
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SUNDAY, November 21, 1993                   TAG: 9311210072
SECTION: NATIONAL/INTERNATIONAL                    PAGE: A-7   EDITION: METRO 
SOURCE: The Washington Post
DATELINE: WASHINGTON                                LENGTH: Medium

PANEL CLEARS HATCH OF BCCI WRONGDOING

The Senate Ethics Committee said Saturday it had found "no credible evidence" that Sen. Orrin G. Hatch, R-Utah, violated any laws or Senate rules in his contacts with representatives of the defunct, fraud-ridden Bank of Credit and Commerce International.

Nor did it find "any reason to believe that the senator engaged in any improper conduct," the committee said in a statement concluding its probe into contacts between Hatch's office and BCCI, which was initiated by Hatch in August 1992.

Hatch issued a statement expressing gratification at the committee's action. Speaking for himself and his wife, Elaine, he said: "Without question, these have been the worst two years of our lives . . . I welcome this finding today as conclusive evidence of my innocence and proper conduct."

The committee said it had subpoenaed and reviewed documents of eight individuals and entities and taken 10 depositions, including one from Hatch. Hatch provided the committee with documents, the committee noted. It also said it reviewed information obtained by the Senate Foreign Relations subcommittee on terrorism, narcotics and international operations during its probe of BCCI.

Hatch requested the committee inquiry after published reports of contacts between his office and representatives of the Luxembourg-based bank that was shut down in 1991 amid massive charges of money-laundering and other fraudulent activities. BCCI illegally owned four U.S. banks, including First American, the largest bank holding company based in the District of Columbia.

Media reports cited a 1990 Senate speech in which Hatch defended BCCI after the bank was convicted of money laundering in Tampa. Government investigators later said the speech was written by Robert A. Altman, president of First American, and by a lawyer representing BCCI interests.

In response to media reports in 1991, Hatch acknowledged he tried unsuccessfully to help a friend, Houston real estate developer Monzer Hourani, secure a $10 million loan from BCCI by calling BCCI President Swaleh Naqvi in London to ask him to lend money to Hourani. Hourani had contributed money to Hatch's campaigns and was involved in a real estate deal with him. Hatch and Hourani have said BCCI never made the loan.

Hatch also acknowledged meeting several times with Mohammed M. Hammoud, a Beirut businessman whom Hatch has called a close friend. Hammoud has been described by prosecutors as affiliated with BCCI. Hatch has said he did not know of Hammoud's relationship to the bank.

A report by the subcommittee on terrorism cited meetings between former Hatch aide Michael Pillsbury and government officials and BCCI representatives, but it made no mention of Hatch.

by CNB