"Tom Coburn said, 'What I would do, Doug, if I was you, is I would have them buy your home, give you a million bucks so you can start over, and that is what I am willing to help you negotiate,'" he said. "John said, 'No can do, not going to happen.' [Coburn] volunteered to help. He called me. And he recommended a significant number as one that he would float to the Ensigns."
Coburn originally denied he was ever part of brokering a settlement. In a statement to "Nightline" responding to this story, Coburn's spokesman John Hart confirmed that he did offer to help Hampton in the negotiation, but says the conversations were "initiated by Doug, not ... Coburn."
An Ensign spokesperson suggested Hampton was trying to blackmail the senator, claiming he made "exorbitant demands for cash." Hampton denied ever trying to extort Ensign.
Coburn's statement to "Nightline" shed some light on the allegations about blackmail and payoffs.
"Some reports have implied Doug was attempting to extort money from Sen. Ensign, while other reports have suggested Sen. Ensign was offering Doug hush money," the statement reads. "Neither explanation is accurate."
Coburn told ABC News' George Stephanopolous on "This Week" that he did not offer to broker the deal.
"There was no negotiation," he said. But Coburn acknowledged that he had worked to "bring two families to a closure of a very painful episode."
In June 2009, Hampton did try to go public with news of the affair, writing to Fox News anchor Megyn Kelly. Though Fox didn't go with the story, Ensign hastily called a press conference to announce the affair.
Hampton said he feels his friends at C Street have abandoned him by choosing to close ranks around Ensign. When asked if they'd turned their backs on him, Hampton replied, "That was really clear."
When asked if those at C Street think the rules don't apply to them, Hampton laughed and said, "[They] think the consequences don't apply. Those need to be dealt with differently. Because of the responsibility. Because of pressure. Because of the work that needs to be done. ...This is about preserving John, preserving the Republican party, this is about preserving C Street. These men care about themselves and their own political careers, period."
Hampton said he strongly believes Ensign should "resign immediately." But Ensign has said he has no plans to give up his seat.
"This is Washington, D.C., and you never really know how things are going to play out, and given the mess that the Justice Department is and how the Senate Ethics Committee has almost never met a scandal it couldn't avoid taking action on. You really can't have any faith that Ensign will eventually pay," Sloan said.
In a statement, a spokesperson said: "I truly wish that I could publicly respond to each one of Doug Hampton's allegations. They are full of half truths and untruths. I will cooperate with any investigation because I have not violated any law or Senate ethics rule. If Doug Hampton violated federal law and rules, I did not advise him to do so, I did not suggest that he do so, and I did not cooperate with his doing so."
Hampton said he has not been contacted by the Department of Justice, the Senate Ethics Committee or the FBI in regards to an investigation. He said it seems like these agencies are "not really interested in getting to the bottom of this."