July 29, 1994 - Part 2
July 29, 1994 - Part 2
(11:34:02) OPENING STATEMENT OF SENATOR WILLIAM V. ROTH, JR. Senator ROTH. Mr. Chairman, there are two important points that Id like to make in my opening remarks. First, that these hearings are appropriate, and they are important. It is the responsibility of Congress to be concerned about the oversight of Government agencies. It is the responsibility of Congress to see that these agencies, including the Treasury Department and the Resolution Trust Corporation, are operating accord in public the laws passed by Congress and in the best interest of the lie, It is the responsibility of the Congress to see that they maintain high standards of ethics and that they avoid conflicts of interest. The second point is that we are here to determine whether our code of ethics and our laws are adequate to guide men and women in public office. I'd like to make it clear that our intent is not to judge criminal wrongdoing. That is not a function of these hearings. In addition, we had been restricted by the Majority to keep the scope of these bearings very narrow. Nevertheless, what we must concern ourselves with here is the question of ethics and the possibility of con . flicts of interest in Government agencies that we ereate Most, if not all, of the questions I will be asking are based on common sense. questions like if an investigation is being made of the personal conduct of the President, should an individual who is appointed by the President, an individual who is a personal friend, be resp onsible in any way in the investigation, or as a general rule should the remove himself from the investigation. (11:36:13) Questions like when a preliminary investigation is underway in volving his own personal contact, should the President be given information concerning that investig ation that the man on the street would not be given if be were in the same situation. I know the Administration states it is entitled to be provided with such sensitive nonpublic information so it can respond to 27 press inquiries. But is this reason enough to extend privileges to the President that the common man does Dot have? On this point, it is interesting to note that The New York Times today states while White House Counsel Lloyd Cutler said in a colloquy that giving the President information concerning the investigation was necessary for the Administration to respond to press queries, the fact is, according to the Times, and I quote, "The Administration's answers to media inquiries at the time were generally 'no comment."' Another more specific question is whether White House personnel violated the White House's own ethical guidelines in this case. For example, White House staffer George Stephanopoulos called Treasury Chief of Staff, Mr. Steiner, to complain about the hiring of Jay Stephens by the RTC for the Madison Guaranty civil case. In the words of Mr. Steiner's own diary which I quote: George suggested to me that we needed to rind a way to get rid of him. Now, this communication from Mr. Stephanopoulos came in spite of an official memorandum from Presidential Counsel Nussbaum on the prohibition of White House staff contacts with independent agencies, which was issued on February 22, 1993, a copy of which is displayed behind me. Mr. Nussbaum's memorandum states, and I quote: There is generally no justification for any White House involvement in particular adjudicative . . . proceedings at any agency. Therefore, as .9 general rule, no member of the staff should contact any agency in regard to any adjudicative matter pending before that agency. This is exactly what George Stephanopoulos appears to have done. Was not this a violation of the White House's own published ethical standards? As I say, we are not here to determine the criminal liability of any particular individual; that is the task of the Special Counsel and the courts if it comes to that. As far as I am concerned, we are here to get the facts. That is bow I shall proceed and I hope it is bow the Committee will proceed. Thank you, Mr. Chairman. The CHAiRmAN. Thank you, Senator Roth.