HillRaiser Hsu: From "Ubiquitous" To "Pariah"
Norman Hsu's rise in prominent political circles happened almost as rapidly as his recent dramatic fall, which may include a Justice Department investigation. The Democratic rainmaker, who pleaded guilty on Friday to a 1991 grand theft charge, burst onto the scene three years ago as an affable and extremely generous campaign fundraiser. These qualities -- particularly the latter -- won him the admiration and ear of a cadre of big wig politicos. But perhaps Hsu's most famous beneficiary was New York Senator and current Democratic front-runner Hillary Clinton.
According to a number of people involved in New York politics, Hsu had the type of access to Senator Clinton that the average constituent and even many political insiders could only dream of. The New York Senator was in attendance when Hsu threw a 100-person dinner party for himself at the chic Modern restaurant next to the Museum of Modern Art. In December 2006, The New York Post reported on another event Hsu hosted - this time to celebrate Democratic victories in the 2006 election - during which he grabbed the microphone from the deejay and declared: "If you are supporters of Hillary for President 2008, you can stay. Otherwise, get out!"
The dinners, revelry, and late-night campaigning, however were an outgrowth of all the money that Hsu poured into Clinton's coffers. Listed under various businesses, Hsu personally gave nearly $23,000 to the Senator's campaigns and political action committees, according to a review of campaign finance records. In addition, he served as "Hillraiser" for Clinton's current White House run, a position that tasked him with "bundling" over $100,000 in donations.
"Some people have sex appeal," John Catsimatidis, a major Democratic figure in New York told the Huffington Post. "Norman had checks appeal."
If access were what Hsu was looking for, his donations paid off. One New York Democratic activist claims to have seen the Hong Kong native in Clinton's hotel suite on the night of her 2006 Senate re-election. "He was sitting there all comfy on a sofa," said the source. "You realized he was big money." The Clinton camp acknowledged that Hsu was at the Election Day celebration but, citing conversations with other attendants that night, said he was not in the hotel room.
What that money and access got Hsu remains unclear. The Los Angeles Times reported that Hsu, who serves on the board of Manhattan's New School, "helped host an event at which Clinton was the keynote speaker" and that "Clinton helped steer nearly $1 million to the New School in a congressional earmark for a mentoring program for disadvantaged city youths."
But officials familiar with both the deal and the New York political scene say it's highly unlikely that any quid-pro-quo took place. "The Los Angeles Times made a mistake by saying because [Hsu's] close to Hillary she gives money to the New School," said George Artz, head of the public relations firm George Artz Communications. "She helps the school get money because Bob Kerrey is president."
To be sure, Hsu's political generosity hasn't been limited to Senator Clinton. Over the last three years he has donated more than $600,000 dollars to national, local and municipal officials. He's frequented fundraising events and Democratic gatherings. And according to one politically connected New Yorker, Hsu threw an $18,000 dinner party for Pennsylvania Governor Ed Rendell at Per Se, an elegant restaurant in the Time Warner building in mid-town Manhattan.
An aide to the governor would neither confirm nor deny whether the event took place. But those familiar with Hsu don't underestimate the extent of his influence.
"I've seen him about 4,000 times in the last three years," Dennis Mehiel, a prominent New York businessman and Democratic figure told the Huffington Post. "If you'd asked me before this, however, what Norman did for a living, I'd have no idea. But he is ubiquitous."
There are also several instances in which Hsu may have instructed business partners or other related individuals to donate to various politicians and political causes. A review of campaign finance records reveals that on several occasions Paul Su, of Dix Hills, New York, made nearly identical contributions as Mr. Hsu. Both donated a combined total of $4,600 to Hillary Clinton's presidential campaign on January 26, 2007 and February 2, 2007; $1,000 to Rep. Patrick Murphy on May 18, 2007; and $2,500 to Senator Jack Reed on February 28, 2007.
Su, who on several filings lists his occupation as Dilini Management President (a company which Hsu also listed as an employer), could not be reached for comment. An official with AOPEN America, another company Su worked for, said he is currently in Taiwan and has been for some time.
As news of Hsu's past legal troubles and political machinations became public, many campaigns sought distance. Clinton, for one, gave the $23,000 she received to charity. Senator and Presidential candidate, Barack Obama, Minnesota Senate candidate Al Franken, Rep. Michael Honda of California and Pennsylvania Rep. Joe Sestak have likewise divested Hsu contributions. The cold shoulder may be an unfamiliar experience for Hsu, but it's one, political observers say, he will have to get accustomed to.
"He was walking on a tight rope," explained one insider. "He knew that he had this warrant out. And in this business, once you are tainted you become a pariah."
Update: ABC News is reporting that Hsu has raised "well over $1 million for Clinton's 2008 presidential campaign." This number is significantly higher than the one reported by the Los Angeles Times, which puts Hsu's total fundraising for Clinton at $100,000.
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The Huffington Post Sam Stein First Posted: 03/28/08 03:44 AM ET Updated: 05/25/11 01:15 PM ET