Gonzales hasn't contradicted the story.

Just of some interest, there has been no denial yet from anybody that Al Gonzales, Paul McNulty, and Robert Mueller threatened to resign over the FBI's search of Rep. Jefferson's office. "Spokesmen for the White House, Cheney's office, the Justice Department and the FBI declined to comment, saying they would not discuss internal deliberations."

Also, it does appear that Hastert, Pelosi, and Frist have all backed down after meeting with Gonzales.