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Obama nominee Daschle withdraws Obama suffers blow over nominees
(10 minutes later)
Former Senator Tom Daschle has withdrawn his nomination to be US heath and human services secretary after a controversy involving unpaid taxes.Former Senator Tom Daschle has withdrawn his nomination to be US heath and human services secretary after a controversy involving unpaid taxes.
US President Barack Obama said he had accepted his nominee's withdrawal "with sadness and regret".US President Barack Obama said he had accepted his nominee's withdrawal "with sadness and regret".
It was revealed last week that Mr Daschle, an early backer of Mr Obama, had failed to pay $120,000 in taxes.It was revealed last week that Mr Daschle, an early backer of Mr Obama, had failed to pay $120,000 in taxes.
He is the latest in a series of Obama nominees to run into difficulties over unpaid taxes or business dealings.He is the latest in a series of Obama nominees to run into difficulties over unpaid taxes or business dealings.
In January, New Mexico Governor Bill Richardson announced he was withdrawing from consideration as commerce secretary because of an investigation into a company that has done business with his state. Only hours before Mr Daschle pulled out of the process, Nancy Killefer, nominated by Mr Obama to be the government's budget watchdog also withdrew over tax issues.
In January, New Mexico Governor Bill Richardson announced he was withdrawing from consideration as commerce secretary after an investigation was launched into a state contract that had been given to his campaign donors.
Republican Senator Judd Gregg was on Tuesday appointed instead, the second from his party to join Mr Obama's cabinet.
US Treasury Secretary Timothy Geithner was confirmed last week only after long arguments over his failure to pay $34,000 (£24,500) in taxes he owed until shortly before he was nominated.
Announcing his withdrawal, Mr Daschle, the former Senate Democratic leader, said he would have not been able to operate "with the full faith of Congress and the American people".
He said he would "not be a distraction" to Mr Obama's agenda.
The BBC's James Coomarasamy in Washington says the withdrawal of two nominees in a day appears to reveal the extent to which Mr Obama's public calls for a new era of responsibility are being undermined by the growing number of his nominees facing tax problems.