WASHINGTON (CNN) - President-elect Barack Obama defended his Treasury Secretary-designate Tim Geithner on Wednesday amid reports that Geithner failed to pay the correct amount on his taxes for a time and employed a housekeeper whose work authorization had expired.
Watch: Obama defends Geithner
Obama told reporters he did not think the controversy would jeopardize Geithner's confirmation. "Tim Geithner, when I nominated him, was rightly lauded by people from both sides of the aisle, from the market, from labor, as somebody who was uniquely qualified."
Obama said it was an embarrassment for Geithner, president of the Federal Reserve Bank of New York, but called it "an innocent mistake."
"It has been corrected. He's paid the penalties. ... So, my expectation is that Tim Geithner will be confirmed. And my expectation is that he is going to do an outstanding job on behalf of the American people," he added.
Geithner received immediate backing from Republican Sen. Lindsey Graham of South Carolina, who met with Obama on Wednesday.
Geithner "has a great resume," Graham said. "I don't see any desire by the Republican Party to play 'gotcha' on something like this. We need a new secretary of the treasury who understands where this country is at financially and has a game plan to move forward. I think he's the right guy."
But other Senate Republicans are demanding more answers on the issue.