Monday, Apr. 03, 2000

Crime

By Viveca Novak and Karen Tumulty/Washington

Normally, when the inspector general of a government department conducts an investigation, the Justice Department waits for a formal criminal referral before getting involved. Not so with the State Department's deepening criminal probe into questionable dealings by Al Gore's campaign chairman, Tony Coelho, a Justice source tells TIME. Why the unusual coordination between the two? "To be honest," says a high-ranking Justice official, "because it looks like there might be something there." So Justice wants the initial investigation handled carefully.

The probe involves allegations that Coelho misused government funds while heading up the U.S. mission to the 1998 World Exposition in Portugal. After new details were disclosed by National Journal last week, Gore responded by saying Coelho was doing a "terrific job" and would continue as chairman.

Meanwhile, Justice has launched an investigation into whether e-mails subpoenaed in connection with various Clinton Administration scandals were illegally withheld. White House officials blame a series of computer glitches and say they are working hard to retrieve the information--including 550 backup computer tapes from Gore's office.

--By Viveca Novak and Karen Tumulty/Washington