Cheney aide indicted

WASHINGTON — I. Lewis "Scooter" Libby, Vice President Cheney's chief of staff, resigned Friday after being indicted for lying in the investigation of the leak of a covert CIA operative's identity.

Libby was charged with obstruction of justice, two counts of perjury and two counts of making false statements in the leak investigation.

"When a vice president's chief of staff is charged with perjury and obstruction of justice, it does show the world that this is a country that takes its law seriously; that all citizens are bound by the law," special counsel Patrick Fitzgerald said.

In a statement issued after Libby left the White House, Cheney said he had accepted the resignation "with deep regret. Scooter Libby is one of the most capable and talented individuals I have ever known."

President Bush told reporters that Libby "has worked tirelessly on behalf of the American people and sacrificed much in the service to this country. While we're all saddened by today's news, we remain wholly focused on the many issues and opportunities facing this country."

Libby, 55, had been Cheney's top adviser since 2001. He also was Cheney's national security adviser and an assistant to Bush.

It was a politically damaging blow to a White House already beset by a failed Supreme Court nomination and lagging public support for the war in Iraq. But the fact that only Libby was charged with wrongdoing also meant the Bush administration's worst fears weren't realized. There had been concern that White House deputy chief of staff Karl Rove might be swept up in the prosecutor's legal net as well.

Rove still could be in legal jeopardy. The term of the grand jury that brought the indictment expired Friday and the "substantial bulk of the work in this investigation is concluded," Fitzgerald said at a news conference. But "it's not over," he said, and another grand jury could be used to "consider other matters."

Rove remains under investigation, his lawyer, Robert Luskin, said. "Karl will continue to fully cooperate with the investigation, and we are quite confident (Fitzgerald) will reach the right decision when he's done," Luskin said.

The indictment marked the first finding in a 22-month investigation by Fitzgerald, who has been exploring whether Rove, Libby or other administration officials knowingly revealed the identity of CIA officer Valerie Plame.