Clinton To Return $850K In Hsu Donations

Presidential Candidate's Campaign Says It Will Return Money Raised By Disgraced Fundraiser Norman Hsu

(AP)  Sen. Hillary Rodham Clinton's presidential campaign said Monday it will return $850,000 in donations raised by Democratic fundraiser Norman Hsu, who is under federal investigation for allegedly violating election laws.

Clinton, D-N.Y., previously had planned only to give to charity $23,000 she received from Hsu for her presidential and senatorial campaigns and to her political action committee, HillPac.

The FBI is investigating whether Hsu paid so-called straw donors to send campaign contributions to Clinton and other candidates, a law enforcement official said Monday.

"In light of recent events and allegations that Mr. Norman Hsu engaged in an illegal investment scheme, we have decided out of an abundance of caution to return the money he raised for our campaign," Clinton spokesman Howard Wolfson said in a statement Monday night. "An estimated 260 donors this week will receive refunds totaling approximately $850,000 from the campaign."

Wolfson said the Clinton campaign also will vigorously review its fundraisers, including thorough criminal background checks, in the future. "In any instances where a source of a bundler's income is in question, the campaign will take affirmative steps to verify its origin," he said.

The amount that the campaign identified as raised by Hsu would make him one of her top fundraisers. During the first six months of this year, her presidential campaign raised $52 million from individual contributors, second to Sen. Barack Obama, D-Ill., who raised $58.5 million.

Since 2004, Hsu has donated $260,000 to Democratic Party groups and federal candidates, and raised hundreds of thousands of additional dollars. He was regarded as a top party fundraiser until recent reports surfaced that he was wanted on a warrant in California in connection with a 1991 grand theft charge.

Federal authorities are looking into whether Hsu leaned on investors to contribute to political candidates after paying them big earnings from a shady business venture he was running, the law enforcement official said. Such a scam - using conduit contributors known as straw donors - is a violation of the Federal Election Campaign Act, which limits how much money individuals can give to candidates and political committees.

The FBI may be looking at other potential charges as well, according to the law enforcement official who spoke on condition of anonymity because of the ongoing investigation.

In addition to the $260,000 he contributed to federal candidates, Hsu also contributed at least $330,000 to state Democratic candidates and state party committees and ballot initiatives during the 2004 and 2006 election cycles. Among the state officials who received money were New York Gov. Eliot Spitzer and New York Attorney General Andrew Cuomo. Both have said they would divest their campaigns of the donations.

Additionally, last week Pennsylvania Gov. Ed Rendell said he would donate nearly $40,000 in contributions, and Rep. Mark Udall, D-Colo., said he had donated a $1,000 contribution to a charity that helps soldiers.

The purpose of Hsu's business venture was unclear. The Los Angeles Times reported Monday that it was an investment pool that had recently drawn the suspicion of associates who questioned its legality.

An attorney for Hsu did not immediately respond to a request for comment Monday.

Hsu remained hospitalized in Grand Junction, Colo., where he has been since last week after failing to show up for a California court hearing. It was unclear when he might be returned to California to face the felony theft case.

Hsu pleaded no contest in 1991 to a grand theft charge that accused him of defrauding investors of $1 million. He was facing up to three years in prison when he skipped town before his sentencing in 1992. He finally surrendered to the arrest warrant Aug. 31, but disappeared before last week's hearing where he was expected to turn over his passport and ask a judge to cut his $2 million bail in half.

Wolfson said the Clinton campaign was "unaware of Mr. Hsu's decade-plus old warrant," despite what he described as a thorough review of public records.

Since Thursday, Hsu has been at the Colorado hospital, when he was taken from an eastbound Amtrak train for treatment of an undisclosed ailment. He'd failed to show up for the hearing a day earlier. He is expected to be taken to the Mesa County Jail in Colorado to await extradition proceedings in state court once he is well enough to leave the hospital.

[trueprogress]

As a feminist, I want to let you know that this story should be banned from the site, as sexist. I will never watch CBS news , or this site. I am withholding my comments/contributions/wisdom from this site, at the negativity is so great.


The photo is even photo shopped.

[my2centss]

What ever happened to campaign finance reform? Just for certain groups/people? Maybe it is just me, but why do you always give the money back? This made no sense here, or when Giuliani gave $10 million back to the Prince from Saudi Arabia. Whether you agree, or not, the money is not always about you.

[madisongirl-2009]

WILL THERE BE A CONGRESSIONAL INVESTIGATION INTO THIS MATTER

(insert sounds of chirping crickets here)

No, of course not, and the willing accomplices in the liberal media will quickly bury this story to the second page.

And, here we are !!

xoxoxoxoxoxoxoxoxoxo

[madisongirl-2009]

WILL THERE BE A CONGRESSIONAL INVESTIGATION INTO THIS MATTER

(insert sounds of chirping crickets here)

No, of course not, and the willing accomplices in the liberal media will quickly bury this story to the second page.

And, here we are !!

...

[s1ckd09]

Hey veteran71,

What lies has Patareus told? And where is your proof?

[s1ckd09]

TrueProgress,

Are you really a professor of woman''s studies? Because if you are, you highlight the problem with the education system in this country. When you make remarks like "It is clear that Rigth Wing Bias and a "set up" possibly by insiders, is at work here. This is obviously a false "photo shopped " picture !!!", you present yourself as a biased individual and thus paint all of your opinions with the same biased brush. Why should I think that we "need" a woman president? You give no reasons for that. Why should I think that Hillary isn''t being accomodated, and why should she get special treatment? I thought this was all about equal rights?

[s1ckd09]

"Wolfson said the Clinton campaign was "unaware of Mr. Hsu''s decade-plus old warrant," despite what he described as a thorough review of public records."

How is this possible? Seriously... Even the most basic review of public records would show a warrant. I can pay $20 at peoplefinder and get his criminal record. This guy has just admitted how inept he his.

[klingon69]

As a college Professor of Women''''s Studies, I can define some issues here that may not be evident to the casual reader.
Often wonder why you feel the need to preamble your posts with your position?

First, attacking her sources of campaign funds should be none of the business of either the mass media or the Bush Gov''''t, for Miss Clinton - it can be only interpreted as intra- tatum- a priori - as only a sexist move. They have not done so with any other candidate, even though they - all men - have received much more money from this man.
It should be the business of the common person when illegal activities are highlighted, it is the business of the media to bring it to light. If nobody has looked at the men, then why are they giving theirs away?

two - We need a woman President, and as Miss Clinton will be the first woman candidate, she is does not deserve a "pass" but must be accomodated to allow a just and democratic outcome.
Research your history, the first woman on ballot for president was Shirley Chisholm(sp). She was running on 2 minority platforms, woman and black, in the early 70s.

third - It is clear that Rigth Wing Bias and a "set up" possibly by insiders, is at work here. This is obviously a false "photo shopped " picture !!!
Posted by Trueprogress at 01:49 AM : Sep 11, 2007
Even though you want it to be so badly, it isn''t. That is actually a photo of the two of them together, at a fund-raiser in 2005

[infidel_us]

This story is making its way down CBS'' site faster than a democrat politician can stab US troops in the back! And that''s FAST!

I''ll bet CBS really had to hold their collective noses before posting this story. I''m sure they hated to do it. In fact, I wouldn''t be surprised if they sent a letter of apology to the Clintons for doing it.

[hawksprings]

realpatriot, Foreign contributions ARE ALREADY BANNED!!! They have always been illegal, for obvious reasons - so the politician isn''t secretly beholden to a foreign government or persons.

That''s what''s so despicable about the Clintons. How many times do they need to be caught Red-handed (pun intended) taking money from communist Chinese?

Realpatriot, give us Obama any day. Send Mrs. Clinton back to Arkansas.

...

[realpatriot1]

Hawksprings,

Point taken. I think foreign contributions should be banned. Campaign finance reform won''t happen unless the candidates for President push it to the top of issues being debated and a candidate who considers it to be an important part of their agenda and mandate is elected.

We should all be listening for what the candidates in both parties have to say about it.

As a democrat, I consider Hillary part of the problem and not part of the solution.

[hawksprings]

realpatriot1,
Sure, it''s all bad. But when it repeatedly involves foreign governments like Mrs. Clinton''s has, at some point it''s just plain treason.

...

[mudrose-2009]

Is there anyone really stupid enough to vote for this slime anyway?.....besides mcvet
Posted by B48151

The whole MoveOn.Org contingency and the PINK Nazifeminist Brigade.

[b48151]

Is there anyone really stupid enough to vote for this slime anyway?.....besides mcvet

[infidel_us]

Southern Fascist in the party. America isn''''t going to elect another "Family Values" Nazi... not after this one. Sieg Heil Bush!!
Posted by MCVet at 07:07 AM : Sep 11, 2007

Hey bro! Is the post office closed today? I''m sure you''re flying your Afrikan flag, proudly.

So, what''s the story with you burthas and the ''Southern Fascist Party''? I notice you and Condomism always refer to southern fascists.....is that from some hip-hop CD or are you watching it on BET?

[mudrose-2009]

I sure hope YOU stay away from sharp objects AFTER she''''s won! ROFLMAO You fascist have been rolling out your mud slinging and hate machine against the Clintons for how long? ROFLMAO They are going to win this because of two things.... 1) She has the issues on her side and will NOT allow the slime to interfer with that and 2) The Republican Party does NOT have people leading it that can control the Southern Fascist in the party. America isn''''t going to elect another "Family Values" Nazi... not after this one. Sieg Heil Bush!!
Posted by MCVet

Any candidate on the left is a puppet of MoveOn.Org as well as any lefty in the House and Senate are. There are no independent candidates on the left. They are bought and paid for by MoveOn.Org, the organization that keeps murderers, philanderers, thieves, solicitors of pornography and liars in our Congress. They are not trustworthy and they are treasonous liars. To vote for anyone on the left is to vote for open borders, illegal aliens and terrorists. They are the party of hypocrites and traitors. They have no morality, no moral backbone and no humanity. Hollywood is their God and their military is the Pink Nazifeminist Brigade marching in the wings of the Congress. Woopie, the lefties, party of unprincipled magots. Spit in your own faces not on our generals. They are full of ***** and conspiracy theories which shows ya just how twisted their minds are.

[infidel_us]

From $23K to $850K......and they ''know nothing''. I''m certain republicans would be able to get away with ''we have decided out of an abundance of caution to return the money he raised for our campaign."

Yeah, I''m pretty sure lib dems would allow a republican candidate that kind of latitude.

[realpatriot1]

B48151/hawksprings,

Why don''t we investigate all the candidates fundraising?

What did Mitt know about his finance chairman''s 23 counts of fraud and when did he know it? What did Rudy know about his South Carolina chairman''s cocaine trafficking activites and when did he know it?

It''s hard to make it a partison issue when both parties are playing the same stinking system, but clowns like you will try anyways.

[b48151]

More Democratic fund raising scandals...INVESTIGATE!!!!!!!!

[hawksprings]

Shouldn''t there be an investigation of the Clinton campaign and it''s fundraising practices?
Shouldn''t someone in the Senate hold a hearing?

How many fundraising laws have been broken? How far does this go? What did Hillary know and when did she know it? What about the Chinese nationals who donated to her campaign and she accepted it until it became public? Isn''t it paramount to treason to take campaign money from foreigners?

What other foreign poeple/governments have given money to Mrs. Clinton? Who is she beholden to for these contributions? Will she give more secret technology to the Chinese like her husband did?

Where is the outcry? Where are the investigations? Where is the front page, 24/7 media coverage? Where are the Dan Rather-like faked documents ''proving'' she did all this?

Do Democrats want the White House so bad that they would even sell out our own country to get it?

...