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          WORLD> America
          Gregg withdraws as commerce secretary nominee
          (Agencies)
          Updated: 2009-02-13 09:52

          WASHINGTON -- Saying, "I made a mistake," Republican Sen. Judd Gregg of New Hampshire abruptly withdrew as commerce secretary nominee on Thursday and drew a testy reaction from the White House, suddenly coping with the third Cabinet withdrawal of Barack Obama's young presidency.

          In this Feb. 3, 2009 file photo, then-Commerce Secretary-designate Sen. Judd Gregg, R-N.H., speaks in the Grand Foyer of the White House in Washington.  [Agencies] 

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          Gregg cited "irresolvable conflicts" with Obama's handling of the economic stimulus and 2010 census in a statement released without warning by his Senate office.

          Later, at a news conference in the Capitol, he sounded more contrite.

          "The president asked me to do it," he said of the job offer. "I said, 'Yes.' That was my mistake."

          Obama offered a somewhat different account from Gregg.

          "It comes as something of a surprise, because the truth, you know, Mr. Gregg approached us with interest and seemed enthusiastic," Obama said in an interview with the Springfield (Ill.) Journal-Register. "But ultimately, I think, we're going to just keep on making efforts to build the kind of bipartisan consensus around important issues that I think the American people are looking for."

          White House spokesman Robert Gibbs said once it became clear Gregg was not going to support some of Obama's top economic priorities, it became necessary for Gregg and the administration "to part ways," Gibbs said. "We regret that he has had a change of heart."

          Gregg said he'd always been a strong fiscal conservative. "It really wasn't a good pick." When the Senate voted on the president's massive stimulus plan earlier this week, Gregg did not vote. The bill passed with all Democratic votes and just three Republican votes.

          The unexpected withdrawal marked the latest setback for Obama in his attempt to build a Cabinet. It came as the new president expended political capital in Washington - and around the country - for his economic package.

          Treasury Secretary Tim Geithner was confirmed despite revelations that he had not paid some of his taxes on time, and former Senate Democratic Leader Tom Daschle withdrew as nominee as health and human services secretary in a tax controversy.

          New Mexico Gov. Bill Richardson of New Mexico was Obama's first choice as Commerce Secretary. He withdrew several weeks ago following disclosure that a grand jury is investigating allegations of wrongdoing in the awarding of contracts in his state. Richardson has not been implicated personally.

          Gregg was one of three Republicans Obama had put in his Cabinet to emphasize his campaign pledge that he would be an agent of bipartisan change.

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