ALASKA - SEVEN Alaska state employees have reversed course and agreed to testify in an investigation into whether Republican vice presidential nominee Sarah Palin abused her powers by firing a commissioner who refused to dismiss her former brother-in-law.

There is no indication, however, that Mrs Palin or her husband will now agree to testify about the case, which has dogged her for the past several months and could hurt Republican nominee John McCain in the final weeks of the presidential race.

Mrs Palin, a first-term Alaska governor, is the focus of a legislative inquiry over her firing of Public Safety Commissioner Walt Monegan a year after she, her husband and key advisers began questioning him about getting rid of a state trooper who had gone through a nasty divorce with her sister.

Mr Monegan says he was dismissed because he would not fire the governor's former brother-in-law, but Mrs Palin contends he was dismissed for insubordination.

McCain operatives called Mr Monegan a 'rogue' who repeatedly tried to work outside normal channels for requesting money.

Lawmakers subpoenaed seven state employees to testify in the inquiry but they challenged those subpoenas. After a judge rejected a similar challenge brought by state lawmakers last week, the employees decided to testify, Alaska Attorney General Talis Colberg said.

Democratic state Senator Hollis French, who is managing the investigation, said that, following the court ruling, he again asked Mrs Palin and her husband, Todd, whether they planned to testify.

'We've had no response,' Mr French said on Sunday.

Mrs Palin says the legislative inquiry has become too political and she believes that only the state's personnel board should oversee the inquiry. Mrs Palin has the authority to fire the members of that board.

Alaska's Supreme Court, meanwhile, is considering whether to block the findings of the legislative inquiry. The high court scheduled arguments for Wednesday over whether the case is being manipulated to hurt Mrs Palin before Election Day on Nov 4.

The independent investigator conducting the probe plans to turn over his conclusions on the case by next Friday to the Legislative Council, the body that authorised it. -- AP