Who is the cab driver you refer to in the story. I have heard this story roughly before. Your version has a bit more detail. I don't doubt it, in fact I believe it to be true.
Because he pulled a Linda Tripp and talked. Talking (I believe at first it was a YouTube video) saved his hide. The best info about the weekend at Barack's, LOL, is from Larry's own book. It also has the details about the murders of the black gays at Trinity church, very suspicious "hits" right after each other during the early campaign, all gay men who had supposedly been Obama's lovers.
Larry Sinclair is not a wonderful person, and has been a bit of a grifter and had drug issues. But his story is very compelling. He is bluntly honest, especially about his human shortcomings. He is detailed and believable.