Hsu's Legal Process Continues As Rezko's Heats Up

As the trial of embattled Illinois political insider Tony Rezko creates headaches for Sen. Barack Obama, the legal fate of Sen. Hillary Clinton's famously disgraced campaign financier is playing out as well.

Norman Hsu, who on Feb. 28 pleaded not guilty to federal charges that he cheated investors out of $20 million, appeared in the Southern District of New York on Friday. There was no trial. Rather, the former Clinton backer and his lawyers were there to structure the process for upcoming legal proceedings. The meeting lasted only 10 or so minutes.

Hsu raised hundreds of thousands of dollars for Democratic officials during his brief, illustrious, and possibly criminal career. One of the chief beneficiaries of his largess was Clinton, who returned nearly a million dollars in donations tied to the disgraced businessman.

That controversy occurred early on in the campaign and has really not emerged as an issue since. Rezko, by contrast, has dominated much of the recent campaign coverage. The Chicago-based political fundraiser and businessman is accused of shaking down companies seeking state business. He also helped Obama purchase his home by buying an adjoining lot (the house could only sell if that lot, too, was purchased).

There has been speculation that, in his defense, Rezko's attorneys may call Obama to the stand, which would of course be unwelcome news for the senator. No word if Hsu will do the same. There is speculation that his case will ultimately be settled by plea bargain.

Comments

[Susan1968]

Sam tries so hard to barely hide his bias against Hillary.

However, Sam has failed to let his readers know the connection between Obama & Norman Hsu:

Before becoming a major bundler for Sen. Hillary Rodham Clinton's presidential campaign, disgraced Democratic donor Norman Hsu helped host a 2005 California event for Barack Obama's political action committee and introduced the senator from Illinois to one of the biggest fundraisers for his presidential bid.

http://www.washingtonpost.com/wp-dyn/content/article/2007/09/07/AR2007090703047.html

[treadway123]

He also didn't include Rezco was donateing money to the clintons too! So, their all tied together with these two men. obama gave all the money rezco gave him to charity, and Clintons failed to return it all. So there is some what of a difference.

[Susan1968]

Rezko did not donate to the Clintons.

That's a rumor.

However he did donate to Kerry and Kennedy.

Keep it in the family.

[mrJJ]

Guess who directed Norman to Sen Obama the then freshman ... ding ding ding The DLC President Sen. Hillary Clinton.. and of course ALL her good friends got a taste..,

Rendell had said last week he planned to keep nearly $40,000 of Hsu's money ......cont...

"Though Norman is my friend, and remains so, his failure to appear casts a new light on his assertions regarding the original case," Rendell said in a statement before Hsu's arrest Thursday. "As a result, I will follow other elected officials and donate the money he contributed to me to charity."

http://www.cbsnews.com/stories/2007/09/07/politics/main3240773.shtml

[hazmaq]

Well I'll see your Hsu 'connection' with Judicial Watch hearing on March 20th!
Where they aren't after just Hill's tax records. Oh no they want her secretive back room health care documents.

Susan's gonna need more chips Sam...

[mesuki]

susan1968..... and your point is what?

[outnow]

Can we discard this hand and go back to John Edwards or Dennis Kucinich. Maybe Nader is still willing to forget about the bad things people said about him. Looks like his words ring more true (truer) each day.

[Actionmac]

your still trying to get Presidential and VP LOSERS back in the race? It's over for those people. NADER get REAL and SERIOUS, get him to a dentist... We can have Edwards as a Attorney General in Obama administration. He can then open the files to all those so called no warrant Telco helped wire taps to listen to the terrorist, like the one used to catch the terrorist of the republicans, Eliot Spitzer.

[suekzoo]

We could eliminate the sleazy side of campaign finance, and the slimly players like Rezko and Hsu, if we would completely embrace public funding of elections.

[outnow]

The word "embrace" has too many sexual overtones. Let's use "employ" or "utilize."

[Actionmac]

one of the reasons we can't get anything done, "embrace has too many sexual overtones" Please go and have a lot of sex so you can not hear sex when people are talking to you. It is called getting the sex monkey off your back... or sexual healing, what ever you want to call it you need some, so you can employ and utilize your brain to embrace the broader use of words.

[rojo7449]

Its really hard to believe we can get anyone in this country to run for public office.

[soylentgreenleftovers]

I'll trade you two Rezkos for one Hsu...

[outnow]

Two Rezkos cancel each other out, so no deal!

[hershel62964]

McCain is sleeping with Hillary...

[EvoMan]

Eeeeewww.

[tbone99]

is it too late to get Biden?

[PTTY]

What about Hillary Clinton's Super Delegate Spitzer, CLIENT #9?

is Bill Clinton CLIENT #10?

Hillary stood by her Man, because he promised to get her elected President.

[Windsor]

True. Very true. Hillary is the DRIVEN one in the family.....very scary person.

[PhxMike]

MEMO FROM OBAMA LAPDOG MEDIA CENTER

RE: NICE JOB

Just wanted to say thanks for scrambling up these two issues together. That should confuse the public into thinking they are equally negative. Now, if only we can make everyone think that the Clinton's had some kind of personal deal with Hsu like Obama did with Rezko.

Hmmm.. How about this idea? Next time you write a piece, splash a little more mud up on Clinton if you can by tying in Ferraro somehow. If we can only make this a race issue then for sure everyone will sympathize with Obama.

Oh, Oh! -- I've got an idea. Do a piece early next week about how the Clinton's minister sometimes drives a German car, and then see if you can tie that somehow into the Holocaust. Maybe that will counter-balance some of the criticism against Obama for supporting Reverend Wright and putting him on that campaign committee.

Anyway, nice job. Remember -- don't go a day without a Hillary bash in print.

Love and Kisses,
THE OBAMA LAPDOG MEDIA CENTER

[netgecko99]

If he were blogging for Obama, he would have pointed out that Hsu raised almost ten times as much money for Clinton as Rezco ever got for Obama. Or he might have mentioned Peter Paul, who raised even more money for Clinton in an explicit tit-for-tat agreement.

It really amazes me that Hillary keeps hammering on this Rezco thing. It's like a repeat felon trying to lecture a jaywalker about obeying the law.

[ndolomar]

...or Spitzer trying to lecture a prostitute on breaking the law.

[AnninCA]

She returns all money. He buys a house with Rezko.

*hehe

I don't think this is going to be viewed as similar at all.

[snowcat]

From NBC's Lisa Myers and Jim Popkin
Sen. Hillary Clinton has declined to return $170,000 in campaign contributions from individuals at a company accused of widespread sexual harassment, and whose CEO is a disbarred lawyer with a criminal record, federal campaign records show.

The federal government has accused the Illinois management consulting firm, International Profit Associates, or IPA, of a brazen pattern of sexual harassment including "sexual assaults," "degrading anti-female language" and "obscene suggestions."

In a 2001 lawsuit full of lurid details, the Equal Employment Opportunity Commission claims that 103 women employees at IPA were victimized for years. The civil case is ongoing, and IPA vigorously denies the allegations.

"This is by far, hands down, the worst case I've ever experienced," said Diane Smason, one of the EEOC lawyers handling the lawsuit. "Every woman there experienced sex harassment, they were part of a hostile work environment of sex harassment. And this occurred from the top down."

Sen. Clinton's spokesman, Howard Wolfson, told NBC News in a statement that the senator decided to keep the funds because the lawsuit is "ongoing" and because none of the sexual harassment allegations has been proven in court.

[AnninCA]

That was one of the dumber stories. Obama's corporate doners haven't been examined, so unless we're going to lay out all the doners on the table and investigate each one, it's just silly to pick one.

In the meantime, news just broke that Obama's earmark went to his wife's company. Imagine this, she got a nice hefty raise soon after the donation was made, courtesy of you and me in tax dollars.

How you like them' apples?

[jungpatawan]

She hasn't returned all the money from Rezko's co-defendants, either. Oh, there's more surprises going to come out of this trial about Hillary than about Barack.

JP

[myjibril]

Yes, there is going to more to come out and I can't wait. You know the Paul v Clinton trial this year is going to be a bombshell for the Clintons!!! Hillary is going to jail, mark my words.

[SLone08]

When's Hillary going to return that money from IPA, before or after she releases her tax returns?

[mrJJ]

ROFLMAO ... yeps you think the US Attorney of the Southern District of NY isn't questioning idiot Norman about his Donations err contributions and who directed him to make them? The US Marshall Service has been escorting BOP prisoner NORMAN HSU 60590-054 56 Asian M out of the facilty on numerous trips. The normal procedure in the Fed system is for the lawyer to make legal visits the to their client at the facility where they are housed. Wait I know ... they must be medical visits.... hehe yep thats it. meanwhile a lot of people who were close Norman are heading overseas on prolonged business trips...

[mrJJ]

Charle Trie
http://www.washingtonpost.com/wp-srv/politics/special/campfin/stories/op080397.htm

[PrdAmerican]

Yes, a house that was paid for in full and who's previous occupants have said that the deal was fair. Oh, and the money donated to his campaign by Rezko was returned.

I am sure the people who were defrauded of their money would appreciate your HRC delusional laughter....

HILLRAISER HSU:

Mr. Hsu became a symbol of campaign-finance problems, after rocketing from obscurity to become one of the nation's biggest political fund-raisers. Revelations of his past problems and fund-raising tactics embarrassed many candidates, including Hillary Clinton, who was among politicians who returned his donations.

The federal case alleges that from 2000 to 2007, Mr. Hsu raised more than $60 million, claiming he was making lucrative short-term loans to clothing manufacturers and other businesses. He paid newer investors with money from older investors, and ultimately "swindled his victims of at least $20 million," the federal government alleges.

In an effort to raise his profile and attract more investors, Mr. Hsu "pressured many of his victims to contribute thousands of dollars to various candidates" for U.S. president, Senate and congressional races, the government claims.

Campaign-finance records show Mr. Hsu helped raise more than $1 million for politicians. Mr. Hsu allegedly pressured investors with the threat of losing out on deals if they failed to make the donations. He also is charged with making donations in other people's names. In 2005, 2006 and 2007, Mr. Hsu allegedly asked other individuals to make contributions, totaling more than $25,000 for each calendar year, to designated federal candidates. He then directly reimbursed the individuals for the political contributions they had made on his behalf.

http://online.wsj.com/public/article/SB119679269014413319-0cA4qAVFSiAMn9MYHwFvJgIQpZ4_20080104.html?mod=tff_main_tff_top

[mrJJ]

As a youngster Norman was a low lever street punk. It wasn.t until his boss Eddie Chan saw some potential in him that he was able to climb up the ladder.

Norman Hsu's Boss Chan Tse-Chiu aka Eddie Chan

http://query.nytimes.com/gst/fullpage.html?res=9C0CE2D6173AF931A3575AC0A966958260

Norman
http://abclocal.go.com/kgo/story?section=local&id=5643329

[personalpolitical]

Gotta love that anti-Hillary media bias, all over the Rezko case and not a peep about Hsu.

[AnninCA]

Rezko bought land for Obama. He's not just a simple doner or fundraiser. They are "buds."

He has some funny buds, eh?

Rezko.......Rev. Wright......

[TonyGarbanzo]

Hillary can take care of her "buds" too. Ask Vince Foster. oh....wait.

[robXdion]

Don't worry. The Peter Paul trial is next up to bat.

[LAJonathan]

AND the fact that she hired Anthony Pellicano to smear Gennifer Flowers and Monica.....we wait......

[OverIt]

Oh really? I didn't know about her hiring Pellicano. I guess we hear about that soon. The tidbits on Chris Rock and Gary Shandling were interesting but the Clinton's hiring Pellicano... that's priceless!!!!!!!!!!!

[myjibril]

ooohoooohoooohooooh! Wonder what Hillary is thinking now?

[outnow]

Michael Jackson used Anthony Pellicano to discredit the little boy's story then paid him 20 million when it couldn't be contained.

Hillary: "I shall not campaign or participate in any way...in Michigan's primary that isn't sanctioned by the DNC." She is not doing what she calls the honorable thing and trying to count her 55% in an uncontested nomination contest.

The nominee will be Obama if he survives the Rezko affair. Who has less legal trouble will be the "survivor." Obama has a pastor problem, Hillary has Paul/Gate.

[myjibril]

The Paul v Clinton is the dems Watergate. The Clintons took it all the way to the California Supreme Court to dismiss it. The Supreme Court in Cali said NO! Rendell, Al Gore and all of Clintons people who are running this campaign are a part of the scandal. It is a monster. There are tapes and letters and everything. Hillary is cold busted! I can't wait to see this all played out! I know the Republicans are going to jump on this. They are praying to God Hillary gets this. Whatever little stuff they have on Obama wont' come close to the Felonies Hillary committed. Jail time, she can talk to Martha, and they will be BFF.

[robXdion]

WoW!! I didn't know Al Gore was part of it too! Say it ain't so. I saw "Hillary: The Movie" so I know Ed Rendell was in on it. They were careful not to use his title of Governor in the film doc. And it is funny how Obama is careful to make NO suggestions to this or her past scandals and he's still winning.