Obama Suffers Major Blow Before Inauguration

President elect Barack Obama has suffered a major blow to his Cabinet plans today. Commerce Secretary-designate Governor Bill Richardson has withdrawn from consideration to be elected, citing "an investigation of a company's business dealings with the state government," he leads.

In a statement released this afternoon, the New Mexico governor said, he had withdrawn because the investigation would have "forced an untenable delay in the confirmation process. A pending investigation of a company that has done business with New Mexico state government promises to extend for several weeks or, perhaps, even months," Richardson said. He did not identify the subject of the investigation.

In Albuquerque a federal grand jury has investigated how Beverly Hills, California based CDR Financial Products, had won state contracts that generated about $1.5 million for itself, this was after donating $100,000 to certain political organizations associated with Governor Richardson.

According to an Associated Press review of campaign finance records, CDR and David Rubin the CEO, have given at least $110,000 to three political committees formed by Richardson. One donation that had been contributed was $75,000 This was made by CDR in June 2004. This was only two months after the transportation financing arrangement, had won state approval to a political committee that Governor Richardson had established just before the Democratic National Convention in the same year.

A national investigation into "pay to play" an act in which financial companies make political donations to office holders in order to be considered for government business within the municipal bond market.

In a statement today Governor Richardson said he had. "Acted properly in all matters and that this investigation will bear out that fact."

He also remarked that he will remain as governor, and that he had told Barack Obama, "I am eager to serve in the future in any way he deems useful."

Obama returned a statement, saying that he had accepted Richardson's withdrawal, and was quoted as saying it was, "with deep regret. It is a measure of his willingness to put the nation first that he has removed himself as a candidate for the Cabinet in order to avoid any delay in filling this important economic post at this critical time."

A statement by a senior Obama adviser said, "Richardson gave assurances before he was nominated last month that he would come out fine in the investigation and the president-elect had no reason to doubt it. But as the grand jury continued to pursue the case, it became clear that confirmation hearings would have to be delayed for six weeks or even longer until the investigation was complete."

President Elect Obama is traveling to Washington today. Beginning pre-inaugural talks with legislative leaders.

My Opinion:

President Obama is sure to have many tests of his strength and character during his term in office. One thing for sure there seems to be a wind of change looming.

In the run up to his tenure in the hot seat, there has to be all the security and proper investigations when dealing with his potential new cabinet. Things might as well be looked at now, like the possibility of any liabilities because of scandal an corruption.

If anything is to be taken from the events around Bill Richardson, then we can see that things in the office seem to be going the right way. It would have only dented the reputation of the new President if Governor Nicholson had come out later as having done something wrong. That is not to say he has!

When it comes to any financial wranglings going on in office, it would be the last thing President Obama needs. As he will be already trying to help with bolstering our economy. Trying to explain away any waste or financial wrong doings in the current climate, could potentially light a major forest fire in the White House.

Personally I think this shows that Governor Richardson has acted responsibly. He may not have done anything wrong, but he had to consider the effect of an investigation before Barack Obama is inaugurated. I think that to step out of the running for a very well paid job takes guts and candor. At least he may find his place at a later date, and maybe if all things go well, the recent step down may show Bill Richardson, is a man that is trustworthy to have a position in the newly formed cabinet.

Only time will now tell, lets just hope that President Barack Obama, is the man of his word that he seems to be. There is a need for change in America and the world. Can Barack Obama be the signal of that change? Lets hope.

Whatever your opinion about our new President, I'm pretty sure it is settled and acknowledged by most citizens of the U.S. there was and is the need for change. It has been stated by Obama on a few occasions, that the changes in economy and his other reforms will take time. We all prey that it will not take to long, but I foresee at least two years before we see any major changes take effect.

Sources: Times Online, Associated Press, My own opinions.