He will say later that it impacted his ability, there needs to be some background understanding.

10:11AM Thomas says it's pretty clear this is Hearsay. Hertel is not a defendant. This is a guise to bring in information of what Hertel said.

Kwame is shaking his head violently and writing a note. He is completely at odds with what is being said.

Thomas says that Hertel wasn't engaged except to raise money.

10:12AM Judge says there are a number of cases that the context of Hobbs Act that says what usually is hearsay may be admissible if it goes towards "climate of fear."

10:13AM Chutkow says state of mind applies. Want to make clear that purpose is not to say he is extortion victim.

10:14AM Judge says state of mind here as long as she explains to jury this not being offered as truth but only what was going through Rutherford's head at the time.

Judge leaves the courtroom. so basically it sounds like this is a hearsay exception. the government will continue its course of questioning but with clear directions from the judge to the jury about what they will hear.

Break is for 15 minutes.

10:28AM Still on break but playing an old media clip of Local 4's Guy Gordon that will obviously be played when we resume again. He was with Channel 7 at the time.

Chutkow has been chit chatting with Rutherford. May have misheard Rutherford but it sounded like he just told Chutkow he turned down playing with the Phillies to go to college.

10:30AM Everyone filters back in. Bobby has got a bag of nuts he is throwing into his mouth. Didn't think anyone was allowed to bring snacks into the courtroom.

10:36AM Judge Edmunds returns to the courtroom.

Jurors seated. Judge instructs them on evidentiary matter. Talking about allocation of 21st Century funs. Wants to make sure that Rutherford's testimony not being offered as the truth as that. Just offered as his state of mind, what he believed. What was in his mind not necessarily true but government wants to show his motivations. It's not a given that he was told anything about it. Not told except as what was in his mind.

Exhibit RUTH 3- a check from DPR LLC to 21st Century Fund dated September 27th 2000 for $50,000. signed by an employee of Rutherford's.

In 2 week period gave $100,000 to 21st Century Fund.

Curtis Hertel no longer Speaker of the house at time of donations. Money to fund house races in state of Michigan.

Witness says Kwame Kilpatrick responsible for allocations. Says he spoke to Kwame at a later date about contributions.

Rutherford says he wrote the 2 $50k checks only with conditions. One, that Kwame gets to distribute the funds. If the won, he'd get to be speaker of the House and if the louse, he'd be minority leader. It was clear those were my 2 conditions.

That was the understanding I had when I wrote the checks.

Was Kwame elected floor leader? He won his election and became floor leader of the democratic party.

After he was elected house minority leader, witness talked to him about it. but can't give specific date.

Exhibit RUTH 4: a check from DPR Management LLC to Tatum Eason on October 13th 2000 for $5,000.

Exhibit RUTH 5- another check from DPR to Tatum Easun on October 18th 2000 for $18,000.

Witness says Eason worked for him throughout the years. He worked in radio and had contacts in the media. a person "who comes out of the woodwork during election time." Hired him to do work on radio show. Eason also close to ministers in Detroit.