I freely admit that I have not been following this story so if there is more proof that is not circumstantial I would be happy to see it. If there isn't I'm not sure that the claim that the story is “growing legs” is true outside of the blogosphere.
From the DSA or New Party Website:
This has resulted in a winning ratio of 77 of 110 elections. Candidates must be approved via a NP political committee. Once approved, candidates must sign a contract with the NP. The contract mandates that they must have a visible and active relationship with the NP.
The political entourage included Alderman Michael Chandler, William Delgado, chief of staff for State Rep Miguel del Valle, and spokespersons for State Sen. Alice Palmer, Sonya Sanchez, chief of staff for State Sen. Jesse Garcia, who is running for State Rep in Garcia’s District; and Barack Obama, chief of staff for State Sen. Alice Palmer. Obama is running for Palmer’s vacant seat.
http://www.chicagodsa.org/ngarchive/ng42.html#anchor792932
http://www.chicagodsa.org/index.html
Also this page tells a bit more about the contract Obama and others signed.
http://web.archive.org/web/20011214054258/www.greens.org/s-r/12/12-03.html
Chapters generally require endorsed candidates to sign a contract, with requirements that they be NP members, identify as such, support the NP principles and program, and work to build NP chapters.
Absolutely correct! This story isn't growing legs -- it's maybe growing gills. Until it breaks out of the right-wing blogosphere (and despite my respect for it, American Spectator is a right-wing blog,) it's going nowhere. File it somewhere next to the birth certificate stories.