Sen. McCain on lobbyist report: 'It's not true'

— -- John McCain on Thursday criticized a New York Times story alleging a questionable relationship with a female telecommunications lobbyist, saying it's "not true" and that he was "very disappointed" the newspaper relied on anonymous sources.

"I'm proud of my record of service to this country," McCain said in a news conference in Toledo, Ohio, where he was campaigning in advance of March 4 primaries in Ohio and Texas.

McCain said he did not know that aides had told lobbyist Vicki Iseman to stay away from him during his first run for the presidency in 2000, as reported in the Times.

He said no lobbyist ever influenced his decisions as chairman of the Senate Commerce Committee.

"I have many friends who represent various interests," McCain said.

McCain also said he never met with Iseman, 40, or had a romantic relationship with her.

He said the two were "friends" and that he'd "seen her on occasions at receptions and fundraisers and appearances before the committee."

He said he last saw Iseman several months ago when he "ran into her at some event."

The Times reported that Iseman sent the newspaper an email saying she never received special treatment from McCain's office.

The newspaper reported on its website Wednesday night that John Weaver, a close confidant of McCain's who left his current campaign last year, met with Iseman at Union Station in Washington, D.C., eight years ago and urged her to stay away from him.

The story said Iseman was telling people she had special access to McCain as a lobbyist for the firm of Alcalde & Fay based in Arlington, Va., and that aides were worried about what effect that would have on McCain's presidential campaign.

McCain said Thursday he did not know anything about Weaver's conversation with Iseman.

"He's a friend of mine and remains a friend of mine," McCain said. "I've never discussed it with John Weaver...as far as i know there was no necessity for it."

McCain said he's had a couple of recent conversations with Weaver when "he called to congratulate me" on the current campaign.

"I said thanks, John, I look forward to seeing you,'" McCain said.

The newspaper story also said that McCain flew on Lowell W. "Bud" Paxson's corporate jet to appear at campaign events and received $200,000 in campaign donations from Paxson.

Iseman lobbied for Paxson, the former head of Paxson Communications, now Ion Media Networks.

McCain defended the trips, saying that at the time that was "accepted practice" and since then "the rules have been changed, something I supported."

The Times article also brought up letters McCain had written to the FCC urging the agency to vote on the controversial sale of a Pittsburgh television station to Paxson.

McCain said the letter was not telling the FCC "how to make a decision," but rather urging it to "move forward and make a decision."

McCain has made a reputation working 30 years in the Senate criticizing lobbyists' influence in Washington and asserting that he's never done any favors for lobbyists or special interest groups.

"Something like this is always distracting and very disappointing," McCain said when asked whether this would detract from his campaign. "I hope we can put to rest the whole situation but I would imagine it does distract and it keeps me from talking about the big issues and the not so big issues."

McCain said he has a "long record" and he's "confident my record will be reviewed."

During the press conference with reporters McCain at first said he had not spoken directly with anyone at the newspaper regarding the story, which he knew had been in the preparation stages for months.

He said the newspaper submitted questions and "we have answered them fully and exhaustively and unfortunately many of those were not included" in the story.

Later on in the press conference McCain corrected himself and apologized, saying he did have "one conversation" with Bill Keller, editor of the Times.

"I called him and asked him basically what was happening and we hoped that we could bring this to closure," McCain said. "I was not trying to dissuade him from doing the story."

On Thursday, Keller released a statement regarding the story: "On the substance we think the story speaks for itself. In all the uproar, no one has challenged what we actually reported. On the timing: Our policy is we publish stories when they're ready. 'Ready' means that the facts have been nailed down to our satisfaction, the subjects have all been given a full and fair chance to respond and the reporting has been written up with all the proper context and caveats. This story was no exception. It was a long time in the works. It reached my desk late Tuesday afternoon. After a final edit and a routine check by our lawyers, we published it."

Alcalde & Fay, the firm where Iseman works, also released a statement: "The allegations and malicious innuendo reported by the New York Times yesterday are completely and utterly false. Alcalde & Fay's relationship with Senator McCain has been professional, appropriate and consistent with his legislative, jurisdictional and constituent duties. The story is based upon the fantasies of a disgruntled former campaign employee and is without foundation or merit. Ms. Iseman is a hard working professional whose 18 year career has been exemplary and she has our full support. It is beneath the dignity of a quality newspaper to participate in such a campaign of character assassination."

Since The Times story was published the McCain campaign has sought to discredit it, distributing lengthy statements and deploying senior advisers to appear on news shows.

The campaign calls the story a smear campaign to destroy the Republican nominee-in-waiting.

Robert Bennett, a Washington attorney representing McCain, told NBC's Today show that McCain's staff provided the Times with "approximately 12 instances where Senator McCain took positions adverse to this lobbyist's clients and her public relations firm's clients," but none of the examples were included in the paper's story.

"There is no evidence that John McCain ever breached the public trust and that is the issue and the only issue," said Bennett, who once represented former President Clinton, on Thursday.

Contributing: USA TODAY's David Jackson, Carolyn Pesce; Associated Press