Lake Campaigns For CIA Post -- Feb. 7, 1997
Lake's Confirmation Hearing Postponed -- Jan. 31, 1997
Justice Clears Lake on Iran, Fines Him On Stocks
By Terry Frieden/CNN
WASHINGTON (Feb. 7) -- The Justice Department disclosed today that CIA director-nominee Anthony Lake has agreed to pay $5,000 as a civil settlement over his stock dealings. The department also concluded Lake broke no laws in the Iranian arms-to-Bosnia policy.
Republicans have suggested that Lake was the primary mover in the Clinton Administration's controversial decision not to oppose clandestine shipments of arms by Iran to Bosnia in 1995. Some suggested Lake may have misled Congress on the matter as well.
In a letter to House Judiciary Committee Chairman Henry Hyde (R-Ill.), Acting Assistant Attorney General of the Criminal Division Mark Richard cleared Lake of claims he lied about knowledge of Iranian arms shipments to Bosnia.
"We have found no evidence of potential criminal violations by Mr. Lake arising out of his role in the arms issue or as a result of the various statements about the matter that he has made to congressional committees," Richard said. "Accordingly, the Department is formally declining prosecution of Mr. Lake based on the allegations in your letter."
The $5,000 civil settlement stems from allegations that Lake ignored warnings that his oil and energy holdings were in conflict with his job as President Bill Clinton's national security advisor.
The settlement says Lake will pay the government a $5,000 lump sum within 10 days. The settlement indicates there was no intentional wrongdoing. It also says, "There is no evidence Mr. Lake ever took any action to conceal or misrepresent his or his wife's financial holdings."
Lake's confirmation hearings before the Senate Intelligence Committee is scheduled for Feb. 25. While congressional Republicans have expressed doubts about Lake's suitability, the White House has been firm in its support of him. It was not immediately clear how Justice's action would affect Lake's confirmation.
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