Norman Hsu: Where's the Crime?

The New York Times and Washington Post have long articles today in which the reporters try to trace Norman Hsu's fund-raising contributions to Democrats. The articles practically take it as a given that Hsu's fund-raising was illegitimate because he was a a fugitive from California and they've managed to track down unhappy investors in his business deals that were unrelated to politics.

Despite new interviews reported in the articles both with people that knew Hsu and those whom he asked to contribute to various candidates, one critical allegation is missing: None of the contributors so far have said Hsu reimbursed them for their donations. Without reimbursement, there's no campaign finance crime. Bundling donations is legal and all the candidates have bundlers.

It's been my impression since the story first appeared in the Wall Street Journal that Hsu did nothing illegal in his fund-raising activities. The media keeps looking for and coming up short in discerning Hsu's motives in becoming a bundler for various campaigns.

Hsu strikes me as a political groupie, someone who wanted to go to the parties and mingle with the VIPs, and the way for him to do that was by becoming a big donor.

By all accounts, he never asked for anything from the candidates in return. No one has found a voting record for him.

Some of the people whose contributions were attributed to his bundling say they never even knew him, meaning he wasn't the person who asked them to contribute. One possibility is that he had junior bundlers under him and that he took credit with the campaigns for the monies bundled by others under his direction. But, that's not illegal either.

Hsu may have asked X to contribute and X in turn asked Y and Z. When the checks came in, Hsu took credit for X, Y and Z's contributions, rather than giving X the credit for Y and Z's contributions. So what? That may be chutzpah, but is it illegal?.

As for his fugitive status, he apparently returned to Hong Kong for several years after his criminal case in California. I would buy that he was running from the possible three year sentence he had agreed to if, when he returned to the U.S, he either kept a low profile or changed his name. But who returns to the U.S., knowing they skipped out on a jail sentence, and then seeks to become a big-shot under their real name? It doesn't make sense.

More evidence he's a groupie: The Times reports on his contributions to the Innocence Project. He didn't just decide they were a worthy cause, call them and offer money. He saw Barry Scheck at a restaurant and wanted to meet him. So he walked over to his table, introduced himself and offered a donation. And then he made more donations to become important to the group.

I really think there's nothing sinister behind his political donations. He wanted to be liked and he wanted to be a player. Unless those from whom he collected donations come forward with documentary proof he reimbursed them for their contributions, he's committed no fund-raising crime I can think of.

On the other hand, the media obsession with his "questionable" donations and complete and almost instantaneous assassination of his character, led him to the brink of suicide.

If there's a crime here, right now I'm not seeing Norman Hsu as the perpetrator, but the victim.

[Jeralyn Merritt blogs daily at TalkLeft: The Politics of Crime..]

Comments

[buddycor]

It is against the law:
1. to bundle contributions;
2. to provide false information about the name and address of the contributor; and
3. to contribute in excess of the maximum amount.

You need to think before you put your reputation on the line defending crooks.

[GreatFutureForAll]

"It is against the law:
1. to bundle contributions;
2. to provide false information about the name and address of the contributor; and
3. to contribute in excess of the maximum amount."

....And the names of the contributors were not even at the addresses listed in at least some cases. There is a chance that some of the contributors MAY NOT EVEN EXIST.

Further, the question lingers: Who REALLY donated to Clinton? Too many of those questioned said they had no idea what Hsu was doing with their money. They certainly did not intend to donate the money to any campaign in some cases.

If true, Hsu donated far in excess to the maximum amount. It's easy to see why he stayed on the run.

Either way (providing false information, contributing in excess to the maximum amount involved, etc), Hsu could be seeing a lengthy stay in the pokie for this kind of very shady funding alone.

[WilliePilgrim]

Great insights here...and wouldn't it be great if among the possible solution to this mess with campaign financing, a suggestion to limit contributions and instead fund national campaings at least, at the national level, by taxing the media outlets since they're the ones commanding the big bucks for selling the candidates their life-blood...or so they'd have one belive. Funny how this never gets discussed on air. Could it be that keeping the obvious solution to compaign finance corruption (taking the free-wheeling money aspect out of it and replacing it with a transparent and regulated system of accounting) would cause for quite a few rice-bowls being empty in an industry where being rich as oil-sheiks is not just an option but a necessity. When greed leads, the rest go hungry.

[Danielth]

A poor family living a shack in San Fransisco gives over $200,000 to Hillary. There are links to Hsu. No crime?

[Spookcatcher]

Why the propaganda column? This was a money launderer/facilitator and schemer. The Postal worker family clearly recieved funds that were not theirs and contributed large "gifted" amounts to whoever they were told. For what reason, simply as good old fashioned All American Voters? and we are to pretend they were never Expecting nor Recieving nothing for themselves in return? The whole campaign funding process is smoke and mirrors. It has become so large and prolific that it has , and sek to become big players, and even build franchise operations, similar to drug dealers. Th Campaign Financing GAME has Ruined Our Republic. It has broken all links with common citizenry to the Politicians in being held to US, the People and EVERYBODY knows it! So why the leftie version of a "Snow" job?

[ecotopian]

What's the crime? I was shocked when I heard this: http://www.npr.org/templates/story/story.php?storyId=14428731

[OtayPanky]

As a true Indy voter, I can't help noticing that each of the parties has it's characteristic quirks (if I can use such a polite term).

The repubs tend to be big on smug self-righteousness and downright hypocrisy. The lastest in a series of classic cases: Larry Craig, telling Tim Russert that Bill Clinton was a "nasty, naughty boy"...when his own behavior has been...well, you know.

The dems, on the other hand, tend to be much more easygoing about original virtue, and tolerant of original (or unoriginal) sin.

But holy cannoli, do they play the victim card every chance they get.

Hsu a victim? That's about as believable as Larry Craig's "wide stance".

[Podewumun]

As much as I'd like to get all worked up over 'politics as usual', I just can't get past the photo of Hsu.

I always wondered what Donald Trump did with his old rugs.

Now I know. Hsu's sporting two of them...

[annefrank]

Exactly! but Hillary supporters have been known to spin facts.

[TheIndependenceParty]

It's so much more interesting to have a story of a convicted immigrant, on the lam for 15 years, ... attempting suicide on a train, ... arrested by the sheriff in Colorado! For the Fourth Reich, what do we have but photos of Corporate Headquarters all around the world who flock to them with cash? No flash in that?

That said, I am troubled that the DNC doesn't require better vetting of funds as large as those Hsu donated. I am suspicious of money in the hands of a man convicted of Grand Theft. "Victim", ... not so sure of that I'm afraid.

[fact finder]

He did not touch his toes for the Republicans.

[Thorn]

All respect, but have you entirely lost your mind?

[mommadona]

You are missing a very big cog in this very big piece of machinery:

The Chinese government and it's use of operatives inside the US.

Let's just go back to 1996, shall we?
http://www.senate.gov/%7Egovt-aff/12.pdf

[DemandTruth]

Considering all the scandals ongoing and yet to be discovered perpetrated by practically every single Republican in this country, their propaganda arm, the MSM is desperate to get something, anything on the Democrats.

They'll keep up this story til the elections, probably. Because right now, it's the only thing (real or made up) they've got to disparage the Democrats on.

Yes, the MSM still beats up on Dems about everything else but in everything else, especially the war, most of the rest of the country (outside the Beltway echo chamber) agrees with Dems.

So my bet is this story ain't going away and I do think Hsu is the victim here (absent any concrete proof - remember that Vick defenders? Innocent Until Proven (Or Confessed) Guilty)?

[annefrank]

Disagree. It's news because Hillary's campaign had previously patted themselves on the back PUBLICLY for running such a "disciplined" campaign.
Obviously - it wasn't.

[Advocate123]

What? He laundered money through agents to bipass laws of the United States.

You clearly have a problem with the campaign laws that are currently on the books.

I would like to point out that these laws are on the books because Democrats wanted to prevent Republicans from buying elections.

It is ironic.

Advocate123
http://copiousdissent.blogspot.com

[fedupwiththis]

Would you mind reading the article before flapping your gums? It clearly states that the illegal acts were NOT related to campaign fund raising. You right-wing schmucks cannot stand the thought that your going to loose the next one too and you're trying get enough dirt thrown around to hobble anyone with the temerity to defeat a Thug.

[curioustorquemada]

Pardon me for gum flapping.
Jack Abrhamhoff was convicted of crimes unrelated to fund raising also.

[SteveWeisert]

Hsu's crimes were not campaign contributions - the crimes were his shady business dealings. That's why H does not want to be associated with him, and is returning the contributions he gathered.

[emerywood]

I don't think we can blame the media for Norman Hsu's plight. This guy's history is truly remarkable if true and he is probably a genius if not a legend in his own time. He is supposedly a fugitive and convicted criminal and yet, as a Chinese, he was able to raise large amounts of money for donation to top politicians from a lot of people in America and, making a good living on the side ! Is our legal system that lax ?
To me, the source of his money is highly suspect but then, I may be all wrong.

[Purple Girl]

Yeah he's the ONLY 'dirty' donator in DC. He's the ONLY person who could have been working for some underhanded inside job. Yeah get that "foreigner"- Don't mind that red neck and bible thumper that 'gave 'that summer vacation. Hsu is only important if his case sheds light on the real 'donors' that are infact criminals. Campaign Reform is not an issues it's a necessity- our Democracy has been sold out from underneath us.

[Thorn]

Good logic. Also, only arrest one murderer if you're sure you've caught them all. (Hi!)

[shrinqrap]

There is no need for any actual crime for this story to gain traction.

Norman Hsu has all the qualifications to fit one of the media's tried-and-true narratives - that the Clinton's coffers are filled with illegal money - and so his story is pursued.

It is another short-cut taken by reporter-slash-pundits, and meets no real resistance by their editors. The facts be damned.

When left-leaning pundits (has Maureen Dowd done any precious 'Hsu's your daddy' hit pieces yet? stay tuned) push this story, their words are taken up by the right-wing echo chamber and added to their own twisted tales, and the vicious cycle continues, another Grand Myth to contaminate Election 2008.

Welcome to Hillary's nightmare.

[annefrank]

Hillary and the DLC SOUGHT Hsu's fundraising skills! When the campaign was WARNED about him last June - they ignored it since he'd promised to raise $1M for Hillary - and almost made his goal.

[avergejoe]

hrc again?

BostonGlobe 2/28/07:Pardons reemerge as issue in Clinton run

WASHINGTON -- Six years ago, the launch of Hillary Clinton's career in the US Senate was marred by allegations that her brothers had received payments from people pardoned by President Bill Clinton in the waning months of his presidency.

Now, in the wake of the launch of her presidential campaign, the pardon controversy has reemerged in an obscure court case in which Senator Clinton's brother Tony is battling an order to repay more than $100,000 he received from a couple pardoned by President Clinton.

Tony Rodham, who acknowledged approaching the president about a pardon for the couple, is the second of Hillary Clinton's brothers to receive money from people who were eventually pardoned by President Clinton. Hugh Rodham received $400,000 from two people, one of whom was pardoned and one whose sentence was commuted.

But while Hillary Clinton immediately expressed chagrin over the news in 2001 that Hugh received the money -- and asked him to return it -- she said Tony was "not paid," according to a congressional report. The Clinton campaign yesterday declined to comment on the case involving Tony Rodham.

Clinton critics have been seeking to revive an array of controversies, from the Whitewater land deal to the Monica Lewinsky case. The Clinton campaign has sought to depict them as old or moot cases. But the Tony Rodham case could be different because it is in court...

Yesterday, US Bankruptcy Court Judge Marian Harrison of Nashville ordered Tony Rodham to respond by March 16 to the allegation that he failed to repay a loan of $107,000 from the couple pardoned by Clinton, according to attorneys involved in the case.

President Clinton's pardons have been a political issue for Hillary Clinton because of her ties to a number of the cases. In addition to the people who paid her brothers, those receiving pardons included commodities trader Marc Rich, a fugitive who was prosecuted for tax evasion .. and fled to Switzerland. Rich was pardoned after his former wife, Denise Rich, contributed heavily to Hillary Clinton's Senate campaign.

[1differentdrummer]

And your point is?