FBI TO PROBE WHITE HOUSE IN FILES DISPUTE.

Byline: Angie Cannon Knight-Ridder Tribune News Wire

Attorney General Janet Reno ordered the FBI on Tuesday to conduct a complete investigation into White House conduct in controversy over the FBI background files.

Reno was informed Tuesday by the office of independent counsel Kenneth Starr that he does not have the jurisdiction to further investigate the circumstances under which the White House obtained sensitive FBI background files, including some belonging to prominent Republicans, in 1993-94.

In a two-paragraph statement from the Justice Department, Reno said Starr's office also told her that if another investigative or prosecutorial office were now to investigate the FBI files, it would not impede his Whitewater investigation.

Last week, FBI general counsel Howard Shapiro said he was not able to conduct a complete investigation because Starr had asked him not to interview any White House staffers.

If the FBI were to find any evidence of wrongdoing, it's possible criminal charges could be brought, possibly through another independent counsel.

Friday, in ordering tough, new measures to protect background files from improper use, FBI Director Louis J. Freeh said: ``The prior system of providing files to the White House relied on good faith and honor. Unfortunately, the FBI and I were victimized. I promise the American people that it will not happen again on my watch.''

During 1993-94, the White House requested and received sensitive background files on 408 people, including several well-known members of the Bush and Reagan administrations. Among the names were former Secretary of State James A. Baker III, and former Press Secretaries Marlin Fitzwater and James Brady.

The FBI's report released Friday concluded that those reports were sent to the White House ``without justification'' and that ``egregious violations of privacy'' had taken place.

But the report drew no conclusions about White House motives, as Starr had asked Shapiro not to interview White House aides.

Republicans, who plan to hold congressional hearings beginning today, have compared the White House actions to President Nixon's enemies list.

President Clinton, however, has said the whole thing was a ``completely honest bureaucratic snafu'' and has apologized.

Starr initially looked into the FBI files matter because he is investigating the White House purge of its Travel Office staff. Two of the requested files were of fired Travel Office employees.

A week ago, Starr called Anthony Marceca, an employee of the Army Criminal Investigation Division, before his grand jury to discuss the file requests he made in 1993-94 while temporarily assigned to the White House Personnel Office. Marceca also is a veteran of several Democratic presidential campaigns.

He is a friend and political ally of White House personnel security head Craig Livingstone, a veteran political operative with little security background.

White House counsel Jack Quinn disclosed Monday night that Livingstone is taking a paid ``administrative leave'' while the investigations are pending. If Livingstone does return, it will be to diminished responsibilities, the White House said.