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Holder Stalls Prosecution of Obama-Ally Corzine

Jon Corzine, one of the Obama administration’s top financial advisers, continues to avoid prosecution relating to allegations that he bilked hundreds of millions of dollars from customer accounts to save his collapsing investment bank.

The lack of action has led critics to speculate that Obama’s Justice Department, led by embattled Attorney General Eric Holder, is protecting a close friend and ally. A Washington Times examination found that the ties go beyond the cabinet appointment Obama considered for the financial guru.

Some contend that the fact that Mr. Holder, Mr. Corzine and Associate Attorney General Tony West all previously served as fundraising "bundlers" for President Obama’s presidential campaign is enough to warrant Mr. Holder’s recusal and the appointment of a special prosecutor. Indeed, a letter signed by 65 members of Congress cites Mr. Corzine’s $500,000 in fundraising for Mr. Obama as one of the reasons a special counsel is needed. …

The Government Accountability Institute has discovered that prior to going bankrupt, MF Global was a client of Mr. Holder’s former law firm, Covington & Burling. It is unclear how long Covington & Burling represented MF Global. However, records reveal that MF Global owed Covington & Burling $114,275.55 "for services rendered prior to Oct. 31, 2011," the date MF Global filed for bankruptcy protection. …

The tangle of relationships between Mr. Holder, Mr. Freeh, Mr. West, Mr. Corzine, MF Global, Covington & Burling, and Morrison & Foerster create, at minimum, the appearance of potential conflicts of interest.

Congressional Republicans are calling for a special prosecutor to investigate the matter before the November election.