by Katie Fretland

Law enforcement officers believe an inmate at a Colorado jail is responsible for sending a threatening letter with an unidentified white powder to a McCain campaign office near Denver.

The letter arrived Thursday to the office of the GOP candidate for president in the south Denver suburb of Centennial. The substance was not hazardous and no one was injured, authorities said.

Investigators were looking at a second letter that was sent to a McCain campaign office in New Hampshire. That letter did not contain the substance.

Arapahoe County Sheriff Grayson Robinson said the nearly 20 people who were taken to hospitals or quarantined were later released. The return address of the letter sent to the Colorado office contained the name of jail inmate, who investigators said has a history of sending threatening mail.

The Associated Press contributed to this report.

by Frank James

Hours ago, Bill Gwatney, chairman of the Democratic Party of Arkansas, was shot several times by a man who pushed his way past staffers into Gwatney's Little Rock office. Now comes word via a joint statement from former President Bill Clinton and Sen. Hillary Clinton that Gwatney has died.

Hillary Clinton and President Bill Clinton issued the following joint statement today:

"We are deeply saddened by the news that Bill Gwatney has passed away. His leadership and commitment to Arkansas and this country have always inspired us and those who had the opportunity to know him. Our prayers are with his family during this time."

What the motive was is unknown, at least publicly. Law-enforcement officials chased the shooter and eventually caught up to him. The shooter died after being shot by police, according to reports.

Here's what the Associated Press reported before it was learned that Gwatney had died from his wound.

By ANDREW DeMILLO, Associated Press Writer

"He said he was interested in volunteering, but that was obviously a lie," Higginbotham said. He said the man pushed his way past an employee to reach Chairman Bill Gwatney's office.

(Crime scene: AP Photo/Arkansas Democrat-Gazette, Steve Keesee. Gwatney photo: AP Photo/Danny Johnston, File)

by Nick Madigan

Undercover Maryland State Police officers repeatedly spied on peace activists and anti-death penalty groups in recent years and entered the names of some in a law-enforcement database of people thought to be terrorists or drug traffickers, newly released documents show.

The files, made public yesterday by the American Civil Liberties Union of Maryland, depict a pattern of infiltration of the activists' organizations in 2005 and 2006. The activists contend that the authorities were trying to determine whether they posed a security threat to the United States. But none of the 43 pages of summaries and computer logs - some with agents' names and whole paragraphs blacked out - mention criminal or even potentially criminal acts, the legal standard for initiating such surveillance.

State police officials said they did not curtail the protesters' freedoms.The spying, detailed in logs of at least 288 hours of surveillance over a 14-month period, recalls similar infiltration by FBI agents of civil rights and anti-war groups decades ago, particularly under the administration of President Richard M. Nixon.

David Rocah, a staff attorney for the ACLU in Baltimore, said at a news conference yesterday that he found it "stupefying" that more than 30 years later, the government is still targeting people who do nothing more than express dissent.

Nick Madigan writes for the Baltimore Sun. Read the full story and related documents at BaltimoreSun.com.

by Katie Fretland

Recently unsealed court documents show that federal prosecutors considered presenting more evidence about campaign contributions to Barack Obama at the trial of Antoin "Tony Rezko," but decided against it.

Rezko, a longtime contributor to Obama's previous campaigns and top adviser and fundraiser to Illinois Gov. Rod Blagojevich, was convicted earlier this month on a list of corruption charges (wire and mail fraud, money laundering and aiding and abetting bribery).

Obama was not accused of any wrongdoing. The Democratic candidate for president has returned an estimated $250,000 in donations related to Rezko, who he considered a friend. Following Rezko's guilty verdict on multiple counts, Obama said he was saddened and that this was not the person he knew.

Several unsealed documents mention campaign contributions that were not brought up at trial. One document says Rezko asked employee, Elie Maloof, to contribute $10,000 to Obama and Rezko would reimburse him. Maloof understood that Rezko had already donated the maximum amount he could, prosecutors said.

Prosecutors also planned to present evidence that another employee, Joseph Aramanda, made a contribution to Obama, but did not have direct evidence that the contribution was made on behalf of Rezko.

Prosecutors also planned to call witnesses to testify that Rezko "has been a long-standing supporter and fundraiser for Barack Obama, including during Obama's 2004 campaign for the U.S. Senate," according to the documents.

To read more about the Rezko trial, see this article in the Chicago Tribune.

The Associated Press contributed to this report.

by Katie Fretland

In downtown Orlando, 24 cars were vandalized yesterday and the culprits left behind note cards with messages that supported Hillary Clinton and insulted Barack Obama and John McCain.

Our friends at the Orlando Sentinel report that three of the cars had political messages painted on them. One read "Obama smokes crack," according to photographs from the scene.

Note cards at the scene, signed by "CR," contained a variety of messages, including, "How about them Gators," "Legalize marijuana/stop building prisons," and "Ladies I'm single, some girl step up."

Orlando police Sgt. Barb Jones said police were investigating the vandalism, which occurred sometime before 4:30 p.m. yesterday at a public parking lot off of downtown Orange Ave.

Read more about the vandalism in the Orlando Sentinel.

by Katie Fretland

Federal prosecutors filed criminal charges in about 55 percent of cases for which the FBI recommended action last year, according to the Transactional Records Access Clearinghouse at Syracuse University.

The highest percentage of prosecutions was found in South Florida in the Miami area at 77 percent. The lowest percentage was found in Maine at 18 percent.

The research organization analyzed records from the Justice Department to find a broad variation in the percentage of actual filings on FBI referrals from district to district.

Above average prosecution rates were found in some highly populated districts such as South New York in the New York City area (71 percent) and Northern Illinois in the Chicago area (57 percent). But in the Northern California district that includes San Francisco, the prosecution rate for FBI referrals was 40 percent.

For more information on this report and other FBI statistics, visit TRAC.

Ralph Cioffi, left, and Matthew Tannin are escorted to federal court in the Brooklyn borough of New York, U.S., on Thursday, June 19, 2008. Photographer: Daniel Acker/Bloomberg News.

by Frank James

The federal government's regulators may not have done as much as they could have to stop the mortgage crisis from happening in the first place but federal cops are evidently doing what they can to clean up the mess that's left, at least the part of it that has to do with alleged illegality.

In New York, federal prosecutors announced the arrests and indictment of two former Bear Stearns hedge-fund managers, Ralph Cioffi and Matthew Tannin, who were charged with securities fraud for allegedly hiding their concerns about their fund's investments in subprime mortgage from investors.

Meanwhile, in Washington, the Justice Department and Federal Bureau of Investigation announced the arrests of more than 400 people since March suspected of mortgage fraud.

Justice officials acknowledged they had packaged a lot of on-going cases to make a bigger splash, to add to the "deterrent factor."

Here's a snippet of what FBI Director Robert Mueller said:

And part of the reason they're bringing it together is the deterrent factor, to make persons understand, wherever they are around the country, whichever of these schemes that they become participants in, that we will get reports, generally through suspicious activity reports; we will follow up; we will investigate; and we will prosecute; and justice will be done.

Criminal immigration prosecutions since 2001 (Compiled by TRAC)

by Katie Fretland

Federal authorities are prosecuting immigration cases at an unusually high rate, data from an independent research organization at Syracuse University shows. In March, there were 9,350 prosecutions - an all-time high.

There were 50 percent more prosecutions in March than in February and 73 percent more in March than in 2007.

The research organization, Transactional Records Access Clearinghouse, or TRAC, analyzes prosecution statistics from the Justice Department each month.

The group attributes the spurt in prosecutions to "Operation Streamline," a crackdown on illegal immigration, which began as a trial project in December 2005 in Del Rio, Texas. The program has expanded and changed what happens to people caught crossing illegally into the United States through the Mexican border. Instead of fingerprinting those who are caught and sending them back across the border, they face prosecution, jail time and deportation.

Nearly all people referred to the U.S. Attorney's Office for immigration-related offenses are being prosecuted, TRAC reports.

To read more of the report, click here.

For more information on Operation Streamline, see this from LLoyd Easterling, a Border Patrol assistant chief for security operations:

by Andrew Zajac

Finally a bit of good news for a beleaguered Bush Administration beset by an unpopular war, record gas prices and a sputtering economy. Violent crime is down.

We don't even have to crack the file on the FBI's preliminary annual report on the subject.

The Justice Department was quick to issue a comment this morning pointing out the drop before the Swamp could click through the G-men's report. Give DOJ credit, though, they weren't chasing the spotlight, just making an even-handed observation and acknowledging that the drop is not evenly spread:

"The latest numbers from the FBI are very encouraging, though still preliminary and could change when the final numbers are released later this year," said spokesman Peter Carr.

"The report suggests that violent crime is decreasing and remains near historic low levels, which is a credit to increased cooperation among federal, state and local law enforcement. Some communities, however, continue to face localized violent crime challenges. While these challenges may be unique to each community, the Department is committed to providing targeted assistance wherever needed."

Here's AP's early take on the report.

by Frank James

There's certainly some irony in the conviction of Antoin "Tony" Rezko, Sen. Barack Obama's former ally and campaign contributor, one day after Obama made history by becoming the first African-American to clinch a major political party's presidential nomination.

Rezko, a Chicago businessman and wheeler-dealer, saw Obama's gifts early, even before the Democratic presidential nominee officially entered politics. As he faces years in prison on his conviction on corruption charges, Rezko at least has the satisfaction of knowing that he's a keen judge of political talent.

For Obama, Rezko's conviction means the all-but-official Democratic presidential nominee can expect to face dark Republican ads, likely featuring a narrator whose voice conjures up something sinister, that refer to the senator from Illinois's one-time relationship with the convicted businessman.

Expect to see, for instance, ads with Obama South Side Chicago house and that infamous side yard he purchased from Rezko's wife. Indeed, the GOP just put this new site up.

It will all be part of an effort to dull Obama's sheen of novelty and portray him as a regular Cook County Democratic politician, as someone with the requisite dirty laundry that comes with that territory.

If there are any saving graces for Obama, they would be that the trial didn't reveal much more about his relationship with Rezko than we already knew.

Also, the conviction probably surprised no one. The evidence against Rezko was fairly strong.

Here's a link to the Chicago Tribune story by Bob Secter and Jeff Coen.

by Mark Silva

A mug-shot and a set of finger-prints won't be enough at the booking desk anymore.

The government is demanding DNA as well.

"The attorney general is directing all agencies of the United States that arrest or detain individuals or supervise individuals facing charges to collect DNA samples from
individuals who are arrested, facing charges, or convicted, and from non-United States persons who are detained under the authority of the United States...''

So goes the notice in the Federal Register.

It stems from the requirements of the DNA Fingerprint Act of 2005 and the Adam Walsh Child Protection and Safety Act of 2006.

Agencies that collect DNA will have to submit it to the FBI.

Now, DNA has served to absolve some people - including Death Row convicts - of the crimes they were accused of committing.

But this is an intriguing new data base for the government to control.

And, so long as you don't get arrested, the government won't have your DNA.

by Mark Silva

JERUSALEM - The corruption investigation that threatens the government of Israeli Prime Minister Ehud Olmert has reached out to interrogate some significant American political donors - denying any role in bribery of the prime minister.

S. Daniel Abraham, a billionaire philanthropist in Palm Beach who made his fortune as founder of Slim-Fast, has been questioned by Israeli police as part of their probe of Olmert's suspected acceptance of thousands of dollars in illegal donations from the United States during his tenure as mayor of Jerusalem.

Abraham, a significant Democratic donor on the American political front and friend of Olmert, flatly denies any payoffs to the prime minister.

"Of course I never gave any money to Ehud Olmert. The very question is insulting to me," Abraham told Israel Army Radio. "This is my reputation at stake and I have no reason to risk it."

Abraham, a strong supporter of Israel who was here during the nation's 60th anniversary celebrations, said he believes Olmert is honest and "one of the best prime ministers we have ever had."

Abraham, who donated $50,000 to the Democrats in "soft money'' during the 2000 election cycle, was an early donor to Hillary Clinton's presidential camapign. He gave Clinton the maximum allowable for the primary campaign, $2,300, and $1,900 for the longer-term campaign, federal elections records show.

by Tamara Lytle

WASHINGTON - Puerto Rico Gov. Anibal Acevedo Vila and 12 others were indicted in a case related to his political campaign fund-raising, the U.S. Justice Department announced this morning.

Charges for the 13 defendants include conspiracy, false statements, wire fraud, federal program fraud and tax crimes.

"Our democratic system cannot function when public officials act as though they are above the law. Public officials must comply with the law and those who do not comply will be held accountable," said Luis Fraticelli, special agent in charge of the FBI’s San Juan Field Office.
The case involves Acevedo Vila's successful 2004 gubernatorial campaign and 2000 and 2002 campaigns for resident commissioner, which is Puerto Rico's representative in the U.S. Congress.

The indictment unsealed today, which was returned by a grand jury in San Juan Monday, paints a picture of illegal campaign donations that were then covered up.

A group of Philadelphia businessmen, for instance, allegedly solicited donations for the governor from family and staff and then illegally repaid those donors. Acevedo Vila then helped those businessmen win contracts for Puerto Rico's government, the indictment says.

(Photo from official Puerto Rico website)