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For Clinton, 2000 Fund-Raising Controversy Lingers



 
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PostPosted: Sat Sep 15, 2007 1:00 am    Post subject: For Clinton, 2000 Fund-Raising Controversy Lingers Reply with quote
For Clinton, 2000 Fund-Raising Controversy Lingers
As Sen. Hillary Clinton grapples with the burgeoning scandal surrounding disgraced fund-raiser Norman Hsu, she can't quite shake a fund-raising controversy from her 2000 Senate campaign.

Category: Top Story

Mrs. Clinton's entanglement with a thrice-convicted felon named Peter Paul is proof of how long campaign-finance problems can haunt a public official. Mr. Paul became a problem for Mrs. Clinton when his criminal past became public shortly after he helped organize and finance a gala Hollywood fund-raiser for her in August 2000.

Rather than drift away, Mr. Paul has been on the attack against Mrs. Clinton ever since. In a lawsuit in California state court that has been grinding along for years, Mr. Paul accuses Mrs. Clinton and former President Bill Clinton of deceiving him into spending well over $1 million on the fund-raiser for her Senate campaign. Mr. Paul contends the Clintons obtained the money by falsely promising that Mr. Clinton would become Mr. Paul's business associate after leaving the White House in January 2001. Mr. Paul also maintains that Mrs. Clinton and her campaign violated federal election law in connection with the fund-raiser.

The Clintons have denied any wrongdoing. Their attorney, David Kendall, says there was never any business arrangement discussed or contemplated between Mr. Paul and Mr. Clinton. As for his other allegations, "Mr. Paul, as a three-time convicted felon, has no credibility," Mr. Kendall says. "He is the Picasso of con artists."

Mr. Clinton remains a defendant in the Paul suit, though most of the counts against him have been dismissed on procedural grounds. The state court has dismissed Mrs. Clinton as a defendant, citing a California law that gives political activities broad legal protections. Mr. Paul has appealed that dismissal, arguing that Mrs. Clinton engaged in illegal activities, which wouldn't be protected.

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Source: The Hillary Project
Description: reporting the news about Hillary that the media refuses to
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