If anybody should apologize for that Charlie Foxtrot, it's the local NY GOP organization and Conservative Party for not doing their homework and Doug Hoffman himself. People who keep bringing this up either don't know this or don't care as long as it helps them to knock Newt (like the myths about bringing divorce papers to the hospital deathbed of his first wife, buying $500K worth of jewelry at Tiffany's, and supporting Cap-and-Trade, amnesty or other stuff that never happened).
Some people are ignorant of this, but many perpetuate these things on purpose, just like Romney's bold-faced lie about Newt being a "lobbyist" for Freddie Mac, which he breathtakingly kept repeating straight in Newt's face during the debate before Florida primary.
See ref: 'Stop Romney' Christian conservatives give nod to Santorum ahead of S.C. balloting - FR, post #67, 2012 January 15
Ref: Gingrich: If it comes to a shutdown, the GOP should stick to its principles - FR, post #104, 2012 February 12.
Yeah, the Doug Hoffman thing is one of the most over rated over played issues in a long time. Your explanation was correct - never mind that Hoffman is a fraud himself also. But compared to Dee Dee, who is awful, he became a hero and folks never realized what a fraud he really was.
Newt should have just steered clear. Then again, on issues like this, everyone wants Newts opinion and always have. No one has ever cared what RS or Mitt thought about anything like this.