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Hillary's Slush-Fund Attack

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               THE CONSERVATIVE REVIEW   
                  December 14, 2007
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Hillary's Slush-Fund Attack
By Robert D. Novak
Townhall.com 

WASHINGTON - David Axelrod, the seasoned Chicago Democratic 
political operative who is chief strategist for Sen. Barack 
Obama's presidential campaign, was taken by surprise in the 
last minute of CBS's "Face the Nation" on Dec. 2. Howard 
Wolfson, Sen. Hillary Clinton's spokesman, accused Obama of 
running a "slush fund." In fact, the Clinton campaign was 
spreading that story privately months ago. 

Last summer, a senior Clinton aide told a famous Democratic 
personage believed favorable to Obama that the Illinois 
senator was using his "leadership" political-action 
committee to spread money around the country to grease 
his presidential prospects. That message was private when 
Clinton seemed far ahead for the Democratic nomination. It 
became public when Obama threatened to overtake her. 

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Before Wolfson spoke out, one of Clinton's close supporters 
was spreading the word of unspecified defects in Obama that 
should deter Democrats from supporting him for president. 
This is the Clinton style that has proved effective for 
two decades, but Obama has continued to close the gap. This 
attack mode works best when the accusations are hidden from 
public view. 

Last summer, a few Clinton insiders -- headed by her 
Senate chief of staff, Tamera Luzzatto -- paid a presumably 
social visit to the Cape Cod, Mass., vacation home of a 
prestigious Democrat reported to be in Obama's corner. 
Luzzatto warned that Obama was ethically challenged because 
of his leadership PAC. My sources indicated that this was 
not an isolated incident, and the slush-fund story was 
spread widely. 

In a later incident, a Democrat, not on Clinton's Senate or 
campaign staffs but close to her, a month ago approached a 
party activist who has not made a commitment with this 
message: Skeletons in Obama's closet would make him vulner-
able if nominated. He did not elaborate and said the 
Clinton campaign would keep its anti-Obama information to 
itself, remembering mutually destructive assaults between 
Howard Dean and Dick Gephardt in 2004 that enabled John 
Kerry's nomination. 

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The Clinton campaign denied all this, claiming a Republican 
plot. In truth, I have not talked to a single Republican in 
my reporting of attacks on Obama. In the wake of these 
denials, Wolfson made public his slush-fund accusation on 
"Face the Nation," shortly after polls showed Obama passing 
Clinton for Iowa's Jan. 3 caucuses: 

"There's a lot that voters don't know about Barack Obama," 
said Wolfson, "and one thing that they don't know we found 
this week, which is that he has been using and operating 
a so-called leadership PAC in apparent contravention of 
campaign-finance laws." Wolfson demanded that Axelrod say 
whether he would "shut down Sen. Obama's slush fund." With 
only 20 seconds left, Axelrod's answer sounded lame: "I 
think it is shut down, Howard. I don't know that there's 
any money left in it." 

With more time, Axelrod might have noted that Obama's PAC 
contributed to Clinton's 2006 New York re-election and in 
the current cycle to Jeanne Shaheen's Senate campaign in 
New Hampshire though her husband, Bill Shaheen, heads that 
state's Clinton campaign. The slush fund just did not 
measure up to claims of dark improprieties by Obama, and 
the Clinton campaign did not pursue the issue after volleys 
were exchanged between the candidates. 

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The attack strategy has not affected Obama, and Clinton's 
aura of inevitability fades. Not only has she fallen behind 
in Iowa's Jan. 3 caucuses, but polls show subsequent 
primaries in New Hampshire and South Carolina are too close 
to call. Howard Dean was in a much stronger position in 
post-Iowa primaries in 2004 than Clinton is today, when his 
third-place finish in Iowa was followed by his national 
collapse. 

The use of the phrase "slush fund" in American politics 
is hoary, dating back to a $5 million appropriation in 
1874 administered by the federal Treasury, according to 
"Safire's New Political Dictionary." In 1952, contributions 
to a slush fund for the use of vice presidential candidate 
Richard M. Nixon nearly forced him off the Republican 
ticket. When Hillary Clinton started slipping two weeks 
ago, her campaign responded by unlimbering the Obama slush 
fund. The fact that this bomb proved pretty much a dud 
raises doubt about the whispers of impropriety by this 
untried new candidate. 

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