Obama fund-raiser guilty of fraud

Rezko was found guilty on 16 of 24 counts in a nine-week trial

A former fund-raiser for Democratic presidential candidate Barack Obama has been found guilty in Chicago of fraud, attempted bribery and money laundering.

Antoin "Tony" Rezko was convicted on 16 of 24 counts. Prosecutors said he used his influence and connections to gain government contracts and kickbacks.

He was acquitted on several charges, including attempted extortion.

Mr Obama said he was "saddened" by the verdict, which came a day after he claimed the Democratic nomination.

The Illinois senator, who was not accused of any wrongdoing in connection with the case, has donated more than $150,000 (£75,000) raised for him by Mr Rezko to charity.

Speaking after the verdict, Mr Obama said: "This isn't the Tony Rezko I knew, but now he has been convicted by a jury on multiple charges that once again shines a spotlight on the need for reform."

Whiff of scandal

In the course of the nine-week trial, prosecutors claimed that Mr Rezko used his influence over Illinois government boards to extort millions of dollars in bribes and campaign donations.

Witnesses also testified that they were told to give political donations in exchange for getting jobs.

Mr Rezko was taken into custody until his sentencing, due to take place on 3 September.

His defence lawyers argued that the Syrian-born businessman wanted nothing for himself and raised money for his favourite politicians out of a passion for politics.

Mr Obama's links to Mr Rezko, whom he had known for years, brought the first whiff of scandal to his election campaign.

He had bought land at a discount from Mr Rezko in 2005, when the businessman was already being investigated. Mr Obama later called the deal "boneheaded".

Mr Rezko was also a major fund-raiser for Illinois Governor Rod Blagojevich. The governor has not been accused of wrongdoing.

The Republican National Committee issued a statement after the verdict saying that Mr Obama "has maintained a friendship with a now convicted felon".