FBI JOINS CLINTON-HSU FUNDRAISER SCANDAL PROBE

LA TIMES - The FBI has begun examining a murky business venture run by disgraced Democratic fundraiser Norman Hsu that paid out hefty profits over the last several years to investors, some of whom were pressed to make contributions to Hillary Rodham Clinton and other political candidates. . .

One associate, Irvine businessman Jack Cassidy, said he had tried to warn authorities and the Clinton campaign as early as June that he feared Hsu was running an illicit enterprise, but had gotten no response. . .

Clinton campaign spokesman Howard Wolfson declined to respond to Cassidy's claim, saying only that the campaign had conducted a background check of Hsu, who has emerged in the last three years as one of the Democratic Party's biggest fundraisers. . .

The New York Times reported Sunday that financial records from one of Hsu's companies show a similar pattern of money flowing to and from people who later made political donations through Hsu to Clinton and others. Hsu's attorney has denied that he reimbursed anyone for their donations.

One investor said she made donations solely to stay in Hsu's good graces and knew others who did so as well. "They knew they had to do it or they were out," said the investor, who asked to remain anonymous. "There were people who maxed out every credit card they had to give the maximum $4,600 in donations."

She said she opposed Clinton's presidential bid but gave money to her campaign anyway. "I can't stand the woman," the investor said.