HUD Secretary Resigns amid Contract Scandal

By Diane Smith
12:33, April 1st 2008
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HUD Secretary Resigns amid Contract Scandal

Housing and Urban Development Secretary Alphonso R. Jackson resigned amid growing tension over several federal investigations about multimillion-dollar HUD projects the secretary allegedly gave to some associates of his.

Jackson’s resignation was made official yesterday and is effective April 18.

The resignation stirred mixed reactions. Senate Banking, Housing and Urban Affairs Committee Chairman Christopher J. Dodd was very positive about Jackson’s resignation. He said that the ex-Housing Secretary couldn’t provide the necessary leadership to confront the housing problem due to the "cloud of various investigations" he was under.

"I hope this change in personnel will be matched by a change in policy that brings real solutions to the housing crisis that has triggered this economic recession. I stand ready to work with the president and his new HUD secretary to that end," said Dodd.

During his farewell speech at HUD headquarters Monday, Jackson didn’t say anighting about the federal investigations, the most important cause of his resignation. After announcing his tenure will end on April 18, Jackson focused his speech on what he had accomplished so far as secretary of the HUD and expressed his hope that that would be his legacy.

He would most certainly like to be remembered for keeping vulnerable families in their homes or reviving the public housing. Nevertheless, his name will most likely be linked to his controversial statements and the contracts scandal.

Since he took over as secretary, Jackson was the subject of controversy on more than one occasion. Just two months after his confirmation as housing secretary, Jackson made a controversial remark in front of a House panel. He said he believed poverty “is a state of mind, not a condition.”

Two years late he admitted canceling a contract for a company because its president told him he doesn’t like Mr. Bush.

Jackson has been under investigation by the Justice Department and the housing department’s inspector general for allegedly giving lucrative housing contracts to close associates. Several of Jackson’s employees had been interviewed by the FBI.



Image Credit: www.ncjrs.gov
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