Obama’s Ties to Slumlord Questioned

ABC News’ Jonathan Greenberger Reports: The argument by ’08 presidential hopeful Sen. Barack Obama, D-Ill., that he is running a "new kind of campaign" has consistently been dogged by allegations that he has extensive ties to an indicted Chicago slumlord named Tony Rezko. 

An article in Wednesday’s Chicago Sun-Times brings to light new details about Obama’s relationship with Rezko. According to the article, while a state senator in Illinois, Obama wrote letters to city and state officials supporting Rezko’s plan to use taxpayer money to build apartments for low-income senior citizens. 

Obama’s campaign insists these letters did not amount to political favors. 

"Senator Obama didn’t support this project as a favor to anyone –- he did in an effort to have the most positive impact on his community possible," says spokesman Bill Burton.  And as the Sun-Times notes, Rezko’s lawyer says Obama was never asked by Rezko to write the letters. 

But if the letters were a political favor, then this would directly contradict a statement Obama made to ABC News’ George Stephanopoulos last month in response to a question about Rezko.  (Watch Video HERE)

"The important thing, though, is to note that, in all my conduct, there has never been any implications, including in this situation, that I in any way used my office to do favors for people, to help folks betray the public trust in any sort of way," Obama said, "And that is something that I am very proud of."

Just last week, Obama returned more than $16,000 in campaign donations from two Chicago businessmen with ties to Rezko.  Obama has previously admitted to buying land from Rezko’s wife –- which Obama has characterized as a "boneheaded" move.  He has also said he performed a small amount of legal work in the 90s on Rezko’s behalf. 

Democratic strategist Stephanie Cutter, who is not affiliated with any presidential candidate, told the AP last week that Obama’s relationship with Rezko "may leave voters with the impression Senator Barack Obama is and was indeed a politician, but I’m not sure that’s earth-shattering."