Aides testify in Clinton probe

Clinton's last days in office are under the spotlight

Three former White House aides are appearing before a congressional panel to give evidence about contoversial pardons issued in President Bill Clinton's last hours in office.

The House of Representatives Government Reform Committee is investigating whether fugitive financier Marc Rich paid for his presidential pardon by donating money to Mr Clinton's Democratic Party.

The former president's close associates are scheduled to tell the committee about how the decision to grant a pardon to Mr Rich, who has lived abroad since he was indicted in 1983 for fraud and tax evasion, was reached.

Fugitive: Marc Rich

Testimony and documents obtained so far in the investigation indicate there was considerable debate over the Rich pardon.

One of those due to testify, former chief of staff John Podesta, has already said that Mr Clinton was advised against such a move.

The others called to the inquiry are the former White House counsel, Beth Nolan, and adviser Bruce Lindsey.

The House committee subpoenaed them in its widening investigation of possible links between political donations and Mr Rich's pardon.

The financier's former wife, Denise, gave more than $1m to Democratic Party causes, including Hillary Clinton's successful campaign to be elected to the Senate.

Hillary Clinton has also been caught up in the controversy

On Wednesday, Mr Clinton's lawyer said the former president would not invoke executive privilege, clearing the way for the three aides to appear.

The House inquiry is one of two congressional investigations into Mr Clinton's pardons. A US attorney is carrying out a separate criminal inquiry.

New York state tax officials have said they are seeking $137m in back taxes, penalties and interest from Mr Rich.

"Mr Rich has avoided his tax payments in New York for nearly two decades while he was under federal indictment. It is now time for him to pay the piper," state Tax Commissioner Arthur Roth said in a statement.

Mr Rich has said that the original indictment against him was wrong and that Mr Clinton's pardon remedied an injustice.

Hugh Rodham returned money received for lobbying for pardons

He was charged with evading $48m in tax - the biggest case of its kind in US history.

He was also indicted for fraud and breaching sanctions against Iran.

The pardons controversy has embroiled not only Bill and Hillary Clinton, but other family members.

The New York Times newspaper has reported that a Tennessee couple convicted of bank fraud were pardoned a year ago by Mr Clinton, following an appeal by his brother-in-law, Tony Rodham.

Mr Rodham told the newspaper he asked the president to pardon Edgar Allen Gregory Jr and his wife, Vonna Jo, but said he had received no payment for his efforts.

Hillary Clinton's other brother, Hugh Rodham, was paid $400,000 to secure a reduced sentence for a convicted drug trafficker Carlos Vignali and a pardon for Almon Glenn Braswell, a businessman who had been found guilty of fraud.

The Clintons said they were unaware of this and demanded that he return the money.

Mr Clinton's half-brother, Roger, said he tried to obtain pardons for several people, but those applications were all rejected.