Kirk to return Goldman Sachs donations

Congressman Mark Kirk said he plans to return campaign contributions from employees of Goldman Sachs Group Inc. to his campaign for a U.S. Senate seat once held by President Barack Obama in Illinois.

"I will err on the side of caution," Kirk said at a news conference in Chicago.

Kirk said his campaign is still determining how much Goldman employees donated to him. He made the announcement after his Democratic opponent, Illinois Treasurer Alexi Giannoulias, criticized him today for taking money from the firm's employees.

"For Wall Street bankers, a campaign contribution to Mark Kirk must be viewed as a pretty good investment," Matt McGrath, a Giannoulias spokesman, said in a statement. "He takes their money and votes their way every single time."

Obama and Democrats in Congress are confronting Republican opposition to legislation to overhaul U.S. financial regulations.

The debate is getting under way against the backdrop of a civil suit filed by the Securities and Exchange Commission that targeted Goldman Sachs, alleging the bank created and sold collateralized debt obligations linked to subprime mortgages in early 2007 without disclosing that hedge fund Paulson & Co. helped pick the underlying securities and bet against the vehicles.

Kirk, 50, a five-term Republican congressman from Chicago's northern suburbs, raised $2.2 million during the first quarter of 2010 and ended the period with more than $3 million in the bank, his campaign said in a statement.

Giannoulias, 34, raised $1.2 million during the first quarter.

The Senate seat is held by Democrat Roland Burris, who isn't seeking a full term.

A poll by Public Policy Polling released April 6 showed Kirk leading Giannoulias by 37 percent to 33 percent, with 30 percent undecided. The survey of Illinois voters was conducted April 1 to April 5 and has a margin of error of 4 percentage points.