Sen. Arlen Specter was involved in a personal financial transaction with a federal judicial nominee, his Philadelphia neighbor whom he recommended, while the nomination was pending before his Senate committee and the full Senate. In 1981, Specter and his wife received three mortgages on a Georgetown condominium from a pension plan set up by Specter's then-law firm, Specter and Katz. Kate Kelly, a Specter spokeswoman, said Specter and his former partner were the only contributors to and beneficiaries of the plan. In late 2001, Michael M. Baylson, now a federal district judge in Philadelphia, was trustee of the pension plan...