr. DeLay on the House floor. Now they're trying to get him into the courtroom. This is not going to detract from the Republican agenda."

The grand jury action is expected to have immediate consequences in the House, where DeLay is largely responsible for winning passage of the Republican legislative program. House Republican Party rules require leaders who are indicted to temporarily step aside from their leadership posts.

However, DeLay retains his seat representing Texas' 22nd congressional district, suburbs southwest of Houston. He denies that he committed any crime.

Democrats have kept up a crescendo of criticism of DeLay's ethics, citing three times last year that the House ethics committee admonished DeLay for his conduct.

"The criminal indictment of Majority Leader Tom Delay is the latest example that Republicans in Congress are plagued by a culture of corruption at the expense of the American people," said House Minority Leader Nancy Pelosi, D-California.

As a sign of loyalty to DeLay after the grand jury returned indictments against three of his associates, House Republicans last November repealed a rule requiring any of their leaders to step aside if indicted. The rule was reinstituted in January after lawmakers returned to Washington from the holidays fearing the repeal might create a backlash from voters.

DeLay, 58, also is the center of an ethics swirl in Washington. The 11-term congressman was admonished last year by the House ethics committee on three separate issues and is the center of a political storm this year over lobbyists paying his and other lawmakers' tabs for expensive travel abroad.

Wednesday's indictment stems from a plan DeLay helped set in motion in 2001 to help Republicans win control of the Texas House in the 2002 elections for the first time since Reconstruction.

A state political action committee he created, Texans for a Republican Majority, was indicted earlier this month on charges of accepting corporate contributions for use in state legislative races. Texas law prohibits corporate money from being used to advocate the election or defeat of candidates; it is allowed only for administrative expenses.

With GOP control of the Texas legislature, DeLay then engineered a redistricting plan that enabled the GOP take six Texas seats in the U.S. House away from Democrats -- including one lawmaker switching parties -- in 2004 and build its majority in Congress.