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March 12, 2008
 

Threat to impeach Spitzer as he tries to reach deal with prosecutors

Ben White in New York and Brooke Masters in London
 
Eliot Spitzer, Democratic governor of New York, sought to reach an agreement yesterday with prosecutors investigating his involvement with a prostitution ring, before making a final decision on leaving office, people close to him said.

Mr Spitzer, who rose to prominence as the scourge of Wall Street and a crusader for higher ethical standards, remained in office despite heavy pressure to resign and a threat by Republicans in the state legislature to begin impeachment proceedings.
Police put up barriers outside Mr Spitzer's Fifth Avenue apartment to contain reporters waiting for the governor to emerge.

Some aides said they expected him to resign in short order. However, other people close to Mr Spitzer said he was seeking to reach an agreement with federal prosecutors before agreeing to step down. A deal was expected as early as today.
 
A spokeswoman for the US attorney in Manhattan declined to comment.
 
People close to Mr Spitzer also said there were divisions among his advisers, with some urging him to fight to remain in office.

Mr Spitzer has hired Michele Hirshman of law firm Paul, Weiss to represent him in the prostitution matter. She was the top deputy to Mr Spitzer when he was New York attorney-general. She also declined to comment.

Most analysts said they saw little hope of Mr Spitzer keeping his job. "You tell me where his constitutional and moral authority is at this point?" said Richard Levick, chief executive of Levick Strategic Communications, a public relations group.

Mr Spitzer made only brief, apologetic remarks on Monday after the disclosure that he had paid for prostitutes from the Emperor's Club VIP escort service, whose proprietors face federal criminal charges. Mr Spitzer could also face charges, although prostitution cases rarely focus on customers.

Mr Spitzer said on Monday that he had violated the trust of his family and the public, but said nothing about the nature of his transgressions or his plans.
 
Details have emerged about how Mr Spitzer was ensnared in the scandal. The matter began as a routine tax inquiry in which Internal Revenue Service officials found unusual movements of cash involving the governor, according to the New York Times. Officials then enlisted the help of an informant who had worked as an escort at the club, said the NYT.

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