There were no Secret Service agents present while The President was defending himself. There was a photographer, however, and he captured the moment for posterity. Carter was miffed that White House staff didn't believe what happened, so he insisted that the photos be blown up and distributed, so of course they leaked, as well. Apparently there were no other major events at the time, so this became a big story.
But it was more than a silly and embarrassing tale. It became a metaphor for Carter's presidency: a feckless man flailing away at his problems, in this case a bunny rabbit. It's still comedy gold to the right. He'd just presided over the signing of the Egypt-Israel Peace Treaty, was thought to have handled Three Mile Island well, but this trifling event still diminished him further in the eyes of many Americans. The rest of the year would do little to change that.
Of course, a lot of us thought of this when the story came out...
h/t Cecil Adams
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