WASHINGTON — An independent counsel's investigation of Atty. Gen. Edwin Meese III's involvement with scandal-plagued Wedtech Corp. has focused partly on whether Meese supplied his longtime friend E. Robert Wallach with sensitive law-enforcement information about a criminal probe of Wedtech, sources said Thursday.
The investigation of Meese by independent counsel James McKay has found that the attorney general did receive some information from Justice Department subordinates about a probe of Wedtech launched last fall by the office of U.S. Atty. Rudolph Giuliani of New York, according to Administration and law enforcement sources who spoke on condition of anonymity.
But it appears unlikely that Meese will be indicted because the probe has failed to turn up any evidence that Meese benefited financially from his involvement with Wedtech, the sources said.
They also said McKay has found no evidence that Meese passed along information about the government's inquiry.
Wallach, a San Francisco attorney, was paid $1.3 million by Wedtech from 1981 through 1986.
Meese acknowledged on April 6 that as White House counselor in 1982 he had interceded on behalf of Wedtech at Wallach's request. Meese said the White House wanted to ensure that the company got a fair hearing from the Army in being considered for a contract.