CEF - IRS Complaint

EXHIBIT P

February 02, 2001, FRIDAY, Late Sports Final Edition

SECTION: NEWS; Pg. 3

LENGTH: 421 words

HEADLINE: Who paid for mistress' move?;
Jackson's organization doled out $ 36,000 in fees

SOURCE: SUN-TIMES WASHINGTON BUREAU

BYLINE: BY LYNN SWEET

DATELINE: WASHINGTON

BODY:

A clearer picture is emerging of the financial negotiations Jesse Jackson's mistress, the mother of his 20-month-old baby girl, conducted to bankroll her move to Los Angeles.

Karin Stanford, the former chief of Jackson's Washington operation, originally asked for a $ 40,000 package, money to help finance a house and a consulting contract, Jackson spokesman John Scanlon said Thursday.

The deal, which spelled out that the money was for real estate, got the tentative approval of Janice Mathis, general counsel for the Chicago-based Rainbow; PUSH Coalition and a board member of the related Citizenship Education Fund. Jackson's son Jonathan is president of tax-exempt CEF, and Jackson's wife, Jacqueline, is on the board.

Since the National Enquirer broke the story about Jackson's affair and baby, born in May 1999, Rainbow; PUSH and CEF officials have offered conflicting information about money paid to Stanford.

Scanlon offered details and documentation Thursday because the Enquirer is scheduled to come out with a story that Jackson helped his mistress buy a house. That is not true, Scanlon said.

A CEF executive -- Scanlon did not know who -- said the original package was too much, and "that $ 40,000 was completely rescinded," he said.

Scanlon provided a printout from a CEF accounting ledger that showed Stanford got a $ 15,000 "employee reimbursement" on Oct. 5, 1999.

She received $ 20,000 on Dec. 17, 1999, for "consulting services" and two other $ 500 consulting payments in April 2000. With $ 181.30 in other reimbursements, the total paid to Stanford amounts to $ 36,181.30.

Scanlon said he had no idea how Stanford used the money. "Her reimbursements and compensation are entirely her business."

For the first time, Stanford's contract with CEF also was released, signed on Dec. 15, 1999, by Dahlia E. Hayles, the director of CEF's Media and Telecommunications Project. Jackson has been very involved in telecommunications issues. The two-page contract called for Stanford to provide a research paper "on behalf of the Media and Telecommunications Project."

Scanlon said the 150-page report is on the digital divide, the use of the Internet in urban communities and related topics. The release date has not been finalized.

Stanford also had a consulting contract that a source said paid $ 10,000 a month from Yucaipa Companies in Los Angeles, whose managing partner Ron Burkle has been a financial supporter of Jackson's projects. Rainbow; PUSH was a beneficiary of her research.

GRAPHIC: Officials in the Rev. Jesse Jackson's Rainbow; PUSH Coalition have offered conflicting information about money paid to his mistress. ; JOHN H. WHITE

LOAD-DATE: February 06, 2001