New Mexico Governor Bill Richardson announced Sunday that he will be withdrawing his nomination to be Commerce Secretary under President-elect Barack Obama due to a grand jury investigation regarding how some of his political donors received a profitable state contract.
The withdrawal was the first major disruption of Obama’s Cabinet selection process, and the second “pay to play” investigation associated with the President-elect.
A California company named CDR Financial Products, Inc. contributed to Richardson’s political activities and received a New Mexico transportation contract worth more than $1 million. In a statement released by the Obama transition office Richardson said that the investigation could take weeks or months, but expressed confidence that it will conclude that he and his administration acted properly.
