[A-List] US state: no whitewash at the White House?

["Michael Keaney" <michael.keaney@xxxxxx>]

Kissinger will be required to list clients
By Edward Alden in Washington
Financial Times: December 5 2002

Henry Kissinger, former secretary of state, and other members of an inquiry
commission into the September 11 attacks will be required to disclose
publicly their consulting clients, according to a legal opinion from the
Congressional Research Service, the research arm of Congress.

The opinion, presented on Wednesday night to the Senate Governmental Affairs
Committee headed by Senator Joseph Lieberman, says that government ethics
rules would require Mr Kissinger to disclose any client who, over the past
two years, had paid him more than $5,000 for consulting work.

The White House decision last week to appoint Mr Kissinger to chair the
10-man inquiry has touched off fears among the families of the September 11
victims - which were instrumental in pushing the White House to agree to the
commission - that his close ties to foreign and domestic corporate clients
may hinder his willingness to lead an aggressive investigation. The 18-month
inquiry is supposed to examine broadly why the US government was unable to
prevent the attacks.

Mr Kissinger's company, Kissinger Associates, is one of Washington's most
powerful lobbying firms, trading on Mr Kissinger's reputation and access to
the top people in government. The firm has long refused to reveal its
clients, who are thought to be mostly large domestic and foreign companies.

The White House has said the job as inquiry chairman would be a part-time
post, which would therefore not require Mr Kissinger to disclose publicly
his clients or suspend his consulting work.

But the CRS opinion, which was requested by Democratic staff of the
committee who worked on the legislation establishing the commission,
interprets that exception very narrowly. It says that any commissioner who
works more than 60 days a year on the inquiry would be required to make a
full financial disclosure of all assets, income and liabilities, as well as
listing their clients over the past two years. The disclosures would then be
made public.

In addition, the CRS opinion says that the US constitution prohibits any
commissioner from receiving payments from a foreign government, including
state-owned companies, while serving on the commission.

Stephen Push, who heads the group Families of September 11, told the FT that
the families would also push for full, public disclosure in a meeting with
Mr Kissinger next week. "If the law says he needs to disclose publicly,
that's the standard we're going to hold him to."

Mr Kissinger was travelling on Wednesday and could not be reached for
comment. He told CNN at the weekend that he would not publicly disclose his
clients but would discuss those clients fully with the White House counsel
and appropriate ethics groups. He also said he had no Saudi clients and did
not represent any Middle East governments. He called "outrageous" any
suggestions that his commercial interests would compromise his independence.

The tussle over Mr Kissinger's client base is the latest spat between the
families and the White House, which had long resisted forming a commission
to investigate why the US failed to head off the September 11 attacks.