1 00:00:00,080 --> 00:00:03,360 Speaker 1: Hillary Clinton has said that FBI Director James Comey's public 2 00:00:03,400 --> 00:00:06,520 Speaker 1: statements about the FBI's investigation into Clinton's use of a 3 00:00:06,519 --> 00:00:09,639 Speaker 1: private email server was an important factor leading to her 4 00:00:09,680 --> 00:00:13,440 Speaker 1: defeat in leicest year's presidential election. President Trump, meanwhile, has 5 00:00:13,440 --> 00:00:18,360 Speaker 1: praised Comey's actions. And it took guts for Director Comy 6 00:00:19,280 --> 00:00:22,159 Speaker 1: to make the move that he made in light of 7 00:00:22,200 --> 00:00:25,280 Speaker 1: the kind of opposition he had, where they're trying to 8 00:00:25,360 --> 00:00:31,400 Speaker 1: protect her from criminal prosecution. You know that. But yesterday 9 00:00:31,560 --> 00:00:35,559 Speaker 1: President Trump fired Director Comy based he said on advice 10 00:00:35,600 --> 00:00:38,760 Speaker 1: that Comey's handling of that investigation had damaged the FBI's 11 00:00:38,800 --> 00:00:42,400 Speaker 1: reputation and credibility. Later in the program, we expect to 12 00:00:42,400 --> 00:00:44,599 Speaker 1: go live to the White House for Deputy Press Secretary 13 00:00:44,640 --> 00:00:48,000 Speaker 1: Sarah Sanders comments on the Comy firing. And now we're 14 00:00:48,000 --> 00:00:51,320 Speaker 1: going to talk about it with John Colahane, a professor 15 00:00:51,400 --> 00:00:54,680 Speaker 1: at Delaware Law School, and Michael Vadis, a partnered Steptoe 16 00:00:54,720 --> 00:00:58,320 Speaker 1: and Johnson who held several positions, including Associate Deputy Attorney 17 00:00:58,320 --> 00:01:02,200 Speaker 1: General in the Department of Justice. Michael, you have a 18 00:01:02,240 --> 00:01:06,440 Speaker 1: situation where the President during the campaign praised Comey's public 19 00:01:06,440 --> 00:01:09,600 Speaker 1: statements about what was going on in the investigation of 20 00:01:09,640 --> 00:01:12,880 Speaker 1: Clinton's email server. Now he's fired. It based on a 21 00:01:13,560 --> 00:01:16,399 Speaker 1: he's fired and based on a it's purportedly on a 22 00:01:16,440 --> 00:01:20,800 Speaker 1: memo from Deputy Attorney General Rosenstein that says that he 23 00:01:21,200 --> 00:01:24,240 Speaker 1: Comey handled his terribly and undermined the FBI. What do 24 00:01:24,319 --> 00:01:28,760 Speaker 1: we make of this rationale for firing the FBI director. 25 00:01:29,880 --> 00:01:32,960 Speaker 1: I think it's patently obvious that that this rationale is 26 00:01:33,000 --> 00:01:35,600 Speaker 1: a complete pretext and has nothing to do with the 27 00:01:35,640 --> 00:01:40,000 Speaker 1: real reason that Comey was fired. Um. I think anybody 28 00:01:40,000 --> 00:01:44,200 Speaker 1: who's been following the news in recent months has to 29 00:01:44,240 --> 00:01:49,920 Speaker 1: believe that this is uh based m the Trump Russia investigation, 30 00:01:50,120 --> 00:01:53,080 Speaker 1: and uh, it may just be that they were getting 31 00:01:53,080 --> 00:01:55,360 Speaker 1: nervous that the FBI is getting too close to Trump 32 00:01:55,400 --> 00:01:58,480 Speaker 1: and too close to the people closely associated with him. 33 00:01:58,600 --> 00:02:02,120 Speaker 1: I think there's no other way to explain this, John, 34 00:02:02,120 --> 00:02:04,120 Speaker 1: Do you agree with that that there's no other way 35 00:02:04,120 --> 00:02:08,680 Speaker 1: to explain this? Absolutely? I mean, if one were to 36 00:02:08,720 --> 00:02:12,760 Speaker 1: read the Rosenstein memo setting forth the justifications for the firing, 37 00:02:13,360 --> 00:02:16,200 Speaker 1: you know, in isolation, they make sense. I mean, there 38 00:02:16,280 --> 00:02:20,000 Speaker 1: was a case for firing Comy, but now you know, 39 00:02:20,080 --> 00:02:23,480 Speaker 1: many months after the fact, Uh, it makes no sense 40 00:02:23,520 --> 00:02:25,840 Speaker 1: at all except for the reasons that we've just heard. 41 00:02:25,880 --> 00:02:28,919 Speaker 1: So I completely agree with that. I think a number 42 00:02:28,919 --> 00:02:32,000 Speaker 1: of things have come to light in the last couple 43 00:02:32,040 --> 00:02:35,760 Speaker 1: of days. One is that Comey had recently requested more 44 00:02:35,840 --> 00:02:40,560 Speaker 1: resources for the investigation, There had recently been subpoenas issued 45 00:02:41,680 --> 00:02:46,239 Speaker 1: in regard to Mike Flynn's conduct, and then the Senate 46 00:02:46,280 --> 00:02:50,560 Speaker 1: had just asked for information about the financial connections between 47 00:02:50,560 --> 00:02:53,639 Speaker 1: Trump people in the Russian So I think, uh, if 48 00:02:53,639 --> 00:02:57,120 Speaker 1: you look at those events and the reports that Trump 49 00:02:57,200 --> 00:03:02,120 Speaker 1: was furious about the Russian in instigation, the only logical 50 00:03:02,120 --> 00:03:04,360 Speaker 1: conclusion I can draw from that is that this was 51 00:03:04,400 --> 00:03:08,560 Speaker 1: really based on that. And the word pretext I think 52 00:03:08,600 --> 00:03:14,760 Speaker 1: is exactly right. Well, Michael, perhaps the the irrationale isn't 53 00:03:14,800 --> 00:03:17,880 Speaker 1: the real one, as you're suggesting. But doesn't the president 54 00:03:17,960 --> 00:03:22,239 Speaker 1: have the legal right to dismiss the FBI director for cause? 55 00:03:22,360 --> 00:03:24,959 Speaker 1: I mean, the FBI director has a ten year term 56 00:03:25,000 --> 00:03:28,920 Speaker 1: and he's and uh, you know, Congress created that fixed 57 00:03:29,040 --> 00:03:32,440 Speaker 1: term in order to remove the FBI director from from 58 00:03:32,520 --> 00:03:37,520 Speaker 1: partisan politics and from and from the pressures of partisan politics, 59 00:03:37,680 --> 00:03:40,640 Speaker 1: and and precisely to deal with a situation like this 60 00:03:40,800 --> 00:03:44,360 Speaker 1: where um, the head of the executive branch may himself 61 00:03:44,520 --> 00:03:48,160 Speaker 1: or or his close associates maybe under investigation. And you 62 00:03:48,240 --> 00:03:52,480 Speaker 1: need to have independence by the FBI director. Now he 63 00:03:52,880 --> 00:03:56,040 Speaker 1: is part of the executive branch, but since the executive 64 00:03:56,080 --> 00:03:59,640 Speaker 1: branch is responsible for enforcing the law, it's critical to 65 00:03:59,720 --> 00:04:03,280 Speaker 1: have independence on the part of the FBI director. And 66 00:04:03,960 --> 00:04:07,280 Speaker 1: you know, whatever one thinks of called me his actions 67 00:04:07,480 --> 00:04:10,960 Speaker 1: with regard to the Clinton email investigation. UM. You know, 68 00:04:11,440 --> 00:04:14,080 Speaker 1: I think you could make a case that that his 69 00:04:14,320 --> 00:04:17,280 Speaker 1: firing would have been justified. UM. But I think you 70 00:04:17,320 --> 00:04:20,400 Speaker 1: could also say it wasn't that wasn't uh, that it 71 00:04:20,440 --> 00:04:23,440 Speaker 1: could cause to to fire him. Um. But I think 72 00:04:23,680 --> 00:04:25,720 Speaker 1: to the extent we get caught up in whether that 73 00:04:25,800 --> 00:04:28,800 Speaker 1: was a fire able offense, I think we're we're playing 74 00:04:28,800 --> 00:04:32,159 Speaker 1: into the White House's hands. Uh, when the real question 75 00:04:32,200 --> 00:04:34,120 Speaker 1: should be what was the reason that they fired What 76 00:04:34,200 --> 00:04:36,680 Speaker 1: was the true reason that they fired him? Uh? And 77 00:04:36,839 --> 00:04:38,960 Speaker 1: what do you know, what does that mean for our 78 00:04:39,000 --> 00:04:41,800 Speaker 1: democracy and for the rule of law if they can 79 00:04:41,839 --> 00:04:45,640 Speaker 1: fire someone um, because he was leading an investigation that 80 00:04:45,720 --> 00:04:48,360 Speaker 1: was making the president uncomfortable because it was getting close 81 00:04:48,400 --> 00:04:51,200 Speaker 1: to him. In the wake of President Trump firing FBI 82 00:04:51,279 --> 00:04:54,560 Speaker 1: Director James Comeby yesterday sent him an already leader. Chuck 83 00:04:54,600 --> 00:04:57,520 Speaker 1: Schumer called for the Attorney General and Deputy Attorney General 84 00:04:57,560 --> 00:05:00,279 Speaker 1: to brief the entire Senate in closed session, and he 85 00:05:00,320 --> 00:05:02,800 Speaker 1: also called for the appointment of a special prosecutor to 86 00:05:02,839 --> 00:05:06,760 Speaker 1: investigate possible connections between the Trump presidential campaign and Russia, 87 00:05:07,120 --> 00:05:11,280 Speaker 1: an investigation that until yesterday was overseen by James Comey. 88 00:05:11,360 --> 00:05:13,960 Speaker 1: Our guest today to talk about the fallout from the 89 00:05:13,960 --> 00:05:17,160 Speaker 1: president's firing of the FBI director are John Klahane, and 90 00:05:17,200 --> 00:05:20,520 Speaker 1: professor at Delaware Law School, and Michael Vadis, a firmer 91 00:05:20,560 --> 00:05:23,520 Speaker 1: Justice Department official who is a partner at Steptoe and 92 00:05:23,720 --> 00:05:30,120 Speaker 1: Johnson john there there. The procedures have changed over the 93 00:05:30,200 --> 00:05:33,640 Speaker 1: years about how a special prosecutor gets appointed. What would 94 00:05:33,680 --> 00:05:36,840 Speaker 1: have to happen in order for a special prosecutor to 95 00:05:36,880 --> 00:05:40,440 Speaker 1: be appointed to take over this Russia investigation, all right, 96 00:05:40,560 --> 00:05:43,360 Speaker 1: And so it's important to be clear on the terms. 97 00:05:43,400 --> 00:05:46,160 Speaker 1: And we think about special prosecutors, We think about what 98 00:05:46,160 --> 00:05:49,120 Speaker 1: happened in the nineteen nineties with Clinton, and there was 99 00:05:49,160 --> 00:05:53,760 Speaker 1: a law that specifically authorized a special prosecutor. That law 100 00:05:54,720 --> 00:06:00,520 Speaker 1: hasn't existed since about so now. Really the term is 101 00:06:00,560 --> 00:06:04,880 Speaker 1: special counsel And basically, uh, this is a situation where 102 00:06:04,960 --> 00:06:07,240 Speaker 1: the Attorney General or in this case it would be 103 00:06:07,320 --> 00:06:11,360 Speaker 1: Ron Rosenstein as the deputy since since Sessions is accused, 104 00:06:11,880 --> 00:06:15,960 Speaker 1: would appoint a special counsel um. And you can think 105 00:06:15,960 --> 00:06:19,760 Speaker 1: of it as somewhere in between being truly independent like 106 00:06:19,839 --> 00:06:23,479 Speaker 1: a special prosecutor and being someone that's subject to the 107 00:06:23,520 --> 00:06:26,400 Speaker 1: authority of the Department of Justice. That somewhere in between. 108 00:06:26,520 --> 00:06:29,479 Speaker 1: So they're supposed to be independent and not subject to 109 00:06:29,520 --> 00:06:33,320 Speaker 1: the day to day supervision of the Department of Justice 110 00:06:33,320 --> 00:06:39,200 Speaker 1: and Attorney General, but they're still responding to them, and 111 00:06:39,240 --> 00:06:42,680 Speaker 1: they can be fired for cause. So they have authority 112 00:06:42,680 --> 00:06:47,239 Speaker 1: in criminal matters and criminal investigation, but it's not quite 113 00:06:47,360 --> 00:06:52,520 Speaker 1: as independent as a special prosecutor a law imagined, and 114 00:06:52,600 --> 00:06:57,760 Speaker 1: it also requires an action by the Attorney General. And 115 00:06:58,160 --> 00:06:59,880 Speaker 1: you know whether or not that will happen, I think 116 00:07:00,040 --> 00:07:03,479 Speaker 1: is very much an open question. I doubt it, Michael, 117 00:07:03,920 --> 00:07:06,760 Speaker 1: So all the senators are calling for this, but Senator 118 00:07:06,839 --> 00:07:11,080 Speaker 1: Richard Blumenthal said that if the Attorney General of the 119 00:07:11,120 --> 00:07:15,000 Speaker 1: Deputy Attorney General fails to appoint a special counselor, he'll 120 00:07:15,000 --> 00:07:20,040 Speaker 1: introduce legislation to re establish an independent Council as existed 121 00:07:20,080 --> 00:07:24,160 Speaker 1: in the wake of Watergate. What are the chances that 122 00:07:24,240 --> 00:07:29,440 Speaker 1: he could get bipartisan support for that? Uh? Pretty much 123 00:07:29,440 --> 00:07:31,760 Speaker 1: close to zero, I would think, um. And even if 124 00:07:31,800 --> 00:07:35,320 Speaker 1: it passed Congress, I would imagine that President Trump would 125 00:07:35,360 --> 00:07:39,040 Speaker 1: would veto it. UM. So I think really the best 126 00:07:39,120 --> 00:07:42,840 Speaker 1: chance of of the investigation continuing with some semblance of 127 00:07:42,880 --> 00:07:47,960 Speaker 1: independence is that the Deputy Attorney General, UH, since the 128 00:07:48,000 --> 00:07:50,760 Speaker 1: a G himself is recused from the Russia investigation. If 129 00:07:50,800 --> 00:07:55,480 Speaker 1: if the Deputy Rod Rosenstein appoints a special counsel um 130 00:07:55,680 --> 00:08:00,200 Speaker 1: and appoints someone with with real um a reputation for 131 00:08:00,280 --> 00:08:06,440 Speaker 1: independence and nonpartisan uh, nonpartisanship. But Michael, it sounds from 132 00:08:06,560 --> 00:08:09,840 Speaker 1: what we've just heard that no one is really going 133 00:08:09,880 --> 00:08:13,960 Speaker 1: to have real independence, especially if they can be fired 134 00:08:14,480 --> 00:08:18,040 Speaker 1: for cause, and as we see, cause can be anything, 135 00:08:18,400 --> 00:08:20,760 Speaker 1: seems at this point, so it doesn't seem like there's 136 00:08:20,800 --> 00:08:27,040 Speaker 1: any there's any real hope of an of an independent investigation. Well, 137 00:08:27,960 --> 00:08:29,960 Speaker 1: that's right, I mean, we're we're really back to the 138 00:08:30,000 --> 00:08:33,720 Speaker 1: situation that existed with with Nixon and his ability to 139 00:08:33,880 --> 00:08:37,680 Speaker 1: fire Archibald Cox when he was a Special prosecutor. Uh. 140 00:08:37,679 --> 00:08:40,160 Speaker 1: And it took you know, the resignation of the the 141 00:08:40,160 --> 00:08:42,160 Speaker 1: Attorney General and the deputy and then it was left 142 00:08:42,200 --> 00:08:46,520 Speaker 1: to the number three person, which happened to be Robert Borke, 143 00:08:47,000 --> 00:08:49,480 Speaker 1: but to fire Cox and so that that that same 144 00:08:49,520 --> 00:08:52,560 Speaker 1: sort of situation would exist here. But I think once 145 00:08:52,600 --> 00:08:56,960 Speaker 1: a special council were appointed, it would be very difficult, 146 00:08:57,040 --> 00:09:00,160 Speaker 1: even for someone who doesn't have any regard for the 147 00:09:00,240 --> 00:09:04,560 Speaker 1: usual norms like President Trump, very difficult politically for him 148 00:09:04,600 --> 00:09:10,079 Speaker 1: to fire a special counsel once that person has been appointed, John, 149 00:09:11,320 --> 00:09:14,120 Speaker 1: Are there things that Democrats can do in Congress now 150 00:09:14,120 --> 00:09:16,520 Speaker 1: to try to force the administration's hand to appoint to 151 00:09:16,520 --> 00:09:21,200 Speaker 1: special council? Not really, No, I mean public pressure, and 152 00:09:21,240 --> 00:09:23,880 Speaker 1: I think you know, this is a case where you know, 153 00:09:24,000 --> 00:09:26,680 Speaker 1: popular opinion and you know, kind of people taking to 154 00:09:26,760 --> 00:09:29,959 Speaker 1: the streets might be, you know, about the only way 155 00:09:30,000 --> 00:09:32,400 Speaker 1: to get this done. Uh, Well, are there the other 156 00:09:32,440 --> 00:09:34,640 Speaker 1: thing we need? Are they able to slow things down 157 00:09:34,640 --> 00:09:37,720 Speaker 1: in Congress or you know, refused to do a point, 158 00:09:38,040 --> 00:09:40,400 Speaker 1: you know, refused to allow appointments to go forard? Is 159 00:09:40,440 --> 00:09:43,040 Speaker 1: there any power they have in the minority in the Senate? 160 00:09:43,080 --> 00:09:46,400 Speaker 1: They're sure is right? The Senate, as we know, is 161 00:09:46,440 --> 00:09:50,080 Speaker 1: a is a byzantine mess of you know, rules and 162 00:09:50,160 --> 00:09:53,400 Speaker 1: procedures that can be used by the minority party to 163 00:09:53,480 --> 00:09:55,600 Speaker 1: slow things down and bring things to a hall, so 164 00:09:55,640 --> 00:09:59,000 Speaker 1: they could try to do something really dramatic like that. Uh, 165 00:09:59,040 --> 00:10:00,640 Speaker 1: and we'll see if it comes that. The other thing 166 00:10:00,679 --> 00:10:03,319 Speaker 1: to keep an eye on, of course, is who is 167 00:10:03,360 --> 00:10:06,560 Speaker 1: appointed as Comey's successor. I think that will be an 168 00:10:06,600 --> 00:10:11,120 Speaker 1: important question whether that's a person that we can rely 169 00:10:11,200 --> 00:10:14,479 Speaker 1: on and have competence in is going to continue the investigation. 170 00:10:14,960 --> 00:10:17,559 Speaker 1: There are some reports that I have to say, I 171 00:10:17,600 --> 00:10:20,560 Speaker 1: think are pretty credible that you know, Trump is interested 172 00:10:20,600 --> 00:10:23,440 Speaker 1: in finding someone and appointing someone who will shut the 173 00:10:23,440 --> 00:10:26,880 Speaker 1: whole thing down, and that really would bring us to 174 00:10:27,000 --> 00:10:31,760 Speaker 1: some something like a constitutional crisis. Well, our thanks to 175 00:10:32,040 --> 00:10:35,000 Speaker 1: John Colahane of Delaware Law School and Michael Vadis a 176 00:10:35,040 --> 00:10:37,880 Speaker 1: partner at Steptoe and Johnson for being here today and Bloomberg. 177 00:10:37,920 --> 00:10:41,640 Speaker 1: Glad to talk about President Trump firing the FBI Director 178 00:10:41,760 --> 00:10:44,640 Speaker 1: James Coomey. And do you know one thing that we 179 00:10:44,679 --> 00:10:48,600 Speaker 1: haven't mentioned is that several FBI agents replaced their photos 180 00:10:48,640 --> 00:10:52,240 Speaker 1: on Facebook with Comy's and have written that they were 181 00:10:52,320 --> 00:10:55,760 Speaker 1: outraged by his removal. So we'll have to talk a 182 00:10:55,800 --> 00:10:59,080 Speaker 1: little bit too, Mark Zuckerberg on the show to talk 183 00:10:59,120 --> 00:11:03,520 Speaker 1: about that tomorrow. Row U coming up on Bloomberg Law today. Uh. 184 00:11:03,600 --> 00:11:07,880 Speaker 1: Democrats are urging regulators to look at Carl Icon, who 185 00:11:07,880 --> 00:11:10,800 Speaker 1: has been advising President Trump, and to see whether or 186 00:11:10,840 --> 00:11:13,240 Speaker 1: not he's gained unfair trading advantages in the market for 187 00:11:13,280 --> 00:11:16,960 Speaker 1: renewable fuel credits through his advice and his role with 188 00:11:17,080 --> 00:11:20,800 Speaker 1: the Trump administration. That's coming up on Bloomberg Law. You're 189 00:11:20,840 --> 00:11:24,439 Speaker 1: listening to Bloomberg Radio. This is Bloomberg