Capital found in politico's lounge (4)
I believe the answer is:
oslo
'capital' is the definition.
(capital of Norway)
'in politico's lounge' is the wordplay.
'in' indicates the answer is hidden within the clue.
'OSLO' is hidden within 'politicos lounge'.
'found' acts as a link.
(Other definitions for oslo that I've seen before include "Former Christiania" , "Solo in Norway?" , "Norwegian chief port" , "Capital in throes of go-slow" , "European capital city (found in Czechoslovakia!)" .)