ROANOKE TIMES

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

DATE: TUESDAY, May 31, 1994                   TAG: 9405310065
SECTION: NATIONAL/INTERNATIONAL                    PAGE: A1   EDITION: METRO 
SOURCE: Associated Press
DATELINE: WASHINGTON                                LENGTH: Medium


HOUSE LEADER DEFIANT

Rep. Dan Rostenkowski, chairman of the House Ways and Means Committee, defiantly rejected any deals with prosecutors Monday and declared he would fight an expected corruption indictment. "I did not commit any crimes," the 18-term lawmaker said.

In his first public statement on the expected criminal charges, Rostenkowski said he would temporarily step aside as chairman of the powerful tax-writing committee if indicted. The skilled congressional negotiator, in nixing a deal with prosecutors, gambled he could win in court and regain his influential committee post.

He vowed to continue serving in Congress and to run for a 19th term in November.

"I am confident that I will be vindicated and I look forward to the return of the gavel," Rostenkowski said in a written statement.

In a message for prosecutors as well as the public, the 66-year-old Illinois Democrat said, "I will not make any deals with them. I did not commit any crimes. My conscience is clear and my 42-year record as an elected official is one I am proud to once again run on."

The U.S. attorney's office has offered Rostenkowski a chance to plead guilty to a felony and serve less than a year in prison, while resigning from Congress, legal sources have said.

The prosecutors have given Rostenkowski until today to make a decision, and Monday's statement left no doubt that the lawmaker would be willing to risk a lengthy and costly trial. The indictment could be handed down today by a federal grand jury.

Rostenkowski will be indicted on charges that he defrauded taxpayers of hundreds of thousands of dollars, according to the sources, who spoke on condition of anonymity.

The charges, the sources said, include hiring employees who did no work, obtaining cash improperly from the House Post Office, making personal use of government-leased vehicles and buying furniture and other gifts from his official office account. Rostenkowski has reimbursed the Treasury about $82,000 for the gift and furniture purchases.

Rostenkowski said he "will fight to regain my reputation in court," a choice he called "a far more attractive option than pleading guilty to crimes that I did not commit."

The lawmaker said he would present "a compelling case to the jury" and expressed "great faith in the jury system."

The chairman said he faced "a difficult fight" because "the government has vast resources at its disposal."

"But truth is on my side," he added.

Rostenkowski said his committee colleagues "can handle today's challenging agenda," which includes President Clinton's health reform bill, "egardless of who is in the chair and I expect to help."

House Democratic Caucus rules require a chairman to step aside if indicted for a felony that requires a prison term of at least two years.



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