Controversial Hire: Hillary Rodham Clinton's Payroll; Giuliani's Speaking Fees
BLITZER: To our viewers, you're in THE SITUATION ROOM, where new pictures and information are arriving all the time. Happening now, the top al Qaeda leader in Iraq is hurt and his top aide has been killed. That's according to a spokesman for the Iraqi Interior Ministry. The official says it happened after Iraqi police engaged in a firefight with insurgents between Falluja and Samarra. The showdown continues this weekend. Senators will spar over an Iraq resolution on Saturday. That according to the majority leader, Harry Reid. It would be a procedural vote over whether or not to debate the non-binding measure that's now in the House. Talking terrorists, but not about the world's most wanted terrorists. Regarding Afghanistan, President Bush warns the Taliban are likely to put on a deadly spring offensive, and he says U.S. and NATO forces will stay on the offense. But Mr. Bush did not mention anything about Osama bin Laden or where he might be. And an upbeat assessment. Fidel Castro's son -- his son says his father is doing well and is expected to get better. The son says he believes the 80-year-old Cuban leader will see a total recovery. I'm Wolf Blitzer. You're in THE SITUATION ROOM. Presidential hopeful Hillary Rodham Clinton insists she's in it to win, but how far will she go to win? That's what some are asking right now amid a controversy causing them to question if her campaign is paying for support. CNN's Brian Todd is joining us with more on this story -- Brian.</s>BRIAN TODD, CNN CORRESPONDENT: Wolf, the question stems from a deal Mrs. Clinton's campaign has just reached with a politician in South Carolina who has the ability to deliver a crucial voting bloc.</s>TODD (voice over): Hillary Clinton's political clout in the South reels in a big catch -- South Carolina state senator Darrell Jackson, a plugged in, popular leader among African-American voters there. He endorses Senator Clinton for president, but about the same time that deal is reached, there's another. The Clinton campaign hires a P.R. firm owned by Jackson to work the primary season and beyond. Jackson says for at least $10,000 a month.</s>DARRELL JACKSON (D), SOUTH CAROLINA STATE SENATE: I personally believe she is the best candidate. It is not about the contract. It is not about the money.</s>TODD: Jackson tells CNN he was courted by other top Democrats, including Barack Obama and John Edwards. One of them offered his firm more money than Mrs. Clinton's campaign, he says, and the firm turned that down. Jackson points out he does not draw a salary from his firm, and there's nothing illegal about a candidate hiring the firm of a politician who has endorsed them. But one analyst says that arrangement make's Jackson's endorsement less effective.</s>ROGER SIMON, POLITICO.COM: The endorsement doesn't work because people want to believe endorsements are sincere. And perhaps this is sincere, but once you take cash at around the same time you make your sincere statement, people say, wait a second.</s>TODD: A spokesman for Hillary Clinton's campaign says up front they went after Jackson. The spokesman says Jackson's support and his firm are highly sought after by many campaigns and says, "It's insulting to him to think there's anything shady about this." Jackson has another concern.</s>JACKSON: What is somewhat offensive is for anyone to imply that the only reason a prominent African-American will endorse Senator Clinton is because he is being paid off.</s>TODD: Challenged by state senator Jackson, we found at least one other similar case in the same state. Former South Carolina House majority leader Rick Quinn, who's white, is supporting John McCain for president. Quinn's father tells us his son's mail processing firm and his own P.R. firm have been hired by McCain in the past and will likely be again. We should point out, however, Quinn has been out of the state legislature for about two years now -- Wolf.</s>BLITZER: All right, Brian. Thank you for that. A hundred thousand dollars, a private jet, not bad for a single speech. And that's just what some likely Republican presidential candidate -- in this particular case, Rudy Giuliani -- commands right now. CNN's Mary Snow is watching this story from New York. She's joining us -- Mary.</s>MARY SNOW, CNN CORRESPONDENT: Well, Wolf, with Rudy Giuliani hitting the campaign trail, his life as corporate citizen is coming under the microscope. At the same time, he's scaling back his appearances on the speaker circuit.</s>SNOW (voice over): He's best known as "America's mayor". And since leaving public office, Rudy Giuliani has capitalized on that, giving motivational speeches like this one in San Diego Wednesday.</s>RUDY GIULIANI (R), PRESIDENTIAL CANDIDATE: We had to cover up the buildings that we thought were going to be attacked.</s>SNOW: Giuliani can command $100,000 for an event. That's how much the Student Speaker's Bureau at Oklahoma State University paid him last March. Plus, another $47,000 for a private jet. In a contract obtained by CNN, Giuliani's travel requirements were quite specific. The private aircraft must be a Gulfstream IV or bigger. He didn't end up using them, but also requested in the contract were five hotel rooms, including one for Giuliani, that was to be a large two-bedroom nonsmoking suite with a king-size bed on an upper floor with a balcony and view if applicable. Political strategists say these type of contracts are not uncommon.</s>DAVID WINSTON, REPUBLICAN STRATEGIST: I don't think it's anything out of the ordinary. However, having said that, he's a presidential candidate. Everything he's done in the past is going to come under scrutiny.</s>SNOW: By comparison, former president Bill Clinton averages about $150,000 per speech. Former secretary of state Colin Powell was paid $75,000 at a speaking event last year. A Giuliani campaign spokeswoman confirms a "Washington Post" report that Giuliani is now holding off on taking any more fees while his camp consults with the Federal Election Commission. Under FEC rules, candidates who don't hold office can accept money for speeches as long as they're not campaign-related. Years before Giuliani became a candidate, some of his speeches attracted attention, including one to the South Carolina Hospital Association in February 2005. After signing on, the event was changed to a fund-raiser for victims of the tsunami that hit Asia. Giuliani was reportedly paid $100,000 to speak and donated $20,000 of it to charity. A local Republican lawmaker protested.</s>TRACY EDGE (R), SOUTH CAROLINA STATE HOUSE: I really thought that just on that one night for a charitable of that magnitude, he could have charged nothing. I think that would have been the noble thing to do.</s>SNOW: A Giuliani aide tells CNN following the controversy, Giuliani felt badly about the whole thing and wrote another check for $60,000 to the charity.</s>SNOW: Now, Giuliani's speaking fees are just a small part of his larger business, Giuliani Partners, sure to come under examination as he continues on the campaign trail. A Giuliani aide says, "People understand Rudy Giuliani has been in the private sector. They understand the difference between public and private" -- Wolf.</s>BLITZER: Does he still have some of these paid speaking engagements on his schedule?</s>SNOW: He does, Wolf, and these were engagements scheduled before he announced his exploratory committee, and this is what his campaign is now looking at with the FEC about how to go forward.</s>BLITZER: Mary Snow reporting for us. Thank you, Mary. So what about the rest of the field? Former senator John Edwards and former governors Mitt Romney, Mike Huckabee and Tom Vilsack are among the other private citizens making the run for the White House. The rest are al public officials. Senators like Hillary Clinton, Barack Obama, John McCain, as well as the rest of the members of the Congress running for president are prohibited for accepting speaking fees. And state officials like New Mexico governor Bill Richardson also faced strict limits on earning cash for their speeches. Up ahead, you can't always get what you want. Before the war, top U.S. military planners predicted the Iraq war would mostly be over by now, with only 5,000 U.S. troops left there. That's from a startling new revelation that has many wondering how their predictions could have been so wrong. And no peace, even after death. There are new developments regarding the fierce fight over the body of Anna Nicole Smith. We'll have the latest. Stay with us. You're in THE SITUATION ROOM.