US Interior Department Inspector General Earl Devaney conducted the investigation into MacDonald's activities and documented comments by other US Interior Department officials who characterized MacDonald as favoring developers by "manipulating science" in an effort to meet her policy goals as a political appointee. US Rep. Nick Rahall (D-WV), chairman of the US House Natural Resources Committee, officially released Devaney's report and said he plans to conduct a hearing in May to address concerns "on whether politics is infiltrating decisions" by governmental officials on environmental issues.

In Friday's White House press briefing White House spokesperson Dana Perino contradicted told reporters that despite any reports to the contrary, the President has "100 percent confidence" in Gonzales.

The CRRA and Enron deal that went into effect in March 2001 called for Enron to buy power produced at CRRA's trash-to-energy plant in Hartford and pay the agency nearly $2.4 million a month for more than 11 years. Under the agreement, CRRA transferred $220 million to Enron.

Enron, once the nation's seventh-largest company, sought bankruptcy protection in December 2001 when it could no longer hide billions of dollars in debt. The collapse wiped out thousands of jobs, more than $60 billion in market value and more than $2 billion in pension plans. Several executives were convicted and sent to prison.

The company stopped paying the CRRA after filing for bankruptcy protection.

Murtha Cullina did not admit any wrongdoing, and Blumenthal's office agreed to drop its lawsuit in return for the firm's cooperation in other lawsuits involving the failed Enron deal.

Blumenthal said the state has now recouped nearly $151 million of the $220 million lost by CRRA, which serves 118 Connecticut cities and towns.

''This $16.25 million recovers for the law firm's key contribution to the Enron catastrophe — misadvising CRRA about looming financial debacle and legal disaster in the deal,'' Blumenthal said.

The state has sued numerous major banks, accounting firms, rating agencies and other financial institutions across the country over the Enron deal, claiming they contributed to the company's fraud. Some of the cases have been settled, while about 20 others remain pending in federal court.

Late last year, the state reached a $21 million settlement with Hawkins, Delafield & Wood LLP, another law firm involved in the deal.

Blumenthal said Murtha Cullina failed to recognized the deal's flaws.

Alfred E. Smith Jr., managing partner for the law firm, maintained that its advice to the CRRA was proper, given the information at the time.

''The settlement appropriately reflects our long-held position that we did nothing wrong in this matter,'' Smith said Thursday. ''We settled because, despite the strength of our legal case, any litigation is uncertain.''

Smith said that at the time of the deal, no one knew that Enron was on the verge of collapse. He said many ratings agencies and other financial institutions believed Enron was stable.

''Looking back ... I'm sure none of us would have been involved (with Enron),'' Smith said.

CRRA officials had called the Enron deal a legitimate energy transaction, but Blumenthal said it was an illegal loan.

"I can tell you that the president has confidence in him," said Deputy White House press secretary Dana Perino. President Bush "believes the attorney general can overcome the challenges that are before him," she said.

On Thursday, former Gonzales aide Kyle Sampson told a Senate hearing that rather than merely signing off on the firings, as Gonzales has repeatedly stated, Gonzales was in the middle of things from the beginning.

"I don't think the attorney general's statement that he was not involved in any discussions of U.S. attorney removals was accurate," Sampson told a Judiciary Committee inquiry into whether the dismissals were politically motivated.

"I remember discussing with him this process of asking certain U.S. attorneys to resign," Sampson said.

Sampson also told the panel that the White House had a large role in the firings, with one-time presidential counsel Harriet Miers joining Gonzales in approving them. And under questioning from Sen. Chuck Schumer, D-N.Y., Sampson said that looking back, he should not have advocated the firing of one prosecutor in particular, New Mexico's David Iglesias.

Congress began its spring break Friday, but there were intense activities taking place behind the scenes.

Michael Elston, chief of staff to Deputy Attorney General Paul McNulty, and three other Justice Department officials arrived on Capitol Hill Friday morning for what aides said would be a five-hour closed meeting with House and Senate Judiciary Committee officials.

McNulty in early February testified before Congress that seven of the U.S. attorneys were fired for performance reasons, and that one, Bud Cummins in Little Rock, Ark., was being moved out so that he could be replaced by a former aide to White House political adviser Karl Rove.

Gonzales was upset with McNulty's testimony afterwards and would have preferred that he said all eight were fired for performance reasons, according to Justice Department e-mails forwarded to the two committees. Bush has since criticized the department for not giving Congress an accurate account of the firings.

DAVID Hicks's sentence will be "substantially less" than 20 years in jail, the US military's chief prosecutor said today.

Hicks's sentencing will begin late tonight (Australian time) and both the defence and prosecution have been tight-lipped since Hicks's guilty plea on Monday about what sentence they will recommend.

Chief prosecutor Colonel Morris Davis declined to say today whether a plea deal had been reached with Hicks' defence lawyers, but he gave insight into what Hicks may receive.

John Walker Lindh, dubbed "The American Taliban", was sentenced to 20 years' jail in 2002 and for months Col Davis had used Lindh as a benchmark for Hicks' sentence.

However, Hicks's guilty plea would reduce the sentence prosecutors asked for, Col Davis said.

Asked today about Hicks' potential sentence, Col Davis said the sentence prosecutors will ask for would be much lower than Lindh's 20 years.

"I think you'll find when we get to argument we will argue for something substantially less than John Walker Lindh," Col Davis said at Guantanamo Bay military base.

Hicks's sentencing proceedings are due to begin tomorrow at 8am local time (10pm Friday AEDT).

Hicks, 31, on Monday pleaded guilty to a charge of providing material support for terrorism.

The case comes on appeal from the US Court of Appeals for the Seventh Circuit, which held in January that the shareholder's complaint had enough detail to establish "a strong inference that knew had exaggerated its revenues." This case is one of several cases being considered by the Supreme Court where companies hope to limit class actions suits against them. On Monday, the Court agreed to consider whether shareholders of companies that commit securities fraud should be able to sue investment banks, lawyers, and auditors that allegedly also participated in the fraud. The Court heard arguments Tuesday in a case involving shareholders seeking damages from banks that allegedly violated antitrust laws.

Texas Governor Rick Perry Tuesday signed into law a new so-called "shoot first" law, which allows state residents to use deadly force to respond to threats in their homes, cars, and at jobs. The bill, also known as a "stand your ground" law, was approved by large majorities in both houses of the Texas Legislature. In his statement, Perry said "The right to defend oneself from an imminent act of harm should not only be clearly defined in Texas law, but is intuitive to human nature." The legislation, which requires that the person defending themselves be unprovoked, also provides civil immunity for any justified action under the law. The Texas law takes effect September 1, 2007.

Georgia enacted a similar law last July, and Florida adopted a "shoot first" law in 2005. Alabama, Indiana, Kentucky, Mississippi and South Dakota all have enacted similar legislation as well. The Brady Campaign to Prevent Gun Violence has continually called such legislation "phenomenally dangerous," but the National Rifle Association maintains that these laws are necessary to protect innocent citizens.