The State Department will likely fine Blackwater millions of dollars, the largest private security company operating in Iraq, for shipping weapons to Iraq without the proper permits. The company, which faced investigation in 2007 for its role in the killing of 17 Iraqi civilians, has been accused of arms trafficking, charges the company denies. No criminal charges have been filed. (McClatchy)

Former government lawyers are speculating that the Obama and Bush administrations will come to an "unsatisfactory compromise" on whether White House officials must testify about their role in the firing of nine U.S. attorney generals. Congress has subpoenaed top Bush aides Joshua Bolten and Harriet Miers for documents pertaining to the scandal, but the White House claims executive privilege. A September Justice Department report faulted the Bush administration for stonewalling a DOJ investigation of the affair. (AP)

Three Asian electronics companies pleaded guilty to a price fixing scheme and will pay a $585 million fine, the second highest criminal fine to come out of a Justice Department antitrust investigation. The agreement, settled in a San Francisco court, related to LCDs, the liquid crystal display monitors used in items like laptops and cell phones, which are also the subject of regulator's inquiries in Asia and Europe. (AP)

Rep. William Jefferson (D-LA), who awaits trial for 16 counts of bribery, yesterday lost his appeal for a review of the evidence used against him. Jefferson, the incumbent in Louisiana's general election, postponed until December due to Hurricanes Gustav and Ike, maintained that he was protected by the Constitution's "speech or debate" clause, which forbids actions connected to legislative activity from being used in court. Jefferson's corruption trial had been delayed to allow for a ruling on the appeal. (Washington Post)

The guilty verdicts for Illinois fundraiser Tony Rezko, convicted in June on 12 counts of corruption, will stand, a judge ruled yesterday, dashing Rezko's hopes for a retrial. Rezko's indictment was the product of an ongoing federal investigation into Illinois' notoriously mucky politics, including governor Rod Blagojevich. Before the presidential race, Rezko was a top contributor in Barack Obama's political campaigns. (AP)

A judge sentenced 68-year-old Alaska businessman Bill Weimar to six months in prison and a $75,000 fine for attempting to bribe state politicians. Weimar, who pleaded guilty in August, was rounded up during the federal investigation of Alaskan corruption, a probe that has resulted in convictions of three state lawmakers and Sen. Ted Stevens (R-AK), two more indictments, and five guilty pleas. (Anchorage Daily News)